human resource information system

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SUBJECT : HOUMAN RESOURCE INFORAMTION SYSTEM M.B.A. -1 SUBMITTED TO : PRO. JALLAVI PANCHAMIYA SUBMITTED BY : Rutvij Bhatt(6) Dharshan Zaveri(36) Akshay Jadav(38) Hiren makwana(49)

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Page 1: Human Resource Information System

SUBJECT : HOUMAN RESOURCE INFORAMTION SYSTEMM.B.A. -1

SUBMITTED TO : PRO. JALLAVI PANCHAMIYA

SUBMITTED BY :

Rutvij Bhatt(6)Dharshan Zaveri(36)Akshay Jadav(38)Hiren makwana(49)

Page 2: Human Resource Information System

Human Resource information system. Human resource departments require large amount of detailed

information. The quality of personnel management department’s contribution largely depends upon the quality of information held by it. Many personnel activities and much effort by personnel professionals are devoted to obtain and refine department’s database.information requirements may include:

Duties and responsibilities of every job in the organization Skills possessed by every employee Organization’s future human resource needs Current productivity of human resources Identification of training needs.

Page 3: Human Resource Information System

Acquisition,storage and retrieval of information presents a significant challenge to the management . However ,once the database is created,maintenance becomes a much easier task provided data security and privacy of employeed can be safeguarded.

Human Resource Information System (HRIS) is a systematic way of storing data and information for each individual employee to aid planning ,decision making, and submitting of returns and reports to the external agencies.

Information is needed for internal control,feedback and corrective actions, and for ststutory obligation. HRIS is utilized basically for the following four purposes;

storing information and data for each individual employee for future reference.

Providing a basis for planning ,organizing ,decision making ,controllong and a host of other human resource functions.

Meeting daily transactional requrements such as marking present/ absent,and granting leave.

Supplying data and submitting returns to government and other statutory agencies.

Page 4: Human Resource Information System

Originally,HR departments used to share hardware and files with other departments. Later , companies began to develop information systems devoted exclusively to human resource applications. These system came to be known as human resource information systems.

A human resource information system shoul be designed around a database consisting of employees and position records. The access to the database could be in batch mode or through on-line transactions, with ad hoc enquiries being satisfied by a report writer. A number of standard reports , such as age analysis ,absence reports, salary review reports and employee profiles could be used to facilitate the functions described in succeeding paragraphs.

Page 5: Human Resource Information System

APPLICATIONS

Some of the applications which could ce computerized and the nature/type of information that can be recorded and stored are described below.

Perssonel administration. It will encompass information about each employee,such as name,address, date of birth, date of jining the organization ,and information about next of kin and family. The facility should allow the user to maintain a number of address records such as permanent home addredd, local postal addredd, and the address of next of kin

. Salary administration.Salary review procedures are an important

function of the human resources department. A good human resource information system must be able to perform ‘what if’ analysis and present the proposed increase in a report should give the details of present salary,last increase ,and the proposed increase. A global update feature which will require a minimum of operator intervention should be available to effect pay increase for employees.

Page 6: Human Resource Information System

Leave/absence recording. An essential requirement of HRIS is to provide a comprehensive and accurate method of controlling leave/absences. A fundamental aspect of leave management is to maintain a complete leave history for each employee with the ability to increase entitlement according to leave rules. Every employee can be issued with an identity card of the employee token number coded on it. The identity card of the employees entering/leaving the gate will be swiped through and timing logged-in /logged out . this will avoid manual effort in recording data, and calcualating wages for employees with any possibility of errors by oversight/malpractice.

Skill inventory. Human resource information system is used to record acquire skills and monitor a skill database at both employee and organizational level. This will provide the opportunity to identify employees with the necessary skills for certain positions or job functions.

Medical history. The human resource information system may be used to record occupational health data require for industrial safety purposes,accident monitoring,exposure to potentially hazardous materals, and so on. For example, hearing loss in certain work areas may be monitored using audiometric tests and results recorded on HIRS. The records of periodical medical examinations may also be maintained.

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Accident monitoring. The system should record the details of the accident for the injured employees. This can be used to highlight accident-prone areas or accident-prone times within the organization.

