Resource Allocation with Digital HRMS: Understanding the Common Challenges in Resource Management

Resource allocation and management is the process of managing the resources in an organisation in a way that it promotes optimal resource utilisation. In other words, the goal is to allocate the resources to the right project, based on the project requirements, expertise of the resources and their skillset. Effective resource allocation is often a key factor contributing towards the success of a project. After all, a successful team is one that comprises of resources who are best at their jobs.

However, managing the resources in an organisation where hundreds of employees are working, is easier said than done. This is exactly where an automated resource allocation and management software like Digital HRMS comes into the picture. Digital HRMS is an integrated modular HR software platform that offers dedicated modules for every HR function and resource allocation & management is one of them. The Digital HRMS resource allocation module helps enterprises overcome the following challenges.

1] Non-Optimal Utilisation of Resources

Resource allocation is more than just allocating the resources to different teams – optimal utilisation is the key term here, which means the resources should ideally be allocated to priority projects and also those that meet their skill sets. More often than not, resources are found working on low priority projects. Also, the skills of the resources are often underutilized.

2] Real Time Info on Resource Availability

One of the prerequisites of effective Resource Management is the accurate knowledge of the availability of resources, which is the challenge that enterprises face. With the inadequate info on resource availability, allocating them on projects can be difficult.

3] No Systematic Approach to Documentation

The effectiveness of every process relies significantly on systematic documentation, and resource allocation is no different. Enterprises often face the challenge of a poor documentation process that is in place, which does not present the complete picture.

4] Chaotic Resource Transition Process

It's very common to find a single resource devoting their time to different projects, on the basis of the predefined percentage of his/ her working hours allocated to each project. However, the transition process from one project to another should be systematic to prevent confusion and errors in the billing process for the resources

5] Mismanaged Planning for Assigning Resources

Resource allocation can be a complex process that calls for a lot of planning beforehand, the lack of which can result in complete mismanagement. The trick is to analyse the incoming demands for sources well before taking a decision, instead of allocating instantly to cater to the incoming requests.

The challenges are many but an advanced resource allocation platform that automates the entire process is exactly what enterprises need today. Digital HRMS offers a resource allocation module that is designed to take care of every step of the process in order to help the HR team or the resource allocation manager manage the resources in a way that works in the best interest of the resources as well as the organisation as a whole.

Want to explore how Digital HRMS can help your business allocate and manage resources well? Visit our website or drop us an email on and our team will get in touch with you.

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