Employees today expect the same level of user experience from their employers as they get from everyday services — whether it’s ordering food via an app or checking their child’s school data in eKool.
“Employees want to see all information related to them in one place,” explained HR enthusiast Sirli Vaher in Äripäev Radio’s show Kasvukursil (“On the Growth Path”). If you hire an enthusiastic new team member but require them to submit vacation requests in one system, business trips in another, keep track of trainings manually, and send pay slips by email — that can backfire quickly. Employers who fail to keep up with technological progress risk losing their best employees to more digitally advanced organizations.
HR software transforms management
“Smart solutions are part of a mutual investment,” emphasized Gaily Kuusik, Partner and Head of Accounting at Grant Thornton Baltic. When employees invest their time and effort in a company, the company should reciprocate. According to Kuusik, the old idea that accounting software alone is sufficient for managing everything no longer holds true — today, more and more businesses are adding dedicated HR software to their systems.
The guests of the show highlighted several benefits of using HR software, based on both their own and others’ experiences.
1. Time savings and efficiency
Because HR software automates much of the manual work, it can save roughly half of an HR or payroll specialist’s time.
At the Estonian applied research center Metrosert, which employs 127 people, Helina Pajussaar, Head of People and Work Culture, noted: “Processing vacations and sick leaves manually takes around four full working days each month.”
According to Sirli Vaher, Product Manager of Fujitsu’s HR software Persona, saving managers’ time is often a key reason to go digital: “A manager’s time is the most expensive — and they’re the most frustrated when they have to manage processes across multiple systems.”
Gaily Kuusik added: “As a manager, I like that once I’ve handled information, it doesn’t come back to my desk again. Processes should be designed so no step needs to be repeated. We deal with a fast flow of information, and no one wants to redo the same tasks every day — that’s only human.”
Once data is entered into the system — for example, when an employee provides their personal ID during onboarding — there’s no need to ask for it again. That’s the essence of automation.
Vaher recalled her time as an HR manager in a large company: “The most frustrating task was updating employment contracts every year — opening Word, editing the salary, saving, and emailing it out.”
When payroll, documentation, and spreadsheets are managed separately, the risk of error multiplies. A delayed or incorrect salary payment can quickly erode employee trust.
2. Convenience
A well-designed self-service portal serves as an information bridge between employer and employee.
“An employee can see their current vacation balance, available trainings, and benefits — even fun announcements like ‘cream buns in the kitchen today,’” described Vaher.
Kuusik shared a recent example: “I had to schedule a departmental meeting. I simply checked the HR system to see when 60 people would be in the office or on vacation — it was incredibly easy.”
For managers, the ability to monitor team competencies — such as completed trainings — is invaluable. “In accounting, staying up to date with regulations is essential. From an employee’s perspective, it’s also great to have a record of all my completed trainings — like a backpack of my professional growth,” said Kuusik. Pajussaar added that HR software also streamlines onboarding: “When a new hire joins, there’s a list of required activities. The manager can track progress and see what’s been completed, as well as upcoming feedback sessions.”
3. Better decision-making
Data and trends collected in HR software support data-driven management, replacing gut feeling with insight. Ideally, key information should be accessible at a glance — on a single page or dashboard — helping managers identify which issues need urgent attention.
“The main requirement is that data must move freely between systems,” said Kuusik. “We should be able to export data into a warehouse and see the bigger picture — like how our salaries compare to competitors, or how our performance aligns with revenue trends. Managers need to plan ahead, not just react to what happened yesterday.”
She added that, in the future, companies will have real-time overviews of department performance, market trends, and competitor activity — information that can also be shared transparently with employees.
Vaher predicted that HR data will become increasingly predictive: “Imagine you run a beach café in Pärnu. Public data shows that tomorrow will be sunny — your phone could alert you to schedule more staff.”
Key points to consider when choosing hr software
- Assess how much manual work your HR team currently does and whether existing processes still make sense.
- Identify the needs of payroll, employees, and managers — aligning expectations will reveal overall requirements.
- View digitalization holistically. HR software should integrate seamlessly with ERP systems, access control, and production data.
- Decide how much you’re ready to invest, how fast you need to implement, and how flexible you want to be. Many systems allow gradual adoption of modules.
- Evaluate whether a cloud-based or on-premise solution suits you better. Do you prefer standard software or a customizable one?
- Check that the software complies with Estonian legislation — crucial for international companies operating in multiple countries.
- Prioritize data security — ensure departing employees lose access to sensitive data and confirm how your service provider handles data protection and breach costs.
- Don’t underestimate your employees — involve them early, build support across the company, and take small steps.
