Description
ABSTRACT
Over the last decade Human Resource Information Systems have been adopted by many companies as it contributes to the development and profitability of the organization by reducing costs, facilitating information flow and thereby helping the HR managers to take effective decisions and gain a competitive advantage. In the past few years HRIS has been acting as an effective tool for organizational performance. The objective of HRIS is to support creation, transfer and application of information related to human resources or employees in organizations. Thus, effective development and implementation of HRIS requires a foundation in several rich literatures. To be credible, HRIS research and development should conserve and construct upon the significant literature that exists in different but related fields. This paper presents the functions, applications and various concepts of HRIS with a focus on its potential role on staff retirement notification using federal judicial service commission as the case study.
LIST OF TERMINOLOGIES
EMS – Employee Management System
MSS – Management Self-Service
HRMS – Human Resource Management System
HRIS – Human Resource Information System
HR – Human Resource
HOD – Head of Department
ESS – Employee Self-Service
WBS – Work Breakdown Structure
ERP – Enterprise Resource Planning
TABLE OF CONTENTS
COVER PAGE
TITLE PAGE
APPROVAL PAGE
DEDICATION
ACKNOWELDGEMENT
ABSTRACT
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE PROJECT
- PROBLEM STATEMENT
- AIM AND OBJECTIVES OF HRIS
- OBJECTIVES OF THE STUDY
- PURPOSE OF THE STUDY
- SIGNIFICANCE OF THE STUDY
- LIMITATION OF THE STUDY
- IMPORTANCE OF THE STUDY
- SCOPE OF THE STUDY
CHAPTER TWO
LITERATURE REVIEW
- INTRODUCTION
- REVIEW OF THE STUDY
- HUMAN RESOURCE INFORMATION SYSTEM CONCEPT AND NEED
- HISTORICAL DEVELOPMENT OF HRIS
- TYPES OF HRIS SOFTWARE
- SYSTEM DEVELOPMENT PROCESS FOR AN HRIS
- LITERATURE REVIEWS ON TOPICS RELATED TO THE PROJECT
- REVIEWS ON SEVERAL SOFTWARE METHODOLOGIES
- REVIEW OF POSSIBLE DEVELOPMENT TOOLS AND SOFTWARE TO BE USED
CHAPTER THREE
SYSTEM DESIGN METHODOLOGY
- INTRODUCTION
- COMPONENTS OF HRIS
- HRIS MODEL
- FOUR CORNERSTONES OF HRIS
- SOFTWARE DEVELOPMENT METHODOLOGY OF CHOICE
- SYSTEM DESIGN
- DEVELOPMENT TOOLS
- SYSTEM AND ALGORITHM FLOWCHARTS
- SYSTEM STRUCTURE CHART DFD AND ERD
- STORYBOARD
- INTERFACE DESIGN
- SKETCHES OF GRAPHICS
- DESCRIPTION OF DEVELOPED SYSTEM
CHAPTER FOUR
- TESTING AND VERIFICATION
- INTRODUCTION
- SCOPE
- TESTING GOALS
- CONFIRMATION TESTING
- REGRESSION TESTING
- TEST PLANS AND RESULTS
CHAPTER FIVE
- INTRODUCTION
- RESULTS
- PROBLEMS FACED
- LIMITATIONS
- FUTURE WORK
- LEARNING EXPERIENCE
- CONCLUSION
- REFERENCES
CHAPTER ONE
1.0 INTRODUCTION
In today’s dynamic business and working environment and in the era of knowledge workers, Human Resource Information Systems (HRIS) has significantly contributed to the effectiveness of an organization. HRIS provides a lot of information to human resources (HR) professionals to become strategic partners with top management and they provide the future needs to the organization. The HRIS directs to make use of the HR functions in a more efficient manner and provides better information for decision making.
The job contents and the expectations from HR managers have changed over the last few years, with functional and strategic pressures ever growing on them. Armstrong (1984) (1994), Kinnie and Arthurs (1996) Ball, (2000) Mabey et al. (2000) state that HRIS is a system used to acquire, store, manipulate, analyze, retrieve and distribute pertinent information about an organization’s human resources.
