The Ultimate Guide to HR Automation:

Save Time, Money, and Resources

8 PAGES

SPROUT.PH
 Executive Summary
Manual HR processes are time-consuming and error-prone, reducing efficiency and hindering strategic
decision-making. In fact, businesses experience a significant annual revenue loss of approximately 20-
30% due to these inefficiencies.

Businesses looking to optimize their operations and elevate the employee experience should embark
on HR automation. Streamlining repetitive tasks such as onboarding, employee management, and
payroll mitigates legal risks from human errors and inaccuracy, aside from saving time, effort, and
resources. This, in turn, empowers your HR teams and employees to concentrate on strategic
decision-making, ensuring optimal efficiency and productivity.

HR automation delivers approximately 246% ROI across various industries, affirming its cost-
effectiveness and efficiency for businesses.

Successful implementation of HR automation requires a meticulous assessment, evaluation, and

monitoring process. With the right tools and approach, HR automation will significantly enhance the
efficiency and effectiveness of HR processes to help businesses achieve operational excellence.

PAGE 2 THE ULTIMATE GUIDE TO HR AUTOMATION: SAVE TIME, MONEY, AND RESOURCES
 The Strategic Role of HR Teams
Today, HR teams play a strategic role in driving the company's goals and objectives, going beyond
traditional personnel management. In fact, a strategic HR team has the potential to contribute to
market expansion, customer growth, product innovation, sales increase, and overall organizational
agility.

Strategic Role of HR Beyond Personnel Management

Market Expansion Customer Growth Product Innovation

Sales Increase Overall Organizational Agility

Many organizations underutilize their HR departments and still rely on manual data entry processes,
which leads to companies losing millions. Such processes are often time-consuming and prone to
errors, hindering HR's efficiency and effectiveness.

Relying on manual spreadsheets and paper

timesheets when managing employee time
and attendance leads to inaccuracies, Companies annually
making it harder for HR to ensure face a substantial
compliance with labor laws. Moreover, the revenue loss of 20-30%
manual approach to talent acquisition due to inefficiencies.
significantly impedes an organization's
ability to attract fresh talent.

The Solution Lies in HR Automation

Streamlining repetitive and administrative tasks enhances overall business and operational efficiency,
leading to error reduction and enabling the HR team to dedicate more time to strategic initiatives.

HR automation is an indispensable tool for organizations looking to improve their employee experience
and HR operations. According to Sprout's State of HR 2023 survey, 47.2% of HR professionals rely on
automated systems for processing payroll, while 28.3% utilize them for leave management.
HR automation enables HR teams to swiftly and accurately gather new information, significantly
reducing the likelihood of discrepancies and human error.

47.2% 28.3%
of HR professionals reported of professional rely on
using automated systems for automated systems for leave
payroll processing management

Source: Sprout State of HR 2023 Survey

PAGE 3 THE ULTIMATE GUIDE TO HR AUTOMATION: SAVE TIME, MONEY, AND RESOURCES
 The Business Benefits of HR Automation
HR automation offers countless benefits for businesses, from streamlining operations to substantial
time and cost savings. According to the American Payroll Association (APA), automation reduces
payroll processing costs by up to 80%, primarily by minimizing errors in invoices and paychecks.

Here are some of the benefits your business can enjoy:

Streamlined Processes

A Smartsheet report showed nearly 70% of

workers believe that the greatest potential of
automation lies in minimizing time spent on
repetitive tasks. Automating your HR processes
boosts operational efficiency by streamlining
tasks, eliminating redundancy, and enabling
seamless workflow management.
70% of workers believe automation reduces time
Companies that automate their HR processes wasted on repetitive tasks.
experience faster processing times and
improved accuracy. Source: Smartsheet

Reduced Manual Data Entry

The average worker typically types at a rate of 41 words per minute. Manually entering data from a
400-word new employee onboarding form would take approximately 8 to 10 minutes.

Consequently, registering just 12 new

employees alone consumes up to two
hours of valuable time.

HR automation cuts down on manual

Registering 12 employees manually can take 2 hours with
an average speed of 41 words per minute.
data entry and eliminates loads of
paperwork. With automated processes,
HR teams can focus more on metrics
that matter; understanding their
workforce better, improving decision-
making and allowing HR to be more
strategic.

Source: Ratatype

PAGE 4 THE ULTIMATE GUIDE TO HR AUTOMATION: SAVE TIME, MONEY, AND RESOURCES
 Fewer Human Errors and Compliance Issues

According to a study by CompTIA, 52% of security breaches are caused by human error. This is
alarming considering the stringent requirements of the Data Privacy Act.

Through automation, businesses can minimize human errors and ensure compliance. Automated
systems can track employee activity through secure access and audit trails, ensuring that sensitive data
remains safe.

Self-Service Portals

HR automation improves the employee

experience by providing access to self-service
portals that offer 24/7 access to payroll and
benefits information.

Eliminating the need for employees to rely on

your HR team for basic tasks significantly
reduces the workload of HR professionals,
allowing them to focus on more strategic
initiatives.
HR automation enhances employee experience with 24/7
Self-service portals allows employees to view self-service portals for instant payroll and benefits access.
and manage their data, as well as efficiently
submit requests.

Faster Query Resolution

Automating your processes enables your HR team to easily view all employee requests in one place;
making it easier for them to prioritize urgent queries and respond to employees quickly, increasing the
level of service and improving employee satisfaction.

Return on Investment

Automating HR tasks often exceed expectations in ROI. Across various industries, automation has been
shown to deliver an impressive return of approximately 246%.

In addition, HR automation improves employee retention and help reduce turnover which is found to be
one of the biggest challenges for businesses.

