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MAY 2019
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Introduction to Information System
Information system (IS) is a set of component which work together to manage the
processing data and storage. Duff and Assad (1980), has defined that the information system
as “a collection of people, procedures, stores and communicates of data for transaction
processing at operational level and information to support the management decision making”.
The information system role is to support the key aspects of running an organization, for
example communication, record keeping, decision making, data analysis and many more.
Furthermore, many of companies use this information system to improve their business
operations, make strategic decisions and obtain a competitive edge. The mis system analyses
the input with routine algorithms or aggregate, estimate and summarizes the results to make
reports that tactical managers use to monitor, control and predict future performance.
According to the website “bizfluent.com”, information system normally includes a merging of
softwear, hardware and telecommunication networks. For instance, an organizational can also
use customer relationship management systems to get a better understanding of its target
audience, achieve new customers and keep hold of existing clients. There have some of the
example of management information system. First example is sales management systems
which the organization will get the input from the point of the sale system. Secondly, the
budgeting systems which can give a overview of the amount of the money which is spent within
the organization for the short and long term and human resource management system which is
overall welfare of the employees, success and staff turnover. Besides that, it have six
components which come along in order to create an information system. It is hardware,
softwear, data, procedures, people and feedback. A computer information system is essentially
an IS using computer technology to bring off some or all of its planned tasks. The basic
components of the computer based information system are hardware, softwear, database,
Network and procedures. The first of the four components is make up what is familiar known
as the information technology platform. The information technology workers use these
components to produce information systems that can watch over safety measures, risk and the
management of the data.
Moreover, the information system give many advantage and it is importance in
daily operation of an organization. Firstly, with an information system, many organizational
and business can save their time and money while making a smarter decisions. Information
system can bears business processes and operations of an organization in many ways. For a
example, in a hotel the customers check in and check out are made by a computers and also
softwears which makes the work easy same as the method of using notebook and paper to
record the guests information. The customers can also make their own bookings and make a
full payment along the hotels website rather of visiting the hotel in person, which can cause to
pressure on front office staff. The information system now also getting develop to accumulate
customer information easily and faster. The house keeping department in a hotel also can
inform the front office regarding which rooms are ready wand which room not ready. The
management of an organization will become more smoother and well planned.
On top of that, the organization can improve the decision making process. For
example the information systems will make possibly for managers to use real time data when
making a decision so that can make a better decisions and not have to waste time for looking
the information. A decision allow for choosing a course of action from several alternatives and
carrying out the corresponding tasks. The information system also can help the employees and
managers in organization to make well informed decisions. This is because of the information
systems have ability of analysis the data which has been collected from the both organization
which can be use by the employees and managers in their decision making process because
according to the (Terry Lucey, 2005), the decisions are better made when information is
available which aids the decision maker in making an objective decision. This information
then ensures that the organization offers the right products or services that would adequately
address the needs of their customers.
How human resource management system being implemented or can be implemented in
Human resources information system or known as HRIS, or Human Resource
management system (HRMS) is the ultimate combination of information of technology and
human resources. HRM also is the integrated use by an organisation of system, policies and
management practices which can enrol, develop, and maintain the employees who can help the
organization for success. Besides that, the human resource management system plays the most
important role in make the employee satisfaction, improving the performance and organization
productivity. There are some of the advantage of HRIS in organization. Firstly, an HRIS can
minimize the amount of paperwork and manual record keeping. It also retrieves information
quickly and accurately and it allows quick analysis of Human Resources issues. Many of the
organisation make the mistake when focusing on the technical aspects of HRIS
implementation. This can become an issues because configuring a system to follow to a new
and improved hiring process is much easier than training all the departments to understand,
execute and enter the required information into the new HRIS.
On top of that, the HRM system can help the organization to support and increase
the health sector policies and practices to certify a work force for staff, qualification also
placement are well allocated. The organisation should be able to exactly predict the HR require
to maintain the service delivery and improve access to care. It is meant to help the organisation
to train, motivate and rewards the staff. The process does not only includes the employees but
can also be for a department, product, service or customers process. Moreover, a solid HRM
system provide the foundation for employee performance improvement. The performance
improvement is a process for achieving individual and organization results by identifying the
key of elements of strong performance and then make sure that these elements are in place. The
HRM also can help to identify and coordinate different performance improvement
interventions, even if they are not directly related to human resource issues. The organisation
also need interface the data with other systems and convert the company’s historical data into
the new system. This will require the organisational preparation and training need to be
prepared by organisation.
