Managing leaves is one daunting and complicated task for HR professionals in any organization. It is an added burden on an already overworked HR department but a necessary one. There are many factors involved in the whole process, including leave policies, internal rules, laws, regulations of central and state authorities, and whatnot. Also, handling employee records, processing leave details, and ensuring compliance make it all the more difficult and lengthy. If your organization has a large number of employees, then there are chances of errors too.
A recent report revealed that over 38% of companies are still stuck with a manual leave management system to track leaves and attendance of employees. Of course, this paper-based process comes with its own challenges, such as:
- Delay in sending and approving leave requests.
- Inefficient monitoring of leaves.
- Costly errors and mistakes in updates.
- Filling spreadsheets and managing files can take weeks or months.
- Difficulty in planning leaves in advance.
- Unawareness about leave policies.
- Inaccuracies in leave management that affect payroll as well.
Therefore, a perfect solution that addresses all these challenges and issues is an automated Leave Management Software, a specially designed system that helps enterprises and HR teams deal with employee leaves effectively. It ensures that businesses run smoothly and workflow is more organized while providing employees a chance to recover, recharge, and pay attention to their families.
This comprehensive HR solution gives you a digital platform with dedicated modules for every HR function related to leaves and attendance management. Moreover, it streamlines and simplifies the complete process and offers equal benefits to employers and employees as well.
To get better acquainted with a Leave Management System, here is a guide that will help you understand its features, benefits, and more.
What Is a Leave Management System? What Are Its Features?
Employee Leave Management also known as time-off management includes all the processes and policies to manage employee leaves requests, such as holidays, sick leaves, vacation, and parental leaves. Using this self-service platform, the workforce requests time away from work and managers approve these leave requests based on company policies and rules. This is a modern and automated replacement for traditional and manually administered leave management programs which are way costlier and time-consuming.
The aim of this end-to-end HR software solution is to manage time-off requests accurately and fairly and allow employees to reap the benefits that they are entitled to. Furthermore, it empowers employees via a self-service portal and supervisors can respond to requests at the right time. This browser-based platform automatically evaluates all the requests while maintaining policy compliance. Organizations can also use it to see the impact on scheduled labor, thereby helping managers to make better decisions.
An effective and result-oriented leave management software must include the following features:
This is one of the most basic and essential features of any modern software solution. No matter what platform you are implementing in your company or what is the purpose of it, the cloud-based feature is a must in today’s era. The same holds true for leave management as well. It will offer multi-channel and on-the-go access to employees and HR professionals along with eliminating all the hassles that can delay the process. Also, the software with cloud integration offers easy installations and updates without bothering the HR team or administration department. All the data is safe and secure with a cloud-based solution and only authorized people can access it. Employees can apply for leaves within no time and managers can approve or reject requests from anytime, anywhere.
Self-service Option for Employees
HR professionals already have a lot to deal with, they are always consumed in work and if they have to tackle leave requests manually, then it will only add to their burden. Therefore, your organization must have a portal that employees can access themselves and check the updates on their leave requests. They don’t need to run to the HR department to ask whether the leaves have been approved or what their balance leaves are. You can give more power and responsibilities to your employees with a smart self-service platform that helps them solve all their time-off related requests. Rather than wasting their time approaching supervisors or managers, they can simply log in to the portal, check the updates, and send reminders. This will be a single access point to deal with employees’ details and simplify the leave management process for everyone, including employees, employers, managers, and HR teams.
No two companies or departments are the same when it comes to policies, rules, or culture. So, one staff leave management software may not work for all the teams or organizations. Even if it is the same company, holiday calendars, and leave policies may differentiate based on the location of the office. They must have a customized system that suits their specific needs and business requirements. It must enable enterprises to create a personalized workflow and set up a team-wise or department-wise hierarchy for a streamlined process. As an employee selects the department, the portal must process as per predefined workflow. An efficient software will allow managers to configure company-specific leave policies that include encashment, balanced proportion, accrual calculations, etc. while ensuring compliance with all the federal and state regulations.
