When choosing any new expenditure for a business, it can be an arduous task to filter through the thousands of providers available. When it comes to finding an efficient HR system, there is no exception. However, these platforms can make the running of an organisation better and easier, it is a task worth undertaking.

But what needs to be taken into consideration when choosing one? After all, making the wrong investment can not only make HR teams work harder, it is also a waste of funds. With so many types of HR software available, it is crucial to know what to look for.

Below are the top 7 key factors to keep in mind while shopping for your new HR software.

1. Usability

Every office has varying tech abilities among the workforce and it’s important to cater to even the lowest level.

There is little used investing in a platform that staff members can not use. Over complex systems can easily lead to employees avoiding them or potentially using them incorrectly. Both scenarios will lead to a wasted investment.

HR software is aimed towards making lives easier for HR staff and other employees and anything hard to navigate will lead to queries, questions and problems being aimed towards IT departments or directors, leading to more time wasted and excess work.

Having an intuitive user interface means the programme will anticipate what the user is needing or wanting to do. Having the right UI means it provides what a user needs and doesn’t hinder their tasks.

2. Value

Cost and value are two very different things, a cheap system may be below budget but provides no value, while the top of the range HR system may seem like an unnecessary expense but provide huge value to the user.

While any new technology should fit into a budget, don’t let essential elements slide just because of cost. It is better to stretch budgets if it means new software will meet the needs of the business. The expense should never overtake ROI.  

3. Features

Even before starting the search for a vendor, all features needed should be considered. Most HR systems will include personal information storage for employees, recruiting and training platforms and absence management.

Great if that’s all you need as you search should be relatively straightforward. However, additional features make me required in order to make the purchase worthwhile.

Make a full list of everything required to make a real difference within the workforce before looking for a supplier.

4. Supplier Knowledge

HR software companies can often be tech suppliers and nothing more. Their knowledge is designing and creating this software can be exceptional, but their HR knowledge can be lacking.

Small businesses who are yet to implement an HR expert in-house can struggle to understand the legal side of HR and how to follow practices, especially when it comes to benefits or insurance.

Choosing a vendor who is also an HR expert provides valuable support and expertise in this area. Having the benefit of an HR professional at the end of the phone can help small businesses grow and even if an HR team is hired, outside advice and perspectives can still be attained.

5. Scalability

No matter the size of a business, there is always room to grow, from new departments, offices and world-wide locations. This complicates HR systems, especially if wanting to move part of the business overseas.

Having to replace current HR systems can be costly, time-consuming and a lot of hassle, especially when employees have gotten used to a certain system already.

Look for a software supplier who offers scalability and ideally international options to continue using the same platform, no matter what happens in the future. It is always best to over-prepare than under-prepare.

6. Integration

Organisations may already have unique software installed for other applications. A chosen HR system may cater to the HR team but could upset other departments’ current technology and interrupt the function of current internal systems.

Speak the vendors about custom integration features or third parties about smart integration. Most vendors should be able to provide support as to what may or may not work with your current systems. If they have this knowledge at the beginning, they are most likely to troubleshoot any issues quickly in the future.

7. Customer Service

Sales teams are great at convincing customers they provide the best service available. Unfortunately, many vendors slip with their service as soon as a client has parted with their money.

With technology like this, it is vital that the right support is offered throughout the contract to aid with any problems and prevent businesses from having to pause while issues are fixed, potentially leading to lost revenue.

While HR software suppliers will sing the praises of their customer service teams, this can’t always be taken as gospel.

Read reviews online about suppliers to gauge a feel for their after-sales service. Better yet, speak to similar businesses who may already have these systems in place, they can provide honest reviews and pros and cons of their supplier.

They will also be able to flag any features which they missed in their package which could have proved useless or any they paid extra for that have been found to be redundant.

Choosing the right HR system for any business will take some time and shortcuts shouldn’t be taken. With the right research, disasters can be avoided and organisations can see a noticeable change in the running of the business.

Make sure all these factors are considered before taking the plunge and investing in HR software.