Human Resource Management Software- All You Need to Know
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Human Resource Management Software – All You Need to Know

May 14, 2022
Human Resource Management Software

As low as we give importance to the HR Job roles, the functionalities involved take up a lot of time! And to save this time, you need great Human resource management software.

When you try to build a business, you need to make sure you align with the business. As an HR you must modernize and transform.

To be an agent of change, HR needs to choose the right HRMS in the cloud to manage the entire employee lifecycle!

Let’s go through this article and get to know what Human Resource Management Software is and the functions involved in it. You will also get to know more about the benefits of HRMS!

benefits of HRMS

Let’s get going!

What Is Human Resource Management Software?

HRMS, HR management software or HRM software – all mean the same thing.

Human Resource Management Software


HRMS is a type of software that helps you to automate various HR functions. Here, you can save time and make sure you get rid of the burden of manual repetitive tasks!

An HRMS aims to improve the productivity and efficiency of your business. In a way, it reduces the HR team’s time spent on traditional approaches. Usually, HRMS includes the capabilities to handle Human Resources and Payroll as well.

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What are the Main Functions of HR?

Human resource management is a function of every organization carried out to increase employee productivity. It is a system primarily focused on managing how employees within the organization are focused on their work, projects, workflow, policies, etc.

Main Functions Of HR

Main Functions Of HR

Manpower Planning

When it comes to HR planning and recruitment, the emphasis is basically laid upon the requirement of talent for a particular task or a particular project. Manpower planning can be for a short span or longer time span as well!


When you begin with finding out the right talent for your company, the next thing that fills in your organization is you need to make sure you find the perfect balance of skill and competency. You can include job postings, referral plans, and promoting campaigns here. 


When a new joinee is about to start working for your company, you will have to give him a formal introduction to the company. This is known as the joining day! The whole process of making sure your employee feels welcome and gets settled into the work process is known as Onboarding.


As soon as your employee finishes their probation period, decided by the company in the first place, the employer is to review the work and employee. After this, if the employee gets a positive review, he/she can stay! This is the confirmation stage for an employee.

Employee Information Management

When it comes to handling the HR department and those involved in it, you will be mesmerized to know how long the list of the critical pieces there could be. You need to have cloud-based software to help you maintain this data.

Leave Policy and Transaction Management

The HR department is to formulate and manage the Leave policy of the organization. Apart from creating, HR personnel also have to keep in mind that the transaction of leave happens on time. It is a statutory requirement for any company.

Tracking Time and Attendance

On a daily basis, you need to have an End Of Day report from all your employees. As an HR it is essential to know the time is being invested in the right place. Apart from this, the time tracked will be useful when you do the payroll calculation and process salary.

Salary Changes and Increment Calculations

As an HR you have to be involved in fixing or revising the salary of employees in consultation with their working hours, leaves, and an appraisal if any. A typical salary revision is accompanied by updating the employee about the same. This information must be updated in your payroll software before the next payroll.

Payroll Processing and Salary Disbursement

Payroll processing and salary disbursement are critical activities for both the organization and the employee. One of the core reasons individual works for an organization is the remuneration they receive. You will see that apart from statutory compliance, payroll processing also involves the calculation of all statutory dues and generating the necessary reports. Besides this, you will need to keep the employees informed about the salaries paid to them, tax deduction calculations, reimbursement balances, etc.

Separation Process

When an employee submits a resignation or simply quits the job, it’s usually the initial step of the separation process. HR is responsible for ensuring that all the work involved in this process happens quickly and smoothly. The work involved would be to do an exit interview. As you work through the process ensure that all clearance certificates are issued, handover is done and complete information is passed on to the PAYROLL software. 

Communication And Basic Employee Services

As an HR it is your responsibility to enable and ensure a regular channel of communication between the organization and the employees. Employees need to be made aware of various policies like the Leave Policy, Attendance Policy, Travel Policy, Dress Code, etc. Then there could be various rules and regulations which an employee would need to follow in the organization. All of this will be usually available in Human resource management software. 

Employee Engagement

Departments are steadily undergoing a change from being a very transaction-oriented function to a more strategic one. One of the keys to the success of an organization is to have employees whose requirements and goals are aligned with those of the organization. HR Departments play a vital role in building this alignment.

Statutory Compliance

Another critical function of the HR Department is to ensure that the organization is compliant with all the relevant laws of the state and country. They need to ensure that they are aware of these laws and take up all activities that are needed to ensure that this is fulfilled.

If you need to know more about the statutory compliances you can read the below-mentioned ebook!

