How to Leverage HR Automation: The Full Guide

We’re all too familiar with those terribly manual tasks that take up precious time and resources. They feel like hours of wasted energy on dull and monotonous tasks. Can’t there be a better way? 🤔

HR automation is a fast-growing trend that has the potential to revolutionise the way we approach repetitive but crucial tasks. With these impressive advancements in technology, many organisations are adopting automation solutions to improve their operational efficiency and bottom line. 

The fact is, so many benefits of HR workflow automation are at play: increased productivity, improved employee engagement, streamlined workflows, reduced operating costs, and complete consistency throughout the pipeline.

But with so many options available, how can HR managers leverage the right solution for their organisation? Let's explore the ways in which automation helps HR build a high-functioning infrastructure that employees, job applicants, and executives can thrive in. 👇

What Is HR Automation?

HR automation is the use of technology to automate or streamline human resources (HR) processes, tasks, and workflows. It aims to reduce the amount of manual work required for HR functions, increase efficiency and accuracy, and allow HR professionals to focus on more strategic activities. 

Without automation, document-driven processes like employment contracts are time-consuming and error-prone. HR automation involves using software and digital technology to automate routine HR tasks, like preparing and filing contracts. This frees up the HR department’s time to focus on much higher-value activities. 

Automated HR systems were developed in response to the challenges of managing contemporary workforces with traditional systems. HR automation tools have been shown to massively enhance efficiency and security while decreasing the chances of human error, ultimately improving profitability and employee engagement. 

As the automation of HR processes becomes the norm, organisations are now learning to use automation in a human-first way to gain a competitive advantage, especially in the context of the anticipated Great Resignation.

The Benefits of HR Process Automation

The primary objective of HR automation is to free up time for HR personnel to focus on critical value-adding work like strategizing and decision-making, ultimately delivering better candidate and employee experiences. 

According to Zapier, automation saves HR professionals 8 hours every single week. Without having to handle repetitive tasks, HR teams can use their extra time to concentrate on the organisation's most valuable asset – its people. They are able to continually improve employee engagement, implement comprehensive workforce management plans, and enhance talent recruitment and retention strategies. 

But what are the other benefits of HR process automation? 

Increased Efficiency

HR teams can redirect their focus from completing redundant or repetitive tasks, such as creating calendar events, integrating systems, and messaging employees, towards more value-producing activities. When these tasks are done manually, they can be highly inefficient and time-consuming due to errors, filing issues, or "stuck" paperwork.

However, automating these tasks can result in an instant boost in productivity and efficiency. With automation, there is no need to look for physical files or manually search for specific numbers. Once the data is entered, managing documents becomes a breeze.

Cost Savings

Research has shown that HR process automation can decrease administrative costs by 30% for HR professionals and 49% for employers. Organisations can hugely reduce costs by automating routine tasks like ​​payroll processing, benefits administration, and onboarding. 

Additionally, without an organised system for retaining records, organisations often find themselves keeping paper records indefinitely, which is not cost-efficient. However, switching to an automated system can help save on these operational expenses. 

Reduced Human Error

HR automation can reduce the dependency on manual labour, which often leads to human error. With automation, there are fewer opportunities for workplace mistakes, and data across all departments, platforms, and apps are unified, providing more consistent records and eliminating repeated data entry.

One area where HR automation can have a significant impact is in the payroll process. Delayed or error-ridden paychecks can lead to employee dissatisfaction. If the payroll process involves manual calculations of earnings and deductions, updating spreadsheets, and scanning paper documents, it's time to consider automation. Manually doing payroll is a slow process that can take hours, if not days, and has a higher chance of producing errors.

Enhanced Compliance

In order to comply with increasingly stringent data security and compliance regulations, organisations must adhere to data capture and management best practices. Failure to do so can result in significant penalties and harm to the organisation's reputation, leading to potential loss of business opportunities.

HR automation can help organisations ensure that all sensitive candidate and employee data is safely stored and managed in compliance with applicable regulations. Automation also enables HR managers to archive all important documents and actions taken on those documents, in accordance with a retention schedule that meets compliance requirements. 