Performance appraisal. The system should record individual employee performance appraisal data such as the due date of the appraisal , scores for each performance criteria , potential for promotion, and other information to form a comprehensive overview of each emplyees. The texual data relating to appraisals can be relating to appraisals can be retained in paper form and can be combined with the overview obtained from the human resource information system for training , training , transfer and promotion purposes.

Training and development. The system should consider the training and development needs of an employee,with the ability to record and enquire on courses completed , those underway, and any projected cources. This will enable any gaps in training to be identified and also allow training costs to be monitored at the organizational level. The system could also be used for recording the details of training imparted to various employeed.

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Manpower planning. An organization hires people because it has a need to fill a position to ensure that it continues to operate efficiently and within the budget restraints . therefore, a fundamental aspect of a human resource information system should be to record details of the organizational requirements in terms of positions. A human resource information system can be used to connect employees to required position s and keep track of their movements. This philosophy provides the user with a means of identifying vacancies and astablishing staff numbers, using either reports or on-line enquiries. A logical progression path and the steps required for advantage can be identified by HRIS after which the individual progress can be monitored.

Recruitment. An essential function of any personnel department is recruitment. Recording details of recruitment activity such as the cost and method of recruitment,and the time taken to fill the position can be used to provide a picture of the cost of recruitmnert in terms of time as well as rupee value.

Career planning. HRIS could record projected positional moves. The system must be capable of providing succession plans to identify which employeed have been earmarked for which postions.

Page 9: Human Resource Information System

NECESSARY CAPABILITES OF A HRIS Any HRIS has three major functional components –inputs ,data

maintenance and outputs. These are expained in the following paragraphs Input fuction The input function provides the capabilities needed to get the human

resource information into HRIS. Some of the first things that must be established are the procedures and processes required togater the necessary data .in other words, where ,when and how will the data be collected? After collection,data must be entered into the system after codification.once the data has been fed , it must be validated if the data is aacceptable. The ayatem should have the capability of easily updating and changing the validation table.

Data Maintenance Function. The data maintenance function is responsible for the actual updating of

the data stored devices. As changes occure in human resource information, these should be incorporated into the system. As new data is brought into the system ,it is often desirable to maintain the ols data for posterity.

Page 10: Human Resource Information System

Output Function The output function of an HRIS is the most familiar one becasu the

majority of HRIs Users are not involved dwhit collecting,editing /validating and updating data,but they are concerned with the information and reports produced by the system. Most human resource reports consist of selecting a segment of the total population for further evaluation, performing ,perfoming some type of caculations, using the population and providinga report containing specific information regarding the selected population and/oar the calculation of results. The demands on the output function are the major factors that influence the particular type of software to be used.

Page 11: Human Resource Information System

SYSTEM FUNCTIONS The following system function are considered mandatory in any

computerized HIRS: in a networked-PC environment, an unlimites number of users each

having potentially different security groups should be allowed. However, the security of a human resource information system is critical.the super user should control the access to the software and varios segments of the database. A leave clerk should have accedd to leave data In the enquiry mode,whereas the personnel manager may be given the aduthority to delete all the records on the database. Secusirty provisions control access to individual employee records based on criteria such as organizational level and /or job gradde. Alterations to payroll data within a human resource environment must be reported in detail.

User driven ad hoc enquires must be made available to format and select data from the database. One of the weakeness of database management system is that the facility can only be driven by someone having a detailed knowledge of the database structure and query having a detailed knowledge of the database structure and the query language. This approach is unsatisfactory . A human resource information system must be capable of giving the users a simple query facility. Other facilities should include options to output data to a terminal and/or reating American standard Code for information interchange (ASCII) files for porting data to other system .

A human resource information system should be a part os management information system(MIS)with interfaces to other subdatainclude production planning and control costing,corporate planning,etc

Page 12: Human Resource Information System

STEPS IN IMPEMENTING AN HRIS The following steps should be followed in setting up an HRIS. Inception of idea. Idea must originate somewhere. The

originator should make a preliminary report justifying the need for an HRIS .the most critical part of this step is to clearly illustrate how an HRIS can assist management in making certain decisions.

Feasibility study. The present system should be studied to highlight the problem areas and the likely benefit of an HRIS . it should carry out a cost benefit ananlysis of the HRIS in terms of labour and material as also the intangible savings, such as increased accuracy and fewer errors.

