Category: Spine Blogs

HRMS is beneficial, without a doubt, but isn’t it expensive?

We’re about to debunk this notion today! You might have heard a lot about how HRMS improves the performance of your organisation. But if you dig behind the surface and across the board, an HRM system is also more cost-effective. For better comprehension, We’ve classified the cost affecting factors in 3 heads:

• 

• Direct Cost Cutting:

Since an HR system automates the HR processes that would otherwise be performed manually. Also, it aids in cost reduction. This saves both time and money. These are the ways that an HRMS lowers the costs of the HR process:

– Minimal Staffing

Many crucial HR functions can be automated using HR software. This lessens the need for overstaffing. Of course a business still needs HR Staff to manage the workforce and carry out other important activities. But, the introduction of HRMS does guarantee a decrease in overstaffing. And hence lowering staffing costs.

– Less Office Materials Required

Office supplies include registers, pencils, filing cabinets, and other such small office items. An HRMS automates processes and makes a digital note simultaneously. Hence, the need for office items has significantly decreased. Not to mention that the sector is moving away from paper. Thus investing in HR software may be your first move towards digitization and cost savings in the process.

• Indirect Cost Cutting:

An HRMS is economical in indirect ways besides the direct ones. When you look past the first cost reduction, these advantages become clear. The following are some indirect advantages of an HRMS for your company:

– Streamlining the Process

It has been demonstrated that an HR system can improve productivity. This is because it assists managers and employees in avoiding roadblocks. This guarantees improved output and fewer interruptions. Which then improves organisational performance as a whole.

– Optimum Utilisation of Resources

By automating numerous other activities, an HRMS enables the manager to concentrate on planning. This helps them to organise the process and guarantee the best possible use of the available resources. This minimises both time and resource waste while also lowering resource costs.

– Other Labour Costs

The use of human resource software also lowers labour expenses. As staffing for jobs like petty cash manager and similar positions is not required anymore. The need for these “extra labour costs” can be removed if these tasks are automated via HRMS.

• Better HCM

A firm benefits from a positive work environment in addition to just lowering costs. As it assists the company increase productivity and maintain stronger relationships with staff. An employee that is content and happy with their job will work harder and end up being a better asset. Here are some ways an HRMS can aid in better managing your human capital:

– Increased Workforce Engagement

Engaging in person with employees and allowing them to speak their minds is one approach to improve relationships with them. Employees can express their opinions on the discussion board using HRMS and feel satisfied. You can track development more precisely when there is higher employee engagement.

– Enhanced Retention of Employees

A high employee retention rate demonstrates how well you treat your staff and how happy they are. Maintaining a high staff retention rate is crucial because it boosts your company’s reputation.

In conclusion, implementing HR software improves organisational performance while also being more cost-effective. An HR software can assist you in reducing expenses and enhancing organisational performance in many  ways.

Your HR processes can be automated with the help of Spine HR Suite, a fantastic HR partner that won’t break the bank. You can read how HRMS benefits your organisation’s performance? if you’re still unsure about it.

Huge workforce? Too many unfinished tasks? Year end blues? Don’t worry; HRMS will save the day

The need for HRMS in smaller organisations is covered in a previous blog. Now, it is the time to explore why an HRM system is essential in larger organisations. Regardless of the staff size, an HR software always provides you with reliable and efficient performance and report data. Regardless of whether the organisation has 1000 employees or more than 5000. The elements that make HRMS essential in sizable organisations are outlined below:

– Huge Employee Count

It goes without saying that larger organisations have more employees than smaller ones. The number of employees may be between a thousand and 5,000 or more. A large workforce necessitates better and more effective management. The old, manual method of managing the workforce is excellent, but it has a lot of drawbacks. On the other side, HRMS automates the time-consuming procedures and frees up managers to concentrate on raising production.

– Tracking Individual Performance 

The complexity of monitoring and managing performance also grows as the number of staff rises. By implementing an HR System, the employer is guaranteed to have access to growth statistics, performance metrics, and the overall productivity snapshot at their fingertips, whenever and wherever they need it.

