Whether you’re a tech company or not, familiarizing yourself with technology is an absolute must in this digital age and HRIS systems are a big part of that requirement today. HRIS or Human Resource Information Systems, are critical aids for the HR team within any given organization. They allow HR professionals to master the roles and become familiar with the nuances of their workforce and its performance, allowing them to become even better at their jobs than ever before. According to Software Path, 73 percent of companies in the U.S. use HRIS software.
Along similar lines, Hacking HR Lab reported that the market for HRIS software was valued at $21.69 billion in 2022 and predictions indicated a possible compound annual growth rate of 12.7 percent from 2023 to 2030. The growth of the market means there is a growth in the number of users who are adopting such software and benefitting from it. As such, businesses need to look into the top HRIS systems available on the market and consider investing in them for the future of their companies.
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What Are HRIS Systems?
Human Resource Information Systems are digital tools that help with collecting and managing employee records in a more structured manner. These systems gather all the relevant data on the employees of an organization in a way that makes it easier to peruse when necessary and provides specific data with a few steps rather than having to sift through folders of paperwork for one document regarding an employee. These systems are more than just digital records—HRIS software does organize information in one place—but beyond that, they simplify the process of accessing their data and acting upon it more methodically.
For example, when an employee joins a company, a vast amount of data is collected about their past experiences, area of residence, date of joining, etc. An HRIS system can display these input fields to new hires so they can fill it in more easily rather than having to write pages of data or navigate an outdated website. When it’s time to consider promoting them, it often completely slips everyone’s notice and the employee is left feeling snubbed. With a human resource information system, the data can remain at the forefront of the HR professional’s mind, and the employee’s last few performance reviews can be pulled up and considered easily with HRIS software.
A very basic HRIS service may have only one or two features available for your needs, such as employee record management and payroll maintenance. This ensures that money is never the factor that dissuades employees from working at your organization, organizing timely reminders to send out the pay to employees who are owed it. Top HRIS systems include a more sophisticated collection of features and analysis tools, such as ATS (Applicant Tracking Systems), performance review trackers, company document storage systems, etc. These provide even more efficiency in terms of regulating the workforce.
Benefits of an HRIS Systems
There are many benefits to using HRIS software within your organization. According to My Shortlister, a PwC study found that increasing efficiency was the leading reason for companies to implement HRIS systems in 2019 and 2020. This is understandably one of the biggest benefits of an HRIS system, but even efficiency can be achieved by multiple factors. By allowing HR professionals to make the most of their time focusing on interweaving company data rather than conducting menial tasks, efficiency can be found. Other benefits of HRIS systems include:
- Organized employee records that are easier to update when necessary
- Simplified data entry procedures for all employees
- Performance reviews, employee complaints, HR feedback, PIPs, etc. can all be maintained in a single place
- Accurate data sets due to the digital verification processes that can be crosschecked by multiple individuals
- Self-service i.e. employees can access information and answer their own questions more easily when they have direct access to information rather than going through multiple individuals. Processes like applying for leave or overtime pay become easier when employees can just add their data according to the prescribed format
- Tracking the hiring process where new applicants, interview results, department approvals, etc. can all be streamlined to ensure that the hiring process is quick and easy to get through, step-by-step
- Analytics allows various employee metrics to be reflected such as the number of employees, diversity numbers, productivity estimates, etc.
Top HRIS Systems To Try Out
There are a plethora of top HRIS systems available that provide different sets of services that you can use for your employees. Depending on what tools you are looking for and what the company budget is, you can find a human resource information system that meets your requirements and allows you to create a better experience for your HR teams as well as the rest of your organization. BambooHR and WorkDay have long been held as the top HRIS systems available for any organization and Software Path actually stated that 10 percent of firms compared used systems provided by these companies as the benchmark for a new information system.
- SAP SuccessFactors: An efficient cloud-based HRIS software that aids with performance reviews, onboarding operations, provides real-time cost analysis etc.
- Optimum HRIS: This human resource information system can be implemented in-house, on location or as a cloud-based system. It has a very useful system for PTO, attendance, and overall workforce analytics among various other services
- ADP: Among the list of the 2023 Fortune World’s Most Admired Companies, ADP’s payroll services stand out among its various offerings along with its mobile solutions.
- UKG Pro: Depending on the size of your business, UKG Pro has an efficient system to offer for everyone, including employee self-service, talent management, analytics, etc.
- Oracle: A household name with a long history of success, Oracle is one of the most reliable HRIS software to consider, especially due to their modern solutions that include AI, ML, blockchains, etc.
These top HRIS systems are only a few examples of the various human resource information systems that are out there. If it feels too overwhelming to consider using an HRIS system and all its various facets at once, consider starting small with a focus on limited services that will always be relevant to your organization, such as an employee records system or a payroll tracking system. Getting the hang of these tools will give you the confidence to experiment with more advanced features or even make a decision on whether you need more complex insights in the first place.