3 Reasons Why Startups Should Invest In HR Automation At An Early Stage

September 1, 2021

Many entrepreneurs think their involvement is crucial at the initial stages of a business and so give little emphasis on automation or the integration of any digital systems. Some also perceive that automation at an early stage in a company is unnecessary and takes up a considerable sum for a start-up. On the other hand, automation or digitization has always been something more commonly suited to a medium-large scale business context.

The current business world is dynamic with advancing technologies, which has given rise to ample HR platforms to suit the most specific business requirements. However, the problem with start-ups is that they focus only on the cost of investing and not the “Return on investment”. So here we have put together three reasons why start-ups should invest in HR automation at an early stage.

It Helps With Productivity

As they say, “Time is money in business” which is especially true in the early stages of a company. Entrepreneurs need more time to invest their thoughts in as to which opportunities to chase down and how to provide the most value for their customers, how to establish their brands and much more. 

In such a context, performing routine or admin tasks can use up valuable time, creating many opportunity costs. When start-ups use an appropriate HR system to perform these routine tasks at an early stage, they can easily make more time to invest in other value-adding business operations.

Makes A Small Team More Efficient

When an admin or routine tasks are automated, there is no need of hiring more staff to perform them. It also provides a significant return on investment as entrepreneurs don’t have to allocate a separate budget in recruiting professionals to perform these tasks. This allows start-ups to function with a small team but more productively and cost-efficiently.

All the employees within a team can be utilized to perform tasks that require heavy “thinking and analytical” skills. There will also be no need to force many duties or job functions towards the small team. It makes your business more competitive, gives more space to innovate, and reduces the chances of a small group burning out. This will also create a stress-free and more streamlined business environment, where there will be a free flow of thinking and a much more engaged workforce who can support business growth.

Allows You To Handle Business Growth Easily

Start-ups face many uncertainties throughout their growth progress. This will want them to up-size according to the opportunities and the advancement of a business. Unfortunately, this is what many start-ups find challenging as they find it difficult to manage the staff, its finances and resources to suit the company’s scale.

Thankfully right HR systems can handle any pressure and be swiftly adapted to perform tasks under any scale, even if your business is tripling in size. This is a point where start-ups usually experience a heavy return on investment on automation as they don’t have to spend on recruiting professionals to perform many tasks – it’s all covered by automated or digitized software solutions. So even when a start-up’s revenue increases, most of its cost-elements will remain the same, because of automation. 

If you’re a start-up looking to integrate automation into your business progress at an early stage, but don’t know where to start, get in touch with us at EmiratesHR. We provide apt digitized HR solutions for all your precise business needs. Our tailor-made software solutions have been helping businesses of all sales streamline their HR processes cost-efficiently and productively.