Selecting a project team. Once the feasibility study has been accepted and the resources allocated, a project team should be selected. The project team should consist of a human resuources representative, who is knowledgeable about the organization’s human resource functions and activities ans the organization itself, and also a representative from management information system. As the project progress,additional clerical people from the human resource department will need to be added.

Page 13: Human Resource Information System

Defining the requirements. A statement of requirements specifies in details exactly what the system needed to so . a larger part of the statement of requirement normally deals of the report that will be produced , the objective here being to make sure that the mission if an HRIS truly matches with the management’s needs of an HRIS.

Vendors ananlysis. The purpose of this step id to determine what hardware and software are available that will best meet the organization’s needs at he least price .this is a difficult task. This involves discussion with various vensors on how their HRIS will meet the organization’s needs. This will help in making a decision of going to the ‘office-the-self’ package or to develop the system intenally.

Contract negotiations. The contract stipulating the price,delivery,vendors’ responsibilities with regard to installation, service maintenance, training to organization employees,etc.,may be negotiated.

Page 14: Human Resource Information System

Triaining.project team members may first be strined to use the system and then they could train all users from other departments.

Tailoting the system. It involves making changes to the system to best fit the organizational needs.

Collecting data. Data is collected and fed into the system. Eating the ayatem.purpose of the testing isto verify output of HRIS

and make sure that it is doing what it is supposed todo. All reports need to be critically analyzed.

Collective bargaining. A computer terminal can be positioned in the conference room and linked to the main database. This will expedite negotiations by readily providing up-to-date data and also facilitating ‘what if’ analysis.this will provide the means for discussion based on facts and figures and not feeling and fictions. The system can also be made accessible through telephone lines and modems to all employees to fire personnel queries.

Page 15: Human Resource Information System

Starting up. Even after testing,often some additional errors surface during the start up . these need to be sorted out.

Running in parallel.just for the security, the new system is run in parallel with the old till the new system stabilizera and people gain confidence in its operation.

Maintenace . it normally takes several months for the HR people to get acquitted with HRIS.

Audit. After a year or so, the project team should audit the performance of HRIS and if reqired, corrective actions should be taken.

Page 16: Human Resource Information System

BENEFITS

The following benefits are derived from the system: Higer speed of retrieval and processing of data Reduction in duplication of efforts leadinf to reduced cost Ease in classifying and reclassifying data Better analysis leafing to more effective decision making Higher accuracy of information/report generated Fast response to answer queries Improved quality of reports Better work culture Establishing ig streamlined nad systematic procedures More transparency in the system

Page 17: Human Resource Information System

LIMITATION OF HRIS While the computerized Human Resource Information System ,

described earlier, has many benefits, it also has many problems which need to be addressed to before it can really be useful. some of them are described below.

it can be expensive in terms of finance and manpower requirements.

It can be threatening and inconvenient to those who are not comfortable with computers. For computerized information to be useful at all levels, there is an urgent need for large-scale computer literacy.

Often the personnel designing HRIS do not have a thorough understanding of what constitutes quality information for the users. Thus, the user managers do not get exactly the reports which they want. Producing information that is of quality to the users requires an investment in time , efforts and communication on the part of HRIS managers.

Page 18: Human Resource Information System

Computers cannot substitute human being , Human intervention will always be necessary . computers can at best aid the human effort. The quality of response is dependent upon the accuracy of data input and queires fire. The ‘Garbage –in Garbage-out’(GIGO) id the key expression in any computerized system.

In many organizations, the system is operated in baths mode with the records being updated once a week. On-line facility in multi-user environment needs to be developed so the the reports generated are not uot of phase with the realities. In many a situatuation , the stale information is as good as no information.

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CONCLUSION

Information is a vital ingredient to management. Accurate . timely , and relevant information is necessary for decision making. Being key to the employee productivity, competitive strength, and corporate excellence, information is being recognized as the fifth organized as the fifth organizational resource. A well designed and comprehensive HRIS provides the needed information within the shortest period and at reduced cost. This is why computerized HRIS is being increasingly used.

Page 20: Human Resource Information System

Thank you