10 Ways Cloud HR Software Can Improve the Workplace

Last Updated: April 19, 2024

Technology has revolutionized human resource management at a scale previously unimaginable. HR software has become a far more affordable and efficient way to manage a company’s workforce.

However, as the corporate world went global, companies needed a more efficient solution to overcome geographical boundaries for real-time tracking and remote workforce management. Cloud HR software came as the trailblazing solution to the twenty-first century HR management needs.

Cloud HR is the latest development in business technology to address the challenges HR managers face today. It is a new breed of cloud-based solutions that help in efficiently managing remote employees, time and resources while ensuring real-time tracking and reporting.

What is Cloud HR Software?

Cloud HR is a web-based HR solution that enables companies to manage their employees effectively. It allows companies to track the time and attendance of the remote workforce, process leave requests, manage workforce schedules, and more anytime and from anywhere.

Cloud HRM system is accessible to everyone – managers, employees, and recruiters alike. It can be accessed through any web browser or mobile device to access records, attendance, and payroll details anywhere, anytime.

How is Cloud Based HR Solution Changing the Workplace?

The job of the HR department is more than just processing payroll and tracking attendance. Hiring, training, and retaining valuable employees is a more significant concern for successful human resource management. HR management is now about building a productive workforce that can grow.

HR managers need to adopt modern technologies and go beyond traditional HR management techniques to make this happen. Here is how cloud HR has improved the workplace.

  • Realtime Performance Analysis: Organizations can now have transparency into the performance of their workforce by gaining access to real-time reports based on live data.
  • Enhanced Workplace Flexibility: Organizations can adopt a flexible working environment for the remote and on-premises workforce. Employees can register their attendance even at a client meeting or while working from home.
  • Employee Self-Service Portal: On Cloud HR system offers a centralized space where employees can access their records and history. It allows them to track their leaves, timesheets, payroll details, etc. which eventually leads to a more engaged workforce.
  • Improved Communication: Cloud-based human resource software allows employers to quickly approve leaves, communicate work schedules, manage calendars, and share important announcements.
  • Paperless Green Office: Web-based HR software makes it easy for HR professionals to process timesheets, attendance, and leaves. Online electronic forms instead of hard copies save a lot of paper to make the earth greener.
  • Top-to-Bottom and Bottom-to-Top Approach: Traditional HRMS software is only focused on top to bottom communication, which makes the workplace hostile. Cloud HRMS opens the way for two-way communication, giving employees a systematic collaboration approach.

Cloud HR solutions are important for modern-day organizations to access an affordable, efficient, and easy-to-use human resource solution customized for their unique needs.

Suggested Read: How Does Employee Record Management System Help Manage Staff Records

Top 7 Reasons to Choose Cloud HR Software

Undoubtedly, cloud HR systems offer businesses a range of benefits and functionalities not found in traditional HR Software. Here are the top 10 reasons why you should choose cloud human resource management software:

  • Cost-Effectiveness: On Cloud HR software has a lot of cost benefits. It does not require specialized hardware infrastructure or expertise. Besides, companies can choose to pay for specific features or even select the ‘pay as you go’ model.
  • Remote Tracking: The HR department has an option to keep track of the attendance and location of employees who are working from home or on the field. It overcomes one of the major loopholes of traditional HR management.
  • Scalable and Customizable: Cloud-based HR software is scalable and customizable as per your business needs, giving it an edge compared to on-premises counterparts. The companies can quickly upgrade their plans as per changing conditions.
  • Flexibility: Organisations can choose certain features, pay-as-you-go pricing models, and more with a cloud-based HR system. It offers them the flexibility to upgrade or downgrade the software features at any point.
  • Better Compliance: Cloud-based solutions are updated regularly according to changing regulations and other government compliances. Any change in TDS rules, PF rates, etc., will quickly be reflected on the HR portal.
  • Data Security: Most cloud HR service providers have equipped themselves with the latest security measures like encryption and role-based authorization. Even though the data is stored on the cloud, employees can access the information as per request.
  • 24/7 Access: Cloud services provide round-the-clock access, enabling employees or HR personnel to log in from anywhere or anytime, regardless of their geographical location.