– Leaves & Substitution

When you can designate stand-ins for the staff on vacation, why skip a day’s worth of work? Using an HCM software makes it simple to track, communicate, and assign substitutes for the day. Because every day has an impact on the company’s performance, keeping track of this data is essential. Additionally, a large workforce makes it more difficult for the management to interact with the worker who is designated as the replacement. This issue is addressed by HRMS by informing the designated replacement in advance.

– Payroll Automation

Month endings are the worst, let’s face it! HR’s responsibility for workforce management is hampered by cumbersome chores. Chores like attendance, leave and arrears calculation, salary calculation, etc.

With an HRMS in place, computations and payments can be fully automated. This frees up HR to focus on workforce management and maintaining a positive, goal-oriented workplace environment.

– Scheduling Resources

Let’s face it: a larger staff makes direct communication more challenging and increases the likelihood of miscommunication. It takes work to assign the right tasks to the right resources. It’s possible for a manager to overlook something in communication or for it to get lost throughout the hierarchy’s layers. The employee can view the work allocated to them on the portal directly thanks to HRMS. Without the chance of confusion or misunderstanding, the Manager can give assignments directly. It is safe to say that confusion is never a possibility while using HR software.

– Overall Efficiency

If automation is implemented properly, it increases productivity. And with Spine HR Suite, productivity can be maximised. You can depend on the entire effectiveness of Spine HR Suite to meet your expectations for an HRMS.

In conclusion, Yes, an HRMS is absolutely necessary for efficiency in bigger organisations. And if you are looking for an HRMS which ticks all the 7 boxes above- Spine HR Suite is the software for you! You can learn more about Spine HR Suite here.

 

The Human Resource Department is being automated at a very fast rate.

Automation here, not only implies pacing things up but also increasing their efficiency. All this while maintaining the decorum of the office and making everyone’s lives easier.

How is automation going to revolutionise HR? Here are the 5 most popular Auto-HR Trends which boost an organisation’s efficiency:

1. Chat bots

Chatbots are intelligent software agents. They interact with users in a human-like way. And they assist them in finding solutions to their issues and to their inquiries. Chatbots can frequently take the place of needing to talk with a human agent. IBM claims that chatbots can automatically respond to up to 80% of consumers’ typical questions. Chat bots elevate the independency of employees while maintaining transparency and confidentiality. A chat bot has become a necessity in every HR Software. Spine HR Suite’s Spina is one of the most refined and intelligent chat bots in the HR Industry currently.

 

2. Artificial Intelligence

A key component of HR automation is artificial intelligence. Including its subfields like machine learning. The main objective of artificial intelligence is to have computers think. It makes them think, act, or behave like people by simulating human intellect. All the other trends on this list are categorised under AI. Artificial Intelligence helps in every sector of HR. It boosts the efficiency of each process and even tracking employees is made easier.

 

3. Machine Learning

Mobile-friendly applications that may collect and share instant feedback are made available to HR employees using machine learning. The quality of feedback can be improved by using machine learning to find themes and recurrent problems in employee surveys. Machine learning goes hand in hand with Artificial Intelligence. Machine learning helps regularise attendance marking and employee leaves. Alongside this, there are many more uses and potential uses in the domain of human resources as well.

 

4. Intelligent Learning Platforms

Intelligent Learning Platform is a combination of learning objectives, recommendations, automation, and analytics. It helps in delivering a smarter, more individualised learning experience. This then encourages skill mastery and higher learning outcomes, an . In simple words, An ILP helps in continuous employee assessment. Which helps in employees’ skill building. Intelligent Learning Technology also helps in your payroll processing and recruitment as the software learns your preferences and gives you recommendations.

5. Outsourced Recruitment

Talking about recruitment, the quickest and the easiest way of recruitment is outsourcing. And outsourcing here, does not imply a complete handover to a third party. Recruitment Outsourcing tools like resume parser, Applicant Tracking System, etc. come into play here.

