What are the latest trends in HR software to support ESG goals?

Global changes are driving companies to comply with UN sustainability requirements and the sustainability standards adopted in Europe, including the CSRD. In Poland, an amendment to the Accounting Act is under way, which will extend reporting requirements not only to companies obliged by the 2015 Directive, but also to all large companies and those cooperating in the supply chain. This means that reporting will extend to companies that have not done so to date.

Requirements to act in accordance with the CSRD are written into all European programs, and companies wishing to implement co-funded projects must take into account the levels of indicators included in ESRS (European Reporting Standards). For infrastructure projects, there is a strong emphasis on indicators related to environmental pollution and not disrupting the company's natural ecosystem. Indicators related to the S area mainly include employment issues and matching the needs of people with special requirements.

In 2017, the Accounting Act was amended to implement Directive 2014/95/EU of the European Parliament and of the Council on the disclosure of non-financial and diversity information by large companies and groups. Under this law, listed companies, banks, insurers and companies with more than 500 employees are required to disclose non-financial information. This also applies to companies that meet two of three criteria: net revenue from sales of goods and products exceeds PLN 85 million, or total assets of the balance sheet at the end of the fiscal year exceeds PLN 43 million.

In this post, we'll discuss HR ESG trends, introduce modern HR technologies, and hint at what HR software implementation should result in. You will learn how we can support your company in building, implementing step by step and monitoring a sustainability strategy!

What is ESG and why is it important in HR?

ESG Environmental, Social, and Governance is a corporate management concept that takes into account environmental, social, and corporate governance aspects. In the Polish context, ESG refers to the actions of companies to minimize the negative impact on the ecology, taking care of employees and stakeholders and transparency in governance.

The importance of ESG in HR departments stems from the need to take care of human and social capital, which is the foundation of every organization. It is worth remembering that ESG affects working conditions and relationships with employees. HR departments must ensure that policies on health and safety, diversity are implemented. Employee satisfaction, professional development and respect for employee rights are the foundation for building an engaged team.

ESG includes diversity management, which is important in a social context. HR departments are responsible for implementing strategies that promote equal opportunities, counter discrimination and create a work environment where every employee feels valued.

Finally, sustainability in HR and, ESG requires transparency in management, which includes reporting of non-financial data. HR must collect and analyze data on employment, employee policies and social initiatives to ensure compliance and build a positive corporate image.

What HR software functions support sustainability?

One of the key functions is diversity management, which enables analysis of employment structure data, promotion of equal opportunities and implementation of anti-discrimination policies.

HR software also offers health programs that include fitness classes, psychological support and a variety of health promotion initiatives.

Technology enables communication and team collaboration, regardless of location. This contributes to reducing CO2 emissions associated with commuting, which is important for sustainability.

Automating tasks such as handling employee inquiries or managing data allows the HR team to focus on strategic initiatives such as talent development or corporate social responsibility (CSR) activities.

HR software also enables effective management of employee training and development. This allows companies to invest in the development of their employees' competencies.

Today, the software supports sustainability through ESG data reporting and analysis functions. The tools enable the collection, analysis and reporting of non-financial data, which are key to assessing a company's environmental, social and governance impact. Integrating these systems with HR data allows for comprehensive reporting, as required by investors and regulations.

Examples of modern technology solutions in HR that support ESG

What HR software features support ESG? Platforms such as SAP SuccessFactors and Heuresis SmartManager®, enable companies to monitor and analyze data on employee diversity, career development and job satisfaction. With advanced analytics, HR can easily identify areas for improvement and implement strategies that promote equal opportunity in the workplace.

Another innovative solution is employee health management tools. Applications such as Wellbee or MyBenefit, MultiSport offer wellness programs that range from fitness classes to psychological support. By integrating these solutions with human resource management systems, employee health can be monitored, resulting in better well-being and higher productivity.

Technologies that support remote and hybrid work models are also important in the context of ESG. Microsoft Teams, or Zoom, enable communication and team collaboration, regardless of location. This, in turn, contributes to reducing the CO2 emissions associated with commuting, and increases flexibility and comfort for employees.

Finally, ESG reporting management platforms such as Heuresis SmartManager®, Enablon or EcoVadis help companies collect and analyze non-financial data, which is key to assessing their environmental, social and governance impact. Integrating these systems with HR data enables comprehensive reporting, as required by law.

How to implement modern HR software in a company?

After two decades of gaining experience in strategic management, staff development, productivity enhancement and quality management, we at Heuresis.co.uk have developed a comprehensive system supported by an advanced IT tool. Heuresis SmartManager® is designed for managers to strategically manage, monitor progress on goals, projects and initiatives, according to ESRS standards.

The system consists of several essential components. Strategic and operational goals, projects and tasks are precisely monitored, allowing for ongoing tracking of progress and achievements. This makes the management of strategy, projects and tasks transparent.

Quality standards for tasks performed are maintained at a high level. The system collects organizational documentation necessary for the execution of tasks, and also manages machinery, equipment and software, which increases the operational efficiency of companies.

Organizational structure and jobs are flexibly modeled in response to business needs. Job profiles and employee task and competency profiles are adjusted to meet changing market requirements, allowing for better utilization of human resources.

Employee competency assessments include requirement levels, allowing training and professional development to be fine-tuned to meet individual needs. The analytical module provides indicators illustrating the company's changing strategic and operational situation and the balance of competencies at various levels.

Training and development management is facilitated by flexible training scheduling and an e-learning platform that enables online training, test building and activation tools.

Comprehensive and diverse strategic, HR and ESG reports are readily available in the necessary data cross-sections, enabling CEOs to make quick and accurate decisions. The system also manages knowledge related to ongoing projects, goals and objectives, gathering the unique competencies of individual employees.

The implementation of modern HR software supports the sustainable development of human resources and the use of modern technologies, which translates into better human resources management, increased productivity and quality of work, and the success of the company. With this solution, CEOs can effectively manage human capital, achieve strategic and operational goals and ensure the sustainable development of the organization.

The future of HR software and sustainability

The future of HR ESG in the context of sustainability will be characterized by the integration of advanced technologies, personalization of the employee experience, support for flexible work models, automation of processes and comprehensive ESG data management. These innovations will serve to build sustainable work environments that support the long-term growth of companies and their employees.

At Heuresis.co.uk, we support the entire implementation process with clients from the very beginning. We are consultants with management experience of over twenty years. We have an implementation team of experts in strategic management, HR, legal, productivity improvement and IT. We can also support your company. Call us if you need proven HR ESG software. Our HR management software, Heuresis SmartManager® benefits by: automating processes, centralizing data, improving communication and employee engagement, ensuring regulatory compliance, optimizing costs, and supporting strategic business decisions. As a result, companies can manage their human resources more effectively and achieve their business goals faster.

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