Payroll And Compliance – For Small And Medium-Sized Businesses In India

MIS Reports

MIS is also known as Management Information Systems where HR needs to submit multiple reports to the stakeholders. Some of these reports are presented periodically and will be in a pre-defined format available in their Human resource management software. From a stakeholder perspective, this is a critical activity as they would use this in their planning and organization reporting processes.

Training and Development

This function of training and development focuses on upgrading the knowledge and skills of the employees. New joiners are trained on the product and processes of the organizations when they join. Employees are also trained in various soft skills such as team building, leadership skills, etc., and behavioral skills such as time management, etiquette, etc. as they stay in the company for a long time.

Performance Appraisal and Promotions

Performance evaluation is a systematic activity. It is here to help an organization determine the extent to which employee is delivering with respect to the project. HR personnel makes sure to design and implement the Project Management System (PMS) and maintain the records.

5 Methods For Employee Performance Appraisal

Succession Planning

Succession Planning is the process where HR has to recognize employees who can move into positions of higher responsibilities in the same organization. You can start by watching over their reports and constantly grooming them so that they are capable of achieving the positions. HR staff needs to identify such candidates, provide them with the required inputs, help them collaborate with the seniors, track and monitor their progress.

Human Resource Development

A Human Resource Development program attempts at enhancing employee motivation and workplace morale through improved communication. The discussion has to take place for employee participation in the decision-making processes. HR seeks to reduce the stress on employees in aspects of work instead of technical or economic aspects.

How to find the right Human Resource Management Software for you?

Now, that you have understood how an HR job role has complied with different functions. Missing out on any one of those is negligible. The best way to handle all the functions with ease is to have a highly efficient Human resource management software! So, how do you find the right HRMS for your company?

There are certain points you can keep in mind before deciding on the HRMS.

find the right Human Resource Management Software

  1. Begin by introducing formal policies and procedures. Even for SMEs, it is an essential mandate. As you bring an Human resource management software into your organization you will have discipline on the front!
  2. Figure out your needs. As an organization, you will certain requirements to be met. And keep in mind these features, when you choose HRMS for your organization.
  3. Your ROI from the cloud software has to be your top priority. It defines the nature trends to be highly cost-effective compared to the desktop software
  4. In its most skeletal form, you need to begin with an Human resource management software that has a Self-Service portal. 
  5. Make sure Human resource management software has the capability to eliminate repetitive manual tasks with automation.
  6. Select a service provider that gives out uncompromised customer support!
  7. The cloud HRMS has to configure to your needs. Be it leave policies or attendance tracking according to your organization.
  8. An Human resource management software needs to have a report section!
  9. Reports and analytics for all the employees and their performance throughout the month
  10. Ability to have an integration with your existing system.

Now, that you know what to look out for in an ideal HRMS, let’s wrap this up!

Summing Things Up!

Now that you have seen all the components of a Human Resource Management Software, let’s bring in a simple way to handle your Human resource management software with UBS. It is definitely one of the Human Resource Management Software India. to help you deliver a world-class experience with handling employees.


What is human resource management software?

An HR management software is used by organizations to manage internal HR functions and processes. From employee data management to payroll, recruitment, benefits, training, talent management, employee engagement, and employee attendance, HRMS software helps HR professionals manage the modern employees at the workplace.

What is the difference between HRMS and HRIS?

HRMS stands for Human Resource Management System, whereas HRIS stands for Human Resource Information Systems. HRIS is a basic version of the software that focuses on the most essential details while HRMS is a bit more complex and an extended system usually includes all features with additional tools and features. Check out UBS HRMS to know more.

What are the different types of HR software?

There are three different types of HR software, HRIS (Human Resource Information System), HCM (Human Capital Management), and HRMS (Human Resource Management System). If you want to know more about HRMS software in India, you can check out UBS now!

What software does HR use for payroll?

When it comes to calculating PAYROLL, you need to know that you need an HRMs to calculate attendance, every time tracking, and leave management. With that data, you can calculate payroll with the help of PAYROLL software. One of the best Human Resource Management Software is UBS HRMS and UBS PMS can help you with it!

Alpesh Vaghasiya

Alpesh Vaghasiya

The founder & CEO of Ultimate Business Systems Pvt. Ltd. (UBS), I'm on a mission to help small and medium-sized companies to grow to the next level of accomplishments. With a distinctive knowledge of authentic strategies and team-leading skills, my mission has always been to grow businesses digitally. The core mission of UBS is Connecting people, Optimizing the process, Enhancing performance.

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