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Do You Need Human Resources Software?

By Sonya Buck, Australia


For small business in particular, attending to Human Resources (HR) management is just another job on your endless administrative ‘to do’ list.  For companies with many employees, HR has become a key function within the organisation.


Whatever the size of your business, there is no avoiding the Government compliance and tasks involved in what we used to call ‘Personnel’ management.


You might think the decision on whether to implement Human Resources software or not is easy and that only big businesses would consider this option.  But even small businesses may benefit from some type of HR software, enabling you to free up your time for more strategic, income generating work.


Firstly, before you decide if you need HR Software, you should be aware of what it can do.  Some of the functions available may be:

  • Payroll and benefits administration
  • Time/attendance tracking
  • Performance management
  • Applicant tracking and induction
  • Compensation and succession planning
  • Applicant screenings
  • Internal messaging tools
  • Reporting/analytics


Before purchasing software, think about what you need. There are 3 types to consider:


Core HR solutions include all the practical assets of managing staff – Administration, Payroll, Benefits Admin, Time and Attendance Tracking, workforce planning and regulatory compliance.


Strategic HR software enables you to manage employment processes such as planning, hiring, employee retention, and development.


Integrated HR suites give you both the Core and Strategic solutions.


How do you know you need HR software?

  • Managing HR processes is taking far too much time
  • You may not be happy with employee performance and you need to manage records of performance management, particularly to ensure you avoid unfair dismissal issues down the track
  • You are finding payroll and leave management is a huge chore
  • Your filing cabinet is bursting and you need better records management


If you decide to purchase, consider the following:

  • Determine your budget beforehand
  • Purchase Australian software which will be tailored to Australian workplaces
  • Look at systems which utilise the cloud which can be less expensive
  • Write a list of what you need it to do for you
  • It must be very simple to use.  Remember you are purchasing software to save time
  • Evaluate several systems and compare
  • Find how often you can get upgrades and the pricing
  • Make sure your purchase includes training and find out how many staff this includes
  • Ensure there is after sales service which his free and readily available


If you are not ready to purchase software, ensure you use tools available on Government websites to make your life easier.  They include calculators for your payroll which can transfer onto printable pay slips, compliance checklists and you can also subscribe to receive vital legislative changes via email.


If you do decide to buy Human Resources software the cost could be recovered sooner than you think through time savings alone.