HRIS is often regarded as a service, provided to an organization in the form of information. However, the promise is that, as the use of these systems becomes more widespread, higher level forms of HRIS will evolve. Lengnick-Hall and Moritz (2003) have postulated that HRIS will be implemented at three different levels namely, evolving from information to automation and from automation to transformation. Walker, (2001) and Haines and Petit, state that HRIS will create informational efficiencies and cost savings such that HR departments can turn their attention to provide better analysis of current data and creative uses of the HRIS to provide better and more accurate data upon which the strategic decisions are made.
1.1 BACKGROUND OF THE STUDY
Leading management thinkers suggest that “it is not technology, but the art of human – and humane- management” that is the continuing challenge for executives in the 21st century (Drucker, Dyson, Handy, Saffo, & Senge, 1997). Similarly, Smith and Kelly (1997) believe that “future economic and strategic advantage will rest with the organizations that can most effectively attract, develop and retain a diverse group of the best and the brightest human talent in the market place”. A human resource information system (HRIS) is defined as a computer based application and database system developed to assist HR in decision making and reporting. It is an IT enabled HR service for managers which is available for analytics. HRIS is one part of the overall Management Information System of any organization. As in other types of information systems, an HRIS comprises a database, which contains one or more files in which the data germane to the system is maintained, and a database management system, which facilitates the users to access the system and utilize these data. HRIS contains tools that allow users to input new data and edit existing data; in addition, such programs allow users to select and generate a series of predefined reports that could be printed or displayed on a monitor. Reports may address any of a number of different HRM issues (e.g., personnel cost planning, employee benefits administration, compensation planning, succession planning). HRIS also generally include tools by which users or system administrators may generate ad hoc reports and select specific cases or subsets of cases for display.
HRIS supports activities such as identifying prospective employees, maintaining comprehensive database of all the current employees and developing modules for honing employees’ skills, talent and competence. Hence, HRIS is used by all three levels of management viz. Top Level, Middle Level and Lower Level. Top Level management use HRIS to locate the manpower requirements in order to meet the company’s goal and objectives. The middle management uses HRIS to supervise and review the salary structure, benefits and recruitment of employees. The lower level employees use HRIS to track the recruitment and selection of employees.
The emergence of the human resource management field (versus personnel administration) gave the human resource function greater credibility within the managerial setup, calling for more sophisticated use of information as it is related to the strategic management function. Companies have experienced increased competitive pressures leading to greater cost containment demands from upper management, giving rise to greater automation of the record-keeping function in HRM function. Many HRM departments in larger organizations have also developed internal information system capabilities and HRIS units have been established.
1.2 PROBLEM STATEMENT
Over the last decade, employee information such as date of employment and retirement of employee in federal judicial service commission or any organization is taken or documented using paper which is filed and need to be checked from time to time for an update. This old method takes time, labour and sometimes the person responsible for the checking may forget or might be inaccurate as a result of human error. In other to solve this problem, a human resource information system was developed which a computer software that aim at providing an automatic retirement notification for employees. With this software, accuracy, reliability and validity of the data can be increased by eliminating the costs and wastage which occurs with manual maintenance of records. HRIS provide human resource professionals with opportunities to enhance their contribution to the strategic direction of the firm, First by automating and devolving many routine human resource task to the line management, HRIS provides human resource professionals with the time needed to direct their attention towards critical and strategic level tasks, such as retirement time. This software strengthening an organization’s character (Sadri and Chatterjee, 2003), reducing process and administration cost, speeding up transaction processing, reduce information errors and improve the tracking and control of human resource actions (Lengnick et al., 2003), crucial in terms of operating, controlling and planning activities in human resource (Lenderer 1984).
