How to Get Leadership Buy-in for a New HRIS

When it comes to improving the efficiency and effectiveness of HR operations, implementing a new Human Resource Information System (HRIS) can be transformative. An HRIS streamlines processes like payroll, benefits management, recruiting, and compliance tracking, saving your HR team time while increasing overall accuracy.

However, securing leadership buy-in for this kind of investment can be challenging. Executives typically need strong reasons to support any new technology, as they want to be sure it will align with the company’s goals, provide a clear return on investment (ROI), and deliver measurable results.

In this article, we’ll explore actionable strategies for getting leadership to support your HRIS proposal, including some useful resources to guide you along the way.

Understanding Leadership’s Priorities

To gain buy-in from leadership, you first need to understand their key priorities. Though priorities vary across organizations, most executives care about:

• Cost Efficiency: Will the new HRIS save the company money? Decision-makers want to know how much the system will cost and how much it will save in the long run.

• Return on Investment (ROI): What is the expected ROI? Leadership will want to see clear evidence that the investment in the HRIS will generate returns, whether through increased efficiency, reduced errors, or time savings.

• Business Goals Alignment: Does the HRIS align with broader company goals, such as scaling the business or improving workforce management?

• Risk Management: What are the risks, and how can they be mitigated? Leadership will be cautious about any potential risks, such as the disruption of operations during implementation or a lack of employee adoption.

To get a clear understanding of the ROI of an HRIS, you can use our ROI calculator for HR technology to provide quantitative data for your proposal. It’s important to align your argument with these business-focused concerns. For example, if cost savings are a key goal, demonstrate how automating manual HR processes through an HRIS can lead to significant time and money savings.

How to Build a Strong Business Case

A compelling business case is essential to gaining leadership buy-in. You need to clearly demonstrate how the new HRIS will address the company’s pain points, meet its strategic objectives, and deliver a positive ROI. 

Here's how to build a business case that resonates with leadership:

1. Quantify ROI: Numbers speak volumes, so make sure you include data that shows the potential return on investment. For example, if your HR team spends hours each week on manual tasks like entering payroll data or tracking employee leave, calculate how much time would be saved by automating those tasks with an HRIS. Then, convert that time savings into a dollar figure, demonstrating how much money the company could save annually. Be specific about the time and cost savings, and back it up with statistics or case studies.

2. Highlight Competitive Advantage: Explain how implementing an HRIS can help the company stay competitive in attracting and retaining top talent. A modern HR system enhances the employee experience by streamlining onboarding, improving benefits management, and enabling self-service tools for employees. A strong HRIS also helps the company create better employee engagement and retention strategies, which are critical in today’s competitive job market.

3. Focus on Scalability and Future-Proofing: A new HRIS isn’t just about solving today’s challenges; it’s about preparing for tomorrow. As your business grows, so will the demands on your HR team. A scalable HRIS will allow the company to efficiently manage more employees, process more data, and handle increasingly complex compliance requirements. Position the system as a long-term solution that will continue to meet the organization’s evolving needs.

Once you have the structure of your business case down, the challenge isn't over. There are some other questions and roadblocks that will likely come up during the decision process. To successfully address them and position an HRIS as a smart business move, try some of the following strategies:

1. Showcase Successful Case Studies

Sometimes, the best way to persuade leadership is to show how other companies in your industry have successfully implemented an HRIS. Case studies can provide real-world examples of how an HRIS has driven results in similar business environments. Here’s how to use case studies effectively:

• Share Industry-Relevant Examples: Focus on case studies from companies in your industry or companies of a similar size. Leadership will be more convinced by examples that closely mirror your company’s challenges.

• Highlight Improvements in HR Processes: Present case studies that demonstrate specific, measurable outcomes. For example, show how a company reduced payroll processing time by 50%, or how another company saved their one-person HR team 15 hours of administrative work per week.

• Incorporate Testimonials: If available, include testimonials from HR leaders at other organizations. Their firsthand experiences with the HRIS can lend credibility to your proposal and alleviate implementation concerns.

2. Utilize Tours and Demonstrations

A software tour or live demonstration can show leadership exactly how an HRIS will benefit the company. Both of these are a low-risk way to test the system on a smaller scale and see how each function can address specific pain points.

This isn't a time to sit back and relax, though. During demonstrations, focus on the features that solve the company’s most pressing problems, such as reducing administrative workload, improving compliance, or offering advanced reporting tools. 

After the tour or demo, be sure to collect feedback from the team and present this to leadership (or, better yet, include leadership in the demo meeting). Positive feedback from users can show leadership that the system is intuitive and valuable.

3. Address Risks and Objections

Leadership will have concerns about the risks involved in implementing new technology. Being prepared to address these concerns directly can help you build trust and confidence. Common objections include:

• Cost of Implementation: Leadership may worry about the upfront costs. Remind them how the long-term savings outweigh the initial investment. 

• Operational Disruption: Leaders might fear that the implementation process will disrupt operations. Highlight that most modern HRIS vendors offer strong support and clear implementation plans that minimize downtime. 

• Employee Adoption: Some leaders may worry about resistance from employees. Address this by explaining how the HRIS includes user-friendly features and can easily be adopted through training programs. You can find tips on driving employee adoption of new technology to help prepare for this discussion.

4. Leverage Metrics to Track Success

Finally, leadership will want to know how they can track the success of the HRIS over time. Providing clear KPIs and metrics can help show the system’s effectiveness post-implementation. Metrics you might suggest include:

• Reduction in Administrative Tasks: Track how much time is saved by automating processes like payroll, benefits administration, and employee record management. Utilize an HR metrics and analytics guide to help leadership understand the impact.

• Improved Employee Engagement: Measure improvements in employee satisfaction or engagement using data from surveys or feedback tools integrated with the HRIS. 

• Compliance Improvements: Showcase how the HRIS helps ensure compliance with labor laws, reducing the risk of penalties or audits. You can also suggest leadership use HR compliance audit checklists to monitor compliance regularly.

By offering leadership measurable success metrics, you help ensure ongoing support for the system.

Final Thoughts

Securing leadership buy-in for a new HRIS requires careful planning and a compelling business case. By understanding leadership priorities, building a strong ROI-driven proposal, engaging stakeholders early, and proactively addressing risks, you can make a convincing argument for why an HRIS is a valuable investment. With the right approach, you’ll be well on your way to implementing a new HRIS that will streamline HR operations and drive company growth.

If you’re looking for more resources to help guide your HRIS decision, check out this in-depth guide or request a demo from GoCo to see how our HRIS solution could be the perfect fit for your organization.