Employee records management plays a central role in every business. Apart from the legal recordkeeping obligations that employers have, employee records are valuable resources that help guide and improve important decision processes, from hiring to compensation, performance reviews and beyond.
Electronic employee records management is rapidly becoming more popular due partly to the downfalls of paper-based filing systems, but also because of the higher efficiencies experienced with comprehensive electronic management systems. Here are some of the key ways that electronic employee records – when properly managed – can make you awesome at your job, particularly if you’re an HR or people manager.
They save you time – Managing paper based records is a time-intensive task. You need staff to service administration of the records, including creation, filing, locating and updating documents on a regular basis. Electronic employee records help reduce the administration time required, which allows you to focus on more important things and delegate more role-critical tasks to your employees.
They improve employee management – Proficient record management is a key contributing factor to effective employee management. Adequate records will indicate important employee benchmarks and timelines, such as performance reviews, productivity expectations, re-certifications, salary reviews and more. When these items are centralized, managers are better able to use this information to inform decisions affecting employees.
They improve legal and regulatory compliance – Electronic records management systems allow you to ensure that information about employees is accurate and secure. This helps reduce risk when it comes to misuse of information, establish access restrictions and controls, and comply with PIPEDA legislation. For HR and people managers, the more prepared you are for legal and regulatory compliance, the less risk you are at of violating any laws, and the more protected your organization is against legal repercussions.
They help identify issues – In the same vein as improving employee management, using an electronic employee records management system can help you use documents as a frame of reference to identify issues. These can include things such as overcompensation, changes in employee performance, and more. When you efficiently track relevant employee metrics, you can identify issues and take corrective action as needed.
They rid you of mountains of paper – Paper employee records present a very obvious problem: they take up a ton of valuable space. Furthermore, they are quite expensive to maintain (consider, for example, that the average 4-door filing cabinet costs $25,000 to fill). Transitioning to electronic employee records not only helps you save space, but also money. And, don’t forget about the environmental benefits that come with reducing paper use!
While it may not be as high a priority as other business functions, electronic employee records management can have real, demonstrable effects that improve your ability to excel at your job, particularly if you manage people or are a Human Resources professional. From employee management to eliminating efficiencies, and even saving your company money, improving your approach to employee records can make a world of difference.