HR Information Management Solution

5 Everyday Problems HR Managers Are Sick to Death Of

The business landscape is transforming at a rapid pace today. This has lead to many human resource challenges for employees as well as employers. A study by Pay Scale showed that the percentage of companies who consider employee retention as a problem has risen from 28% in 2011 to 57% in 2014. The changing nature of work and the future workforce is forcing HR managers to understand the future societal, demographic, and technological shifts, and then prepare them accordingly.

HRM is the important function within an organisation that focuses on hiring and management of the human resources in the organisation. It deals with compensation, performance management, organisation development, benefits, employee motivation, employee wellness, and training. Apart from this, it also handles strategic initiatives such as workplace culture and environment.

With rapidly changing business landscape, the role of HR managers is also changing and while the human resource management challenges will continue to evolve, let us looks at the five problems the HR departments have to deal with on a daily basis:

1) Accurate Time Tracking and Analysis

Keeping track of the time in and time out and attendance of each employee is extremely critical to any organisation, no matter how big or small it is. The employees’ payroll is based so even minor errors in reporting them could have adverse effects on their salaries on these factors. While there are many time tracking devices and systems available today, not all the systems provide the required dashboards and analytics to the HR managers. The human resource managers therefore end up spending a lot of time in trying to derive actionable insights through the data. They need to read multiple reports every month before presenting the right analysis and data to the stakeholders. Any discrepancies in the reports and data analysis could lead to noncompliance, employees not being paid properly, and decreased employee morale.

2) Compliance

As per a report by ADP, 52% of midsized companies suffered at least one HR-related incident (complaint, charge or lawsuit) between 2009 and 2011. Following of the laws related to business management, tax administration and employment have to be given top priority by every human resource manager. There is a long list of rules to be followed so it is important that the HR managers stay abreast of the laws that are applicable to their respective businesses and are aware of how breaching they would affect the employee as well as the company. These laws also keep changing with time and they need to keep a constant track of them.

3) Recruitment and Selection of Employees:

Finding the right candidate for every job profile in the company is very important for the overall growth and development of the organisation. Demand for the good talent is always on the high. Because of the global market trends, working professionals have more options than ever. At the same time, selecting the right candidate suitable from the large pool of candidates is equally challenging. Human resource managers receive a large number of applications for every profile. Manual scanning of the profiles and selection of the suitable candidates becomes a time-consuming task. Survey conducted by Business wire stated that 72% of HR professionals say that lack of automation hinders business success. If HR managers are relieved from the day-to-day operational tasks using technology, they will be able to better focus on the more strategic initiatives.

4) Payroll Management

In a recent survey involving human resource practices, more than half the businesses stated that there is a lot of room for improvement in every payroll process. More than 50% of their total budget goes in payroll management. Manual payroll processing puts up a lot of administrative overload on the HR managers. Employee, freelancers, contractors, temporary employees need to treated differently in payroll processing because the benefits defer for each category. Although Payroll processing is a complex task, the HR managers are under pressure to process it well within time – irrespective of the holiday schedules, and that too, without any errors. Delays in payroll processing could cause employee dissatisfaction whereas; errors in the calculations can cause legal troubles. Implementing a simple, easy to use and effective payroll solution can help HR managers in effective payroll processing in less time.

5) Employee Queries and Requests

HR managers need to wear many hats. People being the most crucial assets of the organisation, it is important for the HR managers to ensure that the queries of employees are addressed and resolved in a timely manner. Employees may have queries related to different things such as payroll cycle, the number of yearly leaves, new HR policies, tax deduction, reimbursement of travel expenses, etc. They may even make requests for leaves, encashment of their leaves, request for a change in the team, etc. Every company has that one employee that wants to send in written emails raising complaints about small things. The busy schedule of HR managers does not excuse them from tending to these problems and more often than not, they end up spending a lot of time reverting to these. While it is important to resolve the queries in time, it is not advisable to spend the precious time of HR managers onto that.

So what is the best way for HR managers to overcome these problems? While there is no direct solution, the implementation of software that can automate these processes will bring about a major change. Manual processes such as tracking the number of work hours of employees and ensuring that they receive their salaries on time then need not require checks. This will provide more leeway to HR managers and encourage them to spend more time on strategising and putting together processes that will help the company grow in the long run.

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