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How to Customize your HR Software to Meet Business Needs? 

Updated on: 3rd Apr 2024

6 mins read

Have you ever thought of customizing your HR software? Why settle for traditional, time-consuming Human Resource Management Software, when we have an option to get our hands on a flexible and adaptive mode for it!  

What is customization in HR software could mean? 

In this world of rapid digitalization, where everyone and everything is getting digital why would HR not be the one?  

We know about HR software. They’re meant to be developed for the convenience of the HR leader, after all they are bringing talents for us. But those stringent and rigid HRMS structure binds the HR leaders to meet their specific needs.  

Gartner’s software market insights report states that almost 85% of businesses currently use human resources (HR) and talent management software and seven out of 10 leaders have already invested in this technology in 2020.  

Here comes the customization in HR software in light. Customization in HR software refers to changing the HR software as per the requirement of the HR managers to give them flexibility and personal touch to the HR software. It is the process of developing a tailor made HRMS for specific requirements. 

Types of HR software 

There are three different types of HR software widely known and seen. They are: 

  1. HRMS (Human Resource Management System): HRMS is the most sophisticated HR software type out of all containing features of both HCM and HRIS. It is used for storing employee data, payroll management, time and attendance tracking, performance management, training and development.  
     
  1. HCM (Human Capital Management): HCM is highly focused on HR based jobs rather than focusing on employees, unlike HRMS. It is used for talent acquisition, onboarding, workforce planning, performance management, reporting and analytics.
  1. HRIS (Human Resource Information System): HRIS focuses on employee data management. It is used for payroll management, attendance tracking, application tracking for new joiners, and details management.  

Why do we need customization in HR software? 

Who doesn’t love customization? But why do we specifically need it in HR software? Let us see why.  

  1. Brings flexibility: Customized HR software brings flexibility in the traditional HRMS. It ensures that the HR is not bound to use the strict and rigid HR software system. It helps them to get what they want in the software to meet their needs and requirements.
  1. Ensures security: The main concern of the organizations is security. Customization in a way ensures higher security and protection of the employee data. Most used HR software is more prone to become the target of hackers whereas customized HR software is difficult to reach.
  1. Enable organization-oriented approaches: Different companies have varied processes such as talent acquisition process, talent management policies, payroll management and much more. Customized HR software ensures that the different HR requirements are met, and the software is aligned to their policies.
  1. Provides access control: Customized HR software ensures role-based access control to ensure security of the HRMS from data breach. When limited access is given based on the role of the employee, it sets the seal with higher security and protection.
  1. Gives reporting and analytics: Customized HR software generates customized reports and analyzes data reports as per the organization’s specific requirements. This helps the HR managers to ease the reporting and analysis of the organization data. 

How to customize your HR software? 

Customization brings a lot of aid to the HR leaders. It allows them to be flexible, scalable and to enhance user experience. But how can we assess customization in our HR software to meet the needs of the organization? Let us see the key point to remember while asking for customization.  

  1. Remember your organizational goals: While asking for customization, always remember what your organizational goals are. Customized HR software must adhere to your organization’s processes and policies. Know what you want and have clarity in your achievement.
  1. Plan first: Make a proper and detailed plan of the software needs by creating a layout for the scope of the software, design, budget, role-based access control system, protection from users’ end. This will help to bring clarity to the developers as well as the clients.
  1. Train the users: Once the customization is done, give proper training and education about the software to maintain the standard of the software. They need to be trained to use the software effectively for the organization’s benefit. Design comprehensive training programs for the users to educate them about the features, usage and benefits of the software.
  1. Continuous auditing: The process doesn’t stop at the stage where the user gets the software. After the delivery of the product, continuous review and auditing of the software is necessary to make sure that the software is effective and efficient to be used by the HR managers. This will help them to identify the areas that need improvement.
  1. Self-service options: Assess the HR software to have self-service options where the users have access and update options for their personal information, various attendance features such as attendance regularization and leave management, uploading documents, badge system to pay their gratitude towards any employee.  

Traditional HR software vs Customized HR software. 

Let us see how customized HR software is different from traditional HR software.  

Traditional HR softwareCustomized HR software
  • Standardized HR management process.
  • Short-term cost benefit.
  • Limited approaches.
  • Interface is not that great.
  • Focuses on manual efforts rather than automation.
  • Flexible and adaptive HR management processes.
  • Long term benefits by one time cost.
  • Customized approaches.
  • User-friendly interface.
  • Focused on automation rather than manual efforts.

Conclusion 

Digital market has grown drastically due to the urgence of the digitalization. Everyday there is a new requirement to any existing feature. Thus, the organization is responsible for choosing an efficient and effective HRMS for their HR leaders.  

After all they’re filling up the organization with talents to benefit the organization.  

Nitin Bisht

Director Sales

Nitin Bisht, Director of Sales at HROne, has a demonstrated history of working in the HR technology and service industry. He is an active listener who seeks to understand clients’ needs and offer them exceptional solutions. Outspreading the effectiveness of HR automation and encouraging his team to aim higher are two of his greatest passions.

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