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The Importance of Including Tech in Your HR Budget

Are you considering a line item for technology when planning your HR budget? One of the main roadblocks to getting technology approved on the HR budget is that leadership doesn’t understand its value. By finding ways to frame your budget around the monetary benefits and the organization’s priorities, the decision may become more absolute.

Whether you are brand new to the benefits of HR technology or you have tools in place right now but are looking to expand to promote efficiency, a thorough analysis of cost savings could support any claim to invest in the right HR technology platforms. Some benefits to include in the explanation for the HR budget allocation is that it can lead to significant savings in both time and money, in addition to recruiting the best and right talent for future open positions.

Supports Talent Acquisition

Right from the beginning, HR technology can impact the effectiveness of talent acquisition strategy. The ease with which candidates can apply for open positions will generate a higher talent pool than if the process is less automated with more difficult steps to process. This can be a hindrance to your recruitment efforts, especially in a competitive hiring environment.

Efficient Workforce Management

HR technology promotes a current, future, or unexpected hybrid or remote work environment by digitizing and streamlining HR processes. With digital, cloud-based files from a workforce management and development perspective, your files and documents will be safe and readily accessible to the HR team, supervisors, and employees. HR technology streamlines the processes by removing the need for paper or manual processing. 

Access to Analytics

Technology can also streamline the entire HR budget process by giving quick access to information without having to spend time putting it together. Most technology platforms will generate analytics to support your future objectives and budgetary needs. If the budget is evaluated more frequently than annually, the data will be ready to access when the information is requested. 

Develop Workforce

Gartner conducted a survey for the top 5 HR priorities for 2022, and one statistic claimed 40% of HR professionals can’t keep up with the continuously changing needs of skills development. Technology can not only help identify the skills needing to be developed, but will also manage a development platform to track progress and lay a foundation for goal setting, promotions, or internal recruitment for retention. 

Overall, HR technology can influence the HR budget by increasing efficiency to save time and money in the long term. These tools provide ease and efficiency for talent acquisition and workforce management, the creation of analytics, and streamlining workforce development efforts. To create your budget with all of the necessary information, include a case that adheres to the business objectives and supporting qualitative and quantitative data that supports the budgetary needs and company culture.

Cangrade has multiple talent acquisition and management solutions that support a more efficient working environment. Contact us to learn more about how our technology can support your business objectives.