One of the most important tasks of the Human Resources department of any company is to take charge of document management. This involves managing all the companies’ necessary documents. Despite being a crucial aspect, this is only one of the many things that the HR department has to take care of. However, it takes a big chunk out of the hours that the Human Resources professionals can dedicate to their company. We are talking about the dreaded paperwork. Which no matter how tedious, has to be managed for the proper functioning of the company. This can mean that HR professionals don’t have enough time left over to dedicate to what really matters; the employees.
How can you best solve this human resource related problem? The answer is simple. With a software for the management of Human Resources or otherwise known as HRIS.
Thanks to new technologies, companies can automate processes that previously took hours. If you want to find out how to get rid of the most cumbersome tasks and digitise them to save time and avoid human error. Then keep reading.
HRIS refers to ‘Human Resources Information System’, defined as a system or software that manages all the information related to Human Resources. Does your company already have a similar program? If the answer is no, you may wonder what information you need to make an informed decision regarding the best document management software for your company?
- What is the definition of document management in companies?
- What is a software for document management or HRIS?
- Benefits of using a software for document management or HRIS
- Why incorporate a software for document management?
- How to choose a good software for document management?
- Document management requirements
- What do we offer at Factorial HR?
- ✅Test out for free our document management software
What is the definition of document management in companies?
The amount of information and data a company accumulates over months and years is incredibly extensive. Contracts, payroll, reports, cancellations, registrations, records to comply with labor laws … Document management aims to give order and organisation to all these documents to keep them safe, accessible and updated.
Regardless of the size of the company, document management tools have become a necessity for businesses all over the world. In addition, Human Resources software is also becoming a necessity for business functionality. The automation of processes to make them more efficient has already been implemented in many companies. Some of them even use AI (Artificial Intelligence) to collect data. As well as VR (Virtual Reality) to, for example, enable employers to conduct interviews to get a better idea of the candidate’s skills. Another trend that has been going strong is the analysis of Human Resources or “HR Analytics.” Through HR Analytics, investigations are carried out and statistics are collected and follow up investigations conducted. This means more information for the Human Resources department.
What is a document management software- otherwise known as HRIS?
Before the digital transformation, HRIS was known as a system that manages Human Resources. Today, HRIS is a software that serves to connect the HR professionals in the company with tools to manage information and communication between them. They store, process and control all types of employee data. Thus, all activities and processes related to Human Resources can be brought up to date digitally and electronically. By centralising all employee information in a single repository, it is easier to manage the tasks normally undertaken by the HR department. They are like intelligent databases storing all people’s information. Therefore, improving the interaction with that information, the treatment and the visualisation. They make it something valuable, accessible and easier to use in decision-making, in trend analysis. , and, ultimately, on a day-to-day basis.
Another way to define it is to understand HRIS as a platform that allows a company to save money on Human Resources costs in a more effective way whilst improving the quality and productivity of all the members of that organisation. How I hear you ask? A Human Resources management program allows you to control activities such as accounting, personnel management, hiring, and payroll. Therefore enabling a company to use fewer staff for administrative tasks.
In addition to this, document management software also provides something that the Human Resources department alone would not be able to; transparency. If the document management program stores its information in the cloud (softwares based in the cloud are usually the most efficient), it can be accessed and even managed by all the workers.
Benefits of using a software for document management or HRIS
Why should you have to have an HRIS in your company? In short, a document management software provides you with many benefits, with just a few listed below.
- Improves the organisation of the company
- Helps you stay up-to-date with rules and regulations
- Saves time
- Allows you to focus on the Human Resources strategy (which involves direct interaction with your workers)
- Improves the employee experience
- It is an easy and practical as well as an intuitive tool, as much for you as for your employees
- Provides transparency with regards to the handling of the data
Why incorporate a software for document management?
Along with running the risk of being damaged or misplaced, paper documents are also less accessible. As it takes a long time to find a specific document if it has been archived with many others! However, with a digitised document management system, it only takes a few clicks to access any files you need. Accumulating papers only leads to chaos and a poorly optimised use of office space. But, with a software all the information becomes centralised and, and in addition to this, it does not occupy any physical space.
A document management software saves you from the privacy issues that come with having all your company data stored on paper documents. With paper documents everyone and anyone can access them, including those who shouldn’t have access. Allowing only certain employees access to sensitive data will improve the reliability in the handling of the information. Along with the security and protection of it. This is especially important nowadays, as data protection regulations have become more and more strict.
The benefits of an HRIS system don’t end here. An HRIS also improves efficiency. Since it saves the Human Resources department many hours that it can then reinvest into other functions and strategic projects. In the same way, employees will be able to more easily access their own information, manage it and update it. Many times from the comfort of their mobile phones!
Managing your companies documents on paper as opposed to online, quickly becomes an inefficient way to handle documents. Then as soon as your company grows to have more than two employees, it becomes too cumbersome to implement. Ultimately, a specialised program will simplify repetitive tasks. Which therefore facilitates the more efficient use of employees’ time. For example, when an employee has to request the payment of mileage expenses, with a comprehensive Human Resources management program he will be able to do so without the need of another person intervening and supervising him. By creating standard procedures, it is much easier for the entire organisation to learn how these tasks work, which therefore reduces paperwork errors.
How to choose a good software for document management?
There are many different HRIS systems out there to choose from. Most professional HRIS offer flexible designs that allow you to work with databases and gradually integrate different functionalities. Such as the creation of reports and the quick and accurate analysis of information. But it’s not just about that.
If your company wants to invest in an HRIS, there are two key aspects that you have to consider. On the one hand, if it truly simplifies the administration of documents and, on the other, if it streamlines the management of human resources. It seems obvious right? Don’t let other extra features blind you: what your company really needs is a document management and HR program that has the tools to improve productivity, such as:
- Personnel and application management
- Report absences and medical leave
- Receives alerts by e-mail
- Self-management by employees
- Organisation charts
- Fixed and variable remuneration administration
- Career planning
- Quick report creation
- Tracking employee performance.
Document management requirements
If you want to take a closer look and choose a software for document management that becomes the key tool for your company’s Human Resources department, you have to make sure that it meets the following requirements:
- It must synchronise with your absence software, to be able to better manage sick leave, leaves of absence and any information related to this area. Similarly, it has to be integrated with whatever tool you are currently using in your Human Resources department (and the tool you want to continue using in the future).
- You must make the payroll and any other type of information regarding the employee visible to him. It must have a permit system that caters for the privacy for workers. That is, an area only for each employee, in which he has all his documents stored.
- It should be available to use on any device, this means it is downloadable on your mobile, online and without the need to install or download anything.
- The software must be compatible with any type of file, so that the information can always be uploaded to your database.
- It should allow internal communication through the entire company as well as enabling the exchange of documents.
- The software must comply with security regulations and the GDPR (general data protection regulation).
What do we offer at Factorial HR?
At Factorial we centered the development of our online solutions on two essential themes, which include all the tools previously mentioned with the aim of improving and optimising Human Resources management in general, and document management specifically:
- Factorial HR: This is a Human Resources software designed to manage vacations, absences, sick leave, advanced reports on absenteeism, salary, staff turnover and management of compensation plans. Last but not least our employee portal, which manages and retains all employee information!
- Factorial Payroll: This is a program for automated and online payroll management (hiring, payments, accounting, salaries, etc.) and administration of taxes and Social Security.