This promotes consistent, organisation-wide records policies and lessens the burden of compliance for individual employees. Furthermore, HR automation best practices can help ensure that all candidates are offered equal opportunities and treated fairly in the workplace. 

Improved Employee Experience

Automation can significantly improve the employee experience in a number of ways:

• Onboarding: Automating the onboarding process can help new employees feel more welcomed and supported from the start. This can include digital forms and documents, virtual training modules, and automated email communications that guide new hires through the onboarding process.

• Self-service: With HR automation, employees can access important information and complete routine tasks on their own, without having to rely on HR professionals. This can include updating personal information, accessing pay stubs, requesting time off, and more. By providing employees with more control over their own HR-related tasks, they can feel more empowered and engaged in their work.

• Improved communication: Automation can streamline communication between HR professionals and employees, ensuring that important messages are delivered in a timely and consistent manner. Automated email reminders, for example, can help employees stay on top of important deadlines and tasks.

• Performance management: Automation can help HR professionals more easily track and analyse employee performance data, making it easier to identify areas for improvement and provide more personalised coaching and feedback to employees.

Real-World HR Automation Process Examples

HR automation has become a game-changer in modern human resource management. Businesses can now reduce the time, resources, and costs required to manage routine HR tasks by leveraging automation. The following are real-world examples of HR automation processes that businesses use to streamline their HR operations:

• Automated Onboarding: Automating the onboarding process enables HR professionals to streamline the entire hiring process, from the recruitment of candidates to the final offer letter. HR automation software can help new employees complete digital forms and documents, complete virtual training modules, and receive automated email communications that guide them through the onboarding process.

• Performance Management: Performance management is a critical HR process that can benefit significantly from automation. Automating the performance management process helps HR professionals track employee performance data, identify areas for improvement, and provide personalised coaching and feedback. HR automation software can also help set goals, track progress, and generate performance reports.

• Payroll Processing: Processing payroll can be a complex and time-consuming task for HR professionals. Automating the payroll process can help reduce the potential for errors and ensure that employees are paid accurately and on time. Automated payroll software can also help HR professionals manage taxes, benefits, and other payroll-related tasks.

• Time and Attendance Tracking: Automating time and attendance tracking can help HR professionals monitor employee schedules, attendance, and time off requests. Automated software can help track employee hours, manage schedules, and generate timesheets, reducing the time and effort required to manage these processes manually.

• Benefits Administration: Automating benefits administration can help HR professionals manage employee benefits more efficiently. Automated software can help manage employee benefits, track claims, and communicate benefits information to employees. This can help reduce the time and resources required to manage benefits manually.

What are your favourite ways of implementing HR automation? 👇

HR Automation Trends in 2023

As technology continues to evolve, new trends in HR automation are emerging that businesses can leverage to streamline their HR operations. Businesses are continuously searching for innovative ways to streamline their HR operations and make their HR processes more efficient, and HR automation has proven to be a viable solution. 

With the huge popularity of HR automation has come some emerging trends HR professionals should look out for. Let’s explore these 2023 HR automation trends! 🔎

Artificial Intelligence (AI) and Machine Learning (ML)

Artificial Intelligence (AI) and Machine Learning (ML) technologies are becoming increasingly prevalent in HR automation. AI and ML can help businesses automate HR tasks such as resume screening, candidate matching, and employee training. These technologies can also help identify patterns in employee data to predict future outcomes and improve HR decision-making.

Chatbots and Virtual Assistants

Chatbots and virtual assistants are becoming more popular in HR automation. They can help businesses provide 24/7 support to employees, automate HR processes such as onboarding and benefits administration, and provide quick answers to common HR-related questions.

Personalisation and Customisation

HR automation tools are becoming more personalised and customisable to meet the unique needs of each business. For example, automated HR software can now offer personalised training programs based on employee job roles and skill sets, or customised benefits packages tailored to individual employee needs.

Mobile Optimisation

As more employees work remotely or use mobile devices for work, HR automation tools are becoming more mobile-friendly. HR automation software can now be accessed on mobile devices, making it easier for employees to complete tasks such as submitting time off requests or accessing their benefits information on the go.

