1. What is HRIS?
A HRIS, which is also known as a human resource information system or human resource management system
(HRMS), is basically an intersection of human resources and information technology through HR software. This
allows HR activities and processes to occur electronically.
To put it another way, a HRIS may be viewed as a way, through software, for businesses big and small to take
care of a number of activities, including those related to human resources, accounting, management, and
payroll. A HRIS allows a company to plan its HR costs more effectively, as well as to manage them and control
them without needing to allocate too many resources toward them.
In most situations, a HRIS will also lead to increases in efficiency when it comes to making decisions in HR.
The decisions made should also increase in quality—and as a result, the productivity of both employees and
manages should increase and become more effective.
Solutions offered by HRIS Systems
There are a number of solutions offered to a company that adopts a HRIS. Some of these include solutions in
training, payroll, HR, compliance, and recruiting. The majority of quality HRIS systems include flexible
designs that feature databases that are integrated with a wide range of features available. Ideally, they will also
include the ability to create reports and analyze information quickly and accurately, in order to make the
workforce easier to manage.
Through the efficiency advantages conferred by HRIS systems, a HR administrator can obtain many hours of
his or her day back instead of spending these hours dealing with non-strategic, mundane tasks required to run
the administrative-side of HR.
Similarly, a HRIS allows employees to exchange information with greater ease and without the need for paper
through the provision of a single location for announcements, external web links, and company policies. This
location is designed to be centralized and accessed easily from anywhere within the company, which also serves
to reduce redundancy within the organization.
For example, when employees wish to complete frequently recurring activities such as requests for time off or
electronic pay stubs and changes in W-4 forms—such procedures can be taken care of in an automated fashion
without the need for human supervision or intervention. As a result, less paperwork occurs and approvals, when
deigned, may be appropriated more efficiently and in less time.
HR and Payroll Factors
When a company invests in an affordable HRIS, it suddenly becomes capable of handling its workforce by
looking at two of the primary components: that of payroll and that of HR. Beyond these software solutions,
companies also invest in HRIS modules that help them put the full productivity of their workforce to use,
including the varied experiences, talents, and skills of all staff within the enterprise.
HRIS Popular Modules
A range of popular modules are available, including those for recruiting, such as resume and applicant
management, attendance, email alerts, employee self-service, organizational charts, the administration of
benefits, succession planning, rapid report production, and tracking of employee training.
2. What is HRMS?
A HRMS (Human Resource Management System) or HRIS (Human Resource Information System) is a
combination of systems and processes that connect human resource management and information technology
through HR software.
Many HR professionals are choosing a HRMS to handle all their HR activities electronically. Having a great
HRMS has numerous benefits. In the end, productively levels tend to increase as a result of choosing the right
HRMS.
Functions of HRMS Systems
The function of the human resources department involves tracking employee histories, skills, abilities, salary
and their accomplishments. When an organization takes care to reduce the manual workload an organization
performs, they choose to replace those processes with various levels of HRMS systems. Executives within a HR
department either rely on internal IT experts or third-party vendors to develop and implement an integrated
system. Each module performs a separate function within the HRMS. The functions current HRMS systems can
perform include:
Payroll
Database for employee information
Attendance records
Performance evaluation
Benefits administration
Learning and recruiting management
Employee self-service
Employee scheduling
Tracking of employee absenteeism
Analytics
Assessing the Need for a HRMS Solution
Before a company makes a decision regarding HRMS systems and the right solution for an individual company,
it’s important for the management team to identify the needs of the company, its processes and both long and
short-term goals. It is essential to include the HR professionals in the process since they are the ones who
manage the operations of the HR Department. Their input and involvement is critical to the overall success of
any HRMS project.
Security and HRMS Systems
Security is of great concern when it comes to choosing a human resources management system, especially when
it means keeping company data and the privacy of employee records safe from hackers and other prying eyes. It
is essential for companies to choose a solution that utilizes a method of secure transmission such as SSL which
3. encrypts the data as it transmits over the Internet. An important aspect to security is passwords. It’s important
for a company to make sure only those employees needing passwords for the HR system have them and that the
employees understand the importance of maintaining the integrity of the system and protecting the security of
the information it contains.
