To the cloud and beyond: HRMS Leading change with innovation

  • Written Written by Ali Kidwai 06 October 2022 | 4 min read
  • Editor's Note :

    HRMS technologies are playing an increasingly important role in driving innovation and transformation in HR functions.



To the cloud and beyond: HRMS Leading change with innovation

Let's turn the clock back a couple of decades. It was the time when organizations were getting bigger and global, with business conducted across geographies. Growing organizations meant more employees and increasing employee diversity. All of this meant that the HR department was under sheer pressure. Right from payroll and recruitment to maintaining records and appraisals, the HR department spent most of its time keeping employee records manually. All the time wasted by the HR department negatively impacted the organizations. A solution was needed for this issue- enter HRMS, a revolutionary concept that merged HR management and Information Technology.

The Evolving landscape

The Human Resources Management Systems (HRMS)quickly gained popularity among the big organizations, and soon all of them had complex on-premise HRMS setups that automated the HR processes. This gave organizations the time and means to focus more on their most important asset – the employees. Next, companies wanted to make the most of their employees, and likewise, employees soon felt the requirement to be more engaged at the workplace.

All this brought in more and more complex HRMS's with huge data sets. Not surprisingly, these systems required crucial capital investment, a long time to set up and not to mention trained personnel to operate them. This was one of the prime reasons why only the big organizations could afford to have such systems in place.

Are the needs of HR any different for small businesses? Frankly speaking, it is not much different except for scale. Emerging businesses, too, had the exact expectations of their employees and vice versa. But, these businesses don't have an efficient HRMS solution until the Cloud altered the way companies looked at IT systems.

Transformation of HRMS in the Cloud

Given the significance of HR to keeping the companies running effectively and efficiently in the future—and with data and tools to make the right decisions and demonstrate value—HR professionals have become some of the most crucial people in the C-suite. With a sheer understanding of digital technology and the Cloud, they can become essential contributions today to maintain and create a productive workplace using human resources management systems (HRMS) in the Cloud tomorrow.

To align with the organization, HR must transform and modernize. To be an agent of change, HR requires selecting the right HRMS in the Cloud to manage the entire lifecycle of employees. Disparate, on-premises solutions, where essential HR functions such as benefits and payroll are processed in different Human Resource Management Systems, are not integrated with those used for workforce optimization, talent management, and learning. This disconnect hampers ease of use diminishes the user experience and makes data difficult to analyze for valuable insights.

Let's dive in to know some of the reasons to implement cloud-based HRMS.

Real-Time Analytics

HR technology has brought solutions that enhance the manager's capability to access reports for identification of trends and analyzing them in the company– be it leave trends or recruitment trends, or new development opportunities. A full-fledged human resource and management system enables seamless workflows within the organization, eliminating the data redundancy issues. This not only eases employees to manage their database but also gives the HR department an improved insight into the database.

Intelligent Application

Cloud-based HRM uses an AI-first approach. This means that advanced machine learning and data science are combined to help employees and HR professionals to work smarter, hire smarter, adapt smarter and engage smarter. By improving talent management, organizations can offer complete workforce insights and increase operational efficiency, which will benefit organizations.

Improved Employee Engagement

Leveraging on Big Data, Cloud HRM Software can come up with better employee engagement ideas and programs. Efficient employee engagement brings high employee satisfaction, knowledge sharing, interest from new applicants, business agility, and profitability. Thus, leading to improved, better and extended-term employee retention.

Privacy controls and Data Security

By moving your HRMS to Cloud, organizations get multilayered security features, data encryption by default, and state-of-the-art data centres. Cloud platforms offer identity and security management, scalability, availability, and performance by running on best-in-class cloud Infrastructure.

Predictive Analysis

The use of artificial intelligence (AI) in Cloud HRM Software can help with employee assessment, promotion, increment and retention operations. By analyzing the organization's data, AI can predict the employees who may be at risk of disappointment and declining performance curve and address the issues proactively.

Enhanced Recruitment Process

Onboarding and recruitment have always been crucial functions of the HR department. The recruitment process includes a lot of data, right from scheduling interviews, processing resumes, collecting interview feedback, to finally sending out the job offers. The traditional way of all these operations includes working manually, resulting in out-of-sync situations and mix-ups in the recruitment process, which the companies couldn't afford. Cloud-based HRMS solutions can easily avoid such scenarios and make the recruitment process more efficient.