Takeaway: Will HR Automation Replace the Human Component? 

As businesses continue to embrace HR automation, there is growing concern that it may replace the human component in HR entirely. While automation has the potential to streamline HR processes and increase efficiency, it is important to recognize the role of human interaction in HR and the importance of balancing automation and human involvement.

HR automation can take care of many routine and repetitive tasks, but it cannot replace the human touch that is needed for tasks that require empathy, intuition, and critical thinking. While HR automation can increase efficiency and save time, it is important to balance it with human interaction to avoid the risk of dehumanising HR processes. An overreliance on automation can lead to a lack of personalization and individual attention, which can negatively impact employee engagement and satisfaction.

A successful HR automation strategy should prioritise a balance between automation and human interaction. HR professionals should focus on leveraging automation to handle routine and repetitive tasks, freeing up their time to engage in more strategic activities that require a human touch. 

In conclusion, while HR automation has the potential to revolutionise HR processes, it cannot replace the human component entirely. Balancing automation and human interaction is key to a successful HR automation strategy that prioritises efficiency and personalization. 👍

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FAQ: Frequently Asked Questions

How do I automate my HR department?

Automating your HR department involves identifying the HR processes that are time-consuming and repetitive and finding suitable software or tools to automate them. You can start by conducting a process audit, selecting a suitable HR automation tool or software, and integrating it with your HR information system (HRIS).

What is the future of HR automation?

The future of HR automation is expected to be driven by Artificial Intelligence (AI) and Machine Learning (ML), leading to more personalised and efficient HR processes. Automation will continue to play a crucial role in HR operations, allowing HR professionals to focus on high-value activities.

Will HR jobs be automated?

While automation will automate some HR tasks, it is not expected to replace HR professionals entirely. HR jobs will evolve to include more strategic and people-focused responsibilities that require human interaction and decision-making.

How much of HRIS is automated?

The extent of HRIS automation varies depending on the organisation's size, industry, and HR processes. Some companies may have fully automated HRIS, while others may still rely on manual processes.

What are the 7 HR processes?

The seven HR processes include recruitment and selection, onboarding and orientation, performance management, compensation and benefits, training and development, employee relations, and HR data management.

Will HR managers be automated?

HR managers may use automation tools and software to streamline HR processes, but their roles are unlikely to be entirely automated. HR managers will still be responsible for strategic decision-making, employee engagement, and developing company culture.

What is HR automation software?

HR automation software is a type of technology designed to streamline HR processes by automating repetitive and time-consuming tasks such as onboarding, payroll processing, performance management, and benefits administration.

What are HR automation tools?

HR automation tools are software programs designed to automate specific HR functions, such as recruitment, onboarding, performance management, and payroll processing.

What is HR workflow automation?

HR workflow automation involves using technology to automate HR processes and workflows, allowing HR professionals to focus on more strategic activities.

What is robotic process automation in HR?

Robotic process automation (RPA) in HR involves using software robots to automate repetitive and manual HR tasks such as data entry, form filling, and document processing.

What are automated HR systems?

Automated HR systems are software applications that automate HR processes such as recruitment, onboarding, performance management, and payroll processing, among others.

What is HR onboarding automation?

HR onboarding automation involves using technology to automate the onboarding process, including filling out forms, providing training, and setting up new employee accounts.

What are HR workflow processes?

HR workflow processes are a series of steps taken to complete an HR task or process, such as recruiting, onboarding, or performance management.

What is automated employee onboarding software?

Automated employee onboarding software is a type of HR automation software that streamlines the onboarding process, reducing manual efforts and time.

What are automated human resources systems?

Automated human resources systems are software applications that automate HR tasks such as recruitment, payroll processing, performance management, and benefits administration.

What is HR business process automation?

HR business process automation involves using technology to automate HR processes and workflows, allowing HR professionals to focus on more strategic activities.

What are automating HR functions?

Automating HR functions involves using technology to automate repetitive and time-consuming HR tasks, such as payroll processing, performance management, and benefits administration.

What are onboarding systems and software?

Onboarding systems and software are HR automation tools that streamline the employee onboarding process. They typically include features such as digital document management, new hire paperwork completion, orientation and training scheduling, and integration with other HR systems.

