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Why Mid-Sized Organizations Must Scale Operations to Meet HR and IT Demands

 

Just when we think we’ve experienced the extent of the COVID-19 pandemic’s impact on the world, we uncover another layer. 

This time, mid-sized organizations diving out of the pandemic and into a global recession are confronted with one more deep, organizational challenge: core operational functions like human resources (HR) and information technology (IT) are increasingly unable to handle the scale and scope of work required to keep a company functioning — and their current human capital management (HCM) systems are not making things easier. 

Successfully scaling operations is a key factor in thriving amidst uncertainty and adversity, which is on every organization’s radar in today’s business climate. But scaling operations is also the only way to make sure an organization is accessing the full potential of its talent. Without effective and efficient HR and IT processes, inefficient manual processes drive costs up, drive productivity down, and limit the impact of a company’s hard-working HR and IT teams. 

Scaling operations and updating processes and workflows is a top priority for businesses of all sizes. In fact, it’s estimated that companies can lose up to 30% of revenue every year from inefficiency. When we consider the important private data handled by HR and IT on a daily basis, it’s easy to see where scaling operations management fits into the bigger picture.

Suggested Read: Click here to read our previous article, “Let's Stop Talking About Product Efficiency: Is Your HCM Software Scalable?”

Why is scaling operations now one of the most important next steps mid-sized companies can take today? And how will it help HR and IT teams capture future success?

Read on to explore what’s driving the mid-sized organization’s need for scalable HCM:  

Changes in the HR and IT Landscape Precede Changes in Technology

Organizational processes in HR and IT have always had basic ground rules in place: some roles initiate tasks, some roles complete them, and some roles approve those transactions. The most robust processes repeat those rules in the same order for each activity under the department's purview. 

The new challenge facing organizations is that the roles of HR and IT are evolving and expanding. Unpredictable business environments increasingly draw these departments into important, high-level discussions about strategy, operations, security, and more. Manual tasks may have just been a slight nuisance before — but today, they distract HR and IT from critical, future-focused work that can make or break an organization’s success. 

These challenges are especially pronounced for mid-sized organizations that need to make the most of every person on staff. There’s rarely room for bringing on new staff members to get more done — it’s almost always a matter of getting more done with what you have. And as the organization grows, those manual tasks pile up until time-worn processes and hard-working talent reach a breaking point at the same time.

Benefits of a Scalable HCM System

The benefits of scaling operations start in the HR and IT departments but extend across the organization. Because when the people and the technology in a company are aligned,  processes become points of transformation, not points of friction. The organization can now adapt to meet increasing demand in a way that enables true scale, not simply optimal efficiency. Over time, the business expands its capabilities and continuously manages a larger workload, adapting to increased demand and quickly adjusting to changing market conditions.

Here are a few more benefits an organization achieves from A scalable HCM system:

  • Shift administrative work off of the team and onto the system

A comprehensive, modern HCM tool introduces teams to predefined workflows that can be enabled during activation, allowing the HR or IT team to quickly offload manual tasks and re-prioritize their time for high-impact work.  

  • Simplify data sources into a single source of truth

When operations are streamlined on one platform, an organization gains access to a single source of truth for reporting and payroll, eliminating duplicate data entry and errors while also automating critical workflows. 

  • Engage — and retain — employees

An intuitively designed HCM system makes it easier for employees to self-serve, get visibility into the system, and feel in control of their workload. 

With results like these, is it any surprise that 65% of HR leaders surveyed included “improving operational excellence” in their top three priorities for 2021?

For all that it’s clear that scaling operations is a critical priority today, it can still be challenging for a mid-sized business to set aside the time, resources, and budget to prioritize an effort like this. But if you are feeling the crunch of “more to do and fewer resources to do it,” it’s time to consider that scaling operations might be even more important than you thought. It’s one thing to be prudent about your IT costs and skeptical of the possible ROI of investing in HR and IT operations… It's another thing entirely to overlook the benefits of enhancing your critical organizational operations with reliable automation, a single source of truth, and more accurate data and insights. 

Do you feel like your organization still has “room to grow”? Contact us today to discuss scaling your operations

SyncHR Workflows provide clients with the ability to automate and streamline common business processes for greater efficiency, accuracy, and productivity. More than just an audit trail, SyncHR workflows allow clients to leverage their HCM system to dynamically determine process step recipients based on defined roles in the platform. 

We are here to support mid-sized organizations with efficient, accurate, and cost-effective workforce management solutions. To learn more about SyncHR, click here.


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Sarah Greesonbach

Sarah Greesonbach

Sarah Greesonbach turns cutting-edge research and data into captivating HR technology marketing content. She loves to consider the possibilities of humanizing, organizing, and minimalizing all things HR, and her writing helps HR executives and professionals develop their instincts and arrive at actionable insights for employee engagement and business performance.

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