When to Start Thinking About HRIS

In the fast paced world of business today, a small or medium sized business can become a large enterprise practically overnight. If your business is using Excel spreadsheets and manual processes for keeping track of employee data, growth can sometime spell disaster as information gets misplaced and reports go un-filed. Fortunately, there are many signs that your business is getting too large to rely on piece-meal systems and the time to start thinking about HRIS is now.

1. It Is Difficult to Identify Top Performers
In small organizations, it is easy to identify top performers, as the results are plain to see. In larger organizations, there are many employees contributing to results, so it is necessary to rely on reports and statistics to identify top performers. If it is a difficult process to sort through information in order to determine who your top performers are, this is a clear indication that your organization would benefit from an HRIS.

2. There Is No Easy Way to Compile Reports
Reporting is very important for ensuring compliance and making educated business decisions regarding your human resources every day. When there is little information to compile, it is possible to use manual systems and spreadsheets. However, when your organization reaches a point where it is difficult to sift through all of the information in order to glean relevant data, it is time to consider implementing an automated system.

3. Hiring New Employees is a Time Consuming Process
Posting job advertisements, accepting applications, submitting offer letters, and onboarding can be arduous tasks when they are done manually. If you only need to hire a new employee a few times a year, this may not be a problem. However, if you are finding yourself hiring new employees at least once a month, an HRIS can streamline each of these steps of the hiring process and save countless hours and labor dollars.

4. It Is Tough to Compare HR Data to Competitors’ Data
Your HR data can be a valuable tool for gauging the effectiveness and prosperity of your organization against your competitors-if it is easy to get that data together. If it takes hours to gather your pertinent HR information in order to compare it to similar competitor data, an automated HR system may greatly benefit your organization.

5. Identifying Skills Gaps and Training Needs is Difficult
Skills gaps can harm your organization’s productivity and can sour relationships with clients. In small organizations, it is easy to identify skills gaps, because there are only a few employees. However, when an organization reaches a certain point, it is very important to have a streamlined system that charts and tracks employee training so that skills gap can be readily identified and rectified.

6. Delegating Projects to Skilled Employees Takes Time
Along with identifying training needs, tracking training and skills through an HRIS can make it easier for you to see which employees are qualified to take on which tasks. In some systems, it may even be possible to delegate those tasks immediately, using the HRIS. This is a function that can even be useful to smaller organizations, but it becomes ever more necessary as the company grows.

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