Like many small-to-medium employers, once you reach around 100 employees, organization of human resources becomes more critical.
As policies and procedures grow in number, so does the data created by them. It is also the time when you begin to grow out of the homegrown applications or third-party vendors that define your employee recordkeeping and into the world of full-blown human resource information systems (HRIS).
Here are some questions to ask to evaluate your need for a more robust employee recordkeeping system:
How many different applications, including third-party vendors, are used to track employee information? The use of three or more separate systems (e.g., spreadsheets, databases, payroll systems) is generally an indication of the need for a consolidated system.
Do I have full-time human resource staff? You give your financial staff the necessary accounting and financial programs to do their job, so why not give your HR staff the tools they need to best organize their job, as well as your company?
Do we have the systems in place to support a comprehensive HRIS?
Has it become more time-consuming to respond to managers' requests for employee information, such as performance review information?
Is there a need to cut down on data entry or entry of duplicative data?
Is the size and/or number of locations for the company making it difficult to maintain employee data in a safe and confidential environment?
Are you looking to in-source functions, such as COBRA or FMLA administration, or payroll processing?
Do you need more sophisticated reporting?
If you answered yes to any of these questions, you should start evaluating an HRIS. But look at improving your current processes first before looking into a new system.
Link to listings of HRMS articles and vendors.