Importance of human resources management system in organisation
An organisation cannot build a good team without good human resources. It is
possible to find a human resources department in all of the organisation out there in the world.
Furthermore, the human resources management has the potential to handle the most important
and valuable resources of an organisation. If the human resource management did not function
properly, the organisation would fail to achieve a goal and workforce management. The key
function of the Human Resources Management team include recruiting people, training them,
performance appraisals, give the employees motivation as well as workplace communication,
workplace safety and many more.
Human Resource Management System important for organisation because the
effective HRM system will qualify the organisations to address the human resource problem
with full of responsibility. This is important because it can help the workforce to convey the
high quality health service, despite internal and external challenges to the organisation. A
powerful human resource management system can assist the organisation prioritize. In addition
to that, according “businesstopia.net”, human resources management system can increase the
productivity and profit for an organisation. For example, the human resource management can
make sure the right quality and quantity of personnel in organisation. It also will creates the
opportunities to facilitate and motivate individual and group of employees to grow and advance
to their career. The HRM system will helps the organisation to attract and maintain competent
employees, assists employees and managers in adapting to the organisational change and
facilitates the use of technology to determine how and where work is done. Moreover,
developing public relations also the important of human resources management system. The
responsibility of setup good public relations lies with the HRM system to a great extent. They
arrange business meetings, seminars and various official gatherings on the behalf of the
company in order to build up relationship with other business sectors. The HRM is perhaps one
of the most misunderstood, however most important management systems. Employees are the
important asset for an organisation and companies must put a lot of effort and energy into
setting up a effective HRM. All human resources management system has its eyes set on
providing every organisation the best service that would work to drive not just for making profit
but also team synergy.
How human resource management system able to facilitate the business process between
department in organisation
Human resource management or known as HRM is important in a knowledge
based economy, where the ideas and expertise are greatly values and a creative and innovative
workforce is necessary to meet the challenges of this new economy. Furthermore, the human
resource management includes conducting job analyses, planning personnel needs, recruiting
the right people for the job, orienting and training, managing wages and salaries, providing
benefit and incentives, evaluating performance, resolving disputes and communicating with all
employees at all levels. According to the OUM management information systems CBMS
4303,Maryati Mohd Yusoff (2013), information system also requires the feedback, which is a
form of evaluation of the output which is returned to the organisations in term of complains
which should be rectified immediately via corrective measures or suggestions of improvement
that can be used to advance the system and the business process of the organisation.
Besides that, the business process always help the department in organisation
to understand the overall business process of the different activities. In the organisation, Human
Resource Management (HRM) is considered to be a support function of business and its key
element is training and development or Human Resource Development (HRD), The
organisational changes can happen with the use of information system and this type of the
change is normally divided into four parts, which are automation, rationale procedure, business
process restructuring and paradigm shift. On top that, Human Resource Department consists of
three major steps which is strategy formulation, implementation and evaluation vital to
understand that without a thorough scanning of company’s internal and external environment
one cannot formulate a strategy close to reality. Without this commitment, the management
will not able to get the benefit from the information system that can enhance the organisations
business process. The involvement of all the parties concerned in the start up of a certain
technological structure is of utmost important in the planning and management of information
technology in organisation activity. The data which is received through environmental
scanning will be checked and if it is everything ok than one should proceed to next step, or regather back the data.
In addition to that, according to the OUM Management and information
system, CBMS4304 written by Maryati Mohd Yusoff (2013), the process of developing a
system is not only complex but risky. The mega projects which involving substantial
organisational change like business process reengineering (BPR) and enterprise resource
planning (ERP) have a large potential of experiencing failure as they sometime cannot be
completed in the prescribed amount of time. The HRD department or training & development
wing of Human resources than will conduct general Training Need Assessment. This TNA will
become a general nature which the objective is to identify key area where trainings are required.
This kind of training and in some cases number of training every year. The human resources
Department will looking for improved the reporting of employee data. Payroll is concerned
with the system’s pay check calculations and regulatory reporting. In organisation, the benefit
may be looking for more streamlined enrolment process. As this team drives deeper in the
selection criteria, the members learn more about each other and also start to see the emergence
of same really messy business process. It can be a bittersweet process in an organisation.