Conclusion
Developing and implementing the right HRMS for your company is important. While it is certainly possible to
take care of these functions manually, an automated system ensures there is plenty of time available for the
human resources staff to develop and maintain the data that goes into those systems. The most important thing
to remember is that HRMS systems are not “one size fits all”. Just as each company is different, so are the
systems available on the market to choose from.
The following are common features of HR systems that may greatly benefit an organization.
HR Information Database
At the heart of an HR system is the employee information database. HR systems can eliminate or reduce the
need for hard-copy employee files, keeping all of the information very organized and easy to access in a virtual
electronic filing cabinet. The benefits of storing information in this way are improved efficiency in recording
and finding information, improved ability to use the information for strategic purposes, and improved security
of the files.
Payroll Systems
Payroll systems are an important part of HR systems. Having an HR system allows an organization to keep
employee data integrated with payroll data, which can be very helpful when it comes to making changes in pay,
scheduling, and keeping track of employee hours. Having an electronic payroll system that is linked directly to
employee information and time and attendance tracking software can reduce the risk of entering and calculation
errors greatly while making pay days easier.
Employee Self-Service
Many companies find employee self service to be an invaluable feature of HR systems. Employee self
service often includes features that allow employees to view and make changes to their information, submit
time off requests, communicate with peers and HR professionals, and view schedule information. These options
can streamline communication and approval processes, saving HR professionals’ time and helping to boost
employee empowerment and engagement.
Performance Management
Paper performance appraisals can be a hassle and can be limited in scope and effectiveness. When performance
management is done using an HR system, appraisals are often much more complete and effective. Managers can
gather information directly from the system without having to dig through paperwork, so the entire process is
faster and smoother.
Benefits Administration
Benefits open enrollment times can be confusing and hectic, but both the confusion and time spent on the
process can be cut down by investing in an HR system that offers benefits administration. Systems that include
4. this feature walk employee through enrollment, simplifying steps and explaining aspects of policies that may be
unclear. Benefits administration features often make it very simple for employees to make changes to benefits
when life changes occur, as well.
Recruiting and Onboarding Options
Recruiting and onboarding are integral parts of human resources management, but can be time consuming. HR
systems can make it easy to place job postings on social media and company websites, simplify the application
process, filter applicants by qualifications, and even transfer information into employee files when hiring
decisions have been made. HR systems can save companies tremendous amounts of time and can help to ensure
that the best employee candidates are hired.
What is HR Software?
HR software, or human resources software, is software that is designed to automate human resources tasks that
were previously done manually. There are several different kinds of HR software, including HRMS, HRIS,
and HCM that may differ slightly in their focal points and features. Ideally, the HR software that is chosen
should improve efficiency and productivity in an organization in as many ways as possible.
To find the right HR software for an organization it important to first define the goals that you are hoping to
fulfill by obtaining the software. After these have been established, you can then work to figure out which type
of software will fit into the organization and help to achieve those goals. A few common organizational goals
and tips for fulfilling them with HR software solutions have been detailed below.
Automate Administrative Tasks
HR software solutions help to convert manual filing systems and paperwork to electronic files. This can reduce
the potential for errors and employee information leaks and losses, while helping to greatly improve
organization within the company. For best results, companies that have never dealt with HR software before
may wish to purchase stand alone software that can be easily integrated with more complex options later or
integrated suites that can be scaled down to current needs and upgraded later.
Optimizing Hiring and Recruiting Processes
Hiring and recruiting features are commonly offered with basic HR software packages from most vendors. By
automating these processes, companies can instantly post job openings to selected social media sites and other
selected sites, increasing applicant pools and ideally boosting the quality of the company workforce. After
hiring decisions have been made, most HR software solutions allow information to be transferred to new
employee files with a few clicks, eliminating the need for double data entry.
Streamlining Scheduling and Workflow Management
Organizations like hospitals, restaurants, and retails stores that have a large workforce that work a wide variety
of differing shifts may benefit greatly from obtaining HR software that has integrated options for scheduling
and workflow management. When self service portals allow employees to make time off requests and view
schedules while time and attendance software tracks hours worked and managers view and make decisions
based on analytics, the company systems become streamlined.
