What is e-HR?
e-HR (shorthand for HR services delivered electronically) allows employees to perform traditional ‘HR tasks’ on their own, at any time, using familiar Internet browser screens. The scope of transactions is growing - originally, it covered only basic personnel processes such as the maintenance of personal data, registration for training courses, the booking of travel and accommodation, time administration and the submission of expenses.
Properly implemented, e-HR offers reduced costs, increased productivity of staff and their managers, more access to information and control for employees, and the opportunity to provide ‘value added’ HR.
Benefits
There is a lack of awareness of the benefits of e-HR, both in the business and in HR itself. Many organisations are inclined to wait to see what their competitors do before they commit, rather than lead the way. However, if implemented correctly e-HR can pay dividends to not only the HR processes but to the organisation as a whole.
Properly implemented, e-HR offers reduced costs, increased productivity of staff and their managers, more access to information and control for employees, and the opportunity to provide ‘value added’ HR.
Improve employee service
e-HR represents a major change in the way that organisations deal with employees. In the same way that cash machines changed people’s relationships with banks, e-HR is set to transform how employees and managers deal with their personal administration at work. Both innovations have led to significant financial benefits for the organisations involved and made everyday tasks more convenient for employees.
Support flexible working
e-HR gives people in an organisation access to the data and processes that are relevant to them, enabling them to view and update information (such as personal records, payslips, timesheets, holidays, absences), and make choices about their options (like benefits and rotas). e-HR also supports flexible working from the office, home, customer site or when travelling, being available around the clock. In some settings ‘kiosks’ can be made available in staff areas on-site.
Enhance employee relationships
It’s a simple idea that constitutes a fundamental change in the way employees relate to their organisation. Some employers see e-HR as a means to create a more ‘grown up’ relationship with staff, where people are allowed to take direct responsibility for their affairs without any ‘hand-holding’ from an HR department.
Share information
e-HR has become possible through significant developments in Human Resource Management Systems (HRMS) combined with the emergence of web-based solutions capable of sharing data across many different applications. Typically, access to e-HR is through a secure web browser which presents the user with the information they need to perform each transaction.
e-HR change culture
e-HR has been promoted as an ideal for many years, and its use is very common in most US organisations where there is arguably a more pioneering attitude to new technology. In the UK, where we are more likely to wait for proof that it is a sound investment, take up has been slow but steady. Nevertheless, the numbers of organisations implementing or planning the use of e-hr has risen significantly over the last few years.
Return on investment
e-HR removes the repetitive, manual, paper-based chores from HR work, allowing the HR team to focus on people management rather than administration.
Organisations need their professional experts to be providing a service that supports the strategic goals of the business. Although this situation is improving, e-HR is an opportunity for HR teams to take a leap forward in developing their role and their relationship with senior management. Improved access and quality of information helps with strategic business planning and in developing and measuring HR initiatives.
Administration
e-HR provides a significant reduction in basic administration. Time spent on the manual entry of data, maintaining employee records, processing requests, filing and dealing with enquiries is significantly reduced. Experienced HR professionals are freed to undertake more professional activities which add real value to the organisation. Typically, 30%+ savings can be made on HR operational costs.
Accuracy
By capturing data from employees at the source, e-HR improves the accuracy of data, meaning a eduction in errors in overtime payments, leave and sickness entitlement, and providing timely, relevant information for management reports.
Technology
e-HR maximises the use of existing technology. Many organisations have powerful IT networks that are not being used to their full capacity. In principle, once an e-HR system is in place, new uses and functionality can simply be plugged into the existing network without the need to tear out existing applications. In most cases, organisations will not need to invest in any new IT infrastructure.
