These Are The Top 6 Must-Have Tools For All HR Teams!

Where companies once used traditional methods of executing everything manually, their human resources (HR) personnel were bogged down with hours of tedious but essential admin work. These processes can be time-consuming, cumbersome, and laborious because they’re all compliance-driven. 

Now, with the premium on top talent in today’s highly competitive job market, HR has moved from a backend administration role to a frontline strategic function. Which can only mean one thing: A greater pressure on them to perform well in their employee management and candidate experience.

Enter HR tools, which are the wide range of technological solutions that help companies manage their day-to-day HR activities effectively, while also achieving improved efficiency. In a survey carried out to determine the opportunities present for HR tech to grow, it was found that 58% of HR professionals used three or less tech tools. 

So, while it’s true that HR teams now utilise some of the more common tools in their day-to-day tasks, there’s still plenty of room for further adoption. Let’s face it, without them, your company will be lagging, and that’s going to cost you when it comes to attracting and retaining the best talent. 

Without further ado, let’s take a closer look at some of the essential HR tools that your company should be implementing in 2023, and beyond!

1) Human Resources Information System (HRIS)

The HRIS is essentially a software solution that’s used to collect, store, manage, and process data on a company’s employees, as well as its policies and procedures. As a software that performs various functions in order to streamline and support HR tasks, as well as help manage their processes, here are some of its everyday uses:

• Employee data management: Provide centralised storage and easy tracking of all relevant employee information.
• Payroll and tax management: Automate payroll processing, tax calculation, and reporting.
• Benefits administration: Manage employee benefits enrollment, tracking of compensation, and communication of preferences.
• Performance and goal tracking: Support performance appraisal, goal setting, and feedback processes.
• Time and attendance tracking: Automate tracking of time and attendance for more accurate payment, approval, and reporting.
• Compliance and reporting: Assist with compliance with HR regulations, provide HR analytics, as well as creation of reports on various topics like employee turnover, absence, and performance.

A HRIS is important for companies because it provides several benefits, such as:

• Improved efficiency: Automates HR tasks, reducing manual labour and errors, freeing up time for strategic HR initiatives.
• Data centralisation: Provides a centralised database for employee information, reducing the need for manual record keeping and ensuring data accuracy.
• Better decision making: Provides HR and management with valuable insights through real-time analytics, enabling data-driven decision making.
• Streamlined compliance: Helps companies stay compliant with labour laws and regulations by automating compliance checks and reporting.
• Enhanced employee experience: Improves employee experience through self-service portals for tasks like benefits enrollment, time off requests, and performance reviews.
• Increased productivity: Supports a more productive workforce by allowing HR personnel to focus on other tasks and reducing administrative burdens.

2) Employee Onboarding Software

Employee Onboarding software is a tool that automates and streamlines the process of introducing new hires to a company, covering tasks such as orientation, paperwork, and training. This is to help new hires get up to speed quickly and efficiently, improving their overall experience and reducing the time it takes to become fully productive. Some of the functions include:

• Paperwork management: Automates the collection, storage, and tracking of new hire documentation, such as tax information.
• Orientation and training: Provides online orientation modules and training materials to new hires, reducing the need for in-person orientation sessions.
• Task management: Assigns tasks and tracks their completion, ensuring that new hires have everything they need to get started.
• Communication: Facilitates communication between new hires, HR, and managers, helping to keep everyone informed and on the same page.
• Reporting and analytics: Provides insights into the onboarding process, enabling HR to make data-driven improvements.
• Customisation: Allows companies to tailor the onboarding process to meet their specific needs and brand standards.

An Employee Onboarding software is important because of several benefits, including:

• Improved new hire experience: Helps new hires feel welcome and supported, reducing turnover, as well as improving employee satisfaction.
• Increased efficiency: Automates and streamlines the onboarding process, freeing up HR time and reducing administrative burdens.
• Better compliance: Ensures that all necessary paperwork is collected and stored properly, reducing the risk of compliance issues.
• Consistency: Provides a standardised onboarding process for all new hires, improving the overall quality of the experience.
• Increased productivity: Gets new hires up to speed more quickly, reducing the time it takes for them to become fully productive.
• Data insights: Provides data-driven insights into the onboarding process, enabling HR to identify areas for improvement.

3) Performance Management System

A Performance Management System supports companies in evaluating and managing performance appraisal, goal setting, feedback, and continuous performance tracking. Companies are thus able to improve performance, align employee goals with business objectives, and make data-driven decisions about employee development and compensation. This software can perform the following functions:

• Performance appraisals: Facilitates the creation, completion, and storage of employee performance appraisals.
• Goal setting: Supports the creation, tracking, and reporting of employee goals and objectives.
• Clear feedback: Enables regular, constructive feedback between managers and employees, helping to improve performance.
• Continuous performance tracking: Monitors employee performance on an ongoing basis, enabling real-time coaching and improvement.
• Reporting and analytics: Provides insights into employee performance and trends, enabling data-driven decision making.
• Customisation: Allows companies to tailor the performance management process to meet their specific needs and standards

Companies should consider a Performance Management System because of benefits like:

• Improved employee performance: Helps employees understand performance expectations, set achievable goals, and receive regular, constructive feedback, leading to improved performance.
• Aligned objectives: Supports alignment of employee goals with business objectives, improving overall company performance.
• Data-driven decision making: Provides valuable insights into employee performance through data analysis, enabling evidence-based decision making.
• Increased employee engagement: Encourages employee engagement by providing regular feedback, recognition, and opportunities for growth.
• Improved talent management: Supports talent management by providing insights into employee strengths and development needs, enabling companies to make informed decisions about promotions, transfers, and training.
• Consistency: Provides a standardised performance management process for all employees, reducing subjectivity and ensuring fair treatment.

