Want a paperless HR department? Cloud-based HRMS can help

Sep 29, 2020 5:48:15 PM

Transition to a paperless HR

“The predictions that we’d have paperless offices were right, just premature by several decades,” ascertained Bill Gates long back which runs true across organizations today. Businesses have realized that paper is a cost-intensive and inefficient way to manage data.

A 2015 survey by the Society of Human Resource Management (SHRM) says that 77% of HR departments have adapted to paperless management. HR Managers also noted a reduction in time spent on administrative activities by 35% leaving them with more bandwidth for business initiatives. 

The move to dispense with paper-based operations comes after the need for enhanced operability in Human Resource departments. The time-consuming process of storing data in bundles of paper doesn’t only affect productivity and efficiency but also data security. 

The primary reason why companies today are opting for paperless HR is the increased storage efficiency. With ever-evolving HR strategies, it is only prudent to accommodate data where it can be accessed seamlessly. 

And it doesn’t stop there. The buzzword for corporations the world over is to reduce their paper consumption. The United States cuts down about 68 million trees each year to produce paper. That figure is enough to say no to paper. 

If you want a self-serviced HRM that is accessible from anywhere then Cloud-based Human Resource Management Software is what you should settle for. Read on to know more. 

Why build a paperless HR department? 

Integration is a key advantage: With cloud HRMS in place, there’s no need to fret about fixing technical glitches that may happen in your server. With more companies seeking paperless solutions, cloud HRMS providers are leaving no stone unturned in giving the best experience by synergizing both applications and systems. 

Efficient and improved workflow: Now, who doesn’t want that? With automated controls and alerts, it saves HR professionals from going round in circles. From details on new hire onboarding, payroll management, appraisal review system to updating information, working in a paperless environment comes as a breather for the entire HR department saving its time and increasing productivity. 

Environmentally conscious: It’s not only a CSR strategy but need of the hour for all of us, as individuals. And, going paperless is an obvious move in the direction. Top companies are going green and reducing the carbon footprint by implementing cloud computing systems. Apart from being collaborative, transparent, accessible, the digital or cloud-based setup has turned out to be an eco-conservative solution. 

More space, less waste: Eliminating paper means cutting down on waste and saving more office space. That means cutting down on costs too. Did you know an estimated 15% of an organization’s revenue is spent on managing papers? You clearly don’t need that! Take your pick: keeping track of a stack of paper or working with data compiled on cloud application.

Also Read: Unlocking business success with a custom HRM software

Before you go paperless…

Making a switch to paperless Human Resources may involve a little more effort than you thought. Here are a few areas you need to assess and revisit before you take the plunge to a paperless environment. 

  • Encourage and prepare employees for change. Set up goals and targets for your HR team with a reward system to motivate members to adapt to a new system. Make your employees aware of the benefits of stepping into a new world of digital HR management.
  • Compliance is one area that might push people to have a second thought about transitioning to a cloud HRMS. Many HR personnel are wary of accidentally leaking data and may think the paper is more secure. Make them understand the risk your company faces at the loss of all information on paper. HRMS on the other hand comes with encryption and password protection. 
  • Chart a roadmap before you enter or transfer files to the digital system. Allocate tasks accordingly among the team members. Decide how to categorize files and folders. For instance, would you segregate files starting with the first or last name of employees? Identify records to keep and the ones you wish to discard. 
  • The next step is to find an HRMS ideal for your organization. The HR management software marketplace is crowded with off-the-shelf systems. Here, you decide whether to build or buy a system that suits your HR needs along with the budget.
  • Once that is done, train your team with the software management system. Getting accustomed to new software is crucial for all members of the HR department and other employees to produce optimum results. You can introduce the new software by planning demo videos for each department while also getting employee feedback.
  • Now, comes the task to transfer documents to the software. Assess the number of backlogs and the new files. Start with the new files and then take on the old ones. You don’t want to mix the two. Sort out the files into sections and make sure to upload them properly before you discard the hard copies. 

Benefits of being on the Cloud 

If you are not operating on a cloud-based HR Management system, then you’re missing out on a lot. Of course, you have transformed your organization by venturing into the digital HR management tool. But why limit yourself to that? Here are the advantages of a cloud-based HRMS that you need to know: 

-Centralized management from any device, anywhere, and anytime.

-Automate workflow by streamlining daily tasks across departments. 

-Improved consistency and compliance with analytics and metrics. 

-Scale up or down your business needs without extensions. 

-Seamless integration with other software and applications.

-Auto-updates for the best performance and experience. 

-Personalized information leads to employee satisfaction. 

Also Read: The correlation between productivity and custom HRM software

Finally

For HR departments, cross-functionality across departments is of utmost importance. Handling different processes, be it workforce management, payroll process, leave management, review systems, referrals, and more is a task as it is. And, all of it can't be optimally achieved in a paper-based environment. 

Moreover, the paper doesn’t come with just a burden of weight. In a drastically changing world, companies need to be more aware of their responsibilities towards the environment. Paper costs money, space, efficiency, and the environment. 

Human Resources need a structured, systemized management software that eases their day-to-day functionality while eliminating security issues. If you’re seeking a similar solution, then we are happy to help. Book a free consultation with our experts today. 

Devi Singh

Written by Devi Singh

Content crafter at Daffodil. Eager to bring the latest ideas and developments in technology.