We’ve finally passed the threshold everyone’s been waiting for, 2020 is finally behind us. It was a year full of circumstances that required an enormous amount of versatility and strategy for businesses.
In addition, the workforce is seeing dramatic shifts in its dynamics where millennials now make up over half, baby boomers are retiring, the presence of Gen Z is increasing, and according to Stanford News, 42% of employees are working remotely.
In other words, times are rapidly changing and today’s employers need the best technology to meet all of their objectives. The question is: In a market flooded with benefits administration technology, how will you know which one will be best for your business, and more importantly, most appropriate for its size?
Benefits Administration Technology = Happier Employees
The most successful employers understand the importance of being proactive in meeting the demands of the emerging, progressive workforce. And this emerging workforce has new preferences on how their benefits should be accessed and delivered. If there is any trend we know to be true, it’s that benefits administration technology proves to be a valuable asset to meet the preferences of a modern employee.
As expectations in health, wealth, and wellness benefits evolve, investments in technology solutions help employers meet those needs.
We know that according to the University of Oxford, happy employees are 13% more productive, yet the benefits of this technology aren’t just all about employee satisfaction and positive user experiences. In fact, benefits administration technology is even more valuable for employers.
Benefits Administration Technology = More Productivity
With the right benefits administration software, employers can manage anything from human capital to healthcare, HR tasks, employee benefits, and much more.
The utilization of technology for business administration tasks has proven to improve efficiency and productivity, streamline processes for both employers and employees, enhance privacy and security, support profitability and growth, and reduce overall costs.
A recent report shared by Paychex shows that more than 80 percent of HR professionals believe that utilizing new technologies has enhanced their contribution to corporate success and will help them maintain and grow personnel, and boost productivity throughout.
We know employers are ready to embrace this technology, and we know the solutions are available, so what’s the next step? Next comes the challenge of choosing the most suitable software solutions for the individual needs and complexities of each business. A crucial starting point for brokers and their clients is to assess the size and scale of the business itself. A small to medium-size business or enterprise will not need the same complex and robust solutions as a larger enterprise may.
What’s the best benefits administration platform for your clients?
At Benefit Consulting Insurance, we believe in value over volume and the value of our partnerships. We partner with our brokers to deliver modern solutions for their employer clients that are best-in-class and transparent.
Not sure where to start? Here are a few guidelines and tips to help you find the most appropriate software solutions for your employer clients and their employees.
Small to Medium-Sized Businesses (SMBs)
The classifications that define a small business can vary by industry and are based off the number of employees or total yearly revenue. As a general rule of thumb, an organization with 100 employees or less and earns less than $50 million in annual revenue is considered small. Examples of businesses that would be under this category could be anything from a local retailer or franchise, to a restaurant, hotel, law firm, or medical office. Additionally (but not limited to) are companies in the home improvement, real estate, legal, transportation, or manufacturing industries.
What challenges do SMBs face?
- Finding and retaining qualified hires
- Lack of time
- Insufficient access to money and capital
- Bare or non-existent IT departments and talent
- Limited budget for new technologies
- Inconsistencies in customer satisfaction
- Maintaining financial growth
SMBs need technology solutions that offer:
- Affordability and monthly subscription options
- Payroll Integration
- HR management
- Personnel tracking
- Ease of use/user-friendly software
- Onboarding
Mid-Market Business and Enterprises (SMEs)
The classifications to define a mid-market enterprise varies by country but the general rule of thumb is SMEs have the potential to be internationally recognized, have between 100-999 employees and/or a revenue greater than $50 million but not exceeding $1 billion. Manufacturing companies are a leading industry for SMEs. The benefits offered in mid-market businesses and enterprises can be both monetary and non-monetary.
What challenges do SMEs face?
- Attracting new customers
- Finding and retaining qualified hires
- Lack of or difficulty accessing financing
- Using technology to its full advantage
- Management restraints
- Low productivity
- Compliance burdens
- Employee healthcare
SMBs need technology solutions that offer:
- Benefits administration
- Payroll integration
- Analytics and reporting
- Human capital management
- ACA compliance
- Onboarding and HR outsourcing
- Employee communication services and portal
Large Enterprises
Large enterprises are internationally recognized and have over 1000 employees, with a revenue that exceeds $1 billion annually. Large enterprises will have several international and domestic locations. Some examples of large enterprises include postal services, mobile networks, credit card services, insurance companies, airlines and much more. The benefits offered in large enterprises can be both monetary and non-monetary.
What challenges do large enterprises face?
- Corporate social responsibility
- Regulation and compliance modifications
- Training multinational personnel
- Demand for management feedback
- Cloud infrastructure
- Demands for digital solutions
- Integration between A.I. and HR staff
Large Enterprises need technology solutions that offer:
- Compensation and financial management
- Benefits administration
- Payroll integration
- Analytics and reporting
- Human capital management
- E-learning and training
- Onboarding
- Performance management
- Workforce management
- Employee communication services and portal
- Custom-built software solutions
Things to keep in mind when you meet with your clients:
- Be ready for employers to share their greatest challenges. You should be able to make comparisons and recommendations based on evidence and experience in working with other clients in their industry, either directly or through your general agent.
- Make sure that the technology solution matches the needs of the employer’s culture and values, so you can find the best solutions for employee engagement and communication strategies.
- Consider how much support and services they may need when choosing the right benefits software.
- Identify what their “must-haves” are before you consider supplementary benefits.
- Consider what cost/budget structure would work best for the organization’s size.
- Trust the process, and be as transparent as you can be with your client.
Final Thoughts
Selecting a benefits technology that both employers and employees enjoy can be a complex job. Whether a small, medium, or large business, there are plenty of options for employers to integrate these new emerging benefits technologies into their HR operations. Ready for more ben tech insights? We can answer your questions. Get in touch with Benefit Consulting Insurance now!