Optimize Annual Leave: Streamline with a Staff Holiday System

Masha -

Once again, the holidays are upon us. It must be a relief for many employees in the UK who have had to live through another turbulent year. But for HR employees, it is a common task to manage the holiday process. It can be challenging to manage employee vacation in a hybrid or remote work environment, ensure teams are still working quickly, look after employee mental health and ensure everyone gets time off.

Technology plays an increasingly important role in the workplace, and it helps to improve collaboration and productivity from a distance. But what about managing and coordinating vacation processing for employees who work in multiple locations? In this article, we explain how small and medium-sized businesses can manage vacation using technology such as leave and absence management software.

Remote working has led to new challenges for HR teams and absence management for employees

Hybrid and remote working have created new challenges for the HR teams. In addition to managing productivity, training remote employees, monitoring employee activities, strengthening communication and collaboration and maintaining company culture, HR employees often also have a complex task when it comes to absence management.

It can be difficult to keep track of and manage leave calendars for remote, hybrid or location-based teams. Without the right tools, hybrid teams can run into problems that can lead to project delays, missed deadlines, or unhappy customers.

It is important to emphasize that hybrid work is not a passing fad. The number of employees who plan to spend most of their working time at home has increased. Fortunately, the UK does not have different time zones. However, the growing number of digital nomads can also mean that teams need to schedule time off at different intervals and ensure that this scheduling does not interfere with work or productivity.

In most organizations, it is not enough to rely on email, spreadsheets or verbal communication to handle vacation requests. It can be difficult to keep accurate records, which can increase the risk of unintentional understaffing on certain dates. Fortunately, leave management systems can help HR teams better manage their leave.

What is a leave management system?

Leave management systems, also known as leave tracking systems, absence management software or annual leave software, enable organizations to manage their employees' time off, set up leave policies and automate the approval of leave requests from a single platform.

Absence management software helps employees submit requests directly from a cloud-based, web-based calendar. They can also help companies automate time off management and decide how employees can request and manage time off.

What can you use absence management software for?

Many types of absence management software can often appear as functions that are integrated into robust HR systems. While these features in larger HR software packages can be useful, they may have limited absence management capabilities. Stand-alone systems for absence management can offer more functions and more options for operation and tracking.

Leave management software can help HR teams access and manage all employee annual leave information in one place. The systems are usually cloud-based and automated, which means that the HR department can save time tracking the many aspects of leave management.

There are several tasks that HR professionals must perform and that vacation management software can help them with. The HR teams can, for example, upload documentation, such as medical reports, into a centralized system. That way, both the HR department and the employees can access them regardless of where they are.

Such self-service components can help employees access information or the status of leave requests without having to directly contact an HR employee. In addition, the tracking functions in this software can help HR teams with payroll and compliance work and with record keeping.

Leave management systems can also help HR teams and employees understand and manage various leave activities, including:

  • Clarify how to submit leave requests
  • Decide who will approve or deny leave requests
  • Offer the department's guidelines for annual leave and working time regulations
  • Integration with the workflow, external calendars and tools you already use (Slack, MS Teams, etc.).
  • Differentiate between different types of leave (sick leave, PTO, unpaid leave, parental leave).
  • Manage the process for reviewing and responding to leave requests.
  • Provide a vacation and time off calendar for the entire team.
  • Notify other administrative departments about employee leaves, working hours and holiday pay.
  • Tracking and reporting of leaves and absences
  • Automation of processes and notifications

How does a leave management system help small and medium-sized businesses?

Small and medium-sized businesses that are used to using email or manual processes are likely to notice the help leave management systems can provide them. Here are some of the key benefits of using leave management systems.

Saves time and increases productivity

Dealing with leave requests and timetables can be time-consuming. Automated leave management systems can save time for HR managers, allowing them to focus on other administrative or personal issues that employees may have.

