7 HCM Integration Best Practices | Dreamfactory
by Spencer Nguyen • February 17, 2022
Human capital management (HCM) is a set of practices used by the human resources department for onboarding new talent. These practices focus on the needs of the organization to fulfill specific vacancies and are implemented across three main categories: hiring, managing and optimizing the workforce. HR departments rely heavily on their apps. In fact, on average an HR department will use about 11 apps to source talent, keep track of applications, manage employees, payroll, handle benefits and other functions. HCM integration best practices mean you always hire the best.
The main problem with this is that much of the employee data is stored in separate, disconnected spaces in the cloud. Data integration connectors can solve this problem nicely by seamlessly connecting all of the data in your ecosystem.
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1. Better Time Management
HCM integration best practices help to eliminate time-consuming, manual double-data entries between HR apps. Any procedures that require your team to pass papers around or manually enter data into multiple screens can be streamlined with automatic data sharing.
A data connector, for example, sends all the required employee information to the payroll app with the push of hire button in the applicant tracking system. Onboarding new team members becomes instant. No more long, tedious hours of manual data entry.
Depending on the size of your company, amount of employee data, and records you handle, a data integration system can save several days of work per month. Over a year, this can add up to a lot of wasted time and energy. HCM integration best practices ensure new hires understand this.
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2. Increase Efficiency and Productivity
When you implement data integration, your HR team can concentrate more on strategic work efforts that grow your business. Efficient data integration allows the HR department to screen and vet more candidates, faster, so positions can be filled quicker. As competition increases for the most sought-after talent, data integration is an inexpensive solution to snapping up the most qualified people before anyone else.
Data integration operates in real time that helps to keep up data continuity all through your organization. Your HR team will be able to put more focus on strategic tasks that matter most and not waste time waiting for records to be entered, or double-checking with others to make sure reports can be run and have been updated.
3. Reduction of Manual Errors
Repeatedly re-entering the same information into dozens of data fields from one app to another becomes quite tedious. This leads to typos, errors, and omissions. Data integration reduces these risks dramatically. In payroll or benefit cases, entering the correct numbers can be vital. Mistakes can be very costly.
4. Improved Team Spirit
Your HR team would much rather work on strategic things that help to grow a company rather than tedious manual entries. Morale will be greatly boosted if the drudge work is eliminated. Young people, in particular, rely on computers for everything. Manual data entry will quickly have them looking for other work.
These days with more HR professionals working from home, data integration makes more sense than ever.
5. Tighter Security
With data integration, you no longer need to create dozens of unnecessary user accounts, you can reduce the number of duplicate employee profiles, and fewer people are involved with manual data entry. This reduces the number of people touching employee records, plus fewer people have access to confidential data, which can greatly increase the security of personal information.
6. Better Continuity Within the Company
Data integration works behind the scenes at all times. It never takes a vacation or needs a sick day. Once you enable the system, data integration and automation work around the clock, every day of the year. This ensures continuity within your company – no breaks or interruptions, ever.
With more and more people working from home, data integration always provides workers with the most updated data. Team members never have to second guess a report, wonder about the status of an applicant or worry about a job posting. The system gives allows the HR team full access to everything they need to know, so they can work remotely and never miss a beat.
7. Comprehensive Reporting
Through a series of acquisitions, changing locations, or upgrading and legacy systems, many organizations find their HR apps are overlapping. They have several apps performing the same or similar jobs. This makes it impossible for team leaders to see the whole picture. Data integration provides the whole picture of the organization in a comprehensive report compiled from a unified data set.
Why do these HCM integration best practices matter?
Human capital management (HCM) is the future of your company. Who your human resource department onboards will greatly impact how your company looks. It is important to think about what your organization needs to fulfill specific vacancies, but you also have to make sure any new hires will add value to your business. DreamFactory can help you vet qualified applicants to ensure your company has a future.
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As a seasoned content moderator with a keen eye for detail and a passion for upholding the highest standards of quality and integrity in all of their work, Spencer Nguyen brings a professional yet empathetic approach to every task.
