HR Software - what to look out for

If you, like most of our clients, are moving away from paper use in the office, you may have already found yourself considering the implementation of a HR database management system.

And the options are vast!

We often receive confused calls, asking for recommendations and complaining about the cost some of these systems bring with them.

Hopefully, this quick guide will help you in your search for a suitable application.

Functionality

Database management systems typically serve the following functions:

• Data-storage - all documents you would keep on a personnel file are being kept in individual electronic folders.

• Electronic signatures - contracts, contract changes, induction and training records are signed electronically, negating the need to send out hardcopies and scan them back in.

• Time and attendance management - timesheets, holiday, sickness and other absence is logged and managed online.

• Reporting - statistics and reports are easily accessible and can be tailored to suit the organisational needs.

• Employee lifecycle management - from recruitment through induction to termination, the process prompts actions and documents them along the way.

Not all systems offer all of these options, so you will have to decide what you want to invest your money into.

For example, at SSG we opted for a simple system which enables us to send documentation electronically, store policies and procedures and manage holiday. Because we don’t use timesheets and don’t regularly run complex shareholder reports, a basic functionality without finance interface was enough for us. However, that does mean that holiday and sickness absence has to be sent to our payroll team via a report, as opposed to automatic transfer.

If you operate a timesheet or clocking-in-system, you may wish to upgrade the system you’re considering - most providers now offer this option.

Provider considerations

There are many providers, some multi-national organisations and some smaller UK self-starters. When choosing your provider, you may want to consider:

• Service terms

  • Some providers will try to tie you in for extended time periods. Negotiate!

• Set-up and support fees

  • Hidden costs can hit you in these areas. Make sure you get a quote that specifically breaks down implementation fees and caveats on tech support.

• Complexity

  • Going for a bells-and-whistles system may sound great but be careful! The more complex the system, the easier it is to break, attract bugs and confuse users. Go for a level of functionality that suits your needs.

• Tech support

  • Find out what your service level agreement is in relation to tech support. Typically, a two-hour response time is something that is offered as a standard. However, that doesn’t mean that any issues will be resolved within that timeframe. And we also found out (the hard way) that a call-centre tech support lacks the sense of urgency you get with an assigned account manager. Bigger isn’t always better in this case.

• Renewals and updates

  • Check you’re not being charged extra for those in the sneaky small print!

• Charging periods

  • Usually, providers charge per employee. However, if they do this in brackets and on a monthly basis, you may be charged over the odds if you go through staff fluctuations (for example through seasonal workers). In these cases, you may want to negotiate an average annual fee instead.

• User platform

  • This is the functionality that enables your staff to book holiday themselves and also access their own records to make changes to their address, etc. We found it invaluable, but you might want to consider how tech savy your workforce is before implementing this functionality.

• Cloud-based v download

  • Check your own IT capabilities if you’re opting for a system that isn’t cloud-based. You will need appropriate storage space, back-ups, security and IT support in case things go wrong.

How to pick?

Look for providers through your search engine and start contacting them for a demonstration.

Most providers will want you to have a chat with a sales representative first, so prepare to invest a bit of time.

Demonstrations are usually held via Teams or Zoom and include a standard run-through of the whole system in approximately 15-20 minutes. You’ll be dazzled by functionality so make sure you prepare a list of ‘must have’ ones you can’t do without and questions you have.

Following your demonstration, many providers offer trial access - do ask for that! It gives you the option to upload a fictional employee and get a feel for how managing through the system might work.

At SSG, we have partnered with HomerunHR!

HomerunHR can provide you with a basic system option or one that lets you manage your recruitment and onboarding, all for a reasonable cost, invoiced on a monthly basis and fairly calculated on the number of employees you have on board at the time.

If you would like to give Homerun a try, please contact our team who can set up an appointment.