How human resources management system able to support the management decision in
promotion, increment and staffing
An HRMS, the abbreviation for human resources management system, is a system
which can keep the track of all of the employees and information about them. It is normally
done in a database or more often in a series of inter-related databases. Besides that, HRMS also
is the process of help the management making decision in promotion, increment, staffing,
recruiting, selecting, inducting employees, providing orientation, imparting training and
development, appraising the performance of employees, deciding the compensation and
maintain proper relations with employees. The human resource management system will
address the automation of the performance of the employees as regard to what is monitored on
them. Their performance will be based on the qualities of what they’re working on. The
performance on the employee were poorly evaluated and monitored before, during and after
every period of their jobs. On the same time also, HR departments would evaluate them. It is a
very ideal thing for them to accomplish every evaluation of employees regularly to update their
performance and their quality of work.
The human resource management system also can help to support the
management in decision making in promotion. Promotions traditionally refer to advancement
to positions of increased responsibility. Most of the people will crave promotions, which
usually means more pay, responsibility and job satisfaction. For the employer, promotion will
provide opportunities to reward the exceptional performance and to fill open position with
tested and loyal employee. The purpose of the promotions is to utilize the employee’s skills,
knowledge at the appropriate level in the organisational hierarchy resulting in organisational
effectiveness and employee satisfaction. The HRMS will determine which of the employees
can give a promotion. According to the “smallbusiness.chron.com”, the HRMS has four solid
procedures and steps in place help the management making promotion decisions. First
procedures is the management need to sent feedback to human resource management system.
For example, the HR personnel work in their own department and they may not be aware of
the ins and outs of other departments in organisation. When making promotion decisions, HR
must consult a manager or executive who does only understands the workings of the position
in question but who had direct contact with candidates for the position. Second procedures is
performance reviews which the results of performance reviews will be stored in the human
resource system which they use the softwear which can tracks employee data. The HR can help
the management not only review the performance ratings and also the comments which made
by the manager. The skills assessment which made by HRMS can help the management
decision in promotion. It is essential that the organisation keep records of the skills of the
employees possess and encourage the employees to update their HR records when they master
new softwear and reach the goals which is set in their performance. The last procedure when
HRMS help management when making decision is with certification, degree and professional
development. For example, as the employees who work in organisations will receives the
certificates for completing the training and HR should make sure that keep a note in the
employee’s file. HR also can keep a track of the professional development classes and courses
and employee completes. By reviewing these achievements the HRMS can help the
management to make promotion decisions.
On top of that, human resources managements system are involved in fixing or
revising the salary of employees in consultation with a business heads. A typical salary
increment is accompanied by a salary revision letter. The information from HRMS is also
passed on the payroll team which they can include it in the next payroll. A performance
appraisal does not always the result in automatic salary increase. The employee’s overall
performance and salary level relative to the position responsibilities must be evaluated to
decide whether a salary increase is warranted. Out of cycle salary increases but be preapproved
by the department manager, human resources director and president. The retention rate
measures employee retention at a company and indicates job stability within the company. The
company need to pay a lot of costs when an employee quits and the company needs to hire a
new one. This HRMS will help to monitor the retention of talent and monitor formal retention
strategies that increase overall productivity.
How the information in the human resource management system can be control in the
aspect of safety, confidentiality and integrity
In organisation, the human resource is known as the greatest asset. With the high
training and educational standard, numerous technical and professional certification, job
description and classifications, benefits coverage, changing work environment, health and
safety issues, diverse working conditions and pay scales and it is very much necessary to
develop a comprehensive human resource information system to address these issues on a
secure database. Furthermore, the human resource management system is helpful for different
organisations to set the measurable benchmarks to acquire, train and retain the best employees,
co-ordinate employee job descriptions with areas of responsibility, schedule training for
recertification, safety and revised work procedures, provide incentives to motivate and improve
employee performance, track accident statistics and implement corporate strategies to improve
overall health and safety. Besides that, the HRMS can control safety when the critical incident
method requires the rater to make a record on statement which describe extremely good or bad
behaviour of the employees which is related to the job performance. The statement will called
as critical insidents and it is usually recorded by the supervisor during the evaluation period.