Increased transparency and better compliance with laws and regulations

All businesses are bound by rules and regulations. This also applies to laws on time off and holidays. A leave management system can make it easier to remember and control the rules and prevent the risk of breaking them. In addition, this software can follow standard processes that remove issues of bias and unfairness while providing greater transparency.

Increased employee satisfaction

Time off is important for employees' mental health and well-being. Employees are happier when they can choose when they want to take their holiday. If the process is simple and transparent, you are more likely to get positive feedback from your employees. Employee satisfaction should also be a clear goal when the HR department considers how the holiday should be handled.

Leave management software can track attendance and leave history and help HR teams spot absenteeism trends, such as employees showing signs of absenteeism. At the other end of the scale, it can also detect employees who do not take vacation often enough, and who may be at risk of burnout.

Comprehensive overview of the holiday withdrawal in the entire business

Absence management software can provide an updated overview of leave requests and bookings across the organisation. The HR teams always have access to an overview of all requests. In addition, most holiday registration programs allow users to customize the holiday planners so that the various employees can see the information that is relevant to them. This comprehensive overview can help reduce the risk of staff shortages and holiday collisions.

How do you create an effective system for holiday processing?

While the benefits of using vacation management software are obvious, there are several questions to ask when choosing the right software. To help employers choose the right tool, HR staff can use this checklist:

  • Can the system control the holidays and automatically block users from requesting more days off than allowed?
  • Does the leave management include email notifications confirming that requests have been received and requesting that they be accepted?
  • Can the system grant permissions so that specific members are allowed to accept requests? Are these automatically routed to the right employees?
  • Does the leave system comply with local legislation and does it easily support local holidays and public holidays?
  • Can holiday reasons and times be adjusted if necessary?
  • Can the system be integrated with other tools you already have.

If all of these points are met, the next step in understanding how to manage vacation is to implement more processes. These include, among other things.

Create a customized leave process

Leave management systems allow users to edit leave forms, add data fields, enforce policies, connect to databases and calendars, and much more. The HR teams can tailor the leave management processes to their own needs.

Design an approval workflow

After structuring the request forms, the HR teams can configure the leave management workflow. Among other things, they can choose to incorporate one-step approvals or longer workflows, depending on the team's standard procedures.

Configure holiday lists

Public holidays and existing vacation days can be entered into the system, so that these days do not need to be approved, as they are already automatically counted in the system. API integration allows the system to be integrated with calendars, timesheets and other applications to keep order.

Set deadlines and check availability

Teams often have to work with deadlines. Approvals can take 24-48 hours to approve, while other processes can take longer or shorter. Each step in a workflow can be configured for a specific deadline and can also be set to display specific data in each phase, so that, for example, the finance team does not have access to a medical document when processing payroll.

Track remaining and pending vacation

Absence management systems can display an employee's holiday history so that it is easy to see balance or overtime. These workflows are updated automatically.

Absence management systems can help to make holiday processing more efficient

Although HR teams originally used email, spreadsheets or verbal agreements to handle leave requests, workplace habits have changed. Employees are not always present in the office, and manual processes are becoming outdated. Remote, hybrid and nomadic employees increasingly use a workplace that is always available. This also applies to time off.

There is little reason to perform these processes manually. Absence management systems can ease the workload of HR teams. Processes such as handling leave requests and approving vacations can be automated and done seamlessly, while helping employees take the necessary time off that can contribute to increased well-being.

At the same time, these systems can track the absence and offer reporting functions. This enables HR teams to spot patterns that may indicate a more serious problem and develop a better understanding of employee behaviour.

In conclusion, the transformative power of technology in managing annual leave cannot be overstated. As organizations navigate the complexities of remote and hybrid work environments, IceHrm emerges as a beacon, providing comprehensive solutions through its cutting-edge leave management system. By seamlessly integrating into the modern workplace, IceHrm not only enhances efficiency but also fosters a work culture that prioritizes employee well-being and organizational success.