Check on Unscheduled Leaves
Planned leaves are easier to manage than unscheduled leaves that have more impact on the overall productivity of a team. Of course, organizations can not restrict or stop these unplanned leaves as employees can take time off because of many unavoidable and unforeseen reasons. However, keeping a check on these unplanned leaves has to be organized and hassle-free. The leave management solution offered by us can handle this by recognizing a possible pattern of absence to nip the problem in the bud and reduce the chances of its occurrence again. It integrates seamlessly with the online attendance management software, whether it is a web-based tracking system, biometric device, or key card access. The platform sends a timely notification to the manager to look for another team member to cover the absence. It minimizes the efforts and time put in by HR professionals and also adheres to all the rules and policies of the company.
You are implementing leave management software because you want to replace your outdated and inefficient system or you want to upgrade it. Right? Then you must make sure that this new and modern solution integrates with your existing one without causing any trouble. It should avoid disruptions or downtime while integrating with your HR management software for timesheet management, payroll, and other HR functions. Therefore, saving time and eliminating silos while enabling cross-functional reporting.
Even the best leave management solution is of no use if it doesn’t have a built-in reporting module. Yes, this feature allows you to analyze the performance and productivity of each employee and evaluate the effectiveness of the software. Hence, make sure that it includes a reporting feature that prepares a timely and comprehensive analysis based on acquired data. It must give company-wise and employee-wise reports so an organization can see the patterns and get actionable insights. These specific and tailored reports may either be in the form of tables, graphs, or diagrams. This will save HR professionals a lot of time to generate and examine employee performance and leave management at the end of the year.
Benefits of Online Leave Management System
A good leave management software is one that comprises all features and functionalities to handle employee leave requests while ensuring smooth operations. We have explained a few more benefits of this system below in brief:
Increased Employee Satisfaction
This is a digital world where everything is just a few clicks away. Employees simply have to update leaves on a portal and managers get the notification within no time. However, before the arrival of LMS, taking a time off for a single day would require a lot of paperwork and face-to-face discussions with a supervisor. Moreover, assigning tasks to another member in the absence of one employee would also consume a lot of time and effort.
With the leave management module, they get rid of all the hurdles and lengthy processes by going paperless. Employees just have to send requests via a unified system and managers know about it in real-time and can approve it quickly. Also, there is more flexibility, transparency, and increased employee satisfaction. When staff feels empowered, it adds to their productivity and efficiency.
Organizations cannot take hours or days to make decisions, people have to be quick and make choices based on the available data. The same is true for employees as well who are mostly concerned with the benefits that the company has to offer. Leaves are crucial benefits and they track it monthly. So, HRIS software allows them to have real-time visibility of available information. They can instantly check the balance leaves, see the recent updates, and know if their leave request has been approved or not.
In case, the manager is not in the office or hasn’t reviewed the request, they can send alerts. Therefore, a proper system also makes communication seamless and faster. Moreover, biometric data offers managers a complete view of work in a day. This helps them allocate resources for a particular project on a short deadline.
Reduced Manual Work
Manual paper-based work is no longer a viable and efficient solution. An automated leave management system overcomes all the challenges of manual labor by streamlining the demanding process and offering various other benefits. Now, no HR professional has to complete paperwork or sign forms for leave requests. There will be no workflows that require back-and-forth negotiations with team members as the online portal will take care of it all within minutes. Also, buying paper in bulk can cost a fortune but paperless tasks save this cost. It is an eco-friendly alternative to a traditional and manual method that tracks employees and their attendance accurately.
By reducing manual intervention, companies can boost productivity and eliminate costly errors. Some assume that modern systems are extremely expensive and complicated to tackle. However, this is a one-time investment and the results are worth every penny and provide a smooth user experience. HR teams don’t have to search long to find one file or document as LMS offers every information on one platform.
