What are the key benefits of a good HRMS for a startup and small business?

zingneo hrms

For any economy, big or small, startups and small businesses may not be the major contributor to the economy, but they certainly are the ones that truly reflect the locational and cultural intricacies of the place where they’re situated. And for that very same reason, SMBs and startups more openly and wholeheartedly connect to the general demographic of their immediate customer base. This is one of the reasons why smaller businesses flourish quickly on a smaller scale. The other being a very closed web of an interconnected internal management system. At the very start of their journey, or when they are really really small, SMBs are run entirely by founders and co-owners who take it up to their responsibility to manage all of the processes related to the business. And understandably so, this makes sense through a budgetary and entitlement perspective. But as soon as the business hits double-digit employees or are on the verge of expansion, this close-knit management system starts showing its shortcomings. Because employee management and other HR processes like hiring, payroll, retention, employee benefits, etc. are tougher to control on a larger scale. This is where HRMS systems come into the picture. 

HRMS systems are specialized software offerings of HRTech firms that help other companies and businesses with HR processes. In this piece, we look at the top 5 benefits that a good HRMS system might have on small businesses and startups. 

1. Hiring: Small businesses have a limited budgetary allocation. And unsurprisingly so, they don’t want to hire employees who cannot bring a positive unit economics contribution to the firm. HRMS software help firms in selecting the right candidates through analytical metrics. 

2. Retention: Similar to hiring, SMBs and startups would not want to lose out on employees whom they invested through training and other measures. HRMS systems follow employee behavioral patterns and predict possible resignation trends so that the firm can make necessary offerings to retain said employees. 

3. Payroll: Imagine calculating salary data and processing payroll for so many employees. It is a waste of company time and resources which would have otherwise been utilized in other projects of the firm. HRMS platforms boast of payroll processing systems that use effortless calculation and salary remuneration for easier processing. 

4. E-learning: Learning is as essential a part of the work system as the work itself. Employees need to constantly update their acquired skills to increase efficiency and deliver better output for evolving industry needs. HRMS platforms have an easy to design and control e-learning system which firms can integrate to impart necessary skill development amongst their various employees. 

5. Workflows: Organisations, as well as startups, have a lot of repetitive and regular tasks that cripple the efficiency of day-to-day work and HR management. HRMS-based workflows allow businesses to automate these tasks as well as increase collaboration outputs through cloud-based push notification services that keep the whole team informed and interconnected. Systems such as ZingNeo use data assessment to channelize proper engagement and meeting expectations. This helps shorten the HR process cycle and reduce the operating costs of the company. 


Startups and SMBs provide personalized products and services, and consecutively so, expect a certain kind of support system in return. HRMS platforms offer these solutions that are friendly, time-saving, and resourceful for the company. Platforms such as ZingNeo are custom designed to offer the best HRMS software solutions for startups and SMBs. 

This article is presented through an independent perspective from ZingNeo. ZingNeo is the go-to spot for ultra-modern HRMS solutions that is backed by Microsoft. It is fully equipped with AI-enabled cloud-based analytics and intelligent HR solutions to help firms in various HR activities. For more information, book a free demo by dropping a line at info@zinghr.com. 

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