Tag Archives: Business

How to Reap “Business Benefits” from HR Analytics

HR Analytics has become one of the most in demand feature in current times. It is currently being implemented in businesses across the globe. If you intend to grow your business and want a good return on investment, then you should try to use and integrate HR analytics to your business. Let’s have a look at some examples to understand how HR analytics can improve your business and generate more revenues for your company.

Helps in improving hiring decisions within the company

Recruiting is a very challenging process and many employers believe in that. With HR analytics in place, you can easily enhance your hiring processes. You can achieve it by collecting data from previous employees hiring sessions.

Here is an example. Let’s say that you interviewed around 10 candidates in the past to fulfill certain requirements. You found that six out of 10 candidates share similar characters that don’t match your company’s workplace culture. You can utilize this information and update the hiring system to automatically eliminate applicants who describe those same traits for any future vacancy.

It will definitely help in speeding up the recruitment process and provides you quality time to focus on right candidate suiting the requirement.

Easily track training data

It is very important that you have a program to hone existing skills and build new ones for your employees. This is a critical aspect to attract as well as retain the best talent. If you offer very little in the form of trainings, then the attrition rate is going to increase. This will result in lowering down employee’s morale. HR analytics can help in improving employee retention as well as workplace productivity.

Organizing in-house training programs prove that you are interested in helping your employees to reach up to the expected level and perform at best. It also encourages the employees to develop new skill sets.

HR analytics helps identifying the appropriate professional courses for all employees and measuring their progress. It also helps you determining the expenses incurred during the training course.

Once the percentage is detected in terms of number of employees participating in the training session and the money invested, you can easily make out whether it is cost effective for your business.

Identify retention rate

If you have high employee turnover, you must take it as an alert. It is crucial to evaluate the reason behind it. For the proper evaluation, you must analyze various factors, such as company’s culture, structure, remuneration, etc. It will help you gain the internal details like why employees are leaving the company and take immediate actions to decline the attrition rate.

HR analytics is the best way to get the desired data and find out the reason why employees are loyal or why they choose go for another opportunity. There can be many parameters, such as unmatched skillsets, underperformance, compensation issues, etc.

If you conduct regular interview at the time of leaving or staying in the company, you will be able to find out issues within your company that may affect employee’s morale.

With the help of HR analytics, you can save the cost of hiring and training new employees.

Conclusion

You can easily gain lots of benefits from HR analytics. If you gather valuable data by properly using HR analytics, then you have the potential to improve on your company’s expenditures, operations and much more. Do you agree that you can get benefit from HR analytics? Can you think of more use cases, specific to your organization in which HR analytics would help address such issues? We would love to hear about them from you!

Are your HR Goals in Sync with Your Business Plan?

HR has evolved from being just an administrative body. Aligning HR with key business objectives is critical to a company’s success.

We all know that HR is all about people and an organization is what its people are. And yet, most businesses tend to skip aligning the HR with their key business strategies that directly impact the people. When HR goals and business objectives, look in the same direction the teams are likely to be more efficient and effective in achieving the overall organizational goals.

Here is how involving HR with business strategies can help your company grow faster:

Ready Skill Analysis:

Every plan and its execution, requires a certain skill set. With HR aligned to your plans, you get a ready reckoner of your current skill matrix and what all you need. You also get a foresight into how you need to train your current workforce to make them more compatible with your business plans.

Ready Acceptance:

Success of any new plan or related operational change depends on how quickly your people accept and adapt to the change. If HR is aligned with your plans, they can drive change management effectively. HR knows the nerve of the people, and this helps them in communicating the change and its benefits in a lot more effective way. Moreover, they can motivate the teams to leverage the new opportunities that the new plans may bring.

Ready Team:

If employees are connected to company strategy and goals and are acknowledged for high performance, the goals are more easily met. Engaged employees are vital to company productivity. HR can be a key player at the strategy table if it develops performance management goals based on company objectives.

Considerations

HR has a delicate balancing act to develop compensation strategies that balance company finances with employee expectations. If compensation is too low, employees leave for greener pastures. If it is too high, the company income statement can be adversely affected. HR must be included in product development efforts and ensure the right staff is on hand for this function, even if it means paying a premium in the short term for freelance or contract employees with the right skills and experience for the tasks at hand.

