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Issue 3

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Spencer Green
Chairman, GDS International

Sales and the 'Talent Magnet'

A lot is written about being a ‘Talent Magnet’, either as a company, or as President. It’s all good practice – listen, mentor, reward, provide clear goals and career maps. Good practice for the employer, but what about the employee?
24 May 2011

Something missing?

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It’s pretty obvious that something’s missing from this building. An important, integral part isn’t there – the entire 10th floor. It’s unfinished – incomplete – and therefore, the building is not fully functional.

The building is not unlike many HRIS systems. Purchasers see only the shiny exterior; they’re blinded by the glitter, never realizing that the “system” doesn’t deliver all that it promises.

Almost all HRIS products promise applicant tracking, vacation and sick tracking, some form of FMLA support, etc. If most systems promise this, why then are so many HR practitioners still looking for their “10th floor”?

Visit any human resources forum and you’ll see countless people asking their peers for suggestions about applicant tracking, training, FMLA, reviews, short term disability, vacation and sick tracking, and more. It’s obvious that whatever system they’re using doesn’t include the functionality necessary to support those all-important parts of a real HRIS.

They’re trying to use an incomplete system - a system lacking critical parts – and it’s costing their employers time and money. And the worse part is, when they do find the training module, or the FMLA product, it won’t really interface with the HRIS they’re using. By the time they’ve added some third-party training, FMLA, and short term disability, they’ll be entering some data three times and most of it twice. You can see where this is going, the “integrated” system they bought turns out to be something less than expected – it’s incomplete. They really need a system with robusity.

robusity (rō•buś•i•tē), n., - 1. the quality or state of being robust. 2. as in Open4 HRIS. 3. rich and full-bodied. 4. strongly or stoutly built.

You won’t find an Open4 client on an HR forum asking for a good payroll provider or a complete training system – those functions already in their HRIS. You’re more likely to find an Open4 client asking about skiing destinations or the best cruise line.

All of Open4 resides in a single database, all modules communicate with each other. Enter something once and it is automatically spread to all appropriate areas of the system. Create a benefit for an employee and its companion deduction is automatically created in payroll. Trigger a pay raise and the employee’s group term life coverage increases. It’s truly a simple, single entry system. Why would anyone buy an incomplete system?

Consider training: your employer could be spending thousands on the cost of maintaining crucial training information manually or in spreadsheets. If you deal with large firms or governmental agencies, there are stringent requirements for specific training, at pre-determined intervals, for employees performing certain duties.

Open4 links training requirements to jobs and thereby knows who needs certain courses, in what specific sequence, and when the training must be accomplished. Move an employee to a new job and the system already knows what’s on the training horizon for him/her.

When the employee completes a course, the system automatically adds a training record to his/her information set and keeps management and the employee informed of the next scheduled training. An employee can even view training requirements, read a course syllabus, and request class enrollment from home via employee self-service (subject to manager approval).

For example, take Exactech, Inc. (Nasdaq: EXAC),– Exactech develops and markets orthopaedic implant devices, related surgical instruments and biologic materials and services to hospitals and physicians. Exactech’s orthopaedic products are used in the restoration of bones and joints that have deteriorated as a result of injury or diseases such as arthritis. Exactech markets its products in the United States and in more than 25 countries in Europe, Asia, Australia and Latin America.

Exactech implemented the Open4 system four years ago because of its flexibility and efficient operation. The application not only automates routine HR functions for Exactech employees such as online viewing of payroll information, enrolling in benefits and scheduling time off, but it also provides immediate access to critical information about employee training and certification mandated by the federal Food and Drug Administration (FDA) and International Organization for Standardization (ISO).

According to Exactech IT Manager Thad Beavers, Exactech began the search which eventually led to BMH because accessing paper records for the company’s employees was slow and inefficient. When the FDA conducted a regular audit, for example, the company’s four-person human resources department had to review each employee record in order to find out if that person had received a particular certification. The paper process was also time-consuming for employees, who would sign a form indicating they attended training, get that form signed by a supervisor, and then submit it to human resources.

