What is an HRMS?

An HRMS (Human Resources Management System) is a set of applications that allows HR teams to digitally manage the employee lifecycle and people processes. This can include recruitment, payroll, HR reporting, performance management, learning & development, and offboarding.

Why HRMS matters in HR

A modern Human Resources Management System will support many facets of HR operations and strategy, including:

• Automating people processes to improve employee experience and generate time-savings for HR
• Digitising key documents and policies to remove the need for paper filing
• Makes key workforce data accessible to HR for strategic reporting, while ensuring robust security
• Provides mobile access for employees, allowing them to submit expenses and book leave on the go

By implementing an HRMS, many organisations see measurable improvements for their HR team and their workforce.

How an HRMS Works

1. Cloud-based: Most HRMS are cloud-based, which provides various benefits around disaster recovery, scalability, and cost-savings.
2. Workflows: Customisations in your HRMS will mean your team can set up event-based triggers for actions to automatically be taken. For example, at the start of each quarter, an automated reminder is sent out to line managers to complete performance reviews.
3. Configurations: The various HRMS on the market will offer different degrees of flexibility, with a basic set-up provided ‘out of the box’ and various configurations made to tailor the system, so it’s just right for your organisation’s needs.

Fundamentally, a HRMS provides a digital solution to centralise HR information and streamline processes. The available customisations, scalability, and complexity will depend on the supplier.

Best Practices For HR Teams

To ensure your team selects the right HRMS and rolls it out effectively, they must:

• Assess the customer service provided by each supplier – this can make all the difference to implementation, upgrades, and any queries you may have.
• Check the supplier’s references, particularly regarding their sector experience. Different industries have different needs and challenges. If a supplier has strong references in your industry, they are more likely to understand your organisation’s unique goals and complexities.
• Develop a change management plan for system roll-out that will make sure employees and managers are trained on the system and prepared for any new processes.

A measured, well-researched approach will support your organisation to select the most suitable HRMS for your organisation, making strong ROI and simple employee adoption more likely.

How XCD Supports Your HRMS Needs

XCD’s All-in-One HR & Payroll Software provides customers across the public, private, and non-profit sectors with a highly configurable single source of truth for their people processes. Founded by an  HR professional and Salesforce expert, the solution was created with the real, daily challenges of people teams in mind, alongside the technical excellence of the Salesforce platform.