Here’s how cloud-based HRMS is transforming HR operations

The digital revolution has greatly changed the way HR departments operate. Every single HR practice, from recruitment to performance management, has been simplified and automated thanks to cloud-based HR management systems. According to research conducted by People Matters, 70% of surveyed organizations in India have automated more than half of their HR functions. Cloud-based HR management systems in India have empowered employees and increased the efficiency of HR teams. Here are some of the most important HR operations that have been transformed by cloud technology and automation:

• Paperwork

The amount of paperwork that is involved in HR is tremendous, especially if your organization is large. The room for error is also small because HR documents have to be maintained properly for compliance purposes. With a cloud-based HR management system, manual record-keeping is a thing of the past. HR software digitizes most essential documents, storing them in a centralized location. This ensures transparency and makes the data more accessible. Company policies, the employee handbook, offer letters, and more can be shared to the whole organization effortlessly, and confidential files can be shared with the concerned employees. With the e-sign feature, documents can be authenticated from anywhere within a few minutes. As everything is online and password-protected, data theft and misuse can also be prevented.

• Attendance management

Before the advent of cloud-based attendance management systems, employee attendance was handled manually with spreadsheets and attendance registers. If employees needed any clarification about their attendance, the HR department had to take the time to go through a mountain of documents. A cloud-based attendance management system solves this issue. It automates each aspect of employee attendance management. Employees can record their working hours through both the web and their mobile devices. Most HR software is compatible with biometric systems, eliminating attendance inconsistencies. Employee attendance data can also be stored in a single place.

• Employee empowerment

With cloud-based HR software, employees are empowered to track and maintain their own activities. Before the prevalence of HR software, employees were dependent on the HR department for everything. Now, self-service portals help employees access all their essential information including attendance hours, time off balances, sick days, company policies, insurance documents, and more. This ensures greater transparency and improves employee engagement and satisfaction.

• Performance management

Annual performance reviews can be stressful for employees, and covering a year’s worth of work for every employee can be difficult for managers, too. However, cloud-based HR software has completely streamlined the performance review process. With Key Result Areas (KRAs), competency ratings, skill-set matrices, and 9-box models, your organization’s performance management process will become easier and more efficient. A 360-degree feedback module also allows managers to get insights about an employee’s performance from the whole team, allowing them to make better decisions.

• People analytics

People analytics is becoming the future of the HR sector. According to research conducted by Deloitte, 71% of organizations give high priority to people analytics. Before this development, it might have taken an HR official a lot of time to identify HR issues within the company. This delay would lead to subsequent issues. With people analytics, the insights gathered from employee data can be used to make meaningful and informed decisions. It also leaves less room for error as the decisions are made based on facts and not assumptions. This ultimately improves business performance, employee retention, and employee experience.  

• Training and development

Cloud-based HR software has completely changed the way employees are trained. Before, organizations were dependent on traditional classroom training. Employees had to miss a substantial amount of time off work to participate in courses. A Learning Management System, one of the key features of cloud-based HR software, has streamlined employee training. It supports different learning styles, allowing employees to select the style that is suitable for them. With e-learning, they can train from wherever they are. Also, learners can discuss and debate with their course instructors and fellow learners, improving the efficiency of the course. Tests and assignments can be uploaded online, allowing learners to complete them at their convenience.

Also read:How do I choose the right LMS?

The rise of cloud-based HR software has completely changed the way HR departments function. Every function of an HR department has been streamlined by HR software, creating a better work experience for employees. This better work experience motivates employees to remain loyal to your organization and engaged with their job responsibilities.