“Now, HR can run reports for the FDA and ISO in a few minutes, and employees can access everything they need online. It’s so much easier for everyone,” Beavers says. “The Open4 Integrated HRIS solution allows us to keep our human resources department small while accelerating our responsiveness to FDA and ISO audit requests. We implemented the system to meet our strenuous audit requirements, and the HR functionality has been icing on the cake.”

How about vacation and sick tracking? Open4 supports four types of PTO (Paid Time Off) accrual and tracking for an employee. Vacation, sick, personal, and one additional unspecified type are available. Each individual accrual as well as each time an employee takes off is stored in an individual history record. If necessary, you can show an employee how and when each accrual was added to their balance and each subtraction from that balance by time off taken. The system also maintains a record for each absence, whether paid or unpaid. This information can be invaluable if a dispute arises over an employee’s available PTO balance. And, it’s available in seconds, with a few mouse clicks. All balances are available to employees via employee self-service and (optionally) on their pay stub. Employees can request time off via self-service (subject to manager approval).

One of the most frequently requested items on the forums these days is for a software application to help track FMLA. It is one thing to be able to document the day(s) taken for FMLA, but it’s another to help automate and support your corporate process and policies for FMLA. In addition to PTO administration, Open4 also offers a robust FMLA module which supports multiple types of leave methods, eligibility status, and certification tracking. The system prints several standard government format forms and can print user-specific letters. Time scheduled and taken can be displayed in a simple calendar format.

And Open4’s robusity includes salary/performance reviews too. We enter and store all reviews online (they can be printed) and the review criteria can be tailored to a company’s unique requirements. But, in addition to the review itself, there is much more that may be helpful when considering the amount of a raise or the employee’s suitability for promotion.

Imagine, as part of that consideration, that you had an employee’s entire pay history, job history, all past reviews, all disciplinary actions, absences, training, transfers, in a single displayed or printed page, available with a couple of mouse clicks. Wouldn’t that helpful in making any employment decision?

Our Personal Event Profile lists a chronological summary of notable events that capture the employee’s employment history. It provides a unique view of an employee’s work-life over a selected time period. No one else has it – it’s unique to Open4. It is an invaluable tool when considering succession planning as well.

And don’t forget payroll – it’s a thankless job, but a necessary one. Only those intimately involved with payroll truly appreciate how difficult it is to be 100% accurate, 100% of the time – nothing less is acceptable. Consider how much time is necessary to complete an hourly payroll, a manufacturing payroll for example. Typically, some employees will work at multiple rates, some on different shifts (with different shift premiums), there’ll be overtime, some retroactive pay, some gross-ups, tax levies, child support orders, garnishments, 401(k) contributions, job cost distributions, and general ledger journal entries. Open4 handles all of this and more, without manual computations or spreadsheets, and all according to the necessary laws and statutes.

How about 6,000 employees in 3 hours? That’s an actual timing from one of our manufacturing clients. For comparison, add up the entire preparatory time spent getting ready for your payroll, the payroll run itself, and add the time you spend on the back-end before you can call it “complete”. How’s it compare to the quoted time above? Time is money and even a couple of hours each pay period performing manual calculations is throwing away money.

So when you find yourself looking at new systems to support your HR and payroll processes, consider looking at a solution that has a solid and complete foundation of HR and Payroll tools. A system that supports the consolidated efficiencies you and your organization are looking to implement. In addition, consider not only the technology you plan to acquire, but the people behind the scenes. Look to the company that specializes in HR and Payroll and has the customer support that clients can’t stop talking about. Truly a service oriented organization that believes in providing the best support and service to the client.

Visit our website at www.open4.com to learn more about Open4 and hear directly from our clients their thoughts on Open4 and the services BMH has provided to support their complete HRIS and Payroll requirements.

About BMH, Inc. - BMH is a leading provider of HRIS (Human Resource Information System) to a wide variety of organizations, ranging in size from 100 employees to 50,000.
Headquartered in Dallas, Texas, the firm is focused exclusively on developing and supporting the OPEN4 HRIS. BMH and OPEN4 product information is available at http://www.open4.com.


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