HR automation helps businesses save time and money, enable more strategic decision-making, cut
down the risk of human errors, and offer a better employee experience.

Automation boosts ROI by an impressive 246%

across various industries.

PAGE 5 THE ULTIMATE GUIDE TO HR AUTOMATION: SAVE TIME, MONEY, AND RESOURCES
 A Step-by-Step Guide to Begin Your HR
Automation Journey
Introducing changes in work operations, such as HR processes, can feel overwhelming. Fortunately,
there are a few strategies to begin your HR automation journey.

Here's a step-by-step guide on how to do it:

STEP 1:

Assess Your HR Processes

Standard processes that can be automated include:
Before you begin automating your HR
processes, assess each of your Onboarding and Offboarding
processes to identify where automation Employee Management
may be the most beneficial. Take note of
Payroll Management
all the time-consuming and repetitive
Performance Reviews and Surveys
tasks.
Attendance Tracking
Ensure that you are familiar with the Employee Leave Requests
processes and have a clear idea of what
outcomes you are looking to achieve.

STEP 2:

Identify Pain Points

Look for possible obstacles or areas of concern that may impede progress. Consider asking the
following questions:

Does the process currently take too long?

Will automating the process cause any changes to existing operations?
Are there any legal considerations to bear in mind when automating processes?
Is there any resistance from employees to the idea of automation?

By answering these questions, you can gain a better understanding of where automation may be most
effective.

STEP 3:

Prioritizing Areas of Automation

Once you’ve identified which processes can be automated, decide on what order to tackle them in. This
will help ensure that you are using your time and resources efficiently and effectively. Consider the
potential benefits of each process as well as any associated costs when calculating and assessing the
priorities.

PAGE 6 THE ULTIMATE GUIDE TO HR AUTOMATION: SAVE TIME, MONEY, AND RESOURCES
 Choosing the Right HR Automation Solution
Explore different options and solutions and evaluate their features to find one that aligns with your
organization's needs.

Key considerations when choosing HR tools and software should include:

Ease of Use
How intuitive is the user interface of the HR software? Is it easy to navigate without extensive training?

Scalability
Can the HR tool adapt and grow with the changes in the size and structure of your organization?

Customization
Does the software allow for customization to cater to specific needs of your company?
Key Criteria
to Consider Integration Capabilities with Existing Systems
Can the HR tool seamlessly integrate with your company's existing systems and software?

Level of Security
What level of security does the software provide to protect your company's sensitive data?

Cost
Is the cost of the HR tool within your budget? Are there any additional fees or hidden costs?

Customer Service
Is the customer support available 24/7, and how responsive are they to inquiries?

Additionally, look for solutions that offer regular updates to ensure your tools stay relevant as your
business grows and evolves.

The goal of automation is to simplify your HR tasks, not complicate them further.

STEP 4:

Perform a Pilot Test

Before you commit to anything, performing a pilot test is advisable. This will help identify potential
issues or improvement areas that may have gone unnoticed in the planning stage.

You should request a demo from your chosen solution to get a sense of how the software works and
check its scalability and customization. Involve your team in the testing process and ask for their
feedback.

STEP 5:
Gain Employee Buy-In Through Communication
Change can be intimidating and it’s important to ensure that your team is on board with the automation
process. Explain why it’s necessary and what's expected of them in terms of learning how to navigate
the new system.

It’s also important to clearly communicate the value and benefits of automation to your team. Explain
how it can help streamline HR processes, reduce errors, save time and money,
and improve efficiency.

PAGE 7 THE ULTIMATE GUIDE TO HR AUTOMATION: SAVE TIME, MONEY, AND RESOURCES
 STEP 6:

Training and Support During Transition and Implementation

Provide comprehensive training and support for your team as they adjust to the changes. Hold regular
sessions and be available to answer any questions that arise.

At this stage, it’s important to remain patient and allow your team time to grow comfortable with the new
system. Encourage feedback on how the automation process can be further improved.

STEP 7:

Monitor and Adjust as Necessary

Keep a close eye on how the automation process is going and make adjustments as needed. You can do
this by regularly assessing the performance of your HR processes with KPIs, such as turnaround times
and cost savings.

Be sure to communicate with your solution partner to discuss any issues that may arise or new features
you’d like to see implemented.

Your business will reap the rewards of a streamlined and more efficient HR process.

Why Choose Sprout as Your Automation Partner

Sprout Solutions is the country's leading end-to-end HR platform, providing trusted and reliable HR
solutions to automate and streamline key HR and Business processes.

Don't take our word for it. With thousands of happy clients and a multitude of success stories from
different organizations, you can be sure that our team will deliver a comprehensive and cost-effective
solution tailored to your specific needs.

We help you with tailored solutions for all your HR needs, including:

Recruitment and Onboarding

Streamline your hiring process with Sprout's end-to-end recruitment and onboarding solutions. Effortlessly
attract, hire, and onboard top talent with ease.

Employee Management
Revolutionize your workforce management with Sprout's proven employee management system.
Experience seamless operations while prioritizing your valuable team members.

Engagement and Retention

Discover the sentiments of your team members toward your organization and gain valuable insights to
enhance the employee experience. Foster a sense of value and appreciation with Sprout's engagement and
retention solutions.

Employee Development
Unleash the full potential of your team and empower them to achieve greatness with Sprout's employee
development solution. Elevate their skills, nurture their growth, and bring out the very best in each individual.

Start your journey to achieve Operational Excellence with Sprout today!

Schedule a consultation here!

PAGE 8 THE ULTIMATE GUIDE TO HR AUTOMATION: SAVE TIME, MONEY, AND RESOURCES