Information System (IS) Applications in Human Resource Management (HRM)

A unified data model provides a single, accurate view of HR activities ranging from recruitment, employment, training, performance management, compensation management and real time management. Oracle human resource leverage workflow and internet-based processes optimize various HRM activities. The system maintains global HR data in case of Trans-national companies and total organizational human resource data in case of national companies in a single location for accurate and easy availability.

The system of applications of Information Technology (IT) in HRM is referred to as Human Resource Module. HRIS merges some of HRM functions with the IT field, wherein the planning and programming of data processing systems have evolved into standardized routines and packages of Enterprise Resource Planning (ERP) software. ERP integrates the human resource module with finance, production, and sales and administration modules.

Generally, traditional HRM functions are common to all organizations. They consist of tracking data regarding personal histories, family details, skills, capabilities, experiences, pay, benefits and grievances. Performance of these functions are increasingly complex, must be performed at the lowest possible cost and also at a fast rate, which pose increased challenges for HR professionals. Organizations have started to automate these functions by introducing HRIS technology.

Development of client -server HRIS enables HR executives to assume responsibility and ownership of their systems compared to client-server architecture, which came largely in the form of mainframe computers and necessitated heavy capital investment to purchase program proprietary software. HRIS is developed around six main areas of human resource management viz., e-recruitment/applicant tracking, e-training, e- payroll, e-benefits, e-self service and e-time and labour management.

E-recruitment / Applicant Tracking

E-recruitment manages job descriptions and job vacancies, search for candidates and the interview process. It is also referred to as an applicant-tracking system; this is a web-based application that enables the electronic handling of organizational employment needs.

These activities include posting job advertisement on web sites to stimulate and attract candidates, known as job boards. Job boards allow candidates to apply on-line and the candidates’ data are stored on a database that allows searching, screening and filtering of applications. The application tracking system shortlists the candidates and arranges for interview and recruitment-related activities.

E-recruitment maintains profiles, searches for and refers jobs to colleagues and follows the recruitment process. It uses event-driven applicant tracking and manages positions on multiple external websites. E-recruitment/applicant tracking system reduce administrative tasks, cost and time required to perform recruitment activities.

E-training

E-training provides a complete, scalable and open infrastructure that allows organizations to manage, deliver, and track employee training participation in on-line or classroom-based environments. Trainees interact with content and/or trainers at their own pace. Managers set the business flow from order processing to delivery and performance management to training output automatically. E-training systems deploy content to global learners; make use of mixed media and multiple discrete sites on a single instance of the application, define competencies attained by trainees, and update the trainees’ competency profiles. It aims to ensure that HRM provides the right resources, competent and experienced trainers, and consolidate training initiatives on a scalable and cost effective basis. In addition, it aims to measure training effectiveness.

E-training, provides learning opportunities not only to employees, but to customer and all other stakeholders by providing one-stop administration, automated catalogue distribution and enrollment and collaborative sites with other strategic partners.

E-payroll

E-payroll models automatically collect data regarding employee attendance and work record for the purpose of evaluating work performance, they calculate various deductions including tax, and generate periodic pay cheques and tax reports. Payroll modules in turn send data and accounting information to the general ledger for posting and subsequent operations and they frequently integrate e-payroll with e-finance management.

Payroll systems can define standard rules for automatically assigning and changing employee salary by using simple formulae. They are able to control processing rules and calculations using fast formula and use logic for complex cases. They can manage global compensation with one application by implementing a core payroll engine and installing local extensions to add the necessary functionality, reporting and process for individual countries.

E-payroll is able to process from data, simultaneously, fully reconciled results and multiple employee groups. By preparing paperless online pay slips, the system is able to reduce administrative costs and time for the total operations. Employees too can view their exclusive data and get personalized reports.

E-benefits

E-benefits administration models enable HR professionals to track and administer diverse and complex benefit plans, employee benefit programs which may involve transpiration medical and health care, insurance, pension, profit-sharing, and stock option benefits. Such modules, through internet-based automation, can enable HR to improve benefits support and analysis whilst reducing time and costs involved in the administration, while increasing the consistency decisions on compliance issues at various levels across the organization.

E-self service human resource

E-self service HR modeles collect process and manage all other kinds of data and information. For example, employees’ demography profiles and addresses recruitment, selection training, development, promotions, capabilities, skill mapping and compensation planning. Such a module would allow individual employees to update and use employee-specific information, personalized to an individual’s role, experience, work content, language and information needs. Thus, individual employee and managers are empowered to update information in order to streamline business processes, reduce costs and errors, increase speed, and enhance service.

This module helps employees in managing everything from profiles including skills, resumes, contact details, self-appraisal data, bank data, learning, benefits and payroll. It empowers managers to operate transfers, employee training enrollment, performance appraisals, competency mapping, career planning and development and terminations.

E-time and labour

E-time and labour automates entire time and attendance records keeping process and operations through an automatically generated virtual time card. It provides an intuitive, web-based interface. The time and labour management module, by interacting with information technology, collects and evaluates time and work information. This module provides broad flexibility in data collection methods, human resource distribution capabilities and data analysis, and helps in establishing organizational cost accounting capabilities. This module allows entering time via web browser, mobile device and time card. It defines rotation plans based on shifts and work plans and employee mobility among departments or units. It supports policies for holidays, over-time, and rounding. It improves reporting, extracting, and processing with a single database of employee time-related information. This module is integrated automatically with other modules of human resource management like payroll and benefits.

About Abey Francis

Abey Francis is the founder of MBAKnol - A Blog about Management Theories and Practices - and he's always happy to share his passion for innovative management practices. You can found him on Google+ and Facebook. If you’d like to reach him, send him an email to: [email protected]
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