Improving Performance and Employee Development
5. A company is only as good as its employees, so it makes sense to set a goal for improving performance and
development processes. Some HR software offers learning management systems that track employees’ progress
through training modules and update information to include new eligibility for positions and key aspects that
should be noted on performance appraisals. When HR software includes options such as “360 degree reviews,”
the software may really help to transform performance management within the company.
Fostering Communication and Organizational Flattening
Organizational flattening occurs when employees can speak to managers at any level and give suggestions or
receive feedback. Only certain HR software solutions provide messenger options and other types of
collaboration features, so it is important to review these to select software that will truly benefit your
organization when your goals include communication improvements.
HRIS Benefits
The human resources department within an organization is highly critical to the organization as a whole. Its
many functions serve as a supportive background for the company by providing everything from skilled and
talented labor to management training services, employee enrichment opportunities and more. The fact is that
this department is so critical and performs so many important functions for the organization that human
resources professionals need access to the right tools and resources in order to perform their tasks more
efficiently and effectively.
A human resources information system, or HRIS, is a type of software program that can be utilized within the
department to help human resources employees and managers improve their productivity and the results of their
efforts. Upon a closer look at the benefits of HRIS, you may determine that this is a type of software program
that you want to implement in your organization.
Improving Productivity
One of the most important of all HRIS benefits relates to the ability of the software program to improve
productivity of human resources employees. These systems are highly detailed, and they are designed to
enhance and speed up the efforts of HR employees in a number of ways. For example, they can assist with the
recruitment process by simplifying the efforts associated with collecting resumes, reviewing candidate
information and more.
HRIS systems can also be used to improve productivity related to financial management through payroll
processing tasks and benefits administration. These and other related tasks may require numerous hours of
manpower each week, but the time and effort required to complete them can be drastically reduced when some
of the tasks are automated through an HRIS system. Tasks that may have required the support of numerous
employees and that may have required many hours of labor may become tasks that can be completed quickly
and easily with the software program.
Reducing Errors
Many HR tasks are highly regulated, and because of this, even a minor error on the part of a human resources
employee could result in considerable legal issues and even financial loss for the company. For example, when
resumes are not reviewed in a fair and just manner during the hiring process, a lawsuit may ensue. Another
example involves a seemingly small accounting error with payroll processing—but a small payroll error could
yield considerable financial expense for the company.
6. When considering HRIS benefits for your organization, the ability to reduce these and other related errors
associated with human oversight or other factors can be considerable. Furthermore, additional HRIS benefits
relate to compliance issues. Some software programs are designed to review compliance with specific rules and
regulations—this makes it easier to ensure that your company is in compliance with these laws and regulations.
Performing Analyses
Additional HRIS benefits relate to performing analyses and reviewing metrics associated with various aspects
of the organization. For example, the human resources department is responsible for analyzing hiring costs and
for calculating the turnover rate in different departments. This information can be difficult to properly and
accurately determine, but the accuracy of these calculations is imperative. The results of these calculations may
be used to make important business decisions and to develop strategies to move the organization forward along
a successful path.
HRIS benefits associated with analytical tools give HR employees the ability to perform these calculations with
speed by collecting the data needed within a short period of time and by analyzing all of the data in a concise
and effective manner. Some software programs are designed to create professional reports on metrics and
analysis as an additional benefit to the human resources professionals.
There are many HRIS benefits that companies can begin using effectively once the human resources
information system has been implemented in the organization. There are several different types of HRIS
systems that can be purchased and implemented, and each may offer different features and functions.
Companies should review the different options available carefully in order to find the right program for
their needs and budget.
HRIS Benefits Administration
HR Payroll Systems / HRIS Benefits Administration
Benefits administration is one of the most common elements of an HRIS solution. It allows HR and Benefits
Professionals to take the complex, time-consuming process of benefits enrollment and administration and
automating it throughout your organization. Let’s take a quick look at the some of the most important aspects of
benefits within an HRIS solution.
Benefits Administration
Most HRIS vendors have the capability for you to set up the different benefit plans that your company offers.
During implementation, you’ll be able to set up the rules (auto-enroll, taxing, dependent types, tiers, etc.) that
drive how these benefits are administered and elected by your employees.