 

In conclusion, HR tech is moving towards automation with great velocity. It would not be wrong if one said traditional HR would be called “Antique” a few years from now.

If you are looking for a tool with loads of automated features, Spine HR Suite is the one stop solution for you! You can learn more about Spine Technologies here.

 

“It is easier for a small organisation to process payroll manually.”

Many people think this and waver away from the idea of getting a payroll software. But there are many caveats to manual payroll which they are not aware of. In this blog, we are going to talk about these drawbacks.

– Calculation

Keeping this very straightforward, calculation of salaries is a nightmare. Especially when you have to do it manually. Calculation of arrears, taxation, work hours and tallying attendance reports can get hectic. Sometimes even annoying. Being a growing organisation, you would not want to put your employees under such pressure. Immense workload is not good for employee wellbeing. On the flipside, implementation of an HRMS makes things much more easier. Spine HR Suite’s payroll module imports data from attendance and calculates the gross salary. You can then link it with the leave module. Input your tax compliances and get the Net Salary.

– Data Sources

Talking about manual payroll processing, there are usually more than one sources of data. Attendance sheet from one place, leaves from another and timesheet if you keep an hourly track. You would need information from several softwares and registers. But an HRMS, being integrated, will provide you with the necessary data. For example, Attendance when linked with payroll would transfer data from one module to another seamlessly. This would drop the hurdle of many data sources.

– Data Tracking

“Appropriate information from many registers to make a track in one more.” Manual payroll process can be summarised with this single statement. Data tracking becomes arduous when you have so many sources of data. Another challenge in manual payroll processing is reconciliation of data. As you are not very sure of where exactly the data is from, it becomes difficult to correct any errors. But with an HRMS, you always have a proper, defined data source. This makes tracking of data much simpler. HRMS lets you store data in your desired format and export it to your preferred accounting software.

– Reports & Analytics

Maintaining reports in manual payroll processing can be gruelling more than often. A report for every individual employee, department, group and the list keeps going on. And even if you manage to make the reports, interpretation becomes an issue. The reports have to be simple and interpretable by everyone who sees them. An HRMS lets you create customised reports. Employee, Department, Branch, Gender, Age group, you name it! Creating reports with Spine HR Suite is as easy as a few clicks.

There are many more benefits that an automated payroll solution like Spine HR Suite offers you. Disbursement of salaries directly in the bank accounts, payslip generation and auto-mailing and letter generation are a few of them.

In conclusion, an automated payroll is much better and economical for a smaller, growing organisation. You can read What is a payroll software and all you need to know about it here. And if you are looking for a payroll service, you would want to read 9 Essential features a payroll must offer here.  

 

A good employee retention rate implies a great company!

Everyone wants good employee retention but very few know what it asks for. If you want to know the secrets of employee retention, this is the blog for you! So without any further discussion, let’s move on to 5 practices that will help you increase employees.

– Healthy Onboarding

Onboarding entails more than merely handing over a new employee’s access card and laptop. According to a 2007 study by consulting firm Wynhurst Group. New workers who go through a systematic onboarding process are 58 percent more likely to stay with the company three years later. Ensure that your workers are provided all of the information they need to accomplish their jobs with greatest efficiency. This would contain information about their job, the organisation’s reporting structure, payroll information and company policies.

– Company Culture

People are the foundation of culture. Putting your vision and aims on your website isn’t enough. Communicate your company’s beliefs, goals, and mission. This makes your employees feel like they’re a part of something worthwhile. Install a truly open-door policy and create a climate where they are free to ask questions, share feedback, and make suggestions. But without fear of being penalised for being honest of course.

– Setting Achievable Targets

This might not sound like much but setting achievable targets work wonders. Setting achievable targets helps you boost employee morale. As the employees feel they are an integral part of the department and have achieved well. In the longer term, maintaining employee wellbeing helps in employee retention as well.