Some core benefits of having Cloud-based HRMS in place

The benefits of the Cloud are numerous. Ease of access and swift implementation are a few advantages, to name a few. HRMS on the Cloud no doubt save a lot of resources and money of the organizations, which is why is it speedily gaining momentum among big and small businesses. Here is a detailed look at the business benefits.

1. Speed: Cloud HRMS guarantees exceptional speed, as many SaaS providers have started focusing on them. HRMS has become more user-friendly, and intuitive and reduces the time and effort in training the employees to use the applications. This caters to the increasing requirements that come with the expansion of companies. The demands need immediate and fast solutions. Requirements such as quick installation and frequent updates can be tackled well, as Cloud HRMS doesn't have installation hassles and ongoing updates are more accessible. Functions such as - Bring Your Own Device (BYOD) or employee self-service can use the portals on HRMS and can be customized according to the company's needs.

2. Self-Service: Instead of spending a great deal of money and time on the implementation of new features, an HRM in the Cloud can assist HR administrators solve their demands with one-click solutions. Self-service tools and add-ons give more power to team administrators so they can turn elements on and off as needed.

3. Integration: A cloud software comes handy when it comes to integrations. It easily integrates system frameworks and helps in the seamless sharing of profitable information. One can use most of the highlights and advantages of a unified cloud-based HR arrangement via coordinating it with different module functions like payroll, timesheet management etc.

4. More Customized: A common misconception is that Cloud HRMS has a set of modules that requires to be used as-is. While that option is available for organizations that need ready and easy-to-use solutions, the fact of the matter is Cloud HRMS is significantly customizable. Right from size to solutions, Cloud HRMS provides everything. Like on-premise HRMS, Cloud HRMS offers a gamut of solutions right from Workforce Management, core HR, and Talent Management to Compensation Management and Learning Management. So, instead of a single implementation with serious limitations as organizations experienced in the past, the Cloud SaaS provides a customized approach that lets HR leaders choose from the features that they demand. The software then becomes customized and adapts as the organization's changes needs.

#5 Reduced Cost: The pay-as-you-go model has proven to be highly beneficial. Scalability is another advantage. Organizations don't need to worry about software hardware investments or licensing fees that on-premise HRMS need. Hence, the financial burden is not a big issues, and the organizations can pay for the features they require or for the storage capacity they demand. Cloud subscriptions tend to an operational category, which lets organizations utilize the money in other significant investments. This makes Cloud HRMS more effective, affordable, and desirable.

Special considerations

Your company's culture is unique—which means you require a recognition system that supports your organization's culture. Likewise, you also require to figure out what clicks with your unique workforce.

Why should organizations adopt Cloud HRMS?

With the emergence of technology in businesses, companies today are more openly embracing technology to be progressive and futuristic. According to a survey, 80% of HRs strongly feel that using HR technology in the workplace has assisted them to improve employee attitude towards the organization. In the present scenario, businesses are inclined to pay more on cloud-based software than on-site and installed software, because cloud-based systems offer access to real-time data from anywhere instantly.

Get highlights at some pointers why do organizations need a cloud-based human resource management system:

Final Thoughts

The present era is full of emerging technologies to discover. Successful companies are leveraging innovative human resources systems to take care of their employees, who can then take care of their customers. Adaptive intelligence and machine learning have not been humanly possible before; they are the underlying drivers for creating a smarter and more enjoyable employee experience.

With seamless integration and a wide array of functionalities, Vega HRMS software ensures that your HRs can manage the operations swiftly by sharing and retrieving data through a centralized platform. Its easy-to-use interface makes it even more desirable for employees to fastly access all the information they need regarding leaves, attendance, salary, payslips, etc. So, what are you waiting for? Go check out this amazing product to drive business value.

About Vega HR

Vega-HR is a powerful tool in the talent war, offering employee rewards, recognition, and pulse recognition. With an engaging platform, it fosters a world-class work culture, providing P2P recognition, social feedback, on-spot recognition, and monetizable incentive solutions with 3000+ coupons in various categories.

Create a Culture People Want to Stick to

  • Send rewards
  • Give shoutouts
  • Build a community
  • Gift experiences
Get a demo
You might also like
employee experiences
Employee Value Proposition for Building a Winning Workforce
Read More
employee experiences
Organizational Makeover: Feedback vs. Feedforward - Which Strategy Will Bring the Most Impact?
Read More
employee experiences
Employee Empowerment in 2024: Towards a Collective Responsibility
Read More