HR Process Improvements: Moving from administration to operational excellence
Old habits die hard! HR processes are a classic example: In most organizations, HR teams still follow traditional, manual ways of operating. HR relies on many processes, like onboarding, performance management, and benefits enrollment, which have maintained a status quo for years, with very few changes. Traditionally, HR has been the department that focuses on ensuring compliance to policies laid down by the organization—that may be one of the reasons why HR teams are averse to changes in core processes. But in today's highly dynamic and competitive business scenario, is it enough for HR to be custodians of people policies and keepers of confidential documents? Do we need more from HR?
It's time to rethink HR processes and workflows
In the last couple of years, the COVID-19 pandemic pushed the boundaries for change in organizations worldwide. Leaders initiated enterprise-wide changes to make their teams agile, digitally operational, and remotely accessible. At the same time, there was the added pressure of constrained budgets and a pressing need to gain cost efficiencies to survive the restrictions imposed by the pandemic. Did HR departments get left behind in the race to digitization?
Operational excellence vs administrative burdens
HR is a document-intensive department. Its processes involve tedious paperwork, confidential personnel information, contractual obligations, legal compliances, and internal policy regulations.
But if HR is to deliver more value to the organization and play a more integral role in achieving key business objectives, they will have to shift their focus from manual, administrative manual tasks to activities that support operational excellence across the enterprise.
As Randy MacDonald, senior vice president of HR at IBM, said, "It's important for HR to decide what is core and non-core. Administrative responsibilities such as getting paychecks out on time are not core. In HR, we need to focus on what is important."
Let's look at some processes that HR must revisit and reinvent to modernize their operations:
Managing the talent pipeline
HR controls and manages the entire employee lifecycle in the organization: From hiring and onboarding to performance management, right up to separation exit management.
These processes are highly document-dependent. Enhancing the quality and reliability of employee records is crucial to improve HR efficiency, save time, resources and costs. Efficient HR document management systems and workflows are the need of the hour.Managing policy and procedure documentation
HR plays a significant role in strategically aligning the administration of the entire organization. Defining policies and procedures is one of the core functions of HR management. HR teams must document clear and transparent guidelines on how processes and procedures must be followed and referred to later by HR personnel. Documentation is critical to your business, but HR teams need a way to manage this documentation without time-consuming and tedious processes.
Adherence to records retention policies
The HR department maintains employee records and business policies that are subject to strict retention requirements. HR teams must adhere strictly to guidelines around securely retaining and destroying confidential records as per statutory policies. Document digitization and document management systems keep retention and expiration schedules in control without extensive manual intervention.
Dealing with auditors
Audits are intense and time-consuming and require timely access to volumes of detailed, accurate records and documents. Auditors often collaborate with the HR staff to access these records.
How do you ensure that all information is regularly updated, stored, and made easily accessible for auditors?Data interoperability between existing IT systems
HR teams must have a single source of truth and a real-time view of all employee records and policies. Existing IT systems must be synchronized using an integrated data management platform. Data interoperability between business systems (such as ERPs, DMS, finance systems) unlocks the value of data and improves organizational efficiencies.
Offload administrative HR tasks with a document management system
The solution lies in a modern, agile solution that saves time and money while increasing productivity and employee satisfaction. Whether it is for document security, access control, or electronic onboarding, HR document management systems are the future. Imagine new and efficient workflows such as automated offer letter creation and self-serve portals for new hires to enter their information electronically and digitally sign their job contracts.
Workflow management to streamline HR processes
HR leaders must re-examine existing processes to identify opportunities for structural and operational improvement.
Business process management consultants apply business rules and workflow management tools to improve the effectiveness of your business operations. Automating essential business processes builds greater flexibility and agility in HR teams.
With process experts by their side, HR can secure an important role as a strategic business unit to drive profits rather than function as a pure cost center.
The key to this transformation lies in a redesign of HR processes and workflows through automation, which in turn will compel a change in their policy-focused and risk-averse ways of working.
HR leaders must plan for comprehensive digitization, including digital forms for data capture, digital signatures, content management software, workflow automation, and cloud storage. All existing physical documents must be scanned, indexed, and stored to be accessible and retrievable anytime from anywhere. Strict access control is required to ensure information security.
Revolution Data Systems provides you tools and services to digitize and automate key HR processes like hiring, onboarding, and separation that involve critical documentation. Automation saves time, reduces human errors and provides a positive employee experience at every step.
We implement process improvements that result in tangible business outcomes like reducing costs, supporting a specific new growth area, increasing employee loyalty, or retaining talent.
Talk to RDS to redesign HR workflows with the latest workflow management tools. We help your HR team to deliver a unique and differentiated people management strategy closely aligned with organizational goals. In doing so, we help you transform your HR department into a strategic and valued business unit.