The Power of a Single Employee Record for Human Capital Management
It can certainly be frustrating to have to enter the same information multiple times into separate human resources systems. When a new employee joins the company, for example, HR teams often have to enter information into different general company databases, security systems, benefit systems, tax information databases, and more. Not only is this wasted time and effort, but it can increase the risk of duplicate data, errors, and reporting problems. Let's take a closer look at how today's cutting-edge human capital management (HCM) solutions are making use of the power of a single employee record to streamline HR processes.
Traditional Approaches to Workforce Management Technology
HCM software used to be comprised of different systems. Each system focused on a specific functional area. For example, a company might use an applicant tracking system to manage their recruitment activities and candidate pipeline. The same company might also use disparate systems for time tracking, time-off requests, benefits, compensation, employee reviews and more. Often, even best in class systems can't effectively communicate with each other. As a result, HR teams face unnecessary administrative work and management has limited reporting capabilities. Many companies devise solutions that mimic communication through partnerships or workarounds, but the end result is often end-user frustration and limited reporting capabilities.
Integrated Systems: The Power of a Single Record
Today's cloud-based HCM solutions are changing the way internal systems support a company's human capital management strategy. Instead of separate systems that don't communicate effectively, companies are migrating toward integrated workforce management technology systems. Integrated systems have a unified underlying structure and can provide companies with the flexibility to choose which modules and features they need on-demand. At the core of an integrated system is a single employee record. That employee record may contain all the information connected to an employee's company activities, from basics like their contact information to advanced information such as time and attendance reporting.
Cloud-based systems then draw information from that one record as needed for all tasks and reporting. This level of integration has numerous benefits for both companies and employees. Employees can update their information using self-service or other methods in one location, so HR teams can focus on higher-value activities. Managers and executives can be given access to the data needed to make strategic business decisions. It's easier than ever before to ensure information is accurate and available on demand.
Companies seeking data accuracy, deep insights, and the flexibility to customize their human capital management systems should ask one question of potential providers. Does your solution use a single employee record? Probing beneath the surface to understand how HR systems are constructed may reveal that a single record system can offer the highest degree of data accuracy and the ability to customize a human capital management solution to a company's highly specific needs.