Choosing HRIS Software: Free Guide by HR Professionals

Yes, HRIS is an integrated software solution that combines core HR functions, and payroll is a critical component of this system.

Including payroll in an HRIS allows for streamlined management of employee compensation, tax deductions, and other financial aspects, ensuring accurate and efficient payroll processing.

If you're considering implementing an HRIS, it's essential to choose one that aligns with your organization's needs, including robust payroll features to handle the intricacies of global payroll and compliance, especially for remote teams, like what Deel offers.

While many companies have adopted HRIS solutions, its use isn’t universal. The decision to use an HRIS depends on various factors, such as the size of the company, its budget, specific needs, and industry requirements.

Small businesses might not find it necessary to invest in comprehensive HR solutions, often opting for manual processes. For teams of 20-50 employees, it may not be too demanding to run payroll or update employee information in a spreadsheet.

On the other hand, larger enterprises often leverage HRIS to efficiently manage dozens of HR functions, including payroll, benefits administration, time and attendance tracking, and more.

For remote teams and those with global operations, the use of HRIS becomes increasingly beneficial, especially if the system is designed to address the complexities of international payroll and compliance.

Deel, as the leading global HR, payroll and compliance hiring service, is an example of a specialized solution catering to international workforce's needs.

Note that Deel HR is free for companies with up to 200 workers.

The following features are considered key for every HRIS software:

1. Employee information management, preferably user-friendly with employee self-service options, so that workers can enjoy higher autonomy and there are fewer touchpoints in simple processes. This function ensures easy access to accurate and up-to-date information for HR and management.
2. Payroll management, with automated processes related to salary, taxes, and other financial aspects. This feature helps in calculating accurate wages, managing deductions, and ensuring compliance with tax regulations.
3. Benefits administration, including health insurance, retirement plans, and other perks, streamlining enrollment processes, tracking employee participation, and ensuring compliance with benefits regulations.
4. Time and attendance tracking to monitor employee work hours, attendance, and leave. This helps in accurate timekeeping, facilitates the calculation of paid time off, and ensures compliance with labor laws.
5. Recruitment and onboarding, where HRIS supports the recruitment and selection process by managing job postings, applicant tracking, and candidate information. It also assists in the onboarding process by automating paperwork for new hires, facilitating orientation processes, and ensuring a smooth transition into the organization.

The best HRIS software offers performance management, ATS (applicant tracking systems), reporting features, documentation management, and more.

The pros of using an HRIS are numerous: efficiency due to automation of HR tasks, centralized data management leading to higher data security, better compliance management, improved visibility into your workforce, accurate payroll processing, self-service features for employees.

While we wouldn’t say the following are downsides per se, HRIS implementation requires a financial investment (typically a monthly fee), comes with a learning curve, and some software may have limitations in customization.

HRIS (Human Resources Information System) primarily deals with operational HR functions like data management and administrative processes.

HCMS (Human Capital Management System) is a broader, more strategic approach that extends beyond HRIS, encompassing the entire employee lifecycle, talent management, and workforce planning. While HRIS focuses on efficiency, HCM aligns HR practices with overall business objectives, emphasizing the strategic value of human capital to the organization.

Deel’s global-first HR platform enables you to streamline workforce management, whether it’s your local team or international workers, regardless of the worker type, in 150+ countries.

You can:

• Manage access provisioning (G-Suite, Slack)
• Order global equipment in seconds
• Provide access to flexible workspaces
• Build beautiful and detailed reports for dynamic insights into your workforce and cost
• Create customized workflows to optimize onboarding
• Enable self-service for your team
• Stay compliant with country-specific documentation management
• Easily integrate with other HR tools you use