What Is A Cloud-Based HRM And How It Can Redefine Employee Experience?

Cloud-based human resource management systems (HRMS) are a critical component of the HR technology market. Originally, HRMs intended to manage payroll, internal records, attendance and timekeeping, and other transactional and regulatory requirements. They were initially run on mainframe computers or physical servers and required large support teams. As a result, the total cost of ownership was extremely high.

And recently, Josh Bersin Company, a research, and advising firm specializing in HR and workforce solutions, has presented the most optimistic findings about the significant and practical influence of cloud-based human resource management systems in elevating the employee experience. The advantages can be seen in retail, healthcare, hospitality, manufacturing, finance, and transportation industries.

They reveal that modern cloud-based HRM solutions aren’t just enabling HR professionals to regain control of back-office administration. More strategically, they are assisting firms in creating the "unstoppable organization" now required to recruit and retain valued individuals during one of the most challenging times for employers and the workplace globally.

According to the report, the most successful implementations take an "employee first" strategy, in contrast to prior IT-centric deployments that focused more on data and software integration. Companies are discovering that by prioritizing important employee and workforce needs in provision and implementation, they can achieve a far more comprehensive, effective, and data-driven HRM platform – powered by the cloud.

How To Implement A Cloud-Based Human Resource Management System Successfully?

There are no two implementations that are identical. The possibilities are extensive. Some firms are highly complex, covering several industries and geographies. Others are more concentrated. Those working in highly regulated businesses must address compliance difficulties.

Organizations are also at various stages of maturity. As part of a large business transformation, some firms may consider integrating various HRMs across the enterprise. Others may be searching for a feature upgrade or an improvement in the HR process. When researching successful implementations and satisfying expectations, we discovered certain crucial commonalities. Here are a few examples: 

• Make use of your HRM to Build Simpler Employee Experiences. While core HR systems are essential to run a business, they are no longer the focal point. Employee experience systems, talent intelligence apps, and work productivity solutions that are part of it and integrate with it are even more significant. Use the implementation as a chance to examine the experiences of each workforce segment and geographic area to ensure that the best-integrated processes are present.

• Leverage the new HRM to Expand your Talent Management. What qualifications are my rivals looking for? What market competencies are emerging, and which are trending downward? What roles will require for future success? Having the answers to these and other relevant questions, and employing system data analytics to determine where your workforce stands, is critical. You’ll have an advantage with talent mobility and workforce futureproofing.

• Expand HR Competencies and Streamline the HR Operating Model

Making HR more strategic is one of the most significant objectives for most businesses when using an HR management system. Giving HR time away from transaction processing and user metrics for consulting and strategic commitments does not make HR more strategic. Instead, you must assess what competencies and skills are required. Review current HR operating models and roles to make the most of the new system and streamline the HR processes.

• Minimize Risk with a Scaled Implementation. Many businesses achieve success through scalable implementations and staggered software updates. For example, some organizations begin by focusing on a specific feature, such as payroll or a basic HR service throughout the firm. Others grow by concentrating on specific employee populations, such as labor segments or geographic regions. Regardless of approach, take the time to learn from the early implementations and make any necessary improvements before moving on to the next step.

In conclusion, your role is to think like an architect and prioritize your company’s needs and employee experiences. The primary selection criteria should be around the simplicity of use and productivity, rather than which system offers the most features. If your HR system does not increase employee productivity or give data to help the business expand, you may want to stick with what you have now. Remember that HCRM systems are active, that require continuous monitoring since they assist you with your single largest investment – your people.