Choosing the right human resources (HR) software is crucial for any business, particularly organizations in the cannabis industry. HR software streamlines tedious and time-consuming workforce processes.
The right Cannabis HR software has the potential to optimize tasks, increase employee retention, improve productivity, and generate business growth. Cannabis businesses should invest in HR software that provides the best tools, applications, and resources to meet the unique needs of their operation.
What is Human Resources Management for the Cannabis Industry?
HR is responsible for handling all workforce-related processes. This involves effectively handling things such as attracting the right employees, ensuring workforce development, and managing all other employee-related tasks.
Other common functions for HR professionals and departments, include:
- Recruitment
- Employee Onboarding
- Job Training & Certifications
- Payroll
- Employee Benefits
- Time and Labor Management & Attendance Tracking
- Performance Management & Evaluations
- Incident Reports
Without the right HR software, cannabis businesses waste time and resources while putting themselves at greater risk for errors and noncompliance.
Benefits of Cannabis HR Software
Cannabis HR software features will allow cannabis businesses to streamline essential processes. Cannabis companies should look for a cannabis HR solution that provides all of the tools and resources that an organization needs to manage its employees.
The platform should simplify complicated and time-consuming processes, including payroll, employee initiatives, benefits, attendance, and other essential tasks.
Some of the larger benefits of HR software for cannabis businesses include:
- Reduced Workload for HR Employees
- Eliminate The Risk of Human Errors
- Attract High-Quality Job Candidates
- Engage and Empower Employees
- Cost Reduction
- Promote Continuous Improvement
Why Consider HR Software Specifically for Cannabis?
There is an ongoing risk of non-compliance for all cannabis businesses, much more so than the average business. Cannabis Compliance and regulations threaten the livelihood of cultivators, transporters, dispensary owners, and all other cannabis business operations.
Minimizing the risk of human errors is critical for these businesses, and easily attainable through cannabis HR software. Ensure the cannabis HR software provider that you choose is experienced in the industry and familiar with the ever-changing laws and regulations. Inaccurate data, failure to report, or other entry mistakes can result in hefty fines and potential business failure.
Cannabis businesses should look for the following features when searching for cannabis-specific HR software:
- 24/7 Customer Support (Included)
- Compliance Tools
- Analytical Data
- Scalability
- Ease-of-Use
- Reliability
- Multi-Location Capabilities
Multi-State Operators in the Cannabis Industry (MSOs)
Above all other types of cannabis organizations, cannabis MSOs should heavily consider investing in cannabis-specific software.
Cannabis laws and regulations vary drastically between states, regions, and localities. The HR platform that you choose should be customizable to meet the unique needs of each operation.
Cannabis MSOs should look at HR software that has the ability to differentiate pay rules and employee types, in addition to payroll, time and attendance, and employee benefits.
Common Cannabis HR Software Tools and Solutions
Generally, cannabis organizations take the most advantage out of these five essential functions of cannabis HR software.
Attracting the Right Job Candidates
HR platforms should provide cannabis companies with tools and features to attract the right job candidates. These applications can effectively engage potential candidates through self-service options, prescreening questions, and background screenings. To learn more about recruiting in the cannabis industry, check out our cannabis recruitment software.
Employee Onboarding Tools
The right cannabis HR software program should provide all of the tools needed to develop a solid and effective onboarding process. Businesses with successful onboarding improve their employee retention rates by 82%. These processes are essential for ensuring new employees become productive business contributors quickly. High turnover rates can kill any business and are detrimental to costs.
Onboarding is a critical and often overlooked element in employee retainment and success. Effective onboarding also contributes to a 70% increase in the productivity of new employees. In addition to HR, businesses should consider cannabis employee onboarding software as well.
Cannabis HR Recordkeeping
Record keeping is one of the most important elements of cannabis business compliance. Ensure that the HR platform that you choose provides document storage capabilities, record tracking, and easy-to-develop and access HR forms.
Continuous Workforce Improvement
The best HR software should provide cannabis business management with the tools to ensure continuous workforce improvement. These software programs should provide management with regular cannabis analytics reports and advanced insights regarding cannabis employee performance.
This data can be used for employee evaluations and to promote constant workforce improvement. These applications can also be used to develop initiatives and reward employees for their productivity.
Ensured Scalability
One of the biggest shortcomings of many HR platforms on the market is the lack of scalability. In other words, the inability of the platform to grow with the business as it expands. This means that as your cannabis business expands it may exceed the platform’s limitations, rendering it useless.
This is why investing in a cannabis HR platform is crucial, as it has the capabilities to grow with your business for the long term. A scalable HR management solution is crucial for scaling, mid-size, or cannabis organizations across multiple states.
Final Thoughts on HR for Cannabis
Although the standard HR solution may be "acceptable" for your cannabis business, you are only setting your business up for success by choosing to invest in cannabis-specific HR software.
To learn more about how Evolve HCM's cannabis HR software, coupled with our cannabis HR experts, can help your cannabis organization grow into a successful business, contact us today. Looking for a more hands-on experience? Request a cannabis HR software demo too.