Effects

HR departments typically track data on the success of recruitment efforts or how many people received what kind of training. But this is not sufficient. The better metrics are those that establish the long-term links of HR to company success. A more important metric might be how well the company does at retaining key personnel, those who contribute most to the bottom line.

Why work culture is critical to your business success?

Happy employees, mean happy customers. Period. Here’s why a vibrant work culture is essential for your bottom line.

A company is much more than the products and services that it sells. It is also the hard work, dreams, and emotions of all the people who work to make these products and services customer worthy. Employees are the soul of any organization, they are the ones who make it and yet a lot of businesses overlook the need of creating a vibrant work culture.

While many see this as an “intangible” investment, the fact is that an organization that truly invests into building healthy employee relations and atmosphere, also reaps the long term benefits in many ways.

Happy People, Work Better, Stay Longer

A business thrives when its people are happy and excited about what they do. A team that syncs well always performs well. If your team feels connected to the workplace, they will do a lot more (than expected) to meet all milestones and realize dreams that you may have held for long.

People who feel great about their offices, always stay for longer. This is one of the most critical ROI that you can expect from your work culture investment. People who stay longer, understand the business well and play an important role in its growth. Therefore it is essential for a business to ensure that their teams discover happiness in whatever roles they play at work. A business must create opportunities for employees to boost their morale and keep up the excitement in different ways.

The First Impression Matters

The first impact that your company’s culture has on an employee, lasts for long. The process of a good work culture should begin right at the hiring stage. Apart from standard procedures, let the new employees know what values the company drives. Make them feel welcomed and encouraged. Causal chat sessions with oldies, a sneak peak into all the fun activities you do, can make a new joinee feel all the more excited about your organization. Educate them about the importance of the culture that you follow and encourage them to chime in.

The Real Fruit

If you have the right culture in place, a lot of other things naturally fall in the line. People feel motivated about what they do, which means they learn a lot more and grow as professionals. This infuses a sense of achievement all across the board. The experience, the learning, and the happiness, all reflects in the quality of the products and services that you deliver. Which naturally means a happy lineup of clients and happy bottom lines!

With new age technology and work norms coming into place, a lot has changed between the employee and the employer. A far cry from the traditional top down, bureaucratic approach, modern day offices need mechanisms to find the right people and keep them for longer. Investing in building the right work culture is essential for your business growth at large.

Remember that your employees are the best brand ambassadors that you could ever have. If they endorse you well, it is more than half the battle won for your business

What are the mistakes that Start-Ups make?

Start-ups seem to be the flavour of the season. The digital platform has provided so many people to realise their dream of starting their own business. It cannot be credited to just the availability of a digital platform, but also to the number of people who are following their instincts, passion and dreams in a gutsy manner. Start-ups come with huge potential of changing the market scenario, but at the same time they need a helping hand to guide them. This is where software like HRIS, payroll management etc come in to place and help them grow into bigger companies.

Everyone knows that start-ups function in a very different way as compared to a huge corporate. They break the regular rules of work culture, approaching a problem and the like. However, there is one area where a start-up faces constant challenges and cannot compromise with at any stage – Money. Most of the start-ups have limited funds to start with and they cannot risk the investment and not complying with payroll laws can invite some serious legal actions, which may drive them out of business altogether. Thus, start-ups need to tread this road very carefully. These are three of the most common mistakes pointed out by best payroll management software companies in Delhi that start-ups need to avoid making.

1)      Mixing personal and business finances

This is one of the biggest mistakes that the founders of a start up can make. In the initial stages, the founders end up spending on something from their own pockets thinking it would be good for the company. They feel that it doesn’t matter if they are paying the employees and contractors from their personal finances as long as the work is getting done. While it may seem convenient in the initially, but it can lead to dire situations in the long run. There will be no accountability for some expenses and there may be problem during filing taxes. If this is uncovered in some audit, the start-up would be serious trouble. Separate the two and let the payroll software manage the payment details, whether it is paying your employees or some vendors.

2)      Classifying employees as independent contractors

Agreed, the strength of the start-up would be low. That does not mean that one classifies employees as independent contractors. Most founders do it as they would not have to pay taxes, insurance, overtime cost or medical benefits to independent contractors. Handling the finances of the independent contractors seems simpler than the way one has to approach paying the regular employees. It may sound very tempting but misclassifying employees directly call for legal troubles. The best payroll management software companies in Delhi suggest that making a clear demarcation between the regular employees and independent contractors on the software will handle the finances accordingly. If eventually the independent contractors convert into employees, then the change can be accurately and easily done on the payroll software. Just a few edits need to be done with some clicks on the mouse, instead of going the manual way.

