Very few people see the HR administration processes at their company and many are surprised when this network is uncovered. If you are an HR specialist, you feel that if you work in the management field, you can say goodbye to serious expenses with recognition.
HR department connects
Required tasks of the HR department are planning and administration. The latter requires the work of the other departments (e.g., assignments, attendances, absences). For collaboration, the HR department delegates certain tasks. It posts other tasks, instructions on paper or sends via email.
Example:
The assignments are prepared by the heads of department at a company but the finalisation is returned to the work department who will review and request corrections or additional information in case of error.
Everyone administers
Middle managers and employees manage part of the administration independently and coordinate with the work department.
Example:
At a company, shift managers record approved holidays into the Holidays book and agree on them with the employees.
Correction Cycle
However, the completed administration needs correction. One reason for this is that it is made by a ‘non-work dept.’ colleague or not compliant with the law. In this case, it is necessary to re-consult with colleagues dealing with personnel affairs. This cycle will continue over and over until everything is in order.
Example:
In a company using a working time frame, the assignments are prepared by team leaders but they do not pay attention to the rules of the break period and, therefore, the audit reveals that the workers have received little rest periods during a given period.
Correction cycles
This process is identical to the error correction cycle, the only difference is the reason. Another reason for editing the administration is the management of changes due to events that occur. Examples include the exchange of assignments or the management of leaves. This is followed by discussion, correction and recording. The more changes the more often does this cycle take place.
Example:
In an overrun company, incomplete days are marked as unknown absences during payroll accounting. Later it turns out that the employees did indicate their need for holiday but eventually it was not recorded because it got stuck at the middle managers.
Finalization of data
In most cases, the process is concluded with the aggregation and transferring to the payroll department. If the data is incorrect (such as allowances) or non-compliant with the law, they will be returned to the HR department for further consultation. And this circle between them and the workers is going on until everything is sorted out right.
Example:
Payroll department indicates that the records of a person are incomplete on certain days. Then they call back HR who find the employee’s manager, and the manager clears it with the employee and then sends it back to HR who sends it to payroll department. In another case, the employees indicate that they received low salary because their allowance was not recorded. Then they’ll coordinate with the middle manager and then with HR and payroll department…
Conclusion
The time-consuming system consumes the work of its employees and reduces productivity by two factors.
The too long process chains in which the administration takes many steps and difficult ways from the beginning to the end.
The other factor is the cycles. The more times you need to complete a particular process circles to run, the more time and energy will be wasted within the company.
The result is up to 3,000 hours of work and a lot of discomfort on the part of the employees. Some of the company’s resources go to uneconomical HR processes instead of more productive tasks. What’s the solution?
HR processes with ODT System
The figure below shows how the HR administration process looks like using the ODT System.
In real time
Thanks to digital transformation, all processes become real-time, without delay. The administration can be recorded, modified or forwarded on a single online interface.
Example:
Employees of a group of thousands of companies keep their working time records in the online application or on the desktop of the ODT System, regardless of their physical location. In case of change, the data is corrected only by the approved person.
Plannable labour management
In turn, real-time data allows you to plan with the labour, taking into account production and other factors, thus providing a strategic advantage.
Example:
In some months, a manufacturing company that hires a workforce has fewer orders for the finished product, while in other months there is an increase in demand. The assignments are then adjusted to the production volume thus always that many employees work as necessary. Thus, the wage cost is significantly reduced.
Data available always and instantly
All data are readily available, can be edited and modified. Thanks to automated solutions, repetitive tasks are lost.
Example:
At a company the working time records were kept on paper that were entered into the HR excel tables. With the introduction of the ODT System, hundreds of hours of manual typing are eliminated by copyable elements and calculations are eliminated.
Ghost in the Machine
The System has been designed so that some tasks can be performed completely safe by those not at labour dept., while processing shall be a real experience for HR.
Example:
At a company, the records of employees under working time frames were constantly post-inspected by a labor expert. With the statutory compliance testing function in the System, the planning and recording can be carried out with machine assistance without an expert.
Human Factors
Keep in mind the important factor that behind the numbers and processes there are people. In a low-efficiency HR system, the employees can be frustrated and exhausted by the ongoing administrative burden.
With a well-functioning digitised HR system, work becomes a real experience and satisfaction increases. And these factors bring happiness to you and your colleagues and unleash the productivity of your company!
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