Most employees feel stressed when it comes to asking for leaves or mostly they avoid it and opt for unplanned time-offs. It is because there is a lack of communication in the organization. We all know that unclear interaction can have a huge impact on employees and their relationship with managers. Also, such staff is prone to burnouts and other health issues. But now the change is in order as HR technology has made communication transparent and better, thereby boosting morale. This is even more beneficial for remote employees as they can connect with supervisors anytime, anywhere. Organizations can keep track of the leaves and attendance of remote teams easily.
Our meticulously designed leave tracking system conveys requests in seconds, making the whole process straightforward and clear while avoiding awkward face-to-face interactions. It also sends notifications to other members so they stay in the loop and know about the absence of their colleague on time. Organizations can customize it based on their specifications and set the frequency of the notifications accordingly.
Ensured Legal Compliance
Errors and non-compliance are the biggest limitations of the paper-based leave management method which often result in penalties and fines. Today, employees value transparency and are concerned about being paid timely. Modern and automated leave management solutions take care of these issues perfectly. It reduces errors and mitigates risks of manual work while ensuring that salary is credited to each account on time. Also, it creates monthly and yearly reports based on the available data, showing total leaves taken by each staff member and the patterns of their time off.
This data is also used for payroll and other purposes which makes sure that the company is complying with all the leave policies. HR can check that there are no pay errors, using the precise information provided by the leave tracking software.
Best Practices to Develop the Right Leave Management Software
Hitherto, you have read about the features and benefits of a good LMS solution. However, to enjoy these functionalities, you must have a well-balanced leave management system. So, here are a few points that you must remember while working on the leave management:
Adhere to Laws
Before you consider what policies to implement and strategize leave regulations, brush up on your knowledge about local, state, and federal laws. Government rules keep on changing and you must stay up to date with modifications to convey the right information to your employees. Your policies and administration must comply with these laws and must be based on the current industry regulations. Avoid running into any legal trouble with your leave management, be it regarding equality among employees or pay scale.
Write rules clearly and accurately and train managers thoroughly so they can manage the leaves of team members consistently and appropriately.
Stick to the Policies
Outlining policies for employees is another significant step and you must follow it strictly. There are many different terms and conditions to guide your workforce while applying for leaves. You must clarify the following points:
- Yearly holidays to be observed
- Notification requirements
- Procedure to request time off
- List of certified and official documents
- Types of leaves that the company offers
- Method of tracking intermittent leaves.
- Centralization process so that managers are always kept in the loop and also there must be a single source to make all the decisions.
You can also encourage your staff members to participate in leave programs and avail the benefits that they are entitled to.
Just simply saying that you maintain compliance is not enough. Companies have to keep all the documents related to every interaction, meeting, email, phone call, and more. This will ensure proper and strict compliance and reduce the risks of any legal intervention. Of course, you also need to protect these documents and keep them secure so that no unauthorized person can access them at any point in time. Also, one of the best steps is to centralize all your HR, attendance, time, and compliance management to a single dashboard with access controls.
Measure the Effectiveness
Yoru company policies and regulations are of no use if employees do not know about them. It will do no good to either your staff members or your business. So, make sure that you convey policies and conditions clearly to them at every level. Employees must be aware of their rights and benefits offered by the company. You can also train managers well so that they can communicate all the rules accurately to other team members.
This will also help you measure the effectiveness of your policies and changes that you must make for better results. Set goals, measure the return-to-work rate, and update the requirements as needed. Do not forget to share any adjustments or changes to the policies with employees.
Leaves have always been a great motivation for employees but managing and tracking them are bigger problems for HR professionals. Leave Management Software comes as a perfect solution to address all the challenges that hamper workflow. It covers all the aspects of time off and attendance on one portal. So, why deal with manual tasks and spreadsheets anymore? Connect with the team of Accomplish and we will create a custom package for you based on your specific needs.