3)      Maintaining Payroll records manually

Since the size of the start-up may be small initially, a lot of founders assume that they can maintain the payroll details manually. After all, how difficult can be to track the payment details of a team of under 10? Well, firstly the team will not remain small forever. As the team expands, maintaining the details will get tricky if it’s done manually. Secondly, there may be constant changes in the team and updating the same on the payroll may get really frustrating. Unlike the corporate, the team members will be undertaking a lot of responsibilities at once. The responsibility of maintaining paperwork and manual records is an unnecessary task. Implementing payroll software instead will efficiently handle all these. Lot of time and effort would be saved, which can be utilised into doing better things like devising strategies and growth plans of the start-up.

If you are entrepreneur with a new business under you, then get in touch with HR-One who will help you fine-comb your payroll details. Let payroll software take care of your money and payroll issues, while you can concentrate on other aspects of business to grow and gain a strong foothold in the market.

What are myths about HRMS Software for Small Businesses?

Every other decade, there is new business trend that takes the world by storm. Whether it was the dot com boom or the rise of certain technological developments, global business world experiences new flavours every few years. The current flavour that everyone seems to be lapping up is entrepreneurship. Numerous start-ups are mushrooming in different nooks and corners of the world and each of them come with umpteen possibilities of changing the world. From the outside, their world may look quite fascinating and dreamy, but once you scratch the surface a different picture emerges.

As compared to bigger organizations, small businesses and start-ups have a whole different set of challenges and issues that they need to tackle with. They have tighter pockets, lean margins and unpredictable issues that may crop on a daily basis. Till the time the company finds a steady momentum and a stable pace, it has to come up with innovative techniques to address the range of problems that prove to be speed-bumps along their way. In such a scenario, incorporating software solutions may seem outrageous, especially due to the myths surrounding them. Let us bust some of which surround HRMS.

Myths Surrounding HRMS for Small Businesses

Unfortunately, there are numerous myths surrounding every best online HRMS software solution. These very myths induce a factor of fear in every small business’s owner mind when they are advised to consider them. Let us look at three such myths which prevent many small businesses to keep away from them, when in fact they should be seriously considering when and how to implement such solutions into their businesses.

Myth 1: An HRMS solution is way too expensive for me to afford.

The thumb rule of any small business in its initial stages is to cut down costs wherever possible and invest it in a team who can help build the company. While the thought cannot be faulted, there is serious harm in thinking that a software solution such as HR-One’s HRMS would bring more harm than good! Agreed, there was a time when implementing HRMS was a costly affair and it took a really long time to do that. However, times are changing and now there are various HRMS solutions that cater to the small businesses too. There are different versions available such as basic, followed by stages of higher levels. Select the basic one for starters and update as the company grows. Don’t let ‘expensive’ scare you off as the HRMS market is growing to be multi-dimensional offering different services to businesses of different sizes.

Myth 2: Our team is too small to need HRMS

Yes, your team may be small NOW. But do you really intend to keep the team that small in the future as well? If the answer is a resounding no, then you should seriously consider having HRMS right from the beginning. Gone are the days when only big companies with humongous teams could milk the benefits of the best online HRMS software solution. As a small business, would you rather have a team of people working day in and day out on maintaining the HR data, spreadsheets, reports and other such tasks or would you prefer if HRMS takes care of all that while the same team can work on business strategies and ideas to develop and grow the company! When the team is small, it becomes even more important that they spend their time on something meaningful rather than waste time in churning out reports that HRMS can take care of!

Myth 3: HRMS needs an IT staff to function properly

If you listen carefully, you just might hear a ‘buzzer for the wrong answer’ going off somewhere every time this statement is made. This myth needs to be busted and fast! Many solutions including HR-One’s HRMS solution come under the current generation of the HRMS which offer great flexibility and expertise to the small businesses, while eliminating the need of IT staff completely. The vendors can provide the IT assistance if necessary but most of the tasks can be executed by the existing team due to the simplicity of the design.

Now that the myths are busted, don’t second guess if your small business needs HRMS or not. The answer is yes. So, just go for it!