It’s time to move to cloud HR. Here’s 4 reasons why

Its tike to move to cloud HR. Here's 4 reasons why

Are you still sitting on the fence when it comes to embracing cloud HR software?

Perhaps you’ve decided it’s not worth the hassle. Or the thought of having all your data out there on the internet seems like a risky move.

Well, the world of cloud computing has evolved. Two years ago, 68% of organizations had at least one HR process in the cloud; in 2017 that number has climbed to 73%, according to PWC’s annual HR Technology Survey.

The survey also revealed that most respondents — 78% of them— were satisfied with the ability of their cloud products to meet their business needs, up from 62% in 2015.

With a variety of benefits to be gained from switching to the cloud, it’s time for companies who haven’t moved yet to consider it. Here’s why.


  1. Cloud is secure – and compliant

The most personal information an organization holds about its staff is held within the HR and People function.

Bank details, home addresses, salary details, perhaps information about medical conditions. If organizations are storing this information on spreadsheets it’s vulnerable to being shared in inappropriate ways, either accidentally or on purpose.

It’s in every cloud provider’s best interests to adhere to the highest standards of security – it’s their livelihood at stake. Ultimately, if a cloud HR provider can provide you with evidence of its quality practices, such as ISO 27001 certifications and accreditations, then this means that your records are safer in the cloud than sitting in your office.

Multinational companies are also required to comply with national holidays, pay periods, laws around when new staff can start to take holidays, and a multitude of other regulation and compliance matters. To help drive business growth, they need a cloud system that is able to handle this. A global cloud HR system can.


  1. Cloud is easy to use

Unlike legacy on-premise systems, switching to the cloud eliminates the need for regular software maintenance, as well as getting rid of issues such as sensitive hardware, disaster recovery, disruptive upgrades, and expensive licenses.

With the cloud – often referred to as software-as-a-service (SaaS) – you also only pay for what you need, and can be up and running a lot quicker than traditional IT deployments. It also reduces the reliance on your IT department, so the total cost of ownership is a lot less than traditional on-premise software.

It’s not only easier to implement, but cloud HR systems are significantly easier to use and manage than traditional on-premise systems.

Today’s employee is used to a very different world of hand written ledgers or pay ‘packets’ – actual envelopes containing real money. We live in an on-demand world where employees, as consumers, can do their grocery shopping, order dinner, and hail a cab on mobile. Employees expect this kind of immediacy at work too. Why shouldn’t they be able to book leave anywhere, anytime, from their phone?


  1. Cloud integrates with other company applications

A cloud HR system is not a silo. It can ‘talk’ to other systems within your business – such as payroll and finance – sharing the appropriate data as required.

On premise systems often require data to be exported to Excel to be manipulated for reporting. This is inefficient at best, and at worst can lead to poor business decision making. Every time HR data changes, the export and report compilation processes need to be repeated. One error in a spreadsheet, one accidentally deleted cell, or one poorly executed formula, can be the source of poor or incorrect decisions.

Wouldn’t it be nice just to press a button within your HR system and get the reporting you require at speed, and based on real-time information?


  1. Cloud is scalable and global

Older, unsophisticated systems are not well equipped to deal with multinational operations. For example, if someone in a satellite office gets married, or changes their address, or moves bank, the information about this event has to be entered into the HR system and then also manually rekeyed into the payroll software.

That’s double the effort, taking double the time. The potential for error is doubled too. Not only does this make poor business sense in immediate cost efficiency terms, if errors result in employees not getting paid, your reputation will suffer and you could lose valuable staff members.

Modern companies need the simplicity, flexibility and agility of a cloud HR system – so that as their company grows, their systems and people can too.

HR cloud software is a friend, rather than a foe. It offers unparalleled reliability, secure access, privacy and availability – and many smart, progressive businesses are already reaping the benefits of using cloud HR software. Is it time you did, too?


At Sage People we’re truly passionate about the advantages a cloud HR system can bring to businesses. We’d love the opportunity to find out more about your business needs. If you’d like to learn more about our global cloud HR and People system, then why not book a short demo for us to take you through it? Request a demo now.




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