72% of HR professionals say they spend more time managing paper than supporting the business. Why do HR people spend so much time on administration?
Complexity is the culprit
In a recent study, 72% of HR professionals stated that they spend more time managing paper than they do supporting the business. Disparate information creates a number of administrative challenges. Operational and data pathways leading into and out of multiple HR systems become more complex. Organisations struggle to align different systems to gain a global view of data. Integration between systems gets complicated and often requires support from spreadsheets and manual data manipulation.
Difficulty enforcing compliance
HR professionals spend over 26% of their time on compliance: searching for breaches, resolving breaches, chasing task completion. If different business rules exist across multiple systems, enforcing corporate and legal standards becomes impossible. It gets more difficult to respond to regulatory change. Business growth gets harder and things start slipping through the cracks, creating compliance problems downstream.
Poor data quality
Data entry into multiple systems requires extensive manual reconciliation, cross-checks and quality control. This wastes time and increases the risk of error. Data becomes untrustworthy and meaningless. HR departments can spend up to 9% of their time manipulating data for meaningful reporting.
No self-service capability
If there is no easy way for staff to enter data into a central repository, there is no easy way for managers to view cohesive information.
Reliance on specialist resource
Businesses often buy in expensive resources such as Business Analysts and Report Writers just to transform data into information that they can actually use. HR departments spend valuable time coordinating people to extract, collate, format and verify data.
Key information: too little, too late
Critical information such as potential labour cost overruns cannot be extracted until other processes (such as payroll) have completed. By the time data is compiled from various sources, it’s often too late. Advanced warning of cost blow-outs is non-existent.
High IT overhead
Data entry across multiple platforms comes at a price. Manual data entry, integration support, custom application development and hardware maintenance consumes a lot of time.
Start the journey
Leading organisations are implementing holistic people-management systems. Based on a centralised platform, they significantly reduce the effort required to enter, manage and report on employee-related data. This leads to improved time-to-market for operational reporting, enhanced data integrity, reduced manual controls and risk, and reduced labour costs.
Establish a single-source centralised data platform
Streamline labour costing and HR data into a single comprehensive data source.
Use electronic forms with workflows to remove paper and collation. Business rules drive compliance to assure HR tasks are actioned in a timely manner. Stop looking for compliance breaches: set the business rules and let the system inform the person responsible of tasks that require attention then escalate as required.
Utilise self-service tools
Remove repetitive transactions through effective self-service tools. Make use of modules like leave management, on-boarding, time and attendance and timesheets to empower staff.
Reduce data manipulation and improve visibility
A centralised HR business support platform enables drill-back from ERP, costing and manufacturing systems. Collecting information through live interfaces delivers a single view of information and automates reporting. This helps to facilitate actual cost reconciliation and supports labour costing.
Detailed people cost and capability information can be exposed via self-service reporting tools. Management dashboards provide another view of information.