The digital era for HR has arrived with the crossover between paper and technology now complete. However, with several HR software options currently on the market combined with companies desire to be more engaged with their employees, it may be time to evaluate the abilities of your solution to fulfil the employment life cycle – from hire to retire.
So, what is the Employment Life Cycle? It identifies the different stages an employee advances through through an organisation and the role HR plays in advancing their progress with the end goal being to retain the employee long-term. It begins as soon as a vacancy within the business is identified and ends at termination or retirement of the employee.
The stages of the Employment Life Cycle ideally should be manageable through a robust HR Software, aiding the employee and HR department every step of the way:
Stage 1: Recruit
The first stage includes all the processes leading up to and including the hiring of a new employee. Getting the recruitment process right from the very beginning sets the tone for how the potential candidates view your company – the more efficient and transparent the process the better. With applicant tracking systems a standard module in most HR systems, you can’t argue that this is a more time practical approach to recruiting and selecting the best talent for your business.
Stage 2: Onboard
This stage is when employees have accepted job offers to become part of your workforce. During the onboarding process, they are given the information and tools needed to work efficiently and begin their roles. They learn about the company’s policies and procedures as they undergo training. For HR departments, now more than ever this is a focus on compliance and keeping track of policies and procedures, sometimes Excel trackers just won’t work whereas HR Software can track such information easily.
Self Service systems may also have the option to allow new employees to log-on to a portal and start the stages of the onboarding process, meaning the Employee Life Cycle management is no longer the sole responsibility of the HR Department.
Stage 3: Develop
If you want to begin boosting employee engagement then this is an excellent stage to start. This stage includes how employees receive feedback for their work through employee performance reviews, one-on-one check-ins or meetings. Regular feedback is a primary feature of this stage because it helps management to gain insight into what motivates employees. It also helps employees understand how well they have performed against goals or targets. Tracking such information on HR Software not only keeps all this in one place, but it also allows employees and HR to review and see if goals or tasks were completed, valuable information for future employment reviews.
Stage 4: Retain
Once an employee is settled into the role and has a sound understanding of the company, the next challenge is retaining the worker and ensuring continued employee development. Continuous evaluation, recognition and training are crucial at this stage for sustaining employee engagement and retaining employees. Employees reaching objectives and growing within their roles could be rewarded with increased remuneration packages, job promotions or further training and development opportunities. With HR software that facilitates automated reminders, you can schedule events, reminders of work anniversaries and more. You could also schedule your HR software with email reminders to be automatically sent if action needs to be taken.
Stage 5: Offboard
This is the final stage of the employee life cycle, wherein the employee leaves the company as a result of resignation, termination or retirement. In any case, the HR department must follow proper procedures and documentation in the offboarding process of the employee. Generally, HR will inform the employee about final pay and benefits, with an Integrated Payroll and HR Software in place; the employee would be removed from the HR and Payroll system simultaneously. However, inactive data can remain on the system for some time and should anything arise in the future, then looking through your HR Data will be a lot easier and time efficient than rummaging through paper files.
Employee life cycle management is considered a critical function of the HR department because it deals with the most valuable asset of the business: the employees. Therefore, managing this life cycle efficiently through HR Software is not only smart – it’s crucial. Does your current solution go full cycle?