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Question
Explain the concept and need of Human Resource Informational System (HRIS). Describe the approaches which have been followed in any organisation for managing information at the macro and micro level. Discuss the advantages of computerizing resources information system. Briefly describe the organisation you are referring to

Answer
Explain the concept and need of Human Resource Informational System (HRIS). Describe the approaches which have been followed in any organisation for managing information at the macro and micro level. Discuss the advantages of computerizing resources information system. Briefly describe the organisation you are referring to.

Significance of Information System in HRM

HRIS, or Human resource information system, is a  solution for  businesses to help automate and manage their HR, payroll, management and accounting activities. HRIS generally should provide the capability to more effectively plan, control and manage HR costs; achieve improved efficiency and quality in HR decision making; and improve employee and managerial productivity and effectiveness.
HRIS offers HR, payroll, benefits, training, recruiting and compliance solutions. Most are flexibly designed with integrated databases, a comprehensive array of features, and powerful reporting functions and analysis capabilities that you need to manage your workforce. This can give back hours of the HR administrator’s day previously spent attending to routine employee requests. They also facilitate communication processes and save paper by providing an easily-accessible, centralized location for company policies, announcements, and links to external URL’s. Employee activities such as time-off requests and W-4 form changes can be automated, resulting in faster approvals and less paperwork.

HRIS    can enable  the   system   and   OFFER

-ability  to  collect  qualtitative informations
-ability  to collect  quantitative informations
-ability  to  handle wide range of  functionalities
-ability  to store
-ability  to track
-ability  to  monitor
-ability  to track variances
-ability  to  provide  trends
etc etc.

HRIS    PROVIDES    FOR  
FOR  MANAGEMENT

The information  that  can be  used  for   various  purposes,

-strategic HR planning
-delivering increased  productivity
-reducing  service cycles
-increasing  the  understanding  of  ORGANIZATION   HR  needs
-facilitating business and  HR  process re-engineering.
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INFORMATION    can  also  be used across the  organization  as an  information
utility  to

-support  policy making
-meet  regulatory  and  legislative requirements
-support  research  and  development
-support  consistent and  rapid  decision  making
-enable  effective  and efficient  utilization  of resources
-identify  and  manage  risks
-evaluate  and document quality, performance and achievements.
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HRIS   MAKING INFORMATION  AVAILABLE
The  availability  of  information is  fundamental  to  the  decision making
process. Decisions  are  made within the organization at
-STRATEGIC
-OPERATIONAL
-PROGRAMMES
-ACTIVITY  LEVEL.
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The  information  needs and decision making  activities  of the  
various  levels of  management

SENIOR  MANAGEMENT
Strategic business  direction

-information  for  strategically positioning  the  organization
-competitive  analysis and  performance evaluation,
-strategic  planning and policy,
-external factors that  influence  the  direction
etc

MID LEVEL MANAGEMENT
Organizational and operational functions

-information  for  coordination  of  work units
-information  for  delivery  programmes
-evaluation  of  resources usage
-budget control
-problem  solving
-operational  planning
etc


MID  LEVEL  MANAGEMENT
Programme  management within units

-information  for  implementing programmes
-information  for  managing   programmes
-management   of  resources usage
-project scheduling
-problem  solving
-operational  planning
etc




LINE  MANAGEMENT
Activity management

-information for  routine  decision  making
-information  for  problem solving
-information  for  service delivery
etc.
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HRIS   MANAGEMENT  SUPPORT  SYSTEMS

The  HRIS  management  oriented  support  systems   provide support
to  various  levels  of  management.

Executive  Information  Systems  allow  executives to see where  a
problem  or  opportunity  exists.

Decision  Support  Systems are  used  by  mid-level management  
to support  the  solution  of  problems that  require judgement
by  the  problem solver.