New Hire, Open Enrollment and Life Events
Paper enrollment forms are time consuming and hardly the way HR Professionals should be spending their time
-that’s why many HRIS vendors offer electronic enrollment through their Benefits module. Many systems can
generate emails to alert employees that it is time to enroll in a particular set of benefits. The system guides them
through the enrollment process and has them elect or waive benefits. Many of these systems can auto-generate
benefits confirmation statements that employees can save as reference as to what they enrolled in. Enrollments
are customizable depending on the number of benefits offered to a particular employee during a specified
7. period. Most times an employee will be eligible for all benefits as a new hire but may not be able to change all
benefits during periods such as open enrollment or if they experience a qualifying life event.
Connections to Benefit Carriers
So you’ve successfully enrolled all of your employees in benefits but now it is time to move that data into all
the benefit carrier systems that provide the coverage and generate cards. To reduce errors and save time, many
organizations utilize Electronic Data Interchange (EDI) which is a means of sending data from the HRIS to
benefit carriers. These feeds often occur once or twice a week, depending on the size of your organization and
the volume of enrollments, cancellations and changes that occur during a particular period. Carrier connections
can dramatically decrease the number of human keying errors and most of all help you to focus on the parts of
your job that bring value to your organization.
Reporting
Many HRIS vendors offer reporting through canned or customizable benefits reports that help to streamline the
benefits audit process. Maybe you need to run a report to detect the number of benefits changes during a
particular payroll period or maybe it’s time to audit the monthly medical insurance bill to make sure you are not
getting double charged. Whatever the need, benefits reporting will assist you in quickly collecting data to make
informed decisions.
Application of HRIS
HRIS can be applied in the following areas of HRM
HR planning
Succession planning
Work force planning
Work force dynamics analysis
Staffing
Applicant recruitment and tracking
Employee data base development
Performance management
Learning and development
Compensation and benefits
Pay roll
Job evaluation
Salary survey
Salary planning
8. International compensation
Benefits management
Develop innovative Org. Structure
Develop IT
HRIS Benefits:
HRIS has showed many benefits to the HR operations. A few of them can be detailed as;
o Faster information process,
o Greater information accuracy,
o Improved planning and program development, and
o Enhanced employee communications (Overman, 1992).
Barriers to the success of an HRIS:
o Lack of management commitment
o Satisfaction with the status quo
o No or poorly done needs analysis
o Failure to include key people
o Failure to keep project team intact
o Politics / hidden agendas
o Failure to involve / consult significant groups
o Lack of communication
o Bad timing (time of year and duration
HRIS software:
Abra Suite: for human resources and payroll management
ABS (Atlas Business Solutions): General Information, Wages information, emergency information,
Reminders, Evaluators, Notes customer information, Documents and photos, Separation information.
CORT: HRMS: applicant tracking, Attendance tracking and calendars, Wage information, Skills tracking,
Reports-to information, Status tracking, Job history tracking, Cost center tracking, Reviews and tracking, Mass
update and change tools etc.
HRSOFT: Identify and track senior managers, Assess management skills and talents, Generate a wide range of
reports, resumes, employee profiles, replacement tables and succession analysis reports, Identify individuals for
9. promotion, skills shortages, unexpected vacancy, Discover talent deep, Competency Management, career
development, align succession plans etc.
Human Resource MicroSystems: sophisticated data collection and reporting, flexible spending accounts,
compensation, employment history, time off, EEO, qualifications, Applicant/Requisition Tracking, Position
Control/Succession Planning, Training Administration, Organization Charts, HRIS-Pro Net
(employee/managerial self-service), HR Automation (eNotification and eScheduler), and Performance Pro
(performance management)
ORACLE- HRMS: Oracle iRecruitment, Oracle Self-Service Human Resources, Payroll, HR
Intelligence, Oracle Learning Management, Oracle Time and Labor
PEOPLESOFT: Enterprise eRecruit, Enterprise Resume Processing, Enterprise Services Procurement,
Workforce Planning, Warehouse
SAP HR: Human Capital Management (HCM) for Business, All-in-One: Rapid HR,
SPECTRUM HR: iVantage® and HRVantage®. iVantage is a Web-based HRIS product designed for
organizations with up to 10,000 employees.
