The HR sector has undergone some radical changes recently, with almost every aspect of it being affected by fluctuations in the economy. Businesses must cut costs whilst maintaining high levels of service, meaning HR departments must provide effective solutions to recruitment and staff issues in a difficult market. Instead of traditional on-premise software packages to manage HR functions, more and more businesses are turning to SaaS (Software-as-a-Service) HR solutions. Could your company benefit from this strategic approach?
SaaS HR solutions can prove to be an extremely cost-effective option for your business. The initial outlay is substantially lower than traditional in-house software options. Rather than having to invest in a large sum up-front, SaaS users pay a subscription fee, usually on a monthly basis. This type of on-demand service can represent excellent value as firms do not have to fund an in-house infrastructure on a full-time basis. SaaS packages are priced according to a variety of factors, one of which is typically the number of people who will be actually using the application. This avoids unnecessarily spending money on licensing software for a large number of users if you are a relatively small company. Businesses also avoid the expense of having to invest in additional hardware as this is the responsibility of the off-site supplier.
Improve system efficiency
System back-ups and upgrades are carried out automatically by SaaS providers, so you will always get the latest available technology without your I.T. department having to be responsible for it. Additionally, the supplier is responsible for dealing with any maintenance problems, leaving you and your staff free to get on with your actual work. The direct access of the supplier will also provide more efficient system support in the event of any issue.
Get more flexibility
Using a cloud-based system means that staff can work anywhere they have access to the internet. The demand for more flexible working options can be met by implementing systems such as CIPHR SaaS HR services. SaaS can also be used for a number of other functions within your business, such as accounting, enterprise resource planning and customer relationship management. Although staff may initially find the use of a SaaS model a change from the previous system, internet usage is now commonplace for so many functions that they will find it easy to adapt to.
The benefits of incorporating SaaS into your HR structure are clear but there are a couple of key points to make sure you have addressed with your provider. It is vital to ensure they have sufficient encryption protocols to avoid any potential security breach of data stored within the cloud. As information is stored remotely you are subject to the speed of the web as a whole, rather than the possibly faster transfer rate of an internal network. Total reliance on the internet could prove problematic in the event of a network failure, so a back-up system is a good idea.
Using SaaS HR solutions within your company can be a strategically smart move. This type of business model can have wide-reaching benefits for your firm, enhancing efficiency and improving performance.