HR MANAGEMENT SYSTEM or HR INFORMATION SYSTEM What is HRMS / HRIS? What is HRMS/ HRIS? It is the integrated database system that is essential to permit high-quality, informed HRP decisions to made. – Monica & Kenneth It is the system used to acquire, store, manipulate, analyze, retrieve & distribute pertinent info regarding org’s HR….” – Alan & Robert Purposes of HRMS / HRIS? Purpose of HRMS/ HRIS? Is to facilitate, support strategic, tactical & operational decision making. To avoid litigation. To evaluate programs, policies or practices To support daily operations. Contents of HRMS / HRIS? Contents of HRMS/ HRIS? HRIS contains info of: Employees Jobs & Work Conditions Positions HR Events (Recruitment, training & Development, performance appraisal, termination) **** But not all system fulfill all the requirements, nor a complete solution is suitable for all org. 3 Stages of HRMS / HRIS Development 3 Stages of HRMS Development Stage 1: Basic Personnel System Incorporate databases that may mix written records on the file with other data elements stored on a computer database. The data maintained by this system focuses on the areas like: Y records, Payroll, Staffing, Basic data required for compliance with pertinent labor legislation. This info is used by almost all HR staff . Its purpose is – correct record-keeping. So it is past oriented. 3 Stages of HRMS Development CONT…. Stage 2: Augmented HR System Occurs when the org decides to commit the resources to become more proactive with respect to HR policy decisions. It requires HRMS to move beyond basic record keeping function. It is entirely computer-based system. This enable HR Planners to identify more readily developing problem areas or trends – thus help them to be proactive in developing personnel policies. 3 Stages of HRMS Development CONT…. Stage 3: Comprehensive & Interactive HRMS Relatively few co have evolved to this stage. It enables the HRP to run “What If” scenario – to determine the best future from possible alternatives. RELATIONAL database – helps to investigate, thus offers a wide variety of searches & analyses to be conducted. Possible areas of usage: Selecting candidates, performance appraisal. But Remember………… Although a comprehensive & interactive HRMS is he goal of every firm, but it is not that all firms adopt it. There are firms which can afford it but do not incorporate because they want something simple, environment friendly system. So, the HRMS must be selected on the basis of the need of particular organization. Because, one size doesn’t fit all. Selection & Design Criteria For HRMS 1. System Security & Access Control This is important because - HRMS contains sensitive personal info. Mgt must have proper control on access to this system. Access should be granted on a ‘need to know’ basis with passwords, PINs –serving as entry barrier. Access requirement should be reviewed on a regular basis. 2. User friendliness of the HRMS HRMS varies with respect to training time & ease of use for HR staff. System that build on common HR terminology & are designed to run in conjunction with widespread computer operating system will require less preparatory training. 2nd, Customization ability should be there. 3. Flexibility & Interface with Other Organizational Systems Consider – the linkage between existing computer h/w & the proposed s/w system. Staff computer literacy Ensure – smooth interface between h/w & s/w – to minimize errors. 4. Appropriateness for Meeting Organizational Needs Some org do the mistake of purchasing HRMS because of only one area. But you should take time to identify & rank the org’s HR goal for HRMS. Identify the “must have”. Do not go for “nice to have”. Along with price consider the issues like: number of year s/w has been incorporated Whether vendor specializes in HRMS or not, and his/her reputation After sales service 5. System Costs & Service Support Implementation cost is not the only cost. Count other costs too. Likee training costs. Management Information System, Decision Support System staff must be involved in the HRMS criteria. Successful HRIS The most effective HRIS are those which: Contain highly accurate employee & job data Are sufficiently flexible to adapt to both present & future requirements. Are dynamic & Comprehensive Allow clear control of HR & HRIS costs.