As a business grows in size, it typically becomes challenging to manage employee information using paper filing systems or spreadsheets. At some point, employers and HR professionals may need to consider whether or not to invest in a Human Resource Management System (HRMS). Not all payroll and HRMS providers offer the same level of service. Here are eight specific things businesses should look for from a software provider.

1. Ease of use: A good HR system should not add to your stress level or workload. When looking for a system, it should have an easy-to-use interface that allows you to run payroll and add employees into the system in a matter of minutes. If it isn’t easy to use or a good fit for your organisation, keep looking!

2. Reputation: Find a provider with a strong track record; you’ll feel more secure knowing the company has already dealt with various payroll and HR-related issues that you may face in the future. Ask your potential provider if the company serves similar clients to your business. If it does, this may give the company an edge, as it has experience handling businesses like yours.

3. Integrations: Find solutions that can scale while you grow. Built-in modular software offers the advantage of integrating new functionality in one holistic environment; hence you can have your payroll seamlessly connected to the HR, Time and Attendance, Performance Appraisal, Recruitment, and other modules. Although built-in integrations are ideal – do opt for software that offers open API functionality which gives you flexibility should you want to connect to other third-party solutions.

4. Flexibility: Nowadays SaaS (Software as a Service) products are becoming the new standard for HR, Payroll, and similar software solutions. Don’t allow this to empower the service providers to compromise on system flexibility. The system must have been originally designed to offer specific functionality, aimed at a client’s particular needs. This ‘one-size-fits-all’ model may work for the smaller client, however, for the more demanding client, who requires additional functionality and features, the system needs to offer this flexibility out of the box.

5. Support: Look for a service provider that provides help when needed. It is recommended to ask about how client relations are handled and whether you will have a dedicated support representative to be your main point of contact.

6. Cost: Naturally, businesses want to find a service that they can afford. Ask about payment structures as many services operate on either a monthly or annual basis. Depending on how often you run payroll, the pricing structure you choose could have some cost implications.

7. Employee portal: Engaging employees in HR platforms is a challenging yet rewarding venture. Ask about self-service kiosks and the functionalities available that should allow employees to log in on their own to view their information, payslips, FS3s (current and historical) and more tools that facilitate communication between HR and employees!

8. Security: Whether it is a cloud-based system or ‘on-premise’ do ask about the security measures in place to keep your company’s data secure. Your provider must have top-tier security that can protect your data from potential breaches.

As a bonus tip, consider reporting. Reports are necessary so you can know about your company’s present and potentially future performance. Look for an HR system that includes an element of AI (Artificial Intelligence) in its reporting. Such as ‘what-if’ scenario forecasts, which would take out all the hard manual work for you by having intelligent reporting as well as customisable reporting features. This may also include a graphical representation of the data.

At Dakar Software Systems, we produce software that helps HR professionals manage their information. For Dakar, it’s more than just software or reports. It’s about making HR professionals real heroes by giving them more time to focus on what matters most: their people. So far, we’ve helped over 2,000 companies through our systems that collectively manage over 140,000 employees in Malta, the UK and North Africa. We believe there can never be too many HR heroes. Get in touch and we’ll help you get there today.

David Schranz is CEO, Dakar Software Systems