– Mentoring & Training

Employers who invest in their employees’ training and development tend to have more loyal employees. Employees feel valued and motivated when companies provide possibilities for up-skilling and reskilling. Provide a well-defined mentorship programme. Also build staff development plans to keep people invested in the organisation for the long term.

– Proper Hiring

Rather than soloists seeking individual glory, hire people who are willing to work in groups. Clarify team and company goals and foster a collaborative and teamwork culture. Because everyone is different, make sure you hire people who bring valuable synergy to the table. Mark important anniversaries and accomplishments. Even buying a few team lunches can improve morale and teamwork! You might want to read 6 HRMS tools which enhance recruitment efficiency.

In conclusion, employee retention is not as difficult as some people make it seem. It requires participation and two way communication though. And what’s a better way to keep in touch with your employees directly than an HRMS? Spine HR Suite helps you boost retentivity by helping you communicate better. Not on this, it also helps in increasing employee efficiency boosting their productivity. You can learn more about Spine HR Suit here.

Gen Z is simply lazy and does not want to work in office.

Now that is an incorrect statement. Gen Z is not lazy and in fact, according to a research at Indeed, Gen Z have shown more productivity when it comes to technical work. But with regards to the work in the office, Gen Z does seem to hesitate a bit. There are 3 main reasons for this-

• No full-time Office Experience

Change is necessary but not easy to accept. The very first reason Gen Z does not want to work in-office is the mere lack of experience. 82% of Gen Z-ers surveyed by Indeed said they have never worked in an office environment full-time. Of that percentage, nearly all (92%) also said they feel like they are missing out on traditional workplace experiences. And 85% said they worry that they are at a disadvantage. A disadvantage which comes in learning professional “soft skills” due to never working in a more traditional full-time role. Nearly 87% of these 82% Gen Z-ers also said that they will switch jobs if given an option of remote working somewhere else.

• Demand for Flexibility

Offering flexibility, among other benefits, can help companies recruit and retain young people. According to Indeed’s May 2022 survey, 95 percent of Gen Z-ers are thinking and 78 percent are actively seeking for a job that allows them to work from home. In the opinion of these Gen Z-ers, the pros of work from home outweigh its cons. In fact, most young people have started their professional career after the lockdown. Amidst the lockdown, people have grown comfortable working from home. And due to this, it has become difficult for Gen Z who have started their career with WFH to switch to the traditional method.

• Lack of Soft Skills

As mentioned above, Gen Z has started its career in the lockdown. It was extremely difficult for them to get professional “soft skill” training. Helping your employees learn “Soft skills” also helps in maintaining a healthy wellbeing. Here are some things you can practise to improve and hone your soft skills:

– Practice reflective listening

– Respectfully develop relationships

– Adopt practices that encourage inclusivity

– Do your part to contribute to a kind working environment

– Learn to communicate your needs

 

In conclusion, Gen Z is not lazy but just under aware and scared. Despite their concern more than half of Gen Z -ers surveyed, reported career anxiety. Young professionals don’t appear to be compromising on their values anytime soon. In fact, they want employers whose moral code matches theirs.

 

2022 is already showing signs of recovery for the industry but why are startups slowing down on hiring?

Many have made predictions about the industry recovering from the losses in the past 2 years in 2022. But against these predictions, Startups have boosting layoff rates. In fact, they are also lowering their hiring rates. Why might one ask? Following are the reasons:

– Low Profitability

While many of the firms have been able to generate revenue, they are yet to achieve profitability. Investors have put a lot of pressure on these businesses to show that they are profitable. Companies have been cutting headcount to minimise costs in order to achieve this.

“This slowdown and bout of downsizing does not come as a surprise, since these startups, which were heavily funded, were hiring irrationally last year. This kind of rationalisation was expected from  them. Their hiring intent is bound to slow down and remain so for a while.” said Chandel to HRKatha

– Pressure from Investors

Most startups rely on outside funding to build their businesses. The majority of their finances come from foreign investors. These investors are hit hard by the financial shortage and disruptions brought on by the Ukraine-Russia conflict.