Line  Managers   use Management  Reporting Systems  for  
routine operational  information.
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MANAGEMENT  FUNCTIONAL   INFORMATION  SYSTEMS

HRIS  HELPS  TO

-PROVIDE   INFORMATION   FOR  DECISION  MAKERS  TO  MAKE  SOLUTIONS
FOR   THE  MOST  CHALLENGING  SITUATIONS.
---------------------------------------------------------------------------------------------
-PROVIDE    INFORMATION  FOR  MAKING  STRATEGIC  DECISIONS
IN A  COMPETITIVE  SITUATION.
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-PROVIDE  INFORMATION  FOR   STRATEGIC  HR  PLANNING
--------------------------------------------------------------------------------------------------------
-PROVIDE  INFORMATION  FOR  CORPORATE  HR PLANNING
------------------------------------------------------------------------------------------------------------
-PROVIDE  INFORMATION  FOR  INDUSTRY HR  BENCHMARKING.
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-PROVIDE  INFORMATION  FOR  PROCESS  ENGINEERING
------------------------------------------------------------------------------------------
-PROVIDE  INFORMATION FOR  DEVELOPING   STRATEGIC  ALLIANCES.
----------------------------------------------------------------------------------------------------------------
-PROVIDE  INFORMATION  FOR   ALLOCATING  OF   RESOURCES
-------------------------------------------------------------------------------------------------------
-PROVIDE  INFORMATION  FOR  RESOURCE  MANAGEMENT
---------------------------------------------------------------------------------------------

-PROVIDE  INFORMATION  FOR  Identifying strategic shifts and positioning  WITH   HR  in anticipation of several possible outcomes – scenario planning --is a core part of our strategic and tactical planning.
----------------------------------------------------------------------------------------------------------------

-PROVIDE  INFORMATION  TO  SEE  Changes in market conditions, technical advances, and economic issues will all affect THE  INDUSTRY /  BUSINESS   HR  SITUATIONS  in the future.
--------------------------------------------------------------------------------------------
-PROVIDE  INFORMATION  TO   find the most effective  HR strategies in order to succeed in these challenging times.
--------------------------------------------------------------------------------------------------------------------------
-PROVIDE  INFORMATION  FOR  PROPRIETARY  DATABASES  AND  ANALYTICAL  SUPPORT.
------------------------------------------------------------------------------------------------------------
-PROVIDE  INFORMATION  ON  ECONOMIC  CONDITIONS-PAST/PRESENT/FUTURE.
-------------------------------------------------------------------------------------
-PROVIDE  INFORMATION  THAT  enables  to provide  valuable understanding of the opportunities, challenges, potential pitfalls and HR  implications
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-PROVIDE  INFORMATION  WHICH   helps organizations realize the most value from their HR   assets.
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-PROVIDE  INFORMATION  FOR  OBJECTIVE  HR PLANNING.
-----------------------------------------------------------------------------------------
-PROVIDE  INFORMATION   FOR the execution of effective HR  ROLE  in  business planning and sound management usually defines these differences in profitability.
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-PROVIDE   INFORMATION  TO   analyze and prioritize the  HR   DRIVERS  to help to  achieve a superior competitive position. Vital to this process is an understanding of the economic advantages of scale and scope.
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-PROVIDES   INFORMATION  FOR  Operational excellence results in the attainment of world-class quality and productivity in the delivery of services .
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-PROVIDES  INFORMATION  to develop a clear understanding of their operating HR  practices and associated costs, particularly relative to competitors.
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MACRO / MICRO  USES   OF  HRIS

Describe the organisation you are referring to

The  organization, I am  familiar  with  is  a
-a  large  manufacturer/ marketer of  safety products
-the products  are  used  as  [personal  protection safety] [ industrial  safety]
-the products  are  distributed through  the distributors as well as  sold directly
-the  products  are  sold  to various  industries like  mining/fireservices/defence/
as  well  as  to  various  manufacturing  companies.
-the  company employs  about  235  people.
-the  company  has  the following  functional   departments
*marketing
*manufacturing
*sales
*finance/ administration
*human resource
*customer  service
*distribution
*warehousing/  transportation
*TQM  
===============================================
IN  MACRO  /  MICRO  OPERATING   TERMS ,  HRIS  
-HOLDS
-SUPPORTS
THE  FOLLOWING  INFORMATION  SYSTEMS  FOR  MANAGEMENT

-HR  AUDIT
-HR  BUDGET
-Strategic  HRM  Plann
-HR Strategies and Policies.
-Competency-based HR
-Knowledge management
=============================
JOB   DEVELOPMENT

-Job analysis
-job Role/
-Job Description.
-Job specifications
-Job enrichment  PROGRAMS
-Job  rotation  PROGRAMS
=========================
RECRUITMENT/ SELECTION

-recruitment  PROGRAMS/DETAILS
-selection PROGRAMS/ DETALS
-induction  PROGRAMS
-orientation  PROGRAMS
===========================
ORGANIZATIONAL BEHAVIOR  PROGRAMS
-employee  engagement  
-motivation
-organization  culture  CHANGE  PROGRAMS
-organization  development  PLANS
==============================

