Updated: May 19, 2020
Times are more complicated than usual, and you are wondering which employees you want to keep and which ones you do not need. Return on Investment (ROI) pertains to your staff too. Someone must run payroll. If the company’s size is under 200 employees but over 100, HR functions will work efficiently with the right employee and with the right Human Resource Information System (HRIS).
If you have a small business, you may have someone doing your payroll in house or contracted with a payroll company or a CPA firm to do it. The most crucial HR function is making sure staff get paid on time. There are lots of software packages that can help with paying and supporting the staff. The key is knowing what HR tools are optimal to support the team and deciding if a product such as QuickBooks or doing it in the house is all you need? I’m betting that many would rather have someone else do payroll. So, how do you find the “right” payroll product?
There are many payroll companies to select from in the Permian Basin, some are local, and some are worldwide. If the current product utilized has lots of hidden costs, then it is time to move on. If you struggled with the EEOC reports last year, then it is time to move on.
What does the right Human Resource Information System (HRIS) software do? It is where Human Resource Management and technology intersect. An HRIS system provides you online solutions for all data entry, data tracking, and data information needs of Human Resources, payroll, and many accounting functions all in one.
This economy will recover, so make changes now to your processes that rely too heavily on people. You need a website where there is a career tab at the top. When the applicant clicks on your career tab, vacant jobs are listed, with a brief job description that complies with the ADA. The applicant will apply online and sign electronically for various background checks. The applicant applies on their phone, and applications are available in multiple languages.
Potential employees are looking daily on social media job boards, and those job boards push out possible job matches for those “interested” in a job. When they click on one of those job boards, it automatically populates their resume, and that feeds into your applicant tracking software, and voilà, you have a potential employee. Some software can glean out applicants that have none of the desired skills and qualifications and can recommend those that are better choices to interview.
Skipping past the legally correct interview and selection process, how do you onboard the employee efficiently so you can get to the important stuff, like safety training? An HRIS email the new employee before the first day with an offer letter; the employee fills out all the first-day paperwork, enrolls in health insurance, fills out their 401K required information, and completes their tax, and EEOC information, and most of their I9. An excellent HRIS product will provide job descriptions and employee evaluations for supervisors and assist you with future compliance reports. It helps you be compliant with the ACA, ERISA, etc. and saves you time.
It feeds into your time and attendance and payroll. With some human interaction, you finally push that payroll button and the right amount of money deposits into your employees’ bank account or pay cards? Get rid of those paper checks.
Your employee will have one username and one password, and they can look up their time and attendance, their compensation, health insurance, PTO time, and when it is time for open enrollment, all online. Think of the time saved for HR on emails and phone calls with a great HRIS. You will save space by having most of your employee files on the Cloud and not in filing cabinets.
Be careful that you research and buy the right product. If you buy the right system, you will not have hidden costs, and they will be with you throughout the entire step by step implementation. Don’t buy the Cadillac and let it sit on the self. The Chevrolet will work just fine.
There is no quick fix to a problem nor rapid implementation of a great product. “Rome was not built in a day.”
Be flexible about the initial cost because you are saving other hidden fees. Look at 3-5 HRIS vendors and utilize a ranking system for selecting the product(s). If you implement an HRIS, you are doing it to serve your employees better and save you money. Staff is your most expensive cost. Lastly, have a focus group of employees with differing technology skills to select the final product.
If you need help to do all this for you, then give BAM Consulting a call.
I recently led the implementation of the Paycom system for a client of over 100 employees. The execution of the HRIS went as promised. Nothing is 100% perfect, but they answer the phone and answer your questions.