Top 7 Benefits of Using Employee Relationship Management Software in 2021

We want to focus on employee relationship management because it is crucial to your company’s success. How so? Well, good employee relationship management can help to reduce conflicts, reduces turnover and increases productivity. Plus, middle management can focus on the big picture.

What is employee relationship management?

Employee relationship management, from our experience at Connecteam, is when you manage the relation between all employees in your company, it starts from an employee’s first day and lasts until they leave the company. The relationship is either between the employee and the employer or between employees.

Employee relationship management is a process that companies use to effectively manage all interactions with employees, ultimately to achieve the goals of the organization.

Or in other words, it’s the process a company uses in order to manage every single interaction with their team. The goal of employee relationship management is to reach the company goals and HR plays a key part in the whole process. HR is responsible for training managers on how they can effectively create and maintain relationships with employees. Plus, the HR department measures and monitors the relationships to verify everything is on track.

Moving Beyond Performance Management to Performance Enablement [Infographic]

Why employee relationship management is important

To start, the number one reason why employees resign from their job is because of the relationship with their manager and coworkers. When the relationship between the manager and employee is strained, there are two possible outcomes. One, the employee quits. Or two, the employee stays and the relationship is seriously strained. Here’s the bottom line, maintaining a strong employer and employee relationship is crucial to the company’s success. A positive relationship only leads to more productivity, more efficiency, less conflict and low turnover.

So, with all of that in mind, how can you build and maintain a healthy, positive employee-employer relationship? By using the right employee relationship management software. What does this software really do? It’s your tool to manage employee engagement, development, and relationship.

Connecteam is a leading employee relationship management software

Manage employee engagement, development, and relationship between all employees in your company, from the first day to the last. Connecteam allows you to do all the tips listed above (communication, gaining feedback, etc.) and more.

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7 Benefits of Using Employee Relationship Management Software in 2021:

1. Streamline communication.

Keep employees involved from day one because communication is key to building strong employee relationships. As a manager, you have to regularly communicate with your employees – send them updates on company matters, acknowledge victories (sales, new customers, etc.), share customer success stories, celebrate “mundane” things (birthdays, anniversaries, personal milestones like marriage, new babies, etc)

With employee relationship management software, you can easily streamline communication. Either start a one-on-one chat or group chats targeted via team, department, location, etc. Track who read messages and allow for social functions like comments and likes. The more open your company is, the stronger the relationship.

5 tips to improve employee productivity with better communications.

To deliver a good employee experience, employers need to be ready to improve the way they communicate with employees. Open and transparent communication helps employees feel involved which often leads to higher employee engagement.

In contrast, poor employee communications lead to insecurity, lack of engagement and honesty in the workplace.


2. Employees first.

Give them a place for their voice. Employees should be given a platform to share their thoughts and ideas on company matters. When an employee believes that their input is highly and genuinely regarded, it will enhance their determination to excel in the company and to work toward increasing the company’s goals. Use employee relationship management software to send surveys to consistently gain feedback from your employees. Send surveys after a meeting, a company event, a team building exercise, etc. Create a suggestion box that’s always accessible so employees have direct access to voice their ideas.


3. Retain top employees & reduce turnover.

Show appreciation and gratitude to your employees because acknowledging and reinforcing good work is what inspires your employees to keep it up. Giving public praise or send a message via the employee relationship management software and allow coworkers to comment and like the update. This will help to inspire the rest of your employees as it cultivates a culture of appreciation and inspires them to work hard. As we already mentioned, employees leave a company because of poor employee-employer relationships so by showing your appreciation, you are a step closer to retaining your top employees and lowering that turnover rate.

Connecteam's employee engagement software

4. Employees are well-versed on company policies.

When you lower the turnover rate, you are ensuring that employees stay with your company for longer, therefore this helps them gain wide-ranging knowledge of company policies, practices, and processes. When your employees have tons of institutional knowledge, they serve as an excellent resource. How so? Well, they’re better skilled, more efficient and can offer excellent training for new hires.

According to a study by Covestro, 71% of executives say employees’ desire for purpose is “prompting HR to rethink certain work policies such as paid time-off for volunteer or community work, flextime and/or telecommuting.” 

Organizations need to develop policies and procedures that reflect their vision, values and culture as well as the needs of their employees. Once they are in place, enforcing these guidelines is even more important.


5. Strengthen the company culture.

Employee relationship management software can help reinforce the commitment to the company and that only equals better employee engagement and employees are more committed to tasks. With the right strategies in place, such as shared goals, trust, communication, HR practices and leadership styles, the employee relationship management software helps employees achieve targets set for their job roles and helps develop effective communication channels so information needs of employees are met.

The software helps focus on employee performance, growth and development so that there is healthy competition amongst the employees. This helps to better working conditions and establishes healthy relationships so that there is more sense of belonging among the employees – that is key to strengthening the company culture.


6. Revenue growth.

When you have amazing employee relationships, you have a direct impact on the growth and revenue of the company. This only leads to a happier work environment for the employees and in turn, the customers. When you have engaged, motivated employees, you have a much better customer satisfaction which only leads to more sales.

Benefits of Using Connecteam's Employee Relationship Management Software


7. Streamline operations.

Just about all employee relationship management software is developed to work across the board, from desktop to mobile (including Android and iOS). Connecteam is a leading employee relationship management software available anywhere, at any time. It’s easy to use and affordable – for just $29 a month for up to 200 users, you can create better relations in the push of a button. Or you can now for free with our free plan to best understand if Connecteam is for you!

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