What is automation and HR?

Automation and HR refers to the use of technology to streamline HR processes, reduce manual labour, and increase efficiency. It includes the use of HR software and other automation tools to manage tasks such as recruitment, onboarding, payroll, benefits administration, and performance management.

What are automated HR solutions?

Automated HR solutions are software applications or tools that automate HR tasks and workflows. These solutions are designed to reduce the amount of manual work required for HR processes, increase efficiency and accuracy, and free up HR professionals to focus on more strategic activities that require human input and decision-making. Examples of automated HR solutions include payroll software, benefits administration software, and applicant tracking systems.

What is HR recruitment automation?

HR recruitment automation is the use of technology to automate recruitment processes and workflows, such as applicant tracking and candidate screening. Recruitment automation tools can help HR teams to save time and reduce manual work, while also improving the candidate experience and quality of hires.

What is an automated human resource management system?

An automated human resource management system is a software application that automates HR tasks and workflows, such as employee onboarding, payroll processing, benefits administration, and performance management. These systems are designed to improve HR efficiency, accuracy, and compliance while freeing up HR professionals to focus on more strategic activities. They typically include features such as employee self-service portals, digital document management, and analytics and reporting tools.

What is meant by automating human resources, and how can it benefit my organisation?

Automating human resources involves using technology to streamline and optimise HR processes and workflows, which can reduce manual labour, save time, and increase efficiency. This can benefit organisations by allowing HR professionals to focus on more strategic tasks, improving accuracy and compliance, and ultimately saving costs.

How can automating human resources workflow processes help to streamline HR operations?

Automating HR workflow processes can help streamline HR operations by reducing the need for manual input, minimising the risk of errors, and accelerating processes. This can result in faster turnaround times, increased efficiency, and more time for HR professionals to focus on strategic initiatives.

What are the key components of a successful human resources workflow process?

The key components of a successful human resources workflow process include clear and defined objectives, a standardised process for completing tasks, proper documentation and record-keeping, effective communication between stakeholders, and the use of technology to automate and optimise the process.

How can automation be incorporated into human resources workflow processes?

Automation can be incorporated into human resources workflow processes by identifying the most time-consuming and repetitive tasks, and then implementing technology solutions to streamline these processes. This can include automating data entry, document management, scheduling, and communication.

What are some of the challenges that may arise when implementing automation in human resources workflow?

Challenges that may arise when implementing automation in human resources workflow include resistance to change, difficulties with integrating multiple systems, the need for training and upskilling, and the risk of errors or glitches in automated processes.

What are some of the most popular software tools used to automate human resources workflow?

Popular software tools used to automate human resources workflow include HRIS (Human Resources Information System) platforms, applicant tracking systems, onboarding software, payroll and benefits management systems, and performance management software.

How can automation improve the accuracy and efficiency of human resources workflow?

Automation can improve the accuracy and efficiency of human resources workflow by reducing the risk of human error, ensuring consistent processes across departments, and accelerating processes. This can result in more accurate and timely data, improved compliance, and a more streamlined HR function.

What are the potential cost savings associated with automating human resources workflow?

The potential cost savings associated with automating human resources workflow include reduced labour costs, improved efficiency, and decreased errors that can result in costly penalties or fines. Additionally, automation can reduce the need for physical storage space and supplies, resulting in further cost savings.

How can I ensure that the human element is not lost when automating human resources workflow?

To ensure that the human element is not lost when automating human resources workflow, it is important to maintain open lines of communication, provide training and upskilling opportunities, and emphasise the importance of human judgement and decision-making in the HR function. Additionally, human resources professionals should remain engaged and involved in the automation process to ensure that their expertise is leveraged in the automation efforts.

What are some best practices for implementing and managing an automated human resources workflow process?

Best practices for implementing and managing an automated human resources workflow process include clearly defining objectives and workflows, involving all stakeholders in the process, providing training and support for new technology, regularly monitoring and updating the process, and constantly seeking feedback and areas for improvement. Additionally, it is important to remain mindful of the human element in the HR function and to balance automation with human judgement and decision-making.