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Chapter 1

After discussing this chapter, you will be able to:

Explain the concept of HRIS and describe its importance in

HRM

Discuss the significance of computerization in the HR field

Enlist and describe the significant aspects of the

contemporary HRIS systems

Describe in detail the benefits of an HRIS system

Human Resource Information System –

Normally called as HRIS is the general term indicating to

any data framework utilized for getting pertinent and

prompt data on which to base human asset choices.

A HR Information Systems is a software application

planned explicitly for the accumulation and blend of

employee data.

HRIS Definition

“HRIS can be briefly

defined as integrated

systems used to gather,

store and analyze

information regarding an

organization’s human

resources.” (Hedrickson)

HRIS “One which is used

to acquire, store,

manipulate, analyze,

retrieve and distribute

information about an

organization’s human

resources.” (Tannenbaum)

Human assets are critical for any company and explicitly

the IT industry where representatives perform the

functions of the talent stores.

To use the representative's productivity it is basic to have

full depiction about the worker and in addition the

employment for which he/she is accessible.

In today's information economy, organizational triumph

depends immensely on the execution of HRM and HRIS

HRIS comprises of efficient systems and capacities to

gain, store, recover, study, control, and disseminate

pertinent data concerning strategic practices from the

organizational context.

With HRIS, the regulatory proficiency keeps up

Quicker data preparing

Enhanced worker correspondences

More stupendous data precision

Lower HR costs

HR capability upgrades

The following are the most generic attributes of HRIS:

Payroll

This module gathers attendance information and time related

data from the databases, computes taxes and other deductions,

and automatically creates paychecks as per the management's

directive.

Time and Labor Management

This module pools and studies data on employee work/time

so that the management can precisely supervise work assets.

The following are the most generic attributes of HRIS:

Profits Administration

This module empowers the management to watch and

supervise employee cooperation in the different benefits

programs provided by the organization in a convenient

manner

HR Management

The HR Management module aggregates the sum of an

organization's workforce information, permitting executives

to stay informed concerning employees

The following are the most generic attributes of HRIS:

Worker Self-Service:

HRIS can work marvels regarding lightening the managerial

load for a business' HR division.

HRIS framework opens the route to an entirely new level of

self-service for the employees, permitting them to remotely

access functional devices and crucial information through the

utilization of the framework's networked databases.

The following are the most generic attributes of HRIS:

Worker Self-Service:

There's always the accessibility of online benefits enrollment,

which permits people to basically log in and skim the

arrangement alternatives for them, instead of planning a

meeting with the benefits specialist who's got more than

enough different things on his plate.

The following are the most generic attributes of HRIS:

Cost:

One of the primary concerns when it comes to investing in an

HRIS is cost.

The truth of the matter is that the “average cost” of an HRIS

system can be difficult to narrow down

The following are the most generic attributes of HRIS:

Cost:

Whether or not your business will need to integrate the new

HRIS with a lengthy string of existing systems.

In certain cases, though a niche program may initially be less

expensive than a full suite, the challenge of integration can

drive costs so high that in the long run it may be more cost-

efficient to go ahead and invest in the suite package

The following are the most generic attributes of HRIS:

Cost:

It is vital that you remember the cost of training your

employees to use the new HRIS.

Getting workers to learn the ropes of a new system can be

expensive, but failing to push their adoption of the software

can be downright disastrous.

Historical evolution of HRM AND HRIS:

One can analyze the historical trends of the HR function

from different viewpoints:

The evolution of HRM as a professional and scientific

discipline, as an aid to management

As a political and economic conflict between management

and employees

As a growing movement of employee involvement influenced

by developments in industrial, organizational, and social

psychology.

Historical evolution of HRM AND HRIS:

Traditional HR activities are focused on HR programs like

selection, compensation, and performance appraisal.

However, transformational HR activities are those actions

of an organization that “add value” to the consumption of

the firm’s product or service.

Historical evolution of HRM AND HRIS:

Historical Evolution of HRM

Historical evolution of HRM AND HRIS:

Computer technology was evolving and delivering better

productivity at lower costs.

These technology developments and increased vendor

activity led to the development of a comprehensive

management information system (MIS) for HRM.

