February 2022


What is HRM software?

Working in Human Resources (HR) is becoming increasingly complex. Over the past couple of years, HR professionals the world over have had to pivot and adjust everything to match the times. A human resource management software (HRMS) is specifically built to help HR and ease the processing of employee data for various HR functions such as payroll, employee onboarding, recruitment, workforce planning and professional development.

Why use an HRMS?

At its very core, an HRMS makes the HR department’s work easier. It is designed to automate time-consuming manual processes, mitigate costly human error, centralise and digitise data to improve security, and so much more. The added benefit of an HRMS, compared to separate software for each function, is the automation and collaboration of data, linking processes like recruitment and talent management to your core HR.


Opting for a cloud-based HRMS solution can save you money. When you host your HRMS on-premise, you have the costs of the servers, hosting and maintenance to factor in, whereas all of this is taken care of by your software provider when you go into the cloud.


Ability to improve organisation

Some HR admin tasks repeat monthly, weekly or yearly, such as performance reviews. Having a HR software can help remind you when these HR tasks are coming up. It also helps to inform everyone involved in these processes, like line managers and senior management and prompt them for their comments and contributions. And you have just become more organised because you don’t have to chase people for information or remember when tasks are due. Sit back and feel the power of being in control.


Streamline processes

This ties in with improving your organising of HR activities. Because they are easily scheduled and monitored, HR software inevitable helps to ratchet up productivity. The processes are streamlined and easy to follow and maintain.


Further support for remote working environments

Cloud-based HR systems allow companies to have a truly global workforce. Employees can work from anywhere and keep their HR records up to date for payroll, absence and leave management, appraisals – everything HR-related. Remote-working employees can access coaching, training, social networking within the organisation, and manage their own account from – well, wherever they are. Cloud makes HR management flexible and self-empowering for employees. And it’s extra secure.


Ability to aid in decision making

One of the biggest benefits of implementing a HR software is that you can see and analyse your data. This means you are able to identify clear trends in data, and as a result of this, make strategic HR decisions that will ultimately improve your organisation.


More efficient use of time

For a long time, HR processes had to be performed manually on excel spreadsheets. We all know that this is time consuming and ineffective, and in the modern world, we need to move on and evolve. A good Human Resource Management System should automate processes and connect data, like feeding Paid and unpaid time off requests and approvals directly into your payroll, saving you from having to manually collate variable data and upload it to your payroll system.


Just think of the time saved each month if you didn’t have to do this? You could focus on more important aspects of your job.

The difference between HRMS, HRIS, and HCM

Since the development of HR software, acronyms like HRMS, HRIS and HCM have popped up referring to different functions each performs. They vaguely mean the same thing, but with small distinctions that no one is really sure of. Let’s clarify it once and for all: the difference between these is all down to the functionality. And actually, they’re very distinctive.


Human Resource Management System

An HRMS helps you manage HR in totality. It incorporates all HR functions and includes modules such as:

  • Payroll management: collate payroll information across the organisation at regular intervals, and conducting payroll runs, ensuring compliance, and timeous and accurate payment of salaries and wages.
  • HR admin: managing the organisational structure, policies and employee data changes, and more.
  • Recruitment: post job descriptions, manage interviews, store resumes, and more, with the help of applicant tracking systems (ATS).
  • Absence management: manage unplanned absences like sickness, injury, unauthorised leave and maternity leave.
  • Training and development: provide a way for employees to continue to develop their skills.
  • Self-service portal: This gives each employee the ability to manage and change their information.
  • Personnel tracking: Maintain a record of employee details, including but not limited to contact details, position and other personal information.


Human Resource Information System

A Human Resource Information System (or HRIS) is probably the most common version of HR software, since it was the original term for HR software. It is simply merging HR and information, like an upgraded database. It is designed to store employee information (hence the “I” in “HRIS”) like:

  • Demographic information – employee nationality, birth date, gender, etc,
  • Employee job information – manager, pay rates, department, etc.
  • Employee benefits information.
  • Leave balances and requests.


Human Capital Management

Human Capital Management systems look at employees as more an asset than a cost to the organisation. HCM activities aim to drive better employee engagement, productivity and overall business value of each worker. The system look at employees like an asset to be invested in and managed as such.

Choosing your HR software partner

The right HR software partner for you can add immense value to your business. Choose your partner with care and it can save your business time and money. When choosing, evaluate each provider on their ability to grow with you, upscale or downscale according to your business stages, customise processes according to your specific needs, and that they fit your budget. You’re not just looking for a vendor, but an ally that works alongside you. The right provider understands your organisation’s unique make-up and create a tailored solution for your HR needs. They help your business grow.

Choose the ultimate HR Solution


Book a Demo today to find out how gulfHR can assist you in building your HR  specifically shaped around the needs of your business and the Middle Eastern Regions.


The most established and successful businesses operating in the Middle East use gulfHR. Find out why Startups, Bluechips, and the Fortune 500 trust gulfHR as their HRMS provider.

Try the expert demo now to see the latest HR features and development in action.

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