ORGANIZATION
-org. designss.
-org. structure.
=====================================
HUMAN RESOURCING
-HR plan
-manpower  plan
-succession  plan
-talent management  plan
=============================
PERFORMANCE  MANAGEMENT
-performance appraisals systems
-performance  management    processes.
================================
HR  DEVELOPMENT
-org. learning  programs
-training  plans
-education  plans
-development  plans
-Training  evaluation plans/  data
-e learning  programs
-management  development  plans
-career planning /development  plans
=============================
REWARD  MANAGEMENT
-job  evaluation  results
-  reward  management plan
-administration  of  rewards
-benefits  plans
==============================
EMPLOYEE  RELATIONS
-organization  communications
-employee  communications.
-staff  amenities  plans
=================================
HEALTH AND  SAFETY.
-OHS          plans/ programs
=================================

HRIS   PROVIDES  METRICS    OFFER  HELP   AT    four  levels  of
perspectives.

1. Strategic Perspective — the results of strategic initiatives managed by the HR group. The strategic perspective focuses on the measurement of the effectiveness of major strategy-linked people goals.

EXAMPLES
-change management capability of the organization
-organization compensation and benefit package with respect market rate.
-organization culture survey
-HR BUDGET / ACTUAL
-HR COSTS BENCHMARK EXTERNALLY
-HR annual resource plan.
-skills/ competency level
etc

2.Operational Perspective — the operational tasks at which HR must excel. This piece of the Balanced Scorecard provides answers to queries about the effectiveness and efficiency in running HR processes that are vital to the organization.


EXAMPLES
-time taken to fill vacancies
-cost per recruitment promotions
-absenteeism by job category
-accident costs
-accident safety ratings
-training cost per employee
-training hours per employee
-average employee tenure in the company
-lost time due to injuries
-no. of recruiting advertising programs
-no. of employees put through training.
-turnover rate
-attrition rate
etc



3.Financial Perspective — this perspective tries to answer questions relating to the financial measures that demonstrate how people and the HR function add value to the organization.


EXAMPLES
-compensation and benefits per employee
-sales per employee
-profit per employee
-cost of injuries
-HR expenses per employee
-turnove cost
-employee '' workers compensation costs''
etc


4.Customer Perspective — this focuses on the effectiveness of HR from the internal customer viewpoint. Are the customers of HR satisfied with their service; are service level agreements met;

EXAMPLES
-employee perception of the HRM
-employee perception of the company , as an employer
-customer/market perception of the company, as an employer.
etc
=======================================================

HERE  ARE SOME  COMMON  EXAMPLES.

FOR EACH  ELEMENT,THE  COMPANY  SETS  ITS  CRITERIA  FOR
HR STRATEGY.
=======================================================
1.ABSENTEEISM  PER EMPLOYEES  [DAYS]

2.AVERAGE  RECRUITMENT TIME  [DAYS]

3.EMPLOYEE TURNOVER  [ % ]

4.EMPLOYEE SATISFACTION  [ LEVELS ]

5.AVERAGE  EMPLOYEE  TENURE [ YEARS]

6.INDUCTION  TRAINING  [ % OF NEW EMPLOYEES]

7. TRAINING  WORKSHOP  [ % ] CONDUCTED/PLANNED

8. TRAINING  AT EXTERNAL COURSES [ %]  ACTUAL  / PLANNED

9.PERFORMANCE  APPRAISALS  [ NOS.]  AGAINST  TOTAL  EMPLOYEES.
=====================================================
HERE  ARE  SOME
PROBABLE  HR  METRICS  IN   COMPENSATION  ONLY

1.ANNUAL  TOTAL  COMPENSATION INCREASE RATE [%] [this year vs last year]
2.ANNUAL  TURNOVER  RATE.[this year  v s  last year]
3.COMPENSATION &BENEFITS  AS A  %  OF  SALES.
4.COMPENSATION & BENEFITS  AS  A  %  OF OPERATING EXPENSES.
5.COMPENSATION & BENEFITS   PER EMPLOYEE [ this year vs last year]
6.COMPENSATION & BENEFITS  COMPETITIVENESS INDEX.
7.INCENTIVE  PAYMENT   AS  A % OF  TOTAL COMPENSATION & BENEFITS.
8.BENEFITS  SPEND AS  A  %  OF  TOTAL  COMPENSATION & BENEFITS
9.COMPENSATION & BENEFITS   BY  LEVELS  OF  STAFF
-senior mgnt/ executives/middle mgnt/ junior mgnt/supervisors/staff etc.
10.NEW COMERS  COMPENSATION & BENEFITS      AGAINST TOTAL FOR  THE  YEAR.
11.% OF  EMPLOYEES  SATISFIED  WITH CURRENT  SYSTEM [ SURVEY ]
12.MEDICAL BENEFITS  EXPENSES  TOTAL  [ THIS  YEAR VS  LAST YEAR]
13.MEDICAL  BENEFITS  EXPENSES   PER  EMPLOYEE.
=======================================================