Suggested Read: Why Your Company Requires HRMS Software with Employee Self Service Portals?

Features You are Likely to Get with Every Cloud HR Solution

Every cloud-based HRMS offers some core features. Here are a few must-have features of cloud HR software that you are likely to get in every solution:

  • Self Service Portal: Employees can log in from anywhere or anytime with internet access to view their work schedules, add, or edit their details, or request leave.
  • Leave Management: Employees can request leave and track its status from the portal. Managers can view all leave requests in real-time and process them accordingly to manage workforce balance.
  • Remote Attendance and Location Tracking: This allows the organization to remotely track the attendance and location of employees through biometric devices or smartphones.
  • Payroll and Benefits Communication: Organizations can process and send payroll, benefits, and tax details to employees in real-time. All the details are automatically sent to employees’ emails.
  • Real-Time Data Tracking: Cloud-based HR systems have an interactive dashboard that helps employees track daily activities, access attendance records, and manage leave requests.
  • Audit Trails & Report Generation: All the tasks are recorded in a logbook, ensuring that workforce management processes can be tracked end to end. Besides, web-based HR solutions offer viable report generation based on real-time data.

There are dozens of other functional features that might be included in a web-based human resource management system, depending on its price. These were only the core features that all cloud HR systems have.

Suggested Read: HR Pain Points faced by every HR Management Team

Advantages of Cloud-based HRMS over On-premises HRMS

A Cloud-based HRMS system has many advantages over traditional HR solutions in terms of cost, flexibility, and mobility. Here are some of the significant advantages of cloud-based HRMS software.

  • Lower Initial Cost: Cloud-based HRMS solution reduces the need for a company to maintain expensive hardware on-site. This dramatically reduces the initial cost of HRMS implementation and lowers the total cost of ownership.
  • Enhanced flexibility: Businesses can access their data anytime, anywhere on any device with Internet access. Users are not restricted by preconfigured services or inflexible IT administration.
  • Scalability: Organizations can easily accommodate changing business environments with cloud-based HR software. Businesses can upgrade the plan anytime, depending on the growing business needs.
  • Flexible pricing models: Cloud HRMS enables organizations to pay for only the features they need. This flexible pricing model allows small businesses to choose per employee/per month pricing system to lower the costs.

Suggested Read: Top Tools for Managing Employee Attendance During Work From Home

Synopsis

Cloud HR management software has become a necessity in the corporate world as cloud computing becomes mainstream. Cloud-based HR management technologies have changed how organizations approach employee management processes. HRMS cloud is a complete solution that facilitates scalable processes.

Faq’s

  1. What is an HRMS tool?

    A human resource management system (HRMS) tool is an all-inclusive business information system used to track, organize, and manage employee-related processes. An HRMS system manages all aspects of an employee's activity from hiring, training, and promotion to offboarding.

  2. What is cloud HR technology?

    Cloud HR technology is a modern approach to managing HR information through a web-based platform. Cloud-based software is accessed over the internet and works on any device with internet connection. Cloud HR tools can easily be accessed through the web browser and do not require huge upfront investment on dedicated IT resources.

  3. What is a cloud-based HR system?

    Cloud-based HR systems provide an innovative approach to accessing, storing, and managing employee data online. These systems provide businesses with a fast and cost-effective way to store and access their critical human resource information from any location.

Published On: January 5, 2022
Rajan Rauniyar

Rajan is pursuing CA with a keen interest in trends and technologies for taxation, payroll compliances, Tally Accounting, and financial nuances. He is an expert in FinTech solutions and loves writing about the vast scope of this field and how it can transform the way individuals and businesses manage their finances. His passion is not just confined to core finance-related writing but likes to explore the world of metaverse, cryptocurrency and stock trading. His content not only provides practical and effective solutions for business owners but is also engaging and informative to read.

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Rajan Rauniyar

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