One of the most difficult and confusing parts of running a business is the management of your employees. Keeping track of payrolls, time off, workloads, etc. can be an overwhelming task, even for the most weathered HR department. Having software that enables them to keep better track of this information is pivotal in the success of any modern business.
It’s for this purpose that software development companies are working to help companies build a human capital management software that works well for them. By implementing an HCMS for your HR department, you’re better preparing your business for success and your employees for productivity. Organizing this information is no small task, but with a human capital management software, it’s possible.
What is a human capital management software
Essentially, an HCMS is a software that works to make the life of an HR department simpler. It can be an overwhelming and complex experience to attempt to keep track of every employee’s information and statistics. An HCMS organizes the information and offers programs that alleviate some of the work from the shoulders of HR. You can set it up so that it completes tasks or sends notifications about when an employee is being overloaded with work. Three of the biggest features found in an HCMS are listed below.
- Payroll management – Each employee has a different payroll, and as your business continues to grow, keeping track of each employee’s payroll can be difficult. HCMS organizes the data and keeps your employee’s time in counted so that their pay accurately reflects their week.
- Vacation time – Taking away an employee’s vacation time, whether on purpose or not, can be damaging to their productivity and happiness. Sometimes, letting an employee go on vacation slips through the cracks. With an HCMS, that information will be provided and slip-ups will be avoided.
- Hiring management – Finding the right employee for the job is a complicated process that demands efficiency and multiple stages. HCMS will post vacancy listings, manage applications, and lead applicants through hiring stages.
Types of HR software
Human Resource Management Software can be broken down into the following three categories. It’s a rather broad term as it is, but these categories function as middlemen that work to perform the tasks of an HR department.
Human Resource Information System (HRIS) – This is the software that manages company personnel. It features hiring management information, onboarding process automation, and payroll management. This is the most complex of the systems featured.
Human Capital Management (HMS) – Within this software, you will find the features that strive to make an employee’s time more efficient. Performance analysis and statistic work to enable HR to help employees work towards career outcomes.
Human Resource Management System (HRMS) – This software focuses on an employees’ payroll and time on/off. This might be the favorite feature of your employees as it allows you to ensure them they will get the time they deserve.