skip to Main Content
5 Trendy Ways Your Business Will Benefit From Digitizing HR

5 Trendy Ways Your Business Will Benefit From Digitizing HR


LinkedIn’s 2017 Global Staffing Trends report stated that staffing and recruiting leaders around the world were focusing on growing business this year. Fifty-three percent of them expected their budgets to increase.

As companies plan to grow, the digitization of HR is becoming even more prevalent. Large companies like BP, are trading in their legacy systems and opting for fully automated, digital platforms to manage their HR and payroll services.

With the advent of the human capital management (HCM) movement, it’s no surprise that automation and digitization are moving to the forefront of HCM technology.

What is Human Capital Management?

Human capital management is an approach to people resource management. The approach is built on the idea that employees are assets. Assets who offer skills and value you can measure and enhance.

HCM technology provides the tools necessary to do just that. And it does it throughout workforce acquisition, workforce management and workforce optimization.

Business is all about discovering and responding to trends, and HCM is a trend you don’t want to miss. Here are five ways your business will benefit from digitizing your human resources department using human capital management technology.


The role of HR is moving away from an administrative one to that of a more strategic, leadership-oriented nature.

It’s an idea that we’re hearing a lot lately. And, it’s absolutely true. Your HR department no longer has to deal in “what if” scenarios. Thus, they’re becoming more involved in critical decision making processes.

They have HCM technology to thank for that. The SaaS-based solution puts big data, collaborative dashboards, accessible analytics and substantiated insights in the hands of your HR team. This gives them the ability to provide educated recommendations to improve top-line performance.

Now, HR can track and monitor payroll processing, benefits administration, HR resource management and labor law compliance all in one place. And, they can make sense of what they’re tracking through powerful analytics and reporting tools that provide increased data accuracy.

HR Empowerment Put into Perspective

Here’s an example of how HCM technology can empower your HR department to make data-backed decisions:

You’re heading into your busy season and you’ve started to realize you might be bit short-staffed. You call a management meeting to discuss what to do about it. Luckily, your HR manager is there prepared with data on turnover percentage and call-off rates.

That information, coupled with operations’ data on productivity per individual, helps you pinpoint exactly how many more employees you’ll need to hire and in which departments. So, you don’t have to worry about wasting time or money on unnecessary onboarding.

This data didn’t just come out the blue. Nor did it come from hours of manual reporting and tracking. It came from an automated, easy to digest dashboard of reports, thanks to your HCM technology.

HCM Technology Empowerment Tip

If you aren’t already giving HR a seat at the management table, you should be. Either way, human resources should be an integral part of your everyday operations. A service that brings HR and payroll together in unified HCM technology will help get you there.


There’s a lot of debate over whether HR should be centralized or decentralized. The fact is that decentralizing your HR department creates a more nimble HR team. In other words, they can do more with less – become more efficient.

Ultimately, that’s because of one reason: saved time. Automated reporting and analytics tools are only one way your HR team will save time. The other is decentralization.

HCM technology aids in decentralization mainly by offering self-service options that give more power to your employees.

Features like self-service PTO management, job and salary history tracking and benefits administration dissolve the need for many traditional HR tasks. So, your HR team has more time to make sense of all the data they’re analyzing and can turn it into actionable results.

The result: HR knows who they need to hire and has the time they need to do it right.

The result:

HR knows who they need to hire and has the time they need to do it right.

Defining the Benefits of Decentralization

Your HR team is receiving emails, calls and drop-ins from employees who want to know how much PTO time they have available and when they can use it. Meanwhile, HR is also trying to interview, hire and train quality talent to fill the gaps.

You already know that HCM technology can solve one issue: determining how many employees you need to hire. But, how is your HR team going to handle building out your team appropriately when they’re so preoccupied with PTO requests?

The answer is decentralization of HR tasks through self-service options. If your employees have access to the info they need, when they want it, you HR team will have more time to do the things that really matter.

One particularly handy option is self-service employee onboarding. HCM technology streamlines the process with automatic notifications and features that allow you to customize templates and create layers of approval.

HCM Technology Decentralization Tip

When searching for the right HCM technology for your business, look for a system that is easily integrated into your employees’ work lives so they don’t feel like HR work is being forced on them. When implemented properly, they should feel like it’s natural extension of their role.


A major trend in 2015 and 2016 was the abolition of annual performance reviews. Companies like GE and Netflix decided to scrap the archaic form of performance management that business relied on for decades.

It turns out, that might not have been the best move. Employees’ performance and engagement rates dropped as a result.

Why didn’t the removal of such a hated practice garner the positive results everyone was hoping for? That’s because companies need to provide a strong replacement to make a transition successful.

Employers are starting to realize that it wasn’t the reviews themselves that employees hated so much. In fact, employees these days – especially millennials – look to their managers as mentors and leaders more than ever. They want feedback from them, but they want it to be useful and ongoing.

