Three ways cloud HR software can propel your business forward

We’re all familiar with the saying: if it’s not broken, don’t fix it.

I’m sure many of us have taken this approach when doing some DIY – we all have that precariously hung shelf we dare not touch.

Sure, this approach may work for minor issues, but by no means should you use it when determining your HR software – especially for those still relying on traditional, on-premise systems.

Despite the pandemic accelerating cloud software adoption, 36% of HR leaders still view cloud transformation/modernisation as a major challenge.

What is the difference between on-premise and cloud

In essence, on-premise software is installed and run on your company’s own hardware infrastructure, meaning the software, files and updates are bound to a specific device.

While cloud software is virtually hosted over the internet, meaning the system and its files can be accessed anywhere, at any time.

On-premise HR software can’t keep up

Those still using on-premise HR software may see little incentive to invest in a new system.

Throw this conception out the window; don’t remain stuck in the 90s, relying on fragmented technologies that don’t communicate with each other.

A major issue with on-premise is that the systems are isolated and operating individually – the likelihood is your payroll, talent management, rewards/compensation, recruitment, etc, aren’t speaking with each other

What does this mean for you? Clunky systems, inefficiencies, huge difficulties obtaining real-time insights and an inability to pivot quickly.

Three ways cloud can take your business into the future

In today’s business environment, on-premise software simply limits your capabilities; here are three ways cloud HR software knocks on-premise out of the park.

1) Drive growth with data

Businesses need accurate insight into employee metrics to facilitate strategic goals and growth – after all, success starts with people.

Access to real-time data reveals critical issues such as wellbeing, engagement, productivity, hiring and compliance; however, to get these insights and paint a full picture, you need systems to accommodate.

Most cloud solutions not only come with inbuilt analytics and reporting capabilities that provide data and dashboards but they also connect to various other departments and systems, from finance and supply chain to human capital management.

Whereas on-premise software works alone, requiring you to export and import information manually as well as make the connections and reports.

2) Minimise your IT burden

To run effective on-premise software, there’s a huge burden placed on IT teams to install, maintain and update systems.

If your HR software isn’t on the latest version and a security risk becomes exposed, all your sensitive information becomes vulnerable.

Failure to keep this information secure and comply with GDPR can have major implications + if you’re not on the latest system version, you’re probably missing out on major updates. 

A lot of pressure, ey?

For larger businesses, the added responsibility of managing these on-site systems is one IT teams can do without; as for smaller businesses (SMEs) who don’t have dedicated IT teams, it’s up to you to manage the software – I don’t think I’m out of line assuming it’s probably a responsibility you could do without.

With cloud software, the onus on ensuring security and issuing updates falls solely on the provider, meaning you can simply log in and go without any concerns about the technical aspects.

Reduced stress, reduced burden, better systems.

3) Less admin, better employee experience, future-proofed technology

Now, this section’s header may look like a bunch of benefits thrown together with no real link, but hear me out – the joining factor is system connectivity.

As previously mentioned, on-premise software is siloed and doesn’t speak to other bits of tech.

However, cloud technology uses Application Programming Interfaces (APIs) to integrate with your other technology – from payroll to finance – meaning all your systems securely speak with each other.

No longer do employee records need updating in multiple places if they change address; no longer do you need to jump between systems to get the CVs from a new job advert; no longer do you need to ask employees to fill in performance reviews, only for you to upload the information into your HR system at a later date.

Everything operates across one level, meaning changes and updates are reflected in every system.

With the integration possibilities cloud provides:

• You eradicate needless admin and get more time back to focus on what really matters
• Employees have a far better experience with HR
• Your tech stack becomes future-proofed as additional systems can easily be brought into the mix

Change can be scary, but worth it

“The greatest discovery of all time is that a person can change their future by merely changing their attitude.” – Oprah Winfrey

I get it, change can be daunting, especially when it relates to systems as important as HR – will the software be as good? Will employees use it correctly? Will the time and resources required be too much?

Well, with some planning and management, you can make deploying cloud tech stress-free; as a starting point, focus on creating awareness and desire.

Why should I bother with the change? Why are we changing software? What’s in it for me? These are all questions your employees are thinking.

There’s nothing worse than hearing about change through rumours, so tackle worries head-on and clearly communicate the software change.

You may be pleasantly surprised to find your employees and leadership team have an appetite for a digital solution now that it is the new 'norm'.

Once you’ve raised awareness of the change, create desire by promoting the software benefits.

You want the original ‘why’s’ and what’s’ to change into ‘I’m interested, I understand the reason and I’m up for doing this’.

In our blog on change management, we provide five ways you can promote change in addition to more detail on raising awareness and desire.

Ask yourself this…

Do I want all aspects of HR integrated into one database? Does my business have industry-specific needs that require the deeper performance of a best-of-breed solution? Do I need the ability to configure processes more extensively?

Cloud HR isn’t the future, it’s the present.

Don’t let legacy systems hold your business back.