– Slow Growth

This year, substantially backed startups were expected to develop at a significantly faster rate. However, they were unable to reach that expansion. This is one of the reasons for the startup ecosystem’s massive layoffs.

More layoffs are likely in the future, according to an HR professional who works closely with startups to help them expand. And that the recovery from this catastrophe will take around a year. He adds.

As we can see, Startups are slowing down on hiring while being quick at massive layoffs. The major reasons for this catastrophe are listed above. But besides that, one more reason is the inefficiency of the hiring system.

If a company hires unskilled employees it’ll have to spend more on training and this is not efficient for startups. A great solution to this is implementation of a Recruitment System. A Recruitment System provides you with many useful tools to boost recruitment efficiency. Applicant Tracking System (ATS), Resume Parser and Interview Tracking.

A dedicated Recruitment System though, on its own, can be expensive for a startup. Spine HR Suite comes with a Recruitment and Onboarding module. Being Modular makes Spine HR Suite much more affordable than other Recruitment Solutions. Spine HR Suite also offers other modules like Payroll, Attendance and Timesheet. This means as the organisation grows you can add modules and build a full-fledged HRMS. You can learn more about Spine HR Suite here.

 

“Fixed Assets can be tracked manually, there’s no need for a software.”

If you think so, here’s a shocker- you are wrong! There are many things you can’t do manually that you can do with a dedicated software. What are these things? They are listed right here:

• Asset Budgeting

As soon as you realise the need to buy an asset the role of a Fixed Asset Management System starts. Budgeting is the second phase just after planning. Asset budgeting enables you to enter new assets into the budget as efficiently as possible. While still giving the budget coordinator the control to ensure accuracy of asset data entry. An FAMS lets you maintain an automated, on cloud record of your planned and budgeted assets.

• Asset Tracking

The most common problem organisations face while managing fixed assets is tracking them. Be it the life cycle of an asset or the current holder. It is important for an organisation to know where its assets are. The most effective way of tracking assets is implementation of  Fixed Asset Management System. There are various ways of tracking fixed assets but the most popular way is to assign them a barcode/ QR code or an RFID tag. This makes tracking of assets way more convenient.

• Bar Code Scanning

Spine Assets lets you create custom Barcodes and QR Codes for your assets. You can also attach RFID Tags to your assets for tracking. With the tags and codes in pace, tracking assets becomes much easier.

• IT Asset Management

 IT Assets are often neglected as they fall between the long term fixed assets and short term inventory in terms of durability.  But if looked at from a different perspective, IT Assets are the core of an organisation. Be it laptops, desktops or just anti-virus software, IT Assets need to be tracked and managed like actual fixed assets. Here are 4 ways in which a Good FAMS will help you manage your IT Assets:

– Service Reminders

– Expiry and Renewal Notifications

– Hardware Tracking

– Asset Allocation

You can read about this in detail by clicking here.

• Depreciation Calculator

Calculation of depreciation is a nightmare, don’t we all agree on this? According to what schedule the depreciation is to be calculated? Quick and Automated calculation of depreciation ensures that the depreciation reports are accurate. An FAMS truly converts depreciation nightmares into sweet dreams!

• Asset Bundling

With a Fixed Asset Management System which allows barcode labelling you can Bundle assets and its components together for faster identification of parent and child components and allocate depreciation accordingly. Now what exactly does “Asset Bundling” here refer to? It refers to creating a parent asset category under which you can then add child assets. In simple words you can create a hierarchy of assets and categorise them.

In conclusion, a Fixed Asset Management System is said to be good if it has these 6 features:

– Asset Budgeting

– Asset Tracking

– Bar Code Scanning

– IT Asset Management

– Depreciation Calculator

– Asset Bundling

 

If you are looking for one such FAMS, you do not need to go any further! Spine Assets is the one stop solution for managing and tracking fixed assets. You can learn more about Spine Assets here.

“Why outsource HR? It is the simplest role in an organisation.”

