The survey found that HR departments spend too much time on administrative tasks like data entry rather than strategic work. Only 36% of companies surveyed had an integrated human capital management system, leading many HR professionals to spend over 40% of their time on administrative tasks. While most recognize the value of automation, many companies still rely on manual systems or have separate point solutions. Adopting an integrated HCM system could streamline work by reducing data entry and allowing HR to focus on more productive roles.

1. Is Your HR Department
Productive, or Just Busy?
HR Survey Results

2. Is Your HR Department Productive, or Just Busy?
Executive Summary
Administrative employees in the human resources (HR)
department may seem extremely productive, but if their
energy is spent manually entering data and concocting
convoluted procedures to work around non-integrated HR
software, then they’re really not as productive as you’d
hope—they’re just busy.
That’s why automating tasks like payroll and benefits
administration must be done thoughtfully, with the goal of
freeing staff and supervisors to spend their energy on more
strategic (and truly productive) purposes. These efficiencies
can allow HR leaders to take a larger role in the company
and prove that they deserve a seat at the executive table.
Too Much Time Spent on
Administration, Data Entry
Responses from a June 2015 Paychex survey of 150
HR professionals at the SHRM Annual Conference and
Exposition indicated that administrative tasks and
manual processes take an excessive amount of time in
most HR departments. Small companies, in particular, may
still have to write everything out on paper by hand.
Survey respondents indicated that HR specialists have
to spend nearly half their time (41 percent) in a typical
workweek on tasks including administration (29 percent)
and re-entering data from one system to another (12
percent). The remainder of their time is spent productively,
by providing HR service and responding to employee
needs.
Only about a third of respondents (36 percent) said
their company has a comprehensive human capital
management (HCM) solution that supports hiring, HR
management, benefits administration, and payroll and taxes
from a single vendor.
Comprehensive systems only require data to be entered
once, because components share information. Other
respondents indicated they have an end-to-end system
with software from several providers, or use automation
piecemeal for specific tasks. Such set-ups usually require
entering the same data into the various programs. A
surprising 23 percent of those surveyed said they still rely
on paper-based HR administration.
Several reasons may account for companies’ lack of
comprehensive human capital management (HCM)
systems. Leaders at smaller firms may not realize that
small-business solutions exist at affordable prices.
Companies may lack the expertise to evaluate and adopt
automated HR products. Others may resist technology
altogether, preferring to stick to familiar manual methods.
Most HR Professionals Recognize
the Value of Automation
Even if automation in HR departments is inadequate, partial
or nonexistent, most professionals today recognize the
imperative to adopt electronic systems. Survey respondents
expressed interest in:
• An HRIS – 35%
• Recruiting and applicant tracking product – 37%
• Time and attendance product – 30%
• Payroll product – 33%
• Benefits administration product – 26%
• 401(k) record-keeping product – 14%
• Another solution – 9%
Others said that in the next 12 months they intended to
buy:
• An HRIS – 20%
• Recruiting and applicant tracking product: 19%
1
Types of Human Capital Management (HCM)
Software at Respondents’ Companies
36%
8%
23%
10%
23%
An end-to-end system
from one provider - 36%
Don’t know - 8%
An end-to-end system from
multiple providers - 23%
Point solutions from
various providers - 10%
None, use manual
systems - 23%