The recorded incidents include a brief explanation of what is happened. Some of the typical iof
scrap material and employee development.
On top of that, confidential information of the employees must be treated with
respect and care by human resources management system who is right person to authorized to
have permission to access this information. The workforce members who is authorized to use
or disclose confidential information also have the responsibility to safely access to such as the
information. Confidentiality is a critical and upholding them is a huge challenge for the human
resource management (HRMS). In the HRMS system maintaining the privacy and
confidentiality turns out to be a huge challenge for HR when certain information is to be
divulged among the others which participants can effortlessly evaluate the problem. A human
resource management system must be able to maintain the balance preserving the employee
confidentially and privacy. According to “pingboard.com”, one of the most important factor
in using of human resource management system is because it can preserving the data integrity.
The employees and company leaders need reliable, accurate data in HRMS and they also need
to assurance that employee and other company data is always protected and keep private.
How information system can be used to increase opportunities for business or to be
competitive from its computer
Every information system is designed to improve the business in some way. A
research which made by Awais et al, (2012) is show that over the past few decades, all the
companies over the world already started to notice a great need for information systems in the
business field. It was possible to ignore significance of benefits and possibility to increase
business performance through such an investment. Is is quickly to be observed than an
information system can help most of the business to save money, increase the competitive
advantage and also improve the performance along with creating more profits. Besides that,
most of the companies have experienced about data problem which is caused by lack of
accuracy and reliability. The primary goal for all companies and organisations is to reduce the
human errors and increase efficiency. Firstly, some of the business benefits of an system can
be intangible in the sense that they do not directly lead to identifiable performance
improvement. For example, an information system might improve the customer satisfaction.
Remenyi (2000), describe that the business benefits of an information system do not usually
stay static but rather evolve over the system lifecycle. An information system can be provide
the basis for additional functionality. For instance, the world wide web (WWW) was originally
develop as a system for disseminating the information within the academic community and has
now found application in many different areas.
The information systems can increase opportunities with organized the data by
information system. A creative organisation is important for any company which is trying to
become a successful. Moreover, the acquisition of a great information system can ensures that
our business will be organized we will able to make a decisions and solve the problems faster.
The advantage when organized data by the information system will be able to make decisions
and solve the problem faster. The company also can use information system for decision
making process. Based on my opinion, a company’s decision making process can take a lot of
time and energy without using information system. It is well known as success is come from
the strategic plans and quality decisions which is made by the management. With the
information system also, we can avoid any form of crisis. In the past, businesses could not
analyse the share market and their level of organisation and there was a lot of crisis in the
business sector. If use an information system, it enable our company to analyse the stocks and
check on their previous performance to predict any forms of disaster. The management
information system can keep track of all margins and profile so that our business can have all
the necessary data for anticipating and invading a crisis.
An information system or known as (IS) is a set of components which work together
to manage data processing and storage. Information systems typically include a combination
of softwear, hardwear and telecommunication networks. Besides that, the information system
give many advantage for the organisations. The advantage is organisation and business can
save their time and money and the organisation can make a smart decisions. A decisions can
allow for choosing a course of action from several alternatives and carrying out the
corresponding tasks. HRMS or human resources management system which is combination os
systems and process that can connect to human resource management and information
technology through HR softwear. Human resources management system important for
organisation because it is effective and the system will qualify the organisation to address the
human resource problem with responsibility. The human resource management system also
will help the organisation to maintain competent employees and assists employees. Besides
that, in the HRMS the business process always help the organisations to understand the overall
business process activities. The human resource management system also help to support the
management in decision making in promotion. Promotions traditionally refer to advancement
to positions of increased responsibility. Human resource management system also involved in
salary increment. The information from HRMS is passed on the payroll team which they can
include in the next payroll. Moreover, the HRMS can control the safety when critical incident
method requires the rather to make a record on the statement which describe extremely good
and bad behaviour of the employees which is related to the job performance. The confidential
information of the employees must be keep with respect and care by HRMS. There is a benefit
of information system which can intangible in the sense that they do not directly lead to
identifiable performance improvement. The organized data by the information for the company
which is trying to become successful. The information system is very useful to human resource
management in organisation.
OUM text book: Management information system : CBMS4303 : Maryati Mohd Yusoff