Rural banks in the Philippines must get HRIS

Do rural banks in the Philippines really need to get an HRIS?

For starters, an organization can only be as great as its people. For this reason, great companies give prime importance to human resources management.

But what if your company’s unique customer base is ‘low tech’, just like the case of rural banks in the Philippines? Would you insist on doing things the way they were done before, even when a newer and more efficient process is proven to work? Is a Human Resource Information System (HRIS) just a waste of limited resources, if nothing’s broken that needs fixing?

Rural banks in the Philippines have much to lose if they ignore the huge benefits of an HRIS. It’s like insisting on travelling on foot, when a car ride is ready and willing to take you to places.

What is an HRIS?

An HRIS leverages the developments in information technology (IT) to effectively manage all aspects of human resource functions and applications.

Recruitment, Training and Development – hire and retain the best talents
Performance Evaluation – assess work output
Employer – Employee Relations- maintain mutually beneficial relationship
Sustain Company Culture – vision and mission, policies, traditions, events
Manage Employee Benefits – salaries, social security, incentives, etc.
Create a Safe Work Environment – promote physical and mental wellness
Disciplinary Actions – handle infractions against company rules and policies

Time-consuming and repeating tasks can overwhelm the HR department, more so as the company grows. It is in this regard that the HRIS was created. With an HRIS, a company gets hold of a seamless system for collecting, storing, maintaining, and recovering critical information about their greatest asset— their workforce.

Change is coming

Rural banks in the Philippines have enjoyed these features that made them the bank of choice in the provinces:

Niche Market
Rural banks provide credit to food producers such as farmers, fisherfolk, and cottage industries that are among the most marginalized sectors.

Geographic Advantage
Their presence in the regions makes them the main access points for financial services.
Personal Touch
Rural banks operate mostly on a person-to-person approach. They know their areas well. As a result, the locals trust them.
Tailor-Fit Products and Services
In addition, their personal knowledge of the countryside enables them to come up with unique products that their clients need.

Adjust or be left out

However, the playing field is changing due to recent updates in information technology. Rural banks will lose their edge if they don’t act fast.

Tighter Competition
Rural banks are planted in provincial areas. On the other hand, commercial banks are mostly in urban centers. In other words, the two have different target markets, but that was before. The bigger banks are now taking a slice out of the rural pie with the help of digitalization.
Geographic Advantage Being Negated
The commercial banks don’t have to build actual branches in remote areas. As long as Internet service providers continue to expand coverage, they can reach out to more people.
Advent of Satellite Internet Service
The Philippines will be the first country in Southeast Asia to get satellite Internet service from tech visionary Elon Musk. Take note— government officials said Starlink may start delivering services by the end of 2022. This means that rural areas and remote islands can gain Internet access simply by putting up satellite dishes.

What must rural banks do in response? They must hold their ground, evolve, and offer superior products and services. Moreover, the heroes of countryside development must not become a relic of the past. They must embrace technology and wield it, just like their competition.

Rural banks in the Philippines need HRIS

Have you noticed a common trait among great companies? They have superb HR departments. They hire the best talents and keep them motivated to perform exemplary work. An effective HR group, therefore, is crucial to attain corporate goals.

Similarly, rural banks in the Philippines must streamline their HR processes to rise up to new heights. They must choose an HRIS that their HR departments will love. The specific features that they must look after should include:

Automation of Repeating Tasks
Your bank needs to focus. Thus, you must eliminate recurring HR tasks that can simply be automated by an HRIS. Payroll preparation, tax computations, employee information management, request and approvals are some examples.

Digital Payroll
Do you still disburse cash for payroll? Paying cash wages require 14-18 person-days per month, as shown in a study of small firms with 10-99 staff. On the other hand, disbursing digital wages through bank transfers needs only two person-days per month. Recent innovations in digital payroll solutions can still reduce this to just mere minutes.
Saves Time for High-Value Projects
An HRIS can free up more time from your HR and Finance people. Because of this, high-impact projects can be tackled, like expanding the bank’s products or improving its work processes. Moreover, the group can pursue innovations that will help drive revenues up and reduce costs.

Other Benefits

Strengthens Human Interaction
One of the key strengths of rural banking is the human element in its transactions. The larger banks may use digitalization to reach the same market, but rural banks still have the upper hand. Technology can never truly mimic the ‘warm feeling’ when one deals with another person. Rural banks, thus, should use technology not to replace interactions, but make them more efficient.

For example, field officers can increase their personal visits by going straight to where their job orders need them to be. With an HRIS, it is possible to log their attendance through their mobile devices. Also, they have the option to use the nearest biometric device of their rural bank.
Good for Work-From-Home Setups
It’s easy with an HRIS, whose built-in features ensure productivity even when employees are working from their homes.
Improves Productivity
First, you must decide and set KPIs. Second, use the HRIS to measure, monitor, and adjust those as needed. Data can be viewed anytime and from anywhere there’s an Internet connection. What’s more, data is presented in easy-to-digest reports for quick decision-making.
Supports Business Expansion
Add more branches or branch-lite offices if that is your bank’s strategy. With an HRIS, you can manage all employees from whatever location or time shift they may be in. All you need is a device with an internet connection.
Saves Millions on On-site Servers
Your bank can save millions of pesos with cloud-based systems. First, there is no need to purchase on-premise servers. Second, the related maintenance and upgrade are eliminated too. Third, your rural bank will have no need to for legacy software. With cloud-based systems, your bank needs to keep only their computers, smart devices, and most important of all, their internet connection.

Ensures Business Continuity
The Philippines is prone to earthquakes, tsunamis, volcanic eruptions, landslides, and flooding. When a disaster strikes an area, your bank’s crucial data sits secured and accessible in the cloud. Even if your physical office suffers major damage, business operations can swiftly resume as records are intact.

Real Winners: Your Customers

The benefits that an HRIS brings to any organization will surely transcend to the customer side. How is it so? Using an HRIS allows you to focus on the business essentials. As a result, your rural bank can offer better services and superior financial products that will make clients happy.

By fully embracing an effective HRIS, rural banks in the Philippines can continue fulfilling their noble mission of driving growth in the countryside.

How can Hurey help?

Hurey is the most scalable HR and Payroll application in the Philippines. Moreover, it is a cost-effective HRIS solution that fits the needs of firms here, including rural banks.

We understand the problems that small enterprises face, more so in the aspect of limited manpower. Therefore, Hurey has harnessed the power of information technology and put it at your fingertips. Now, your staff can do previously time-consuming and nerve-wracking HR tasks with just a few taps, swipes, or clicks on our app. It’s that easy!