3. Is Your HR Department Productive, or Just Busy?
2
• Time and attendance product – 18%
• Payroll product – 17%
• Benefits administration product – 10%
• 401(k) record-keeping product – 6%
• Another solution – 2%
An HRIS is a single tool to manage labor, share information,
and guide a company’s compliance with labor laws and
regulations. Such a product is typically web-based, making
it scalable and therefore attractive to even the smallest
businesses.
An HRIS’ capabilities usually include:
• Broad data-sharing capacity, allowing users
to easily share key organizational and personnel
information;
• Simplified benefits administration;
• Improved employee training
• Cloud-based data storage; and
• Extensive reporting capabilities.
Through the survey, 35 percent of respondents indicated
they were interested in an HRIS, and 20 percent said they
were ready to purchase such a tool. Other HR specialists
listed specific automated functions that would benefit their
companies, such as recruiting and applicant tracking,
employee time and attendance records, payroll, benefits
administration, and 401(k) plan administration,.
Integrating HR functions in a single platform is the most
cost-effective approach to automation, because it:
• Reduces manual entry and administrative work
across the board;
• Ensures that all functions interact with one another;
• Presents similar user interfaces and functionality
for various tasks, which simplifies training; and
• Requires only one vendor for training, support and
upgrades.
Respondents’ interest in HRIS and other computerized
services seem to indicate a significant opportunity for
vendors of HR software.
Users of HRIS Give the Tool High
Marks
When we asked current HRIS users to describe the top
benefits they get, responses were wide-ranging. Several
broad themes surfaced:
• “Accessibility”
- “Employee self-service”
- “Everything in one place, one system”
- “Real-time access”
• “Centralized”
- “Single sign-on”
• “Comprehensive”
- “Controls all personnel files”
- “It offers many of the modules we require”
- “Tracking and training”
- “Cross-year reporting”
• “Easy to use”
- “One-time administration, low cost”
• “Time savings”
There were also a few gripes. Ideally, these problems could
be avoided with careful system selection and review of
vendors:
• “Runs smoothly except when you run into an issue.
Impossible to get proper assistance.”
• “Potential, if we knew how to use properly.”
• “Not all-encompassing.”
On the whole, HRIS represents a huge advance in
efficiency for human resources administration. It enables
the collection, tracking, storage and security of enormous
amounts of data. It facilitates detailed record-keeping and
reporting. It obviates the need to store large volumes of
paper files and references. And it frees HR staff from a
huge amount of clerical work.

4. Is Your HR Department Productive, or Just Busy?
HR Software Solutions Have their
Own Challenges
Technology’s Achilles heel, however, is the speed in
which software becomes obsolete. A number of survey
respondents who use automated HR tools indicated the
need for revisions or updates.
This problem is compounded when a business has discrete
systems for different functions. It may cause a company
to endure nearly constant upgrades as one program
or another comes due for revision—causing ongoing
aggravation and slowing down work processes.
With HCM, the company can solve the never-ending loop
of software upgrades arising from multiple systems and
multiple vendors. These frustrations may be cured with the
following benefits as mentioned by survey respondents:
• One vendor and one point of contact;
• Price discounts for bundled products;
• Common interface and functionality for all
programs, facilitating employee training;
• Programs that “talk” to one another for seamless
data exchange and less data entry;
• Upgrades that can occur at scheduled intervals for
all programs;
• Cloud-based data storage;
• One customer service contact for all pieces of the
package; and
• Ability to manage costs with programs that
interface and coordinate with one another.
Biggest Challenges or Frustrations
with Current HCM System
The complaint about too much data entry is vendor-
specific; “other” gripes included difficulty creating reports,
user unfriendliness, high administrative costs and lack of
reliability. Such issues can be minimized by:
• Researching products and vendors thoroughly;
• Talking with peer companies using HCM to learn
their likes and dislikes;
• Requesting on-site product demonstrations; and
• Asking to “test drive” the system with your own
data.
3
Function of your HR software most
in need of revision Too much manual data entry - 24%
System management too time-consuming - 14%
Current systems separate/in silos - 18%
Using system effectively to manage costs - 5%
Other - 28%
Streamlining and automating planning - 11%
Biggest Challenges or Frustrations
with Current HCM System
Time and Attendance - 16%
Payroll Software - 14%
Recruiting Software - 14%

