Think about it. There are approximately 90,000 companies that have only 100-500 employees total (the source is the U.S. Census Bureau). Throw in the other companies that have up to 2,500 employees, and you jump to over 120,000 companies (approximately). And those companies more than likely have actual HR and talent management teams, albeit smaller than their enterprise brothers and sisters.
Holy cow! That’s over 85 million paid employees to keep track of.
Maybe you’re a part of those HR/talent management teams keeping track of them all. Maybe you’re the HR Director responsible the management of those employee records.
That’s a lot of work. How are you managing that data? Sure, you might have a payroll provider that keeps track of basic employee information needed. And/or you may also be using an Excel spreadsheet, database program and/or another off-the-shelf program to help you manage recruiting and candidate information, employee performance and review information, time tracking, workplace safety information, and many other employee categories that can’t be easily tracked elsewhere.
But do you really need a human resource management system (HRMS)? I’d say yes, but what are your pain points to get there?
Do you even know you have them?
You know the adage – if it ain’t broke, don’t fix it. But if you’re struggling to keep up day to day on compliance and risk issues, and you struggle with efficiency, then at some point you realize this could all be done in a much easier way.
So where to start building the business case internally to move to an HRMS?
First place to start is EFFICIENCY and TIME. Both equate to expense and too much thereof. Your executive management team, of which I hope more and more firms are including you in, must take a look at the workflow processes behind recruiting, hiring, on-boarding, payroll and benefits processing, performance reviewing, and beyond – and quantify and understand the metrics and benchmarks behind the process.
(Kevin W. Grossman, Guest Blogger)