A Brief Guide to Different Types of HR Software
A human resource management system or HRM system, refers to the systems and processes at the intersection between human resource management and information technology. A HRM system provides a means of acquiring, storing, analysing and distributing information to various stakeholders.
Needless to say that modern day human resource professionals need to fall back upon all kinds of HR software in order to carry out their tasks. But, if you are new in this field, how would you go about choosing or knowing which is the right software?
The subsequent paragraphs give an overview of the different types of HR software:
- Benefits-Focused Software
The first one is the benefits-focused software that includes all the types of HR software relating to managing the compensation of employees.
i) Benefits Administration
Manage and track employee benefits like paid time off, health insurance, compliance, and retirement accounts all in one place with this software. Often this will integrate with, or be a module of, a larger HRM system.
ii) Compensation Management
These systems let you track and automate compensation plans for employees including bonuses, incentive programs and commissions and salary planning. These are also integrated with broader HR suite.
Payroll software manages actually paying your employees and can handle direct deposits, checks, and tax compliances.
2. Recruiting-Focused Software
This segment focuses on tools for finding and hiring new talent. These comprise the following:
i) Applicant Tracking System
This software and recruiting software are absolutely synonymous. Both allow you to source job applicants and also track candidates through the interview and hiring process. Applicant tracking systems, popularly known as ATS allow you to post open jobs on career website and manage resumes.
ii) Job Boards
This is a more specialized form of recruitment software. This either allows you to post and track open jobs to multiple online job boards like Indeed and Monster, or allows you to create your own job boards website for the vacancies in your company.
3. Performance-Focused Software
The tools in this software are completely responsible for assessing performance of employees.
i) Complete Feedback
Reviewing processes become much easier with these kind of software. These software allows anyone in the organization give a performance review of any other candidate. Employees can even rate their managers and provide confidential/anonymous feedback, and people from different teams can review each other.
ii) Employee Recognition
Employee recognition is yet another important function carried out by these software. These tools automate and formalize processes for recognizing high-achieving employees through tools like leaderboards, nominations, goal tracking and reward points.
iii) Performance Appraisal
With the help of this software, the process of performance appraisal becomes much easier. With this software you can track and manage all your employee review in one place. Many include support for goal tracking, learning and development plans, and compensation planning.
4. Talent-Focused Software
Now comes, talent-focused software which has a vast impact. This includes all of the talent management suites, HRIS suites, and other HR related software.
i) Talent Management
Talent management is the most essential function performed by talent-focused software. This is usually aimed at bigger enterprises, these tool combine just about everything else on this list to be a one-stop-shop for all your HR needs.
The HR software landscape is a huge one and is further developing with each passing day. New software are being developed on a regular basis in order to ease HR functions. Recruiters and corporates are eagerly implementing these changes in order to ensure that the best hiring takes place across all sectors.
Author Bio: A digital media strategist and a content marketer, Sampurna is passionate about writing and blogging. Working as a full-time professional writer for more than five years now, she has been lending her expertise to the online world by penning articles and blog posts on jobs and careers, HR tips and the recruitment industry. She also enjoys reading and travelling.