HR Efficiency – Not an Oxymoron!

My 10th grade son was studying for an English Literary Terms exam last night and I heard him provide a study friend with the definition of oxymoron (it was the correct definition, btw, so let’s hope the test goes well). It got me thinking about some of my favorite oxymorons. You probably share some of the same favorites: Act Naturally; Final Draft; Civil War; Jumbo Shrimp. I was recently at a meeting where someone added their own personal favorite and it took all my might not to knock him upside the head with a “12-ounce pound cake”! His addition…HR Efficiency. I took exception to this failed attempt at humor because in my 20+ years of experience, I’ve found the majority of HR departments to be incredibly focused on efficiency. However, they have been handcuffed by not having the necessary technology to achieve maximum efficiency. In today’s market, there are some incredibly powerful technologies available to HR professionals. Historically speaking, it was often very difficult and/or daunting for HR departments to develop a water-tight business case that could quickly provide an ROI. However, there are many products and/or resources available in the market that can help HR clearly articulate a strategy for achieving an ROI which will then provide them with the necessary tools and technologies to achieve maximum efficiency. Here are a few examples of independent resources, their studies, and their findings…

  • recently calculated the average cost for an HR professional to manually enroll an employee in benefits is $109.49; the average cost for the employee to take ownership and enroll themselves online is $21.79. That would be an 80% savings, using anyone’s calculator.
  • Nucleus Research has determined that 1.2% of gross payroll is lost through a lack of automation in capturing employee time. A large portion of this can be traced back to “buddy punching”, where employees are clocking in their friends so that they can sleep in and get paid while they slumber. On a $10MM payroll, that is $120,000!
With all the resources available today, HR departments should be lining up to automate and streamline using the latest/greatest in technology. As with any technology implementation, it should be well-thought out and integrated with other tools, technology, and processes.
In doing so, we’ll prove, once and for all, that HR Efficiency is “Incredibly Common”.

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