The bottom line, is your business’s operational practices have to evolve with your employees’ needs. They have to integrate with their everyday lives.

With a cloud-based solution, you can tailor your payroll services to your employee’s needs. You’ll provide the flexibility and portability they want.

Allowing them to access the service through a single data entry point across all devices (including tablets and mobile devices) will help you quickly and easily engage your workforce and communicate information.

No matter where you employees are located, they can access their personal data, benefits information, PTO requests and payroll whenever they need to. Not only does that increase their engagement, but it also relieves HR from time-consuming data management.

What Drives Employee Engagement?

Employee EngagementA study by MSW Research Dale Carnegie Training lists three employee engagement drivers. (1) An employee’s relationship with immediate supervisors. (2) An employee’s pride in working for a company. And, (3) an employee’s belief in senior leadership.

With customizable performance reviews, streamlined onboarding processes and self-service HR management, employees have more opportunities than ever to become more engaged.

Employees maintain a strong relationship with their supervisors thanks to HCM tools that improve communication. HCM tools also help them feel connected with the company and it’ culture, fostering greater pride. And finally, the HCM technology improves efficiency overall, building your employees’ trust of the management process.

HCM Technology Engagement Tip

Go one step further than offering payroll and benefits services through your HCM technology. Find a solution that offers native, completely customizable employee performance reviews. This way you can manage performance by providing your employees with the feedback they’re looking for in a manner that is convenient to them.


A recent Fieldglass study states that nontraditional workers are expected to grow by 14% within the next year. That means businesses will hire more independent, freelance, contract, part-time and remote workers.

That also means your business must update its workforce management, acquisition and optimization to meet those changing standards.

There are so many facets to human capital management that differ between traditional and nontraditional workers. Employee onboarding, time and attendance tracking, and benefits administration are the obvious culprits.

But, even more important is the variances in tax compliance and labor laws.

HCM technology software helps you stay ahead of the curve. The SaaS-based technology stays current in tax and labor laws in order to facilitate compliance.

How HCM Produces Scalability in Real Life

Here’s an example of how HCM technology creates scalability within your business operations:

You’re in the midst of planning a big project that’s sure to increase awareness and drive sales. Except, you don’t have the talent resources available at hand.

You’ve never tried hiring contractors before, but you have a few business friends who had positive experiences. The only thing holding you back is your uncertainty of how it all works. So, you talk to your HR team.

They don’t know much about the process either, so they’ll have to do some research. They’ll also have to put together a unique onboarding process for these remote workers and create a virtual training procedure.

It starts to sound like too much work and maybe even too much risk. With HCM technology it’s not. Thanks to tools like integrated tax and labor law compliance, customizable onboarding and time and attendance management, you don’t have to miss out on opportunities that will grow your business.

HCM Technology Scalability Tip

You’re reading about digitizing your business, because you want it to grow. But, it’s important that you have taken the steps to ensure that your technology will grow with you. Find a solution that lets you pick and choose which services you need now and hold off on the rest until you’re ready.


With your payroll services, employee benefits services and HR management all rolled into one digital platform, you’ll save time. And, as everyone knows: save time and you’ll save money.

Among the many reasons to use HCM technology, the costs savings is probably the biggest. As we’ve stated before, HCM provides solid savings:

It returns an average of $9.13 for each $1.00 spent. Initial implementation of the cloud-based solutions can cost up to 79 percent less than on-premise solutions. And, you can save up to 90 percent on ongoing maintenance.

How does HCM technology cut your HR and payroll costs?

First, let’s talk about implementation. Since HCM technology is a cloud-based product, it’s easily integrated into your current systems. And, it’s user-friendly, which means that your HR team can manage the process, reducing the need for IT support.

Secondly, the maintenance required is almost nonexistent. Being cloud-based, the technology’s architecture is structured for multi-tenancy. This means it can run multiple instances of its application on separate instances of a database. Simply put, updates can be made remotely without interrupting users. Also, user groups can be set with specific privilege parameters.

And of course, as we’ve mentioned, many of the traditional payroll and HR tasks handled by your HR department will become redundant – thus unnecessary – with the introduction of self-service options.

Software As A Service


Maybe your HR department is kicking it old school still with filing cabinets full of paper documents. Or, perhaps you’ve got some sort of hodge-podge, Frankenstein mashup with a few random online services here and there.

Either way, digitizing your HR and payroll tasks is easy to do when you have an all-in-one, simple, yet powerful tool.

So, what are you waiting for? Take the plunge and go digital. Your business will benefit from an empowered, yet decentralized HR department, increased employee engagement, scalability of operations and lower costs.

Before you get started, make sure to consult the experts. Speak with payroll and HCM experts to learn how to make the change as efficiently as possible. Many HCM technology services have support on hand to help you through the process. And, don’t forget about your own HR team.

Build a plan together that will help launch your business’s human capital management into the new digital trend.

Call Now
Back To Top