Problem corner

Steve Foster from RebusHR advises on persuading finance directors of the
strong business case for e-HR

Problem: How can I convince my finance director of the
cost-saving benefits of an e-HR system?

Solution: Building a robust business case for e-HR is
part science, part art form: there are no easy answers.

First, the scientific part. Research suggests that e-HR can
generate 30 per cent savings against HR costs by automating administration,
leading to headcount and other operational savings/avoidance. So it is
important to thoroughly examine every HR business process to identify obvious
automation opportunities.

However, a business case is more than just number crunching. It
means looking beyond hard numbers at less tangible, but nevertheless real,
benefits (after all, HR itself is about long-term intangibles).

Financial directors (FDs) are highly focused on running an
effective business: show them how e-HR will enable a low-administration HR
organisation that focuses on business change and improving people performance.
Translate this into business results, such as reduced absence, lower turnover,
higher productivity, better training spend and reduced recruitment costs.

FDs are probably line managers themselves. It helps them find
the ‘what’s in it for me’ angle, such as better support for performance issues,
and help them understand the value of quality information (accurate, timely
management information is a hot-button in finance). See the world through the
eyes of your key stakeholders and articulate the benefits for the whole
business, not just HR.

Steve Foster is practice leader (HR
Solutions), RebusHR,

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