SCORE

The digitalization of human resources (HR) is well underway.  With digitalization, companies are saving time posting jobs, sifting through resumes, following up with applicants, contacting qualified candidates, scheduling interviews, filing necessary forms, complying with regulations, performing training, scheduling shifts, tracking hours, managing payroll, overseeing performance reviews, ensuring worker attendance, surveying employee satisfaction, offering fringe benefits and attending to employee issues.

LinkedIn is the “In” platform

In 2003, LinkedIn launched its website. That was the beginning of the world’s largest professional network. Over 500 million professionals world-wide have created profiles on this platform. By contrast, D&B Hoovers only has 85 million contacts. LinkedIn has created the responsibility for individuals to update their own profiles. They have also successfully leveraged a network effect with crowdsourcing to keep each profile current.

LinkedIn is now the prime source used by headhunters and corporate recruiters. In addition to posting jobs, LinkedIn is great for discovering talent that is not actively looking for work. In its vast database, you can find the exact match for a worker with the experience and skill you are seeking.

Online job posting

Companies also advertise their open positions on Indeed, CareerBuilder, Dice, Glassdoor and other job posting sites.  Companies no longer need to spend thousands of dollars on Sunday circulars and headhunter fees for most job openings.

ZipRecruiter can help you also manage your job postings. It dispatches job openings to over 100 online job and social media sites, saving you the trouble to advertise on multiple platforms. They can alert suitable candidates who have submitted resumes through these sites and prompt them to apply.

When creating your job postings, draw from your company’s list of keywords to include in your job descriptions. Include all relevant keywords for the desired searches related to your company’s unique selling proposition and job description. This will help your ads rank higher on Google.

In this hot job market, with record low unemployment, responding quickly to an applicant is essential. Most of these sites have mobile apps that will alert you 24/7 when a new application arrives.

You can also establish virtual interviews using pre-screening questions to filter through unqualified candidates.

Advanced filters and AI algorithms

In addition to pre-screening questions, some apps like SmoothHiring, ClearFit and Filtered offer filters, algorithms and artificial intelligence (machine learning and neural networks) to help with your search. They play-off of your company’s keywords and criteria to weed out inappropriate and unqualified applications, leading to the most qualified applicants.

Digital Optimization and Transformation for Small Businesses eBook

Watch ratings on Glassdoor

Glassdoor built its website and company to shine a light on workplace conditions. With millions of reviews from workers, job seekers get an idea about a company’s standing in the eyes of their peers.  

Setup a company profile on Glassdoor and keep an eye on what your current and previous employees are posting on the site. You want to stay on top of any negative reviews to mitigate their effect. Disgruntled employees are notorious for blaming your company and everyone in it for what at times is attributable to their own shortcomings. Encourage departing and existing employees to post their honest assessments on the site. They can do that anonymously so they should not worry about any repercussions for being honest.  Use their candid input as an opportunity to learn and improve work conditions.

Glassdoor allows you to view average industry salaries for your open positions as well as how your competition is performing. You can use this information to position your company to attract the best candidates.

HR software

Hiring the best candidates is one of the most important tasks your human resources department is tasked to do. Retaining and developing current employees should be their top priority. Software applications such as: PeopleMatter, Namely, JazzHR, Cezanne, Zoho People, Zenefits, BambooHR provide useful tools such as:

Recruiting

A recruiting tool should integrate with the rest of your human resource department. This is only the first step of the process.

Forms

New employees need to complete many forms at the time of their hiring. This includes proof of citizenship, Determination of Worker Status for purposes of Federal Employment Taxes and Income Tax Withholding and Employee’s Withholding. Other forms may include non-disclosure and non-compete agreements, bank deposit information, healthcare forms, and 401(k) forms. There are additional forms needed throughout the employment span and upon termination. Tools are available today to digitalize this process and manage it.

Compliance and governance

To meet government regulations, file necessary documents with local and federal authorities. Notify sates and federal authorities of new hires and terminations if required. Report income and pay unemployment, social security, Medicare, state and federal taxes. The Internal Revenue Service requires you to file monthly, quarterly and annual forms. Cobra and retirement plans also have their own compliance requirements that you need to meet. Affordable digital payroll solutions make this process seamless and error-free, thereby eliminating sizable penalties and potential criminal liabilities.

Performance reviews

Your employees deserve yearly or more often reviews so that they know where they stand and how they can better contribute to the company’s success. Managers and HR should coordinate employee performance reviews. Software can facilitate the documentation of the reviews and manage the scheduling and execution of necessary action items.

If your company is ISO 9001 certified, you are required to hold and document annual performance reviews to ensure that your employees are attending necessary training.

Training

Training is essential to the success of employees and the company. Many online tools are available to help companies establish necessary training for new hires and existing staff. Audiovisual and multimedia training is at the core of eLearning’s contribution to business expansion. An adequately trained workforce can effectively contribute to a business’s growth and stability.

Scheduling

Companies dealing with labor scheduling logistics due to eight-hour plus workdays, multiple shifts or weekend and holiday work schedules, rely on scheduling software to minimize overtime pay, eliminate health hazards and reduce burnout. Leading manufacturers cross-train assembly line workers and give them two-hour rotating shifts to minimize body stress caused by repetitive movements. Not having to pay time-and-a-half for overtime can help minimize fixed and variable labor costs.

Attendance

Absenteeism and tardiness cost companies an estimated 3% in productivity annually. Tracking employee arrival and departure times can be a daunting task, particularly when you offer flexible work time or have many workers. Logging sick, personal and vacation days, adds more complexity to managing attendance. Software can help automate these tasks. If you have a WordPress website, you can use a free plugin like Clock In that allows you to automatically track when your employees enter and leave the office.

Surveys

Using online surveys, HR departments can evaluate how well the company’s executives are communicating with employees. Performing gap analysis can show perceptions of management compared to employees. HR personel can then work on closing this gap.

Fringe benefits

Many companies offer cafeteria style benefit packages that include medical insurance, dental, eye care, life insurance, holiday, vacation and 401(k) retirement plans. Choose the benefits that best suit your organization and outsource their management to third parties.

Automating human resources

Human resource departments’ expenditures on average take up 2-3% of a company’s revenue. HR functions are essential to the success of all company departments, particularly marketing and sales, since they often have the highest turnover.

By automating HR functions, companies can minimize redundant work and maximize the value that HR adds to the company. HR staff can concentrate on hiring the best candidates, training them, ensuring their safety, promoting their health, contributing to their social welfare and keeping company morale high.

Automating HR functions will provide a digital imprint to the HR department. This department has the greatest impact on the company’s culture. This digital transformation of your HR department helps enable digital changes throughout your organization.

About the Author(s)

Nabil Freij

Nabil is a certified SCORE Mentor, problem solver and entrepreneur. He draws from various technical & management skills to streamline business processes & operations, minimizing costs & maximizing profitability. Skilled in all aspects of running a small business including Finance, Operations, Marketing, Sales, IT & HR. Author of Enabling Globalization, trilingual, MSEE from Brown, MBA from Bryant.

CEO, GlobalVision International, Inc.
Human Resources Automation