How HRMS Can Streamline Appraisal Process


It is that time of the year when appraisals are on the top of everybody’s minds. And, rightly so. An employee wants to know how he performed and expects to be rewarded if has met his company’s aspirations. Similarly, an organization wants to take stock of the achievements and performance of its employees in the past financial year.

Every organization’s success depends on the performance of its employees. The management cannot achieve results by itself unless every cog in the system works optimally. Consequently, it needs to engage and reward its people and motivate them to achieve the desired results day in and day out. One way to appreciate employees’ contribution, productivity, and efficiency is through appraisals. Annual appraisals is the core of performance management systems in most organizations.

The task is tedious. Any HR professional would admit that their time is mostly spent managing appraisal documents, goal sheets, etc., particularly in this part of the year. The efforts are time consuming. Leveraging modern technology can reduce the headache for a number of HR executives, eventually freeing up their resources for more creative aspects such as creation and execution of human resource strategies, employee engagement, etc.

The Human Resource Management System (HRMS) is an HR software which combines various systems and processes for hassle-free management of employees’ data, including payroll, performance evaluation, recruitment processes, etc. It makes processes manageable and easy to access through the use of IT tools by integrating data from different sources into one universal database. The HRMS software eliminates the need for manual intervention and paper work, even while acting as a repository for all important documents. Let’s see how exactly the HRMS helps in streamlining performance appraisals.

How HRMS helps in appraisals?

The HRMS application, through user configuration, controls what each user views when they access the system. An employee with no supervisory role gets a different user interface than that with supervisory responsibilities. Similarly, HR professionals get a different user interface altogether.

Supervisors as well as HR personnel set up goal-sheet templates for employees according to designation and responsibility together with various appraisal criteria. Employees get a notification and accept the goals. Once the appraisal cycle begins, a notification goes to employees to provide self-input. Once self-input is completed, supervisors get notifications asking for appraisals. After documentation and acceptance, the appraisal cycle comes to an end.  

Enterprises need Cloud HRMS to optimize processes

Earlier, the HRMS software was expensive and the privilege of big corporate houses. However, things are no more the same. New technology such as cloud has brought down prices considerably and are user-friendly. Cloud-based Web-hosted business software applications can carry out appraisals with minimal cost and hassle. Cloud HRMS is particularly useful for enterprises having several branches or working locations as this technology can be used on the go and can help enterprises coordinate among various offices. A premise-based legacy system would not be able to tackle geographical spread.

“The HRMS software has the ability to integrate the entire appraisal process in an easy-to-use way. A cloud-based business application further facilitates the process in a seamless fashion,” said Shashank Dixit, CEO, Deskera, a global provider of cloud-based business software.

According to industry experts, an enterprise with over 25 employees needs the HRMS. However, adoption of modern technology and tools such as the HRMS is slow in India because businesses, particularly the SMEs, are often not aware of the benefits. But sooner than later enterprises will have to leverage technology to adhere to global best practices and make things easier for the HR departments