The decreasing costs of computer technology versus the

increasing costs of employee compensation and benefits

made the acquisition of computer-based HR systems

(HRIS) a necessary business decision.

In a growing number of organizations human resources are

now viewed as a source of competitive advantage.

There is greater recognition that distinctive competencies

are obtained through

Highly developed employee skills

Distinctive organizational cultures

Management processes, and systems.

The people management function has become strategic in

its importance and outlook and is geared to attract, retain,

and engage talent.

These developments have led to the

creation of the HR balanced

scorecard as well as to added

emphasis on the return on

investment (ROI) of the HR

function and its programs.

The effective management of human resources in a firm to

gain a competitive advantage in the marketplace requires

timely and accurate information on current employees and

potential employees in the labor market.

A basic assumption

The effective management of employee information for

decision makers will be the critical process that helps a firm

maximize the use of its human resources and maintain

competitiveness in its market.

An HRIS can be defined as “a composite of

database,

computer applications,

hardware and software necessary to collect/ record, store, manage, deliver, present, and

manipulate data for human resource.

HRIS differs in its functionality and application from

administrative applications,

talent management applications,

workforce management applications,

service delivery applications and

workforce analysis and/or

decision support applications.

Functions that represent an HRIS.

These components/

functions of HRIS:

Strategic Integration:

HRIS leads to an improvement in organizational

performance and changes the method in which

organizations are managed.

Strategic value can be derived by HRIS tools that assist

with decision-making regarding essential HR functions.

Human Resources Analysis:

Using this function, an organization makes a decision of

whether their personnel capabilities are congruent or not.

Personnel Development:

In this function, an organization can decide on any

deficiency an employee has, accordingly, make a decision

of the most appropriate training and/or development method

to use to overcome that deficiency.

Knowledge Management:

HRIS are mostly created for knowledge management of

HRM.

The reason for having an HRIS is the need to control the

basic data on personnel, which constructs organizations

more profitable and effective.

Communication and Integration:

In this function, an appropriate HRIS involves a

communication mechanism suitable for communicating

necessary information to all customers within and outside

an organization.

Forecasting and Planning:

This function is used to transform the input of an HRIS

analysis into its predictive feedback about organizational

future personnel and skill needs.

Data maintained in an HRIS can be used as a competitive

information resource.

Nearly every business

can stand to gain

something in the realm

of efficiency and

operational cohesion,

and HR information

software is designed to

provide exactly those

improvements.

Evolving technology is allowing HRIS to perform tasks

that no one could have even dreamed of back when the

systems were first introduced.

HRIS exists to make your job easier – it takes care of the

routine administrative tasks so that you can focus on more

important issues.

Reporting:

Perhaps the biggest benefit that the use of an HRIS system

adds to a business is its ability to create reports and

presentations.

An HRIS system typically holds all information surrounding

the firm’s human resources initiatives

HRIS exists to make your job easier – it takes care of the

routine administrative tasks so that you can focus on more

important issues.

Recruitment:

An HRIS system allows candidates for open positions to

submit their resumes and contact information to a potential

employer from a remote computer.

When seeking candidates, the manager is able to perform

detailed searches of collected resumes, using a variety of

queries, including location, level of education, years of

professional experience and technical skill set.

HRIS exists to make your job easier – it takes care of the

routine administrative tasks so that you can focus on more

important issues.

Benefits Administration:

An HRIS system allows a business to streamline the

administration of employee benefits.

A self-service system allows for benefits to be efficiently

administered with as little manpower as possible, saving an

organizations time and money.

HRIS gives firms several other benefits and advantages

Increasing competitiveness by improving HR operations

and management processes

Providing a comprehensive information picture as a single,

integrated database

Collecting appropriate data and converting them to

information and knowledge for improved timeliness and

quality of decision making

HRIS gives firms several other benefits and advantages

Producing a greater number and variety of accurate and

real-time HR-related reports

Streamlining and enhancing the efficiency and effectiveness

of HR administrative functions

Shifting the focus of HR from the processing of transactions

to strategic HRM

Reengineering HR processes and functions

Improving employee satisfaction by delivering HR services

more quickly and accurately

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