5. Is Your HR Department Productive, or Just Busy?
4
About the Survey
Our representatives surveyed 150 attendees of the 2015
Society for Human Resource Management (SHRM) Annual
Conference, held in Las Vegas June 28 to July 1, to learn
the activities that occupy their workdays and the tools
they employ to do their jobs. Although the number of
respondents is small for purely statistical purposes, the
results are nevertheless revealing.
Paychex representatives staffing the corporate booth in
the conference exhibit hall asked visitors to respond to a
questionnaire on human resource systems. Participants
included:
• HR directors and managers;
• Company presidents and chief executive officers;
• Company vice presidents;
• Other executives, such as chief financial officers,
chief operating officers and chief information
officers;
• Payroll managers;
• Company directors;
• Controllers;
• Board members;
• Administrative assistants; and
• Consultants.
Survey takers represented a wide range of industries, such
as:
• Business services;
• Communications/Information technology;
• Construction/Mining;
• Consumer goods/Retail;
• Discretionary consumer services;
• Education;
• Financial, legal and real estate;
• Food/Beverage;
• Government;
• Manufacturing;
• Medical/Healthcare/Pharmaceutical;
• Science/Technology;
• Sporting goods/Travel/Amusement;
• Transportation;
• Utilities; and
• Wholesale trade.
The majority of respondents (44 percent) worked in
midsized firms of 100 to 299 employees. The next-largest
segment came from small businesses of fewer than 100
workers. The remainder of survey-takers was evenly split
(13 percent each) at companies of 500 to 1,000 employees
or more than 1,000 employees.
Respondents’ companies reported a wide range of annual
revenue as well.
The majority of survey participants (82 percent) indicated
they had at least some role in the purchase of an
automated human capital-management system for their
company.
44%
13%
13%
30%
Fewer than 100: - 30%
100-299 - 44%
300-499 - 13%
500-1,000 - 13%
More than 1,000 - 0%
Estimated number of employees in
respondents’ companies
Annual revenue of respondents’ companies
$1 million to $9.9 million
$10 million to $24.9 million
Less than $1 million
$25 million to $49.9 million
$50 million to $99.9 million
$100 million to $499.0 million
$500 million to $999.9 million
$1 billion or more
Don’t know
Response Chart Percentage
5%
13%
16%
16%
10%
4%
Count
14%
4%
18%
Total Responses 149
7
20
24
23
15
6
21
6
27

6. Conclusion
Small and midsized companies in any industry may turn
busy workers into truly productive employees with a human
resource information system (HRIS) to automate labor- and
data-intensive functions, such as benefits, payroll, and
reporting.
Responses to a survey taken by 150 attendees at the 2015
SHRM Annual Conference indicated that administrative
tasks and manual processes occupy an inordinate amount
of time in most HR departments. Small companies may still
rely on laborious paper-based methods.
A single system from a single vendor enables data transfer
among all functions, streamlining data entry. Program
updates are simplified and synchronized, unlike upgrades
to separate systems used for discrete functions. An HCM
system can represent a cost-effective solution for myriad
complex HR functions.
With the time savings gained from incorporating an HRIS
into an HCM system, human resource staff can devote their
energies to strategic work.
Where Can I Find Out More?
When you’re ready to learn more about leveraging HCM for
your business, you’re invited to peruse our informative HR
articles.
© 2015, Paychex, Inc.
Paychex, Inc.
911 Panorama Trail South
Rochester, New York 14625
800-322-7292
www.paychex.com
Paychex FlexSM
Paychex Flex delivers the most comprehensive, end-to-
end technology suite available that puts your people at its
core. Built on a single platform, employees have a single
data profile that ensures real-time accuracy from recruiting
through retirement. It’s all backed by more than 40 years of
Paychex stability and innovation—including nearly 20 years
in the mid-market space—and supported by our unrivaled,
flexible service model that can grow and change with your
business.
About Paychex
Paychex, Inc. is a leading provider of integrated human
capital management solutions for payroll, HR, retirement,
and insurance services. By combining its innovative
software-as-a-service technology and mobility platform
with dedicated, personal service, Paychex empowers
small- and medium-sized business owners to focus on
the growth and management of their business. Backed by
more than 40 years of industry expertise, Paychex serves
approximately 590,000 payroll clients across 100 locations
and pays one out of every 15 American private sector
employees. Learn more about Paychex by visiting www.
paychex.com, and stay connected on Twitter (twitter.com/
paychex) and LinkedIn (linkedin.com/company/paychex).
The information in this paper is furnished for informational use only
and should not be construed as a commitment by Paychex, Inc.
Paychex provides such information as a service and is not implying its
endorsement of, or agreement with, such opinions, information, analyses,
recommendations, or conclusions. If legal advice or other expert
assistance is required, the services of a competent professional should
be sought.
Contact Me
To find out more about about how we can
help, feel free to call/email me.
Chelsea Rusk
Major Market Services Consultant
CRusk@paychex.com
317.506.6631