Human Resource Outsourcing
Streamlining benefits administration through technology
Modern businesses are constantly looking for innovative ways to boost employee satisfaction and streamline internal processes. HR administration is a crucial part of this effort, particularly the complex and time-consuming task of benefits administration or management. Employee benefits are a crucial part of not only attracting and retaining top talent, but also ensuring that employees receive the best benefits possible at the best cost possible. Retirement plans, health insurance and other perks are all part of employee benefits packages.
Tasks involved in benefits administration include design and selection, implementation and enrollment, communication and compliance reporting, record-keeping and maintenance, among others. These tasks can either be handled by in-house HR departments or third-party vendors that specialise in employee benefits administration.
Most organisations now use technology to help streamline this important sector. It can help employers create a program that aligns with employee expectations of today and in future. While adapting technological advances, two concerns that cannot be ignored by organisations are data security and privacy protection. True, these concerns are partly addressed by the fact that machine learning (ML) and efficient digitisation reduce manual intervention and thereby the chances of human error. However, it is an ongoing process and the need to streamline benefits administration while enhancing employee experience is constantly pushing organisations towards developing and implementing new technological solutions.
Benefits of implementing technology to streamline benefits administration
- Use of centralised platforms
- Empowering employees through self-service HR portals
- Automation in HR administration
- Data analytics for informed decision-making
- Enhanced security and compliance
- Integration of benefits administration with other HR systems
- Mobile accessibility for on-the-go HR management
Traditional paperwork and manual processes in HR administration are giving way to centralised digital platforms. Cloud-based solutions and Human Resources Information Systems (HRIS) allow for the consolidation of various HR functions, including benefits management, health insurance, retirement plans and wellness programs. This centralisation simplifies data management, reduces errors and provides employees with a one-stop-shop for all their HR-related needs.
Technology enables the creation of self-service HR portals that enable employees to manage their benefits independently. Through these portals, employees can make selections, update personal information and access relevant resources without the need for constant HR intervention. This not only saves time for both employees and HR personnel but also fosters a sense of autonomy among the workforce.
Automation plays a significant role in HR administration, particularly in benefits enrollment processes. Technology allows organisations to automate benefits enrollment, ensuring employees are enrolled in their selected plans without the need for manual intervention. Further, automated communication tools keep employees informed about open enrollment periods, policy changes and other crucial updates, reducing misunderstandings and missed opportunities.
Technology makes it easier to collect and analyse data related to HR administration, including employee benefits. HR professionals can use analytics tools to gain insights into employee preferences, utilisation patterns and the overall effectiveness of benefit programs. This data-driven approach allows organisations to make informed decisions about benefit offerings, ensuring they align with the changing needs and expectations of their workforce.
The use of technology in HR administration enhances security and ensures compliance with regulations. Digital platforms often come equipped with robust security features, protecting sensitive employee information from potential breaches. Additionally, these systems help organisations stay up-to-date with changing regulatory requirements, reducing the risk of legal issues.
Benefits administration does not operate in isolation; it is closely tied to other HR functions. Technology facilitates seamless integration between benefits systems and other HR software, such as payroll and time-tracking systems. This integration minimises data discrepancies, eliminates the need for duplicate data entry and creates a seamless HR administration ecosystem.
With the increased reliance on mobile devices, benefits administration platforms are prioritising mobile accessibility. Employees can now manage their benefits on the go, improving accessibility and responsiveness in HR administration. This is particularly beneficial for organisations with distributed teams or employees who are frequently on the move.
Use of technology to remain a key focus in benefits administration
Technology has become a powerful catalyst in revolutionising HR administration, offering a range of tools and solutions that enhance efficiency, accuracy and employee satisfaction. As organisations continue to invest in modernising their HR processes, the deployment of benefits administration technology will remain a key focus. By embracing these advancements, organisations can create a more agile and employee-centric approach to HR administration, contributing to the overall well-being and satisfaction of their workforce.
How can Infosys BPM help?
As your employee benefits administration outsourcing partner, Infosys BPM can drive both employee engagement and benefits promotion. We offer an integrated set of services that can ably manage your employee and retiree savings, retirement plans, claims management, compensation data management and annual compensation review process, among a bouquet of other services. Our self-service applications provide clients and employees with access to data and the support that is required.
