How to Choose HR Software and Gain Buy-in from the Board

In a job role that can be heavy on the administrative side, it makes sense to automate as much as possible. But when looking for a software supplier it's easy to be wowed with system functionality and make a hasty decision. This is why we have drawn on the experiences of UK HR teams and compiled some top tips to help you when choosing a solution..

Go back to basics
One of the first things that any organisation needs to do is re-evaluate its processes. It is important to look critically at how you operate, deciding which procedures are the most awkward or least useful and how you would like to change them. For example, paper-based documents can be replaced with on-line forms that cut out the paper trail and the HR middleman. Asking line managers and employees to submit appraisal information on-line means HR data is being fed directly into a software system, preventing the need to re-key data. Equally, the use of letter templates to issue bulk correspondence can significantly reduce the amount of time spent on necessary but time-consuming administration.

Take a good look
The next logical step is to start asking yourself some difficult questions. Are you on top of absence and staff turnover? Are you able to keep up-to-date with legal obligations such as 'right-to-work' checks and equal opportunities? Most importantly, be honest about areas that may be letting the team or the business down, then ask yourself how it would be possible to address them. For example, software-generated reports could facilitate the analysis of absence trends, or workflow e-mails could deliver critical information, such as probation end dates, pending contract renewals and outstanding payments. Use this to create a 'shopping list' of functionality to approach suppliers with.

Go shopping
Having undertaken some business analysis, you will be in an excellent position to start looking at suppliers. Naturally, one of your first places to look will be the Internet, but it’s also a good idea to attend the HR software exhibitions. There are numerous shows throughout the year, including Softworld HR and Payroll (London and Birmingham), HR Software Show (London) and CIPD Harrogate, all of which are attended by the leading HR and Payroll software suppliers. These shows present the perfect opportunity to get a feel for different software packages and suppliers, as the way you are dealt with on an exhibitor's stand is a good indication of the service you can expect later on. They also allow you to get together some material in one hit, for analysis back at the office.

Get others involved
Once the information gathering is complete, you will need to start thinking about which suppliers could give your team the best value. But be careful to include at the very top of your agenda, the overall value to the business. While HR software is mostly a concern for the HR team, many people do not consider that software choices will inevitably affect others in the business. Whether it's IT, finance or senior management, they will all need to be involved in your decision. The trick is to get them involved from the outset, explaining your current problem and how you intend to address it.

Make sure it fits in
Consider whether you will need the system to integrate with existing business packages. Do you have a time and attendance system that uses HR information? Will you need to link to Payroll, or are you looking for a totally new and integrated HR and Payroll solution? One of the greatest benefits of integrating all employee information is not having to duplicate the recording of information, or fall prey to the pitfalls of inconsistent data. Be sure to ask suppliers if they supply integrated software and if not, how they would link to your current systems.

Justify your investment
Perhaps the biggest stumbling block when selecting software is getting approval from budget holders. Make sure you know which areas you can expect to save time and money on. Estimate the number of hours saved, how this translates in monetary terms and where you will re-invest your time. These are all key considerations when working out the potential return on your investment.

Don't be blinded
When you reach the stage of inviting suppliers to demonstrate their software, be careful not to be dazzled by whizzy functions. All singing, all dancing solutions may be fitting for large organisations, but is it necessary for your size and type of business, or would it simply slow you down? Good software should hide its sophistication, making it easy to use. Consider setting up an evaluation session to give your colleagues a chance to test the software, as their acceptance will be crucial.

Think beyond the here and now
Thinking beyond the actual implementation is also a vital consideration. Especially when installing a system for the first time. Remember, finding the right system is only half the task. Think about how your supplier will handle possible system errors, upgrades, training new users and general queries. Waiting for your telephone call to be answered, being held in a queuing system and then finding that the person at the other end doesn't know how to help you, is very stressful. Make sure the people who man the support lines are immediately available and knowledgeable. Ask if the support team has actually helped develop the software, as they are the people best placed to give good support. The on-going service and guidance you receive will be the difference between a system that works initially and then becomes quickly redundant and one that consistently delivers results.

Listen to suppliers
Whilst it is easy to be cynical about the sales process, it is always a good idea to listen to suppliers. A good software company should be able to advise you on the positives and negatives of how you intend to handle your processes and how to get your data into the system in the first instance! Will you be migrating information from spreadsheets, or moving it from an existing system? Does this require manual data entry? Remember, they deal with hundreds of companies just like yours every day, giving them a wealth of experience in HR-related issues. This will also be an excellent means of filtering the wheat from the chaff - organisations that are not HR savvy won't be offering you the service and expertise that you require.

Look at the evidence
As with any selection process, you will need some proof that you are getting your money's worth. Case studies and references from existing software users provide you with some assurance that you are buying a proven solution. Ask suppliers about similar clients that may have the same processes in place, or similar legislative demands. The way these clients use the software will help you to gauge what you can expect to achieve. The most important thing to remember when sourcing HR software, is to take your time. There is nothing worse than hastily implementing a solution, only to find that it consumes more time in stress and administration than your previous system. Good suppliers will want to spend as much time with you as you need, to understand what you want and ensure the smoothest implementation possible.