Office with Abundant of Documents
There are many documents in HR works, such as employee personal profiles, employment letters, monthly payroll reports, and so forth. HR may find it time-consuming to discover employee documents when handling too many employees. They need to find out a single page of the paper in the file storage cabinet. This situation makes it worse when HR needs to manage over a few hundred employees. With HRMS, HR can retrieve any information readily, save space for storage, and the documents can be backed up to ensure all data would not be missing.
Find Difficult to Access All Employee Information Anytime
HR can only access employee data in the office because all documents are in hard copy. It might be a big issue when HR wants to access employee information remotely. As an example, an HR manager plans to continue his work at home during the nighttime. However, he cannot access data remotely, so he can only proceed on the next working day in the office. This issue is solved by using HRMS. All information is accessible anytime, anywhere. Therefore, HR can manage remote employees easily. Simultaneously, HR can also provide access to employees so that they can view their information or payslip in the employee portal.Frequent Mistake on Running Monthly Payroll
The process of monthly payroll is a complicated job, especially for a large company. HR might find that they made frequent mistakes in running their employee payroll. Without a system to manage all payroll-related information, HR needs to manually check employee claims (include the medical claim, miscellaneous claim, overtime claim, etc.), the number of unpaid leave, allowance, and so forth. Therefore, this is a sign that tells you are needed HRMS to assist you with all these things. With an HRMS, it can help HR to record all employee claims and to check their claim applications.
Wasting Time for Creating Reports
The HR manager needs to provide monthly reports to the management such as cost by department, overtime pay by department, the total number of leave taken, etc. If they create these reports manually, it is consuming a lot of their time. Even though it takes time, these reports are beneficial to the company. Therefore, HR managers can spend less time generating all these reports by having an HRMS. These reports can be generated from the HR system automatically with a click on the button.Change of Statutory Compliant
The government made changes to statutory policy throughout the years. It is essential for HR to always keep up-to-date with the latest statutory compliant to avoid any lawsuit. There is a penalty being imposed on the employer if they do not obey the policy, such as failing to make monthly EPF payments before every 15th of the month. The other example is the changes in employee EPF contribution rate. HR needs to recalculate each employee rate manually, which is time-consuming. Therefore, it is a need to use HRM to simplify HR work. By using HRMS, the system developer will update the latest policy in the system, and therefore reduce HR workloads.