Believe it or not, there is a strong link between the happiness of employees and profitability of the company that they work for. In fact, 2014 saw Fortune’s 100 Best Companies to Work For increase their profits by an average of 22.2%, which is a sizeable increase when you consider the prevailing economic climate.
Optimising employee productivity is easier said than done, however, particularly when you consider that each member of staff has their individual cost base. In order to make each employee more profitable, you must consider this cost and develop a strategy that optimises your ROI.
One way to achieve this is to select an intuitive HR system that contributes to a more productive and profitable workforce. So, here are some tips on how to make the right choice:
1. Choose a System That Boasts Advanced Analytics
Modern HR systems are far superior to their predecessors, primarily because they focus extensively on analytics rather than standard reporting metrics. This includes individual elements such as employee performance, the deployment of internal resources and people management strategies, as you look to track engagement levels and highlight potential areas for improvement.
With this in mind, there are two key things to appraise when looking for systems. The first is the size and the range of data-sets that can be accessed through the system, as this dictates the accuracy with which you can measure performance and efficiency over time.
The second is the analytical features included within the platform, as systems that are capable of evaluating more complex data-sets will offer greater value over time. extensively on analytics rather than standard reporting metrics.
2. Understand the Precise Needs of your Business
While analytics-based systems offer far greater value to businesses in the modern age, not all platforms have been made equal.
This means that there are various types of systems available on the market, each of which have a variable price point and a unique combination of features. You therefore need to make a selection based on your businesses core needs and expectations, so that you can obtain your commercial objectives while empowering the human resources that exist within your business.
If you have a specific issue with customer engagement, for example, you need to invest in a system with strong performance metrics that can test the effectiveness of your proposed solutions. For employers with a happy and engaged workforce, there may need to be a greater emphasis on retention and the strategies that are used to maintain happy teams!
3. Consider the Back-end of your System
While you may be able to use your analytical HR software to manage an overarching people strategy, you should not lose sight of the fundamentals when selecting a system. After all, inconsistent payment dates and timesheet management can have a huge impact on employee productivity, while making your business less profitable in the process.
You therefore need to ensure that your system boasts adequate timesheet management software to suit the size and scale of your venture. Not only this, but the platform must also have the capacity to analyse this data in depth (particularly the variables that can change over time).
This guarantees consistency and creates a viable model, while it also offers an insight into how employees spend their time. If you find that resources are being wasted, you can realign these to increase your ROI and make individual team members more profitable.