CIO reports that 900 of the companies named on the Fortune 1000 list will soon be moving to cloud-based systems to take care of their HR needs.
What’s driving this move to host HR systems in the cloud? In some instances, it’s the simple fact that in-house legacy systems have become obsolete. In other cases, it’s the desire to eliminate the significant hardware costs associated with an in-house system.
For many companies, moving HR to the cloud also provides a wealth of advantages that can be leveraged throughout all levels of management within the organization—and on the front lines.
The IT Case for Cloud-Based HR Systems
From an IT perspective, one of the most appealing features of a cloud-based HR system is the freedom provided by being bound only by a licensing agreement instead of a capital-intensive equipment purchase. If the cloud-based system selected doesn’t meet your company’s needs, your IT department doesn’t have to worry about finding a new system that’s compatible with existing hardware. Instead, it only needs to investigate how to migrate to a new remote provider smoothly.
Housing the HR system off-site also moves the burden of data backup and equipment upkeep to the cloud provider.
Finally, through cloud computing, IT departments are able to offer HR staff throughout the company a familiar, modern user interface. On the surface, that may not seem like a compelling reason to migrate HR to the cloud, but as Josh Bersin of Forbes points out, the interface issue is actually “the number one driver of change” in this arena. It makes a lot of sense: a familiar interface not only increases the chances that HR pros will utilize the system; it also makes it easier for IT to train users and communicate about how the system operates.
Advantages within the HR Department
One of the major advantages of a cloud-based system within the HR department is data standardization. That was certainly the case for HB Fuller, a company that employed over 4000 people but couldn’t gather company-wide data about them in a single, usable form until it began to migrate away from its legacy HR system in 2008.
Rather than relying on disparate systems to gather HR data and make decisions, a pervasive, cloud-based system allows HR staff to get the answers they need from a single online portal. Such a system makes it easy for HR team members to centrally track and process requests for time off, make policy manual changes visible throughout the organization, administer payroll, schedule training, and analyze data.
Mobile access is another advantage for HR staff. Since a cloud-based system is accessible from any device that can access the Internet, HR pros armed with smartphones or tablets can solve problems outside the office or offer instant feedback to other staff in the field.
Advantages for Frontline Staff
For frontline staff, the advantages of a HR system sitting in the cloud are both immediate and practical. Staff members can easily access policies, update forms, request to use vacation time, and track their working hours.
If you’re interested in switching over to an accessible, intuitive HR system, contact the experts at Web Revelation today. We’ll set you up with a system that lets you do your job more efficiently – no frustration or complicated training necessary.