VANTAGE: HRA: 'Point-and-Click' report writing, internal Messaging System for leaving reminders to
yourself, to someone else or to everyone using HRA - very useful for Benefit Applications, Disciplinary
Actions, Special Events, Employee Summary Screen for Basic, Leave (Absenteeism) and Salary/Position
History, skills & training module, Leave Tracking Module
Why Implement a Human Resource Information Software (HRIS) System?
Running a business will generate a lot of information, both related to the business and related to your
employees. You need to be able to harness and secure this information in a system for a couple of different
reasons. First, you don't want confidential information about your organization or employees getting into the
wrong hands. Additionally, a human resource information software (HRIS) system is a wise choice because it
will reduce the amount of paper generated, organize your data, streamline processes, and help your company's
bottom line.
So, why is HR information important? Your employees are your biggest asset-having a system in which to
contain their private personnel information, safely and securely is critical. You have worked hard to become an
employer of choice-don't ruin that credibility by mishandling confidential information.
Making a Business Case for the HRIS System
The HRIS system is an investment to an organization. An HRIS system is more than just a storage and
organizational tool to contain confidential information about your organization's employees. The HRIS system
needs to be viewed from a financial perspective. For instance, an HR manager or department usually has to
justify their expenditures and if HR's functions are not tracked properly, you could be losing money. These
include:
Providing benefits for ineligible employees or their dependents.
10. Cost of training new employees.
Documenting why people leave the organization because the cost of terminations is high, and if you can
track why people leave, then changes can ensue.
Not properly recording vacation or sick leave taken. Time and attendance creates a loss of productivity,
so having a way to track it to ensure there is not abuse of the system or employees taking time they don't
have will help to reduce the risk of losing productivity and, ultimately, revenue.
Reduce potential legal expenses in an employee dispute. Accurate and complete records can help build
your case or diffuse a situation before it even gets in the courts.
Other justifications for a HRIS system can include savings in paper and supply costs and savings in time spent
on human resource tasks. By implementing an effective HRIS system, the organization is well on their way to
increasing confidentiality of their employees' information.
1. Explain the mechanics of Human Resource Information System.
HRIS DEFINED
Human Resource Information Systems (HRIS) is a process that utilizes the information technology for the
effective management of human resource functions and applications. It is a computerized system typically
comprising a data base or inter related data base that track employees and their employment specific
information
-(Gill and Johnson, 2010).
It can be briefly defined as integrated systems used to gather, store and analyze information regarding an
organizations human resources
- (Hendrickson 2003).
HRIS – Why it is needed?
HRIS provide human resource professionals with opportunities to enhance their contribution to the strategic
direction of the firm, First by automating and devolving many routine human resource task to the line
management, HRIS provides human resource professionals with the time needed to direct their attention
towards more business critical and strategic level tasks, such as leadership development and talent management
(Lengnick et al., 2003). Other incentives for HRIS implementation are mentioned as following.
Formulation of policies and programs related to human resource.
Facilitating decision making in areas like promotion, transfer, nomination, setting employees provident
funds, retirement, gratuity, leave travel concession and earned leave compensation.
Supplying data and submitting returns to government and other statutory agencies.
Collecting appropriate data and converting them to information and knowledge for improved timeless
and quality of decision making.
Producing a greater number of varieties of accurate and real time human resource related reports.
Increase competitiveness by Reengineering human resource processes and functions.
Improving employee satisfaction by delivering human resource services more quickly and accurately.
11. Provides a comprehensive information picture as a single, integrated data base; this enables
organizations to provide structural connectivity across units and activities and to increase the speed of
information transactions (Lengnick et al., 2006).
Human resource management function needs to invest in information technology training and communicate the
benefits of employee’s participation and involvement in HRIS services Components of HRIS
HRIS has major three functional components as shown in Figure 1.
Figure 1: Components of Human Resource Information Systems
1. Input- Input function provides the capabilities needed to get human resource data into the HRIS. It enters
personnel information into the HRIS. First of all procedures and processes are required to gather necessary data,
once collected, these data’s must be entered into the system. Edit tables can be used to determine if the data are
acceptable. These tables contain approved values against which the data are automatically checked. The system
should have the capability to easily update and change the edit tables. Now days scanning technology permits
scanning and storage of an actual image of an organization document including signatures and handwritten
notes.
