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How Updating Your HR Database Drives Business Improvements

How Updating Your HR Database Drives Business Improvements

An employee database contains critical information providing valuable insights to your HR team and managers. An HR database offers a treasure trove of information, yet many HR teams overlook the opportunities that information provides. Today, updating your HR database allows you to drive business improvements. You can access everything from career progression and opportunities to personal development goals.

Suddenly departments can leverage the skills of their strongest employees. You are also better equipped to look for hiring trends that are working for you. Departments can run reports crucial to optimum operation such as absenteeism figures and related productivity downturns. This valuable information, however, is not available when you overlook the importance of updating your database. Here’s how updating your HR database helps drive business improvements.

Make Better Decisions

The more detailed and up to date your HR employee database, the more insight available to make better decisions. You can go beyond the basic metrics such as tracking absenteeism and include more detailed reports such as the level of employee engagement. This type of information is more relevant than ever, as it impacts the performance of your team and your organization.  

When you use data to understand your employees, you can dig deeper so leaders can manage more efficiently. They look at the individual, in hand with how their performance affects the team, and in turn the overall business. Improved nurturing and grooming comes into play, allowing each individual to reach their full potential. Learning and development are improved, further driving employee engagement. This allows organizations to overcome gaps and more effectively fill positions based on appropriate skill sets.

Value to Drive Performance

Data-driven HR teams use HR data and analytics to help drive performance. Performance is not limited to an annual discussion, but instead remains relevant every single day. People management is prioritized with a focus on adding value. You open doors to new ways of working from machine learning to the effective use of AI. More importantly, your organization better understands what employees need to help improve retention.

A value-added workplace provides tools beyond what’s needed to get the job done. Tools address the needs of employees, so they feel needed and appreciated. Updating information can include training schedules to improve skills or a progress schedule to check in on an employee following their performance review.

Meet Demand

Updating and storing HR data allows you to meet the demand of your organization. You can better understand your workforce and leverage that understanding to meet labor needs. Data-based decisions push your company forward. You can continue to run reports that keep you updated in real-time on the progress of projects, changing needs for shifts and even identify peak hours for customer flow or when the workload frequently increases.

Effective Labor Cost Savings

Watching for trends in workload and shift demands allows HR teams to effectively manage labor costs. Many organizations work at full capacity even though the amount of work varies greatly. Whether it is the time of day, or day of the week, or even a particular week of the year, these variances can provide insight to reduce labor costs. You can spot trends and increase or decrease your workforce accordingly. This improves bottom lines while also reducing stress on the workforce during those peak, busier times. However, you can take labor savings beyond hours. For example, you can track benefit use and eliminate programs that aren’t popular. This can create a more affordable, more attractive benefits package while reducing the costs to the organization.

Improve Workforce Productivity

Improving productivity is at the heart of all HR departments. You are in the driver’s seat to ensure each area of your organization has the right people to do the job. When you can access data-driven analytics, you can use it to follow trends that help you find the most effective hires. Productivity increases when you improve the quality of hires. Data that shows the importance of quality hires on workforce productivity can improve the hiring manager’s performance as well.

Long-term Planning Improvements

Data-driven decision-making allows your team to make better predictions. They can spot trends, look for potential problems and identify opportunities to make improvements. Guesswork is eliminated and instead, your team has fact-based data that makes it easier to implement long-term plans. Data alerts track patterns from skills gaps to workforce shortages and absenteeism trends to peaks in accidents. All this information contributes to improved long-term planning that is far more cost-effective.

As you can see, updating your HR database drives business improvements. A database that is more intuitive, offers alerts and contributes meaningful reports and analysis, empowers your HR team by providing the information they need to succeed.

About The Author

Ingrid Principe

Ingrid is the Content Marketing Manager at Paypro, managing both inbound and outbound marketing initiatives for the company. She has 15+ years’ of extensive marketing communications experience, leveraging brand awareness and strategic partnerships to increase sales revenue for a diverse group of B2B brands.

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