It's the dawn of 2018, and the majority of professionals back at work are contemplating how to significantly improve their organization's running and overall efficiency in this new year. The air is thick with aspirations of growth and optimization. Businesses will undoubtedly be exploring various avenues as to how they can increase their profitability, not just through sales, but crucially, by effectively managing their people resources to achieve this ambitious target. To operate more efficiently, streamline workflows, and effectively manage the complex landscape of talent, it is no wonder that many leaders are seriously considering the adoption of a comprehensive HR Management solution that can precisely meet their evolving requirements. The fundamental question then arises: How and where do you even begin this transformative journey towards selecting and implementing such a critical system?
Factors to Consider When Implementing an HRMS
The decision to invest in or transition to a new HR Management System (HRMS) is a significant one, often met with a mix of anticipation and apprehension. Most organizations exhibit a natural resistance to either changing their existing HR solution or adopting a new one altogether because they frequently harbor misconceptions. The primary concerns often revolve around the belief that it will "break the bank" with exorbitant costs or that a ready-made solution simply won't seamlessly fit their unique and specific business needs. However, these concerns, while valid, can often be addressed with thorough research and strategic planning. Here are a few of the most frequently asked questions we encounter when discussing the move to an HR solution, along with guidance on how you can ensure these crucial questions are thoroughly answered.
Costs of Implementation
One of the most significant psychological and practical barriers preventing many organizations from investing in a comprehensive HR Management solution is the deeply ingrained perception that it's going to "break the purse strings," leading to an unsustainable financial outlay. This concern is understandable, especially for businesses operating with tight budgets. However, it's a common misconception that all HRMS solutions come with an astronomically high price tag. In reality, there are a multitude of options available in the market today that cater to a wide spectrum of budgets, from highly sophisticated enterprise solutions to more modest, yet effective, packages.
For smaller companies, particularly those with 50 or fewer employees, Open Source HRMS solutions have proven to be a worldwide popular choice, obviously because they are often available for free or at a very low cost. While these can be excellent starting points, it’s important to understand their limitations. If your organization is larger or has complex functional requirements, the out-of-the-box functionality of free open-source solutions might be limited, potentially requiring significant internal technical expertise for customization or leading to a lack of scalability as you grow.
Software providers like OrangeHRM are a prime example of how companies can offer great solutions tailored for every budget. They inherently understand that budgets vary widely, as do the specific requirements of different organizations. It’s truly important that instead of simply looking at generic, 'one-size-fits-all' pricing plans and ruling out providers prematurely, you seek personalized guidance. Engaging with an HR consultant or directly with the provider’s sales team can help you understand your specific choices, including customized pricing models, modular subscriptions, or phased implementation plans. It’s also worth noting that some providers offer attractive discounts at specific times of the year, perhaps during end-of-quarter sales or seasonal promotions, so keeping your eyes peeled and diligently doing your research can yield significant cost savings. A proactive and informed approach to understanding pricing models is key to finding an affordable and effective solution.
Scalability
When evaluating an HRMS, one of the most critical factors to consider is its scalability. You need to look for a system that is inherently flexible with your organization's potential growth, something that can seamlessly grow with you, not act as a constraint against you. A common pitfall is investing in a system that forces organizations into a rigid framework, dictating what they "think" customers need, rather than adapting to individual requirements.
OrangeHRM exemplifies a solution that avoids this pitfall by providing a system that doesn’t pigeonhole organizations. Instead, it offers the flexibility to tailor a solution specifically for their projected growth trajectory and current needs. For example, in the early stages of your organization's development, you may only require fundamental core HR functionalities such as employee records, time tracking, and leave management, and not a multitude of additional, complex modules. The beauty of a scalable system is that once substantial growth has occurred, or as your business needs evolve, it’s perfectly possible and straightforward to add on extra modules when and where they are genuinely needed. This modular approach ensures that you only pay for and utilize the functionality that is relevant to your current stage of growth.
Conversely, you need to be acutely aware that some HRMS providers may not offer the crucial possibility of picking and choosing certain modules. In such scenarios, you could be left with a very expensive, clunky, and unnecessarily complicated system that you only use a quarter of its full functionality. This not only represents a poor return on investment but can also lead to user frustration and inefficient processes due to system bloat. A truly scalable solution ensures that your HRMS remains cost-effective, user-friendly, and perfectly aligned with your business needs at every stage of your organizational development.
Expertise
When embarking on the search for the ideal HRMS solution, it is absolutely essential to thoroughly research the client base of your shortlisted providers. Understanding who their existing customers are can give you valuable insights into their experience with organizations similar to yours in terms of size, industry, or specific challenges. It’s also incredibly important to look beyond mere client lists and delve into the testimonials, case studies, and success stories. Seek out real-life evidence that demonstrates how certain solutions have helped specific industries overcome their unique hurdles and achieve their objectives. This provides a tangible understanding of the provider's proven capabilities.
OrangeHRM, for instance, boasts a large and diverse array of clients spanning various industries. Crucially, they also have specialists dedicated to understanding the nuances of particular industries. This specialization ensures that individual requirements, which can vary significantly between sectors (e.g., manufacturing vs. tech vs. healthcare), are met with tailored solutions and expert guidance. It’s also worth noting that some HRMS providers, particularly those offering rigid, off-the-shelf software, may be resistant or entirely against customizing modules for certain industries or unique business processes. Therefore, you must explicitly ask the question if such customizations are possible and feasible, instead of just assuming or relying solely on information presented on their website. Direct communication about customization capabilities is vital to ensure the chosen solution can truly adapt to your specific operational needs. You can gain further confidence by listening to what our existing clients have to say about their experiences, as their authentic feedback is often the most reliable indicator of a provider's expertise and commitment.
Why OrangeHRM?
Want to know more? OrangeHRM understands that each organization is unique, as are its people and their specific HR needs. If you are actively thinking about or looking for a new HR Solution to enhance your operations in 2018 and beyond, we have a team of dedicated HR specialists who would love to talk to you directly! Book your FREE demo now to see firsthand how OrangeHRM can help you streamline your HR processes, manage your talent more effectively, and contribute to your organization's overall success.