4) Time And Attendance Tracking Software

This software is a tool that enables companies to track, manage, and report on employee time and attendance. It automates the process of recording employee hours, making it easier for companies to ensure compliance with labour laws. Furthermore, it improves accuracy, reduces administrative burden, and provides valuable insights into workforce utilisation. The following are just some of its functions:

• Time tracking: Enables employees to quickly clock in and out, track hours worked, and manage time off requests.
• Scheduling: Supports the creation and management of employee schedules, including shift scheduling and shift swapping.
• Absence management: Allows employees to request and manage time off, enables managers to approve or deny requests, as well as track accrual balances.
• Reporting and analytics: Provides insights into workforce utilisation and attendance trends, enabling data-driven decision making.
• Integration with payroll: Integrates with payroll systems, reducing the time and effort required to process payroll.
• Compliance: Ensures compliance with labour laws and company policies, reducing the risk of legal and financial exposure.

This software is able to provide companies with several benefits, such as:

• Increased accuracy: Automates the time tracking process, reducing the risk of errors and ensuring accuracy.
• Improved productivity: Reduces administrative burden, freeing up HR time for more fulfilling and productive tasks.
• Have more structure: Provides companies with a more defined sense of structure, as well as the added benefit of greater visibility of developing patterns concerning time and attendance.
• Simplicity for employees: Your people don’t need to spend time filling in forms, remembering to bring access cards with them everywhere they go, or having to pay a fine for a replacement in case they lose theirs. 
• Improved employee satisfaction: Offers employees a simple and efficient way to request time off, improving employee satisfaction and engagement.

5) Employee Benefits Management System

This is a tool that automates the administration and management of employee benefits programmes, by streamlining the process of enrolling in and managing benefits, thus simplifying the process for both employees and HR teams. The goal is to reduce administrative burden, improve the accuracy of benefits data, and enhance the employee experience. Here are just some of the functions to expect:

• Benefits enrollment: Supports the enrollment and selection of benefits, including medical, dental, vision, and other voluntary benefits.
• Benefits administration: Automates the process of managing benefits, including tracking eligibility, claims processing, and payments.
• Reporting and analytics: Provides insights into benefits utilisation and costs, enabling data-driven decision making.
• Integration with payroll: Integrates with payroll systems, reducing the time and effort required to process payroll.
• Communication and education: Supports the communication and education of employees about benefits, helping them make informed decisions about their coverage.
• Compliance: Ensures compliance with legal requirements, reducing the risk of legal and financial exposure.

It’s important for companies to consider this software because it provides several benefits, including:

• Improved accuracy: Streamlines the benefits administration process, reducing the risk of errors, and improving the accuracy of data.
• Better communication: Allows for personalised benefits communication, tailored to each individual recipient or group of recipients.
• Streamlined management: Easy allocation of a full range of benefit options, while allowing access to market best practice.
• Improved employee experience: Enhances the employee benefits experience by offering a simple and efficient way for employees to enrol in and manage their set of benefits.
• Increased employee satisfaction: Offers a comprehensive and flexible benefits programme, improving overall employee satisfaction and engagement.

6) Learning Management System (LMS)

A Learning Management System (LMS) is a software application that facilitates the administration, delivery, and tracking of educational courses or training programmes. It provides an efficient and effective way to manage and deliver learning content as well as track employee progress and achievement. This software can perform the following functions:

• Course creation: Allows HR or training teams to create, manage, and deliver training content, including online courses, videos, and quizzes.
• Course delivery: Streamlines the delivery of training, allowing employees to access training content anytime, anywhere.
• Tracking and reporting: Provides insights into employee training progress and effectiveness, allowing HR teams to measure the impact of training programmes.
• Analytics: Analyses employee training data to identify areas for improvement, enabling data-driven decision making.
• Certification management: Tracks and manages employee certifications, ensuring that employees have the necessary skills and qualifications.
• Integration: Integrates with other HR and business systems, streamlining HR processes, and improving the efficiency of HR teams.

It’s important for your company to consider this software for its benefits like:

• Improved training effectiveness: Offers a centralised location for employee training, enabling HR teams to deliver more effective and efficient training programmes.
• Increased employee development: Supports employee development by providing access to training materials and tracking progress.
• Better insights: Provides valuable insights into individual progress, allowing HR teams to tailor programmes accordingly.
• Increased productivity: Improves employee productivity by allowing them to learn on the go and at their own pace.
• Enhanced compliance: Ensures compliance with regulatory requirements by tracking and managing employee certifications.
• Improved employee engagement: Enhances employee engagement by providing access to training opportunities, as well as promoting a culture of continuous learning and development.

Time To Level Up To HR Tech

HR teams face the increasingly difficult challenge of attracting top talent to their companies, and retaining current employees. This involves understanding the current job market and competition for talent, as well as developing the necessary strategies to attract and retain employees. Additionally, they'd also need to ensure that employees are engaged and satisfied with their work, which is essential for improving productivity and reducing turnover. This involves regularly surveying employees to gauge their satisfaction, including helping employees grow and develop in their careers.

What better way to do all of the above than to start adopting HR tech in order to help your HR team automate previously-tedious processes as much as possible, including using data to take advantage of better people skills. If you're looking for that edge above your competitors, this list of must-have tools will allow a crucial shift of your HR's focus from administrative to strategic, which will then completely change the role of the HR team (in a much-needed way!) within the business operations as a whole.