Well, if you thought so, you wou;d be absolutely incorrect. The Human Resources department of an organisation has an array of tasks to perform. Not only this, they have to ensure employee wellbeing and DEI as well. 

HR Outsourcing does not necessarily mean giving away all your HR Responsibility to a third party. Implementation of a HRMS could also be counted as HR Outsourcing. Not only is it more cost effective but it also helps you maintain more confidentiality. But returning back to if HR outsourcing is worth it in 2022. It is question for you to answer, but before that, here are 5 benefits of HR Outsourcing:

– Cost-efficiency

A well-functioning HR department demands greater office space and well-trained employees. Instead of recruiting professionals and increasing staff, many small and medium-sized firms consider outsourcing their HR services. You can drop overhead expenditures after HR services are outsourced. Furthermore, outsourcing fees are flexible. Which means they can vary depending on your business needs.

– Flexibility

One of the main reasons for outsourcing HR is to ensure that the HR department runs well. For example, if your company is facing a surge of information, you may always outsource your HR services to meet the urgent needs. This also allows your business to continue operating like normal. Flexibility is without a doubt a significant advantage of HR outsourcing that should not be underestimated.

– Risk Management

HR outsourcing aids in the reduction of company risks. Most regulations and services are modified on a regular basis. Which makes it difficult for businesses to stay updated with the latest trends. HR specialists at outsourcing companies stay up to date on the latest rules and services. Furthermore, when HR functions are outsourced, businesses can always count on uninterrupted support. In a nutshell, outsourcing HR services gives you access to a pool of talent that is up to date on market trends.

– Organisational Performance Management

Businesses outsource HR activities because it improves the efficiency of their HR departments. Significant HR functions including payroll and employee management can be streamlined by outsourcing HR services. Companies that outsource HR services have more time to concentrate on earnings and other essential company activities.

– Employee Performance Management

Employee growth follows the growth of the organisation. When compared to a setup where these things are handled internally, the overall quality and speed to deliver often improves when you have an HR services provider. Employee performance is frequently monitored by outsourcing organisations, who also assist with training. As a result, the in-house managers’ administrative workload is reduced.

In conclusion, HR Outsourcing is in fact beneficial. It is very well deserving of the hype it receives, even in 2022. 

If you are planning to implement an HR Software, you must check out Spine HR Suite. With 18 different modules and a scalable product, it is the HR Solution for any organisation. You can learn more about Spine HR Suite here.

It is the duty of the HR to maintain Diversity, Equity and Inclusion in their organisation.

Ensuring DEI in this era, when people are aware and awake is a must. But what is DEI you might ask. A simple description of DEI can be given as-

DEI stands for diversity, equity and inclusion. Diversity is the presence of differences within a given setting. Equity is the process of ensuring that processes and programs are impartial, fair and provide equal possible outcomes for every individual. Inclusion is the practice of ensuring that people feel a sense of belonging in the workplace.

If we were to explain Diversity, Equity and Inclusion in detail, It would be more like-

– Diversity

Diversity refers to the presence of differences within a specific situation. Differences in colour, ethnicity, gender, gender identity, sexual orientation, age, and financial level can all be problematic in the workplace. 

– Equity

Equity refers to the act of ensuring that systems and programmes are unbiased, fair, and give equal opportunities for all people. 

– Inclusion

Inclusion is the technique of ensuring that everybody in the workplace feels like they belong. This means that when it comes to expressing their real selves, every employee feels at ease and encouraged by the firm.

Okay now that we know what DEI means, we must discuss why it matters?

Diversity, equity, and inclusion must take center stage if industry is to truly be a place where innovation and invention thrive. Despite having a history of injustice that has suppressed underrepresented groups in the workplace. Employers must engage to generate significant change. DEI is an ideology that values different perspectives and prioritises employee well-being. Companies must develop programmes and activities that actively make their offices more diverse, equitable, and inclusive spaces to bring those principles to life.

In conclusion, DEI is not to be overlooked. Many organisations, even today, don’t think that DEI holds a special place. But a prosperous organisation is very well aware of the benefits of DEI.