2. Data maintenance- Data maintenance function is responsible for the actual updating the data stored in the
various storage devices. As changes occur in human resource information, this information should be
incorporated into the system, as new data are brought into the system it is often desirable to maintain the old
data in the form of historical information. It updates and adds new data to the data base after data have been
entered into the HRIS.
3. Output- This function of HRIS is most visible one because the majority of HRIS uses are not involved with
collecting, editing, and updating human resource data; rather they are concerned with information and reports to
be used by the systems. In order to generate valuable output for computer users, HRIS processes output, makes
necessary calculations and formats the presentation.
HRIS is a computerized system that aids in the processing of information relating to human resource
management. A well-knit HRIS acts as a worthy decision, a device; designed to fulfill the manpower
information needs of the organization (Kovach and Cathcart, 1991).
Benefits of HRIS
HRIS helps in recoding and analyzing employees and organization information and documents, such as
employee hand books, emergency evacuation and safety procedures (Fletcher, 2005).
It also helps the organizations to keep an accurate, complete and updated data base that can be retrieved from
reports and manuals. HRIS advantages can be systematized according to Kovach (2002).
1. Increase competitiveness by improving human resource operations
2. Ability to implement a number of different operators to human resource
12. 3. Shift the focus from the operational(transaction) human resource information to strategic human resource
information
4. Include employees as an active part of the HRIS
5. Reengineering the entire human resource department
(Krishna and Bhaskar, 2011) summarized the benefits of HRIS as mentioned in Figure 2.
Figure 2: Overall benefits of HRIS
HRIS benefits can be categorized as following:
1. Benefits for management
2. Benefits for human resource department
3. Benefits for employees.
1. Benefits for management includes:
Increase of overall decision making efficiency.
Cost reducing and better control of budget.
A clear vision of business including business transparency.
Sharp insight into the process of hiring and firing employees, at the aggregate level.
2. Benefits for human resource department includes:
13. Possession of single data base of all employees in the company with all necessary information and
opportunities of different reports.
Elimination of paper forms that are much slower and with higher probability of errors.
The ability to update data bases in real time, on the basis of all changes, which is of extreme importance
to regionally diversified companies.
Minimize errors that are caused by human factor.
Improved management system in accordance with the legislation.
Elimination or reduction of redundancy in the system.
Standardization of business processes.
3. Benefits for employees:
Saves time (Time management)
The possibility of independent access to data, which often means working in one software window.
24/7 data availability.
Increasing staff morale.
Automatic tracking and reminder to business obligations and events.
Encouraging employees to make decisions and initiatives on the basis of information obtained in the
HRIS system.
The ability to attend internal training courses via the web and the development of personal skills and
knowledge.
HRIS also has the potential to fundamentally affect revenue channels, beyond cost reduction and productivity
improvements. It may enhance innovation, and speed up time to market for products. In addition HRIS can
fundamentally change the way individuals relate to one another and to their organizations through various
communication media.
Importance of HRIS in Business Competitiveness Survival and success in current fast paced globalized
economy increasing depends on competitiveness i.e. ability to compete. It is multidimensional concept. It has
become the name of the game today to describe economic strength of a country or industry or firm with respect
to its competitors in the global market economy in which goods, services, people, skills and ideas move freely
across geographical borders. Information management, in general and HRIS in particular, has become critical
factor in making business competitive and effective as shown in Figure 3. Companies are increasingly realizing
the advantage of having systems that capture, analyze and report on the host of human resource aspects that are
critical to running a business. Human resource management consist of the activities, policies and practices
involved in obtaining, developing, utilizing, evaluating ,maintaining and retaining the appropriate number and
skill mix of employees to accomplish the organizations objectives. HRIS is a key management tool used for
understanding the patterns for human resource policies, actions and employee behaviors as well as for
identifying gaps in human resource systems and the effectiveness of human resource systems. HRIS is a
software package that provides a complete management system for human resource activities in businesses.