1.3 AIM AND OBJECTIVES OF HRIS
The main aim of HRIS are to make the desired human resource information available in the right form to the right person and at the right time, at a reasonable cost, process the data by using most efficient methods, provide necessary security and secrecy for important and confidential information, and to keep the information up to date. Processes of Human Resource Information System involves Data Collection and Data Management
1.4 OBJECTIVES OF THE STUDY
HRIS was initially perceived as a technology which converted the manual database into the computer based form. But now, when organizations have started using the HRIS, the application of HRIS has increased to a great extent and there are lots of HRIS systems available with numerous broad-based features. Therefore the objectives of an HRIS can be summarized as follows:
- To become a common point of source of information related to human resource in federal judicial service commission where everyone can collect, access, store and distribute data in paperless form
- To collect appropriate data and convert them into information and knowledge for improved timeliness and quality of decision making
- To help in faster processing of information and powerful decision making for optimum utilization of resources
- To produce a greater number and variety of accurate and real-time HR-related reports
- To streamline the HR administrative activities so that efficiency and effectiveness of federal judicial service commission is enhanced
- To enable HR managers to focus more on strategic issues in HRM by relieving them from the day-to-day operational duties. This can be done with the feature of ESS (Employee Self Service System) wherein it lets employees to access the information directly without disturbing the senior managers for the operational
- To improve employee satisfaction by delivering HR services more quickly and accurately
- Due to computerized software, the accuracy, reliability and validity of the data can be increased by eliminating the costs and wastage which occurs with manual maintenance of records
1.5 PURPOSE OF THE STUDY
The primary purpose of HRIS is application of technology for enhancing the efficiency of human resource management. Other purposes are:
- To study the need of HRIS in federal judicial service commission
- To understand the components of an HRIS system
- To study the HRIS model
- To develop a human resource information system
- To study the benefits of implementing HRIS in an organization
1.6 SIGNIFICANCE OF THE STUDY
HRIS is a proven solution whenever the tasks of the HR and administrative functions of an organization become extensive and complicated. Companies of all sizes have recognized the benefits of such solutions and they regularly implement HRIS software programs. In this way they improve the efficiency of their organization.
The advantages of HRIS can be summarized as follows:
One time update: The most crucial benefit of HRIS is that all the information has to be just filled in once and the data is available for lifetime. Only the updates are required at a later stage, that too are to be done once and it will be useful for the whole life of the government sector (federal judicial service commission).
Data integration: There are different parts of systems in HRIS which may be updated by different departments and can be integrated together for decision making, internal evaluations and meaningful reporting.
Accurate Data: Once the data is entered correctly, it can be assumed that it is full-proof and precise
Access to any number of people: Since this system can be customized, the employees can be given access to update their own data like address, contact number, etc. and departmental managers can update their own set of data like targets, budgets, performance etc. without any interference.
Documents hosting: HRIS system can host a variety of documents which are important from employee and company perspective on the system which can be easily accessed and updated in one place. These set of data include manuals, handbooks, code of conduct, policies, compliances, etc.
Recruitment and retirement management: HRIS can manage and track the whole recruitment and retirement process right from the application of the prospective employee to the actual recruitment.
Automatic Reminders: HRIS can include automated reminders for events which have not been performed or have been missed by the organization like performance appraisals, deadlines, actions to be taken, notifications like retirement notification.
The most important advantages for the management of the company are:
- Increase of overall decision making efficiency,
- Cost reducing and better control of the budget,
- Business transparency,
- A clear business vision and
- A clear insight into the process of recruitment and selection and also layoffs
- The HR department also has a numerous benefits for HRIS:
- Possession of single database of all employees in the company with all necessary information and opportunities for different reports,
- The ability to update databases in real time, on the basis of all changes, which is of extreme importance to regionally diversified companies;
- Elimination of paper forms that are much slower and with much higher probability of errors;
- Minimize errors caused by human factor;
- Employees in HR department do not have to constantly refer to the instructions on working hours, because the application is configured according to existing guidelines, which have reduced delays and uncertainties;
- Improved management system in accