HRIS software for small businesses: Learn to pick the best!

Running a business is no joke.

And if you’re an HRIS software for small businesses or have a small one, then you already might be experiencing sleepless nights.
But have you thought why?

The reason for this is quite simple. When you’re running a small-scale business, you’re focused on making it a success, which is a good thing. The problem is that to make it happen, you’ve to manage all on your own.

Whether it is attendance tracking, payroll processing, performance evaluation, compliance, and whatnot. Doing all these tasks at optimum levels, and that too with limited resources, affects not only your efficiency but also your business.

But what if you come to know that there is an advanced solution that goes beyond this? We’re talking about HRIS, a lifesaver for small business owners.
So, if you also want to know what it is and how you can pick the right one for your business, you’ve come to the right place.

Small business challenges without HRIS software

Before we dive in, let’s take a look at some of the most common challenges small businesses encounter without HRIS software for small business:
Data mismanagement:

Without a human resource information system, employee records and employee information are either scattered across spreadsheets and paper files or stored across multiple tools. This makes access to important data difficult.

Payroll errors:

Relying on manual processes or outdated payroll systems issues impact employee trust and can result in penalties, especially when processing payroll for growing teams.

Limited insights:

Without proper reporting features or analytics, it’s hard to gain insights into HR operations. Small businesses miss opportunities to improve performance management, workforce planning, and compensation management simply because they lack visibility.

Inefficient administration:

Small business owners spend their great deal of time on manual administrative tasks such as payroll processing, attendance, leave, and onboarding. This slows down everything, affecting overall productivity.

HRIS software: Explained

Human Resource Information System, or HRIS, is a cloud-based software built to efficiently manage, maintain, and process detailed employee information and automate core human resources (HR) tasks and processes.

HRMS and HRIS: The difference

You must be wondering why we have suddenly come to discuss this. Most often, two terms are used interchangeably. However, there is a distinction between the two.

Best HR software for small businesses primarily focuses on the administrative and operational core HR functions, such as data management and payroll.
HRMS software includes all HRIS software for small business capabilities, plus additional management and automation features like talent and performance management.

Now that you know what these two are, let’s get back and understand HRIS in detail.

HRIS matters to small businesses: Here’s why

HRIS transforms HR activities by automating different processes. HRs can deal with basic tasks more effectively, cutting down the time expected for manual administrative work. Small businesses can have an enhanced HR process that improves efficiency.

Centralizes the data:

An HRIS provides a single location for all employee information, including personal details, employment history, performance reviews, and compensation information. This eliminates data silos and minimizes human errors.

Makes your business compliant:

An HRIS helps small businesses stay compliant. The system computerizes compliance-related processes by overseeing fundamental records. This shields business owners from the risks of penalties and legal issues.

Real-time reporting:

HRIS software solutions create extensive reports on different HR measurements, employees’ working patterns, and their overall performance. By approaching these, organizations can strategize accordingly in regard to resource distribution, employee management, and business planning.

Key Functioning of Human Resource Information System

• Payroll processing
• Time and attendance
• Smooth onboarding
• Performance management
• Employee self-service
• Compliance management

Apart from centralizing all the data of the employees and the company, the HRIS software for small businesses helps in

Payroll processing:

The system also handles the entire compensation management process, including salary reviews, bonuses, deductions, etc. Some platforms also connect to payroll processing and keep payroll information updated based on time tracking data and benefits information.

Time and attendance:

Small businesses often struggle with employee time and attendance tracking. Manual time tracking and attendance can lead to inefficiency and errors, resulting in compliance and payroll issues.

The unique selling point of an HRIS software for small businesses is that it is not only efficient in tracking employee time and attendance but can also be an effective solution in managing a hybrid and remote workforce. Employee and departmental attendance can be easily tracked by managers, irregular patterns or discrepancies can be established, and reports can be generated for effective workforce management.

Onboarding:

In order for small businesses to thrive, they require a talented workforce that possesses the competencies to perform in their roles. Yet, many small businesses, because of limited resources, still utilize traditional onboarding methods.

HRIS provides a seamless onboarding experience with the least amount of trouble. HRIS collects all the candidates’ information, including their resumes, and tracks their progress following the selection process. Apart from this, it stores the data of unselected candidates in its database for future hiring.

Performance management:

HRIS software also helps small businesses with performance management needs, like goal-setting, self-assessments, and surveys. This saves time and streamlines the process.

Self-service:

It also offers self-service features for staff. This allows employees to access and update their personal information, view pay slips, request time off, and access company policies. By permitting employees to have control over their routine HR undertakings, organizations save time and reduce the HR team’s workload.

Compliance:

Keeping a close eye on the ever-evolving regulatory changes is a challenge for small businesses. The worst is that if they remain unaware of it, they face compliance issues. This can be solved with an HRIS, as it provides updates on regulatory and law changes, so that the business owners remain informed of the changes.

Here’s what you should keep in mind

Evaluate your requirements

Evaluate your current HR operation. Then, start preparing a list of tasks that you believe require automation. This will help you clearly understand your needs from the software.

Consider your budget

Because resources are limited, considering the budget before going for an HRIS management system is essential. Look for a solution that gives you what you need without breaking your bank. Scalability is equally important. Therefore, you should buy a system that is scalable in nature.

Ensure features and functionality

Let’s say you’ve finally found the HRIS software you were looking for. But don’t simply buy it. Take your time and thoroughly go through its features and functionalities, so that you have a clear understanding of whether your selected software is effective enough in meeting your requirements.

Easy-to-use

If the HRIS software is complex to use and you need to spend a great deal of time giving training to your workforce, then there is no point in it. Consider the software that is easy to use for everyone, not just HR professionals. This saves your time and resources from providing training on how to use the software.

Easy integration with the current systems

To serve various functions, small businesses spend a large portion of their budget on various software. Therefore, when implementing new software in the current system, it is necessary to ensure that the integration is smooth and seamless.

Scalability

Scalability is important for businesses. However, if you’re an owner of a HRIS software for small business and using an outdated HRMS software, chances are that it won’t deliver promising results in the long run. You need to ensure that the solution you’re choosing for your business has scalability in its nature, so that you don’t have to look for a new one in the future.

Request for demo

Always request a demo of the HRIS software for small business. This will help you understand how well the system aligns with your business processes.

Superworks is the best HRIS software for small businesses: Here’s why!

• An all-in-one management suite that manages the complete employee life-cycle from hiring to retiring.
• Build for small businesses that also scale when the team begins to grow.
• Easy integration.
• Customizable reporting for data-driven decision making.
• Advanced security features with compliance.

Conclusion

Running a small business HRIS software has its own challenges. On top of that, if you haven’t automated HR tasks, things will slowly and steadily become overwhelming. That’s why having HRIS software for small businesses is the need of the hour, as it makes the entire operation seamless. For small business owners, it’s like having a dedicated HR team without the overhead or micromanaging. If you also want to simplify your HR processes, like attendance, onboarding, compliance, leave, and payroll, this is the best HRMS payroll software in India. Superworks automates and streamlines your HR tasks and improves your efficiency so that you focus more on growing your business. Book a demo today and experience how Superworks can transform the way you manage your team.