Build your Business Value with Data: How can SMEs accelerate their growth and impact?
Three keywords define the future of SMEs today: Disruption, automation and data. Fast-growing organisations have undoubtedly been hit by disruptive trends in ways very different from already established enterprises. Faced with the threat of recession to the introduction of immersive AI technologies, competition with the larger players has been fierce. Both for skilled talent and for securing business. What’s urgent then is to level the playing field by investing in digital infrastructure which brings us to the second crucial component: automation, especially HR automation.
Manual processes are known to slow down SMEs in India who already operate with a limited workforce. But when the larger vision calls for scaling new heights, employee workflows must become seamless to reduce the administrative burden. This also ensures that time is spent on more strategic, business-centric tasks. HR automation also offers the HR function more time to invest in innovative people practices that motivate and inspire the workforce to perform to their highest potential. Ultimately, investment in HR software in India is the answer to evolving and exceeding growth targets.
But as is the case for any digital investment that an organisation must make, especially HR automation, an ROI must be evident. This is where the importance of data comes in. Strengthening a data-centric culture is key to winning in an evolving future of work, and leading a successful and disruption-proof business. Here’s why.
Accurate decision-making for growth strategy
Granular level of information results in accurate decision-making, because organisational resources are then dedicated to initiatives that are highly likely to succeed. The risk of lost time and resources is also drastically reduced. KPMG’s research highlights how 85% of SMEs in India believe that data analytics will help them make better business decisions.
After all, analysing customer behaviour, market trends, and financial data can help them design and implement targeted strategies that will contribute to business growth. But this must align with the available organisational resources. This is where the power of built-in HR dashboards lies because it is bound to provide detailed, on-demand reports to the leadership, who can now confidently take data-driven decisions.
Heightened workforce efficiency and productivity
A study by Deloitte found that SMEs in India that adopt data analytics can increase their productivity by up to 33%. HR payroll software plays an invaluable role here because they support SMEs in putting an end to time-consuming manual processes and collating important organisational data, thereby increasing productivity. By also taking charge of recruitment, benefits and even attendance management, all critical information about the employees is now available in one HR dashboard.
Additionally, data is leveraged to optimise workforce operations. According to a report by IBM, SMEs in India that use data analytics have seen a 25-30% improvement in their operational efficiency. By analysing data on their internal processes and workflows, SMEs can identify bottlenecks immediately and correct in. Inevitably, this results in improved efficiency as employees can now carry out their daily responsibilities smoothly. With HR payroll software that automates even compensation processes, employees are also paid correctly and on time which boosts their engagement and ultimately, their performance.
Improved and optimised financial management
Coming back to automating payroll, the data collated on the HR dashboard is invaluable even from an appraisal and fund allocation perspective, especially when leading new business initiatives or strengthening older ones.
SAP’s report highlighted that 77% of SMEs in India believe that data analytics helps them manage their finances better. By using data analytics to track cash flow, analyse financial performance, and optimize budgeting, they can improve their financial management and make better investment decisions. HR automation can indeed be a crucial factor in their business growth, especially as they navigate a challenging economic landscape.
How to find the right system for your needs?
Given these critical business returns from investing in HR software in India that collate relevant data to design growth strategies, the road ahead is not without its challenges. It includes a combination of several factors such as a limited understanding of data analytics, lack of proper digital infrastructure, security concerns and most importantly, the cost. However, at the same time, the value of data insights cannot be overlooked especially in the current disruptive business climate.
For both SMEs and large enterprises, the answer to empowering a thriving workforce and workplace rests on leveraging organisational data. This is where PeoplesHR Turbo, a one-stop solution for the growing HR demands of SMEs comes in.
Well aware of the multiple challenges that these high-potential organisations face when it comes to digital adoption, their solution comprises powerful in-built dashboards and reporting capabilities, which include HR Dashboards collating relevant information from all modules, Reports Navigator and even an On-Demand Reports Generator offering drilled-down information for decision-making. And if this isn’t enough, the platform is cost-effective and promises a high level of data security so that your employees feel their sensitive information is in safe hands.
While SMEs cannot avoid future disruptions, what they can do is optimise their operations with HR automation and leverage the critical data collated to lead impactful business strategies. Data-centricity is inevitably tied to organisational growth, so if you’re looking to build a data-driven SME, click here to learn more and get started on this exciting journey!