14. Figure 3: Road map business competitiveness
HRIS MODEL
HRIS designed for human resource management plays a vital role in implementing the strategic business
objectives of the organization, and in running the daily functions effectively and efficiently to improve the
productivity and proficiency. HRIS has been addressed as a tool that organizations use to solve and manage a
variety of issues and processes connected to the management of people. On the one hand, technology may be
used for different purposes within particular human resource functions- for recruitment and selection,
performance evaluation, compensation and benefits, training and development, health and safety, employee
relation and legal issues, retention and work life balance (Enshur et al., 2002). On the other hand, a company
that uses a complex mix of HRIS solutions enables the human resource function to manage in human resources
as well as employees information flow in an integrated approach across the entire employment cycle of each
individual, thus shifting the attention from a process centered human resource to a customer(employee)-
HR PROGRAMS
IT- KNOWLEDGE
HRIS
BUSINESS
COMPETIVENESS
15. centered human resource management. The HRIS model is outlined in the Figure 4.
Figure 4: Model of Human Resource Information System (HRIS)
Importance of HRIS
HRIS primary role of integrating human resource management and information technology has lead to
competitive advantage and hence attracted many human resource managers and professionals. Other vital facts
of HRIS reported in literature are effective human resource decision making and also strengthening an
organization’s character (Sadri and Chatterjee, 2003), reducing process and administration cost, speeding up
16. transaction processing, reduce information errors and improve the tracking and control of human resource
actions (Lengnick et al., 2003), crucial in terms of operating, controlling and planning activities in human
resource (Lenderer 1984). It can be summarized that HRIS, is a computerized system that aids in the processing
of information relating to human resource management and has become a crucial element of all organizations. It
can be deemed as a device which is designed to fulfill the manpower information needs of the organization.
Thus, the importance of HRIS is multifaceted, ranging from operational assistance in collecting, storing and
preparing data for reports, simplifying and accelerating the processes and controlling the available data,
reducing labor costs for human resource departments, and providing timely and diverse information to the
management of the company, based on which it is possible to make quality strategic decisions related to human
capital.
Functions of HRIS
HRIS functions interactively with human resource management systems such as human resource planning,
staffing, training, and career development, performance management and compensation management
(Kavanagh et al., 1990). The functions can also be categorized as following.
1. Create and maintain employee record: The data being entered create an employee record and this record is
maintained throughout employment. In most of the organizations the HRIS administrator is responsible for
creating and maintaining these records.
2. Ensure legal compliance: Data entered into the HRIS can be used to help the organization comply with
government regulations in an accurate and timely fashion. Ensuring data integrity and accuracy is very
important and a key responsibility of human resource professional.
3. Human resource planning and forecasting: Information from recruitment, training and development, and
administrative subsystems, such as number of open positions, types of positions, employee skills and
competencies, job rates, retirement eligibility and employee turnover rates can be used to help managers
develop long range staffing plans and provide valuable information to the human resource professionals.
4. Talent management/Knowledge management: The data that are entered into the system, such as skills,
competencies, jobs held, training and employee development interests, can be used to help managers provide
development opportunities for their employees, ensure that the appropriate employees are offered positions that
will enhance their skills, provide the appropriate training for employees so that they can advance in the
organization, and highlight an employee’s interests and development paths. This information will help human
resource professionals to provide more targeted advice and counsel to managers to create a development plan
that meets organizational and employee needs.
5. Strategic alignment: Information from the system can help organizations align human resource activities
more effectively with their strategic plan.
6. Enhanced decision making: The ability to extract data from the HRIS and use these data not just to create
information but also to improve the quality of management decision has become increasingly important.
Information needs toe be relevant, useful, timely and accurate.
2. Trace out the difficulties faced by HR manager doesn’t have Technology back ground.
3. How a data storage and retrieval helps the HR manager for his functions?
17. 4. Identify some software called as standard software and customized software used for Human
Resource Information system.
5. Identify how the information system support the planning and control in HRIS.
6. Explain how the organization structure is a factor in the HR management process.
7. Describe the essential communication process involved in the Human Resource Management.
8. Briefly discuss the importance of information technology for Human Resource manager in the
present scenario.
9. Human Resource Management needs HRIS for a well functioning. So HRIS is not an expenditure it
is an investment- Comment.
10. Discuss about the role and responsibility of the HRIS manager to be followed in HRIS management.
11. Data security and data operations is a key issue in HRIS management - Critically evaluate the
importance of this statement.