HERE  ARE  SOME   STANDARDS  METRICS

1   HR  UTILIZATION        %   TOTAL  PAYROLL  $ / TOTAL  SALES  $
        
2.   HR  PRODUCTIVITY       %   TOTAL  EMPLOYMENT COST $/TOTAL
         PRODUCTION  VOLUME  IN $    X  100
        
3.   HR  BUDGET       %    ACTUAL   $ / BUDGET   $      X   100
         
4'.   ACCIDENT  COSTS       %   CURRENT  ACTUAL  $   /    LAST YEAR  $  X  100
        
5'.    ACCIDENT  SAFETY       %   CURRENT  ACTUAL  $   /    LAST YEAR  $  X  100
  RATINGS      
        
6'.    EMPLOYEE        %   EMPLOYEE  BENEFITS $ /  TOTAL PAYROLL  $ X100
  BENEFITS      
        
        EMPLOYEE BENEFITS  $ /TOTAL SALES  $    X 100
        
         
7'.   HR  BUDGET        %   ACTUAL  HR EXPENSES  $ / TOTAL SALES $ X 100
  sales effectiveness      
        
8'.    HR  EXPENSES          $   TOTAL HR EXPENSES $ /  TOTAL  NO. OF EMPLOYEES
  per head      
        
9'.   HR EXPENSES        %   HR  EXPENSES  $ /  TOTAL  EXPENSES  $ X  100
  cost effectivenss      
        
10'.   NO.OF  COURSES       %   ACTUAL CONDUCTED  / PLANNED   X  100
  CONDUCTED      
        
11.   NO. OF  SAFETY       %   ACTUAL CONDUCTED  / PLANNED   X  100
  training  programs      
        
12.   TRAINING  DAYS       %   ACTUAL  TRAINING DAYS /  PLANNED  X 100
  EFFECTIVENESS      
        
13.   EMPLOYEES      %   ACTUAL TAKING PART / PLANNED  X 100
  involvement in train      
        
14.   SICK DAYS       nos.   TOTAL  SICKDAYS  TAKEN/ TOTAL EMPLOYEES
  managemeent effectiveness      
        
15.   STAFF  orientation       %   NO. OF NEW STAFF LEAVING IN  THREE MONTHS/
  EFFECTIVENESS        TOTAL   NO.  OF NEW STAFF  ORIENTED
         X  100
        
        
16.   TIME TO  FILL AN    NO.DAYS     TOTAL  NO  OF  DAYS / TOTAL  NO  positions filled
  OPEN POSITION      
        
        
17.   TURNOVER  BY       %    TURNOVER  / TOTAL RECRUITMENTS  X100
  RECRUITING source      
        BY  EACH  SOURCE
        
        
18.   TURNOVER  BY        %   TURNOVER  /  TOTAL  EMPLOYEES BY   EACH
  EACH  JOB      CATEGORY
  CATEGORY        X   100
        
        
19.   WORKERS       %   ACTUAL  $ /  PLANNED BUDGET $   X  100
  çompensation costs      
        
        
20.   HR  STAFFING      NO.   TOTAL  HR STAFF / TOTAL EMPLOYEES
  EFFICIENCY      
        


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Leo Lingham

Expertise

human resource management, human resource planning, strategic planning in resource, management development, training, business coaching, management training, coaching, counseling, recruitment, selection, performance management.

Experience

18 years of managerial working exercise which covers business planning , strategic planning, marketing, sales management,
management service, organization development

PLUS

24 years of management consulting which includes business planning, corporate planning, strategic planning, business development, product management, human resource management/ development,training,
business coaching, etc

Organizations
Principal---BESTBUSICON Pty Ltd

Education/Credentials
MASTERS IN SCIENCE

MASTERS IN BUSINESS ADMINSTRATION

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