6 Critical questions to ask yourself before choosing HR software

Choosing the most apt HR Software for your organisation is not an easy task. 

As someone who is listing down multiple HR tech providers, narrowing down the list to some select vendors, there is an immense amount of time and effort put forward and therefore, even before creating a list, it is necessary to understand what you are looking to improve with a technology integration with your business processes. 

It’s definitely better to be cautious than sorry for choosing HR Software which would not solve your organisation’s business challenges. 

Remember, it’s not entirely about choosing the best HR software, it’s about choosing the right HR Software.

The question now is, how to go about it? How would you save yourself and your business from choosing the wrong solution for the right question? The answer lies in planning ahead and this starts from doing an introspection internally. What this means is to have an all-round understanding of your organisation and its most crucial struggles. Having said that, here are 6  critical questions that you should ask yourself before choosing the right HR Software :  

  • Which processes are critical yet time-consuming?

Given the size of the organisation, the path in which a process may follow could sometimes be time-consuming and frustrating if it’s stuck. Take an example where you would have to manage data and have to spend valuable time in either duplicating or transferring data on disparate systems that aren’t integrated. Given the criticality of the process, you might still be taking it forward the same way but are always frustrated due to the process gaps such as stuck approvals, unavailability of integrations etc. Truly, a headache!

This frustration indicates process inefficiency. So, by asking yourself what issues cause inefficiency in processes throughout your organisation, you can narrow down on the areas that need the most improvement which your HR Software could definitely solve for.

  • Which processes are redundant and you could give away? 

Let’s face it, Change Management is no unfamiliar term. It is an important task which most of the time is left for the last minute. Even though this is something which you could possibly take care of during an implementation stage for your HR software, my personal suggestion is to list down all the processes which could be discarded due to their redundant nature and complement processes that could simplify your daily business processes. Take an example of disparate payroll management software, though an important task to run payroll without fail, the unavailability of direct integration with HRMS simply creates an added and redundant task. It becomes easy when the entire system is an integrated system. 

Narrowing down redundant processes and putting change management a priority will definitely ensure a smooth running and implementation.

  1. What are the must-have features which are critical for your process efficiency? 

So you narrowed down to what are the problems/ roadblocks you see for your organisation towards healthy growth. Not all of them would be an immediate priority but something which could be looked upon at the later stages. 

So, which ones are your immediate priority and need to be addressed beforehand since these blocks are costing your organisation in terms of productivity and outcomes. These problems converge into the must-have features which solve for the same.

Let’s take an example. If Time and Attendance Management is something which is currently your biggest challenge, given that almost all organisations work with different shift rostering and distributed workforce, then a flexible time and attendance management should be on top of your list of the must-have features for any HR technology platform you might consider. 

  • Which add-on features would be a benefit to your employees in order to keep them engaged and productive?

As stated earlier, there are some must-have features that are very critical for your organisation’s processes and there are some which act as a “bonus” for your entire suite. These add-ons though not an immediate priority could definitely be an anchor for management processes such as employee engagement. 
Take an example of a platform that could work as your organisation’s social network, which could enable employees to – 

  • Share what’s on their mind
  • Create polls and engage with other employees
  • Celebrate Recognitions and Events
  • Stay well informed about important things

Such a platform would build productive and efficient teams, by keeping your employees fully engaged. 

  • Which immediate top objectives are going to be achieved post the HR Software platform implementation?

Reflecting on your answers to the questions above would help you absolutely prioritise the top objectives you want to achieve with HR Software. Are you looking to reduce workflow friction? How about providing your workforce with better access engagement? Or maybe you hope to streamline your entire HR process by implementing a more integrated platform.

Ultimately, the software platform you select would help you and your organisation to overcome your greatest business challenges, which would, in turn, improve your overall organisational efficiency and employee productivity.

NOTE! Your focus should be on your must-haves first and the add-ons would be your extended anchor! 

  • What should my ROI measurement be like? 

One of the most critical factors to your post-implementation process is how would you measure ROI for your Digital Transformation. What I would suggest is to bifurcate the same into two buckets – Direct Savings and Improvements.

The direct savings are mostly easier to quantify since they’re based on absolute numbers. One such example could be the calculation of the number of hours that have been reduced by introducing automation. 

Immediate improvements that would result from your HR Software would positively impact your top floor to shop floor, though more difficult to quantify since they’re usually tied to less tangible objectives, yield outputs which would definitely be an added advantage.

It’s never an easy judgement when it comes to such a critical task at hand, a personal suggestion would be to identify champions from varied departments who would be a part of the buying process (eg. – Procurement department, IT department, HRBP and or a Board Member). This would help you in moving towards a more concrete decision and eventually help you choose the right HR Software for your organisation.

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