How Can Small Businesses Benefit from Integrated HR And Payroll Software?

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Small and medium-sized businesses are the backbone of any economy and have a great potential to grow. However, industry 4.0 has made the competition fierce, and many new entrepreneurs are starting with their ventures. With such fierce competition to fight, it is essential for business owners to have the best tools to streamline their work.

The human resource department plays a crucial role in the success of any organization irrespective of the size and type. Because the HR department is responsible for identifying the vacant positions, attract the resources and recruit; the best talent.

It is a challenging task for HR professionals to; manually execute recruitment, process payroll, and manage; the workforce. Because; the human resource department has to keep a note of every little transaction, interaction, or movement.

Let us have look at how small businesses can benefit from integrating HR and payroll software.

Because if you use separate software for HR and payroll respectively you will have to transfer the data. Additionally, there are higher chances of data loss, mistakes, and privacy threats when you use separate systems.

What things to consider while deploying the right HR software?

As discussed earlier, small and medium-sized businesses have a great potential for growth and expansion. However, they also have limited resources to complete the tasks and projects. As a result, they need advanced tools that streamline their operations and ensure the productivity; of their team.

No doubt, that the best HR software will payroll feature is a perfect tool; for business owners to manage their workforce. But before deploying any software, they need to do complete research and development about the system and its features.

Technology Counter is the fastest-growing software recommendation platform that helps to simplify the tech decisions for your organization. Following are a few aspects that you need to understand before deploying the HR and payroll software.

 icon-angle-right Need analysis

The business HR leaders need to understand their challenges and which aspect needs immediate attention. Once you know what are the business challenges you will be able to gauge, which tools will help to overcome; the challenges.

Once they make a list of priorities that need to be addressed; on an immediate basis will help to filter the features you need. Additionally, you also need to choose between the deployment type of the HR software in your process.

Firstly, if your organization has multiple teams and office locations cloud-based HR software is a perfect solution.

Secondly, businesses that need to store sensitive information on the system can choose on-premises HR software that deploys on your server.

 icon-angle-right Other aspects

Only understanding your needs accurately won’t help you choose the best HR software in India for your business. The HR leaders of your organization need to evaluate the vendor based on its aftersales support, interface, and implementation time.

Software as a service or cloud-based solutions is the new normal that every business owner is embracing in their business. Because; they are the reliable, flexible, and scalable solution for small and medium-sized businesses.

The vendor is responsible for implementing, maintaining, and upgrading the system; so the user does not have to invest in IT teams and infrastructure.

Furthermore, these vendors allow you to customize the software and pay as per your need and usage. Cloud-based HR software will help you to save money and increase the accessibility of the system.

What are the benefits of integrating the HR and payroll software for small businesses?

HR and payroll software is an essential tool for small business owners to streamline their operations. Following are few benefits that small business owners get from integrated HR and payroll software.

#1. Efficient payroll processing

Every small business’s HR department spends a huge amount of time calculating and processing the payroll. Because it is a crucial task which they need to execute efficiently, accurately, and timely. It will be a challenging task for the HR department to calculate and process payroll manually.

Moreover, arrears and errors in the payroll will have an impact on your brand image and might have a legal implication on your business.

The best HR software in India will help to calculate and process payroll without any errors automatically. As a result, the human resource department will have less workload so that they can focus on other valuable tasks.

#2. Enrich the recruitment processes

The right HRMS in India is a robust tool for businesses to transform their business digitally and make the process employee-centric.

The top HR software will help HR find; vacant positions, attract candidates, and select the best talent with ease. Moreover, this software allows you to; seamlessly integrate all the recruitment portals on a single platform.

Furthermore, based on your requirement you can integrate social media platforms to use them as a recruitment channel. The HR management software will gather the responses on a single platform to easy access.

Additionally, the best HR software in India will have artificial intelligence integrated to screen all the resumes according to the job description.

#3. Minimize the manual errors

If your HR department is using traditional processes to execute the operations. There is no doubt that the process will be complicated, long, and with high mistakes.

Even when you use different systems to manage each aspect of your business, you will have to transfer data from one to another. It is also a risky process because there will be a lot of data lost, duplicated, or get misplaced, which might have an impact on the compliances.

When you have an integrated payroll and HR system you do not have to transfer the data or feed the data yourself. The system will automatically synchronize the data to reduce your workload and errors.

#4. Paperless operations

Paperless operations are not only a new normal but an effective solution that protects the environment and saves your money. If your human resources use traditional methods for documentation and file processing you will require storage rooms and assets like paper, printer, and ink.

Alternatively, the cloud-based HR software will help your organization collect all the documents and get forms filled digitally. As a result, your organization will not require additional space or assets to perform the task.

Additionally, paperless operations will help the HR professional to navigate through the heap of data with ease. Digital storage of sensitive and confidential information is more secure and safe.

#5. Automation

Automation is the new normal, which every business leader is embracing in their process and making the most of it. The best HRMS in India will help business owners to automate the most tedious payroll and HR tasks.

As a result, the human resource department can focus on employee satisfaction and retention. Integrated HR and payroll software will centralize the data and operation so that you do not have to toggle between the systems.

The best HR software will allow you, vendors, to automatically upload the invoices and request for the payment through the system. Moreover, the system will automatically track the employee inputs and process the payroll based on them.

#6. Immediate feedback

Any organization needs to hire the best talent, develop them and retain them to optimize the efforts. It is crucial to have a consistent constructive feedback session with the resources to appreciate their efforts and make them aware of their performance.

Every HR business leader needs to motivate their employees to ensure productivity always. The human resource management software will help the leaders to gather the employee inputs and evaluate them as per the KPIs. The cloud-based HR software will help the leader to evaluate the employee performance in real-time and accurately.

#7. Efficient remote workforce

The recent pandemic has pushed the workforce around the world to work from home. As a result, business leaders are looking for tools that help them to adjust to this change and continue working remotely.

Especially, this pandemic had a huge impact on small and medium-sized businesses because most of them were forced to shut. The business leaders with cloud-based HR software for small businesses were able to survive. Because they had the tools that did not stop them from working remotely.

#8. Manage workforce

One of the core functions of the human resource department is to manage people efficiently. The HR department needs to set clear expectations with employees about their job roles and tasks. Additionally, they need to set key performance indicators for each job role and track their performance.

Furthermore, the HR department needs to evaluate performance to understand their growth and progress. The top human resource management software will help to track the employee performance and evaluate it. Moreover, this software will also help to assign tasks and deadlines to employees to avoid confusion.

#9. Save operational time and money

Integrated HR and payroll software will help the business owners to centralize the HR operations on a single platform.

Furthermore, this technology will automate most of the functions of the human resource department to reduce the workload. As a result, your organization will save a substantial amount of operational time and money, which you can utilize in the right direction.

The best HR software will help to execute any task or gather any reports within a few clicks.


The integrated HR and payroll software has innumerous benefits for your organization. But it is essential to evaluate your needs and select the best HR software in India that fits your needs and budget.

As a software recommendation platform, we will recommend an integrated HR and payroll software for your business.

About the Author!

Someshwar Kumbhar is a passionate digital marketing executive with his forte in HR software solutions, payroll management, and other human resource tasks. When he is not in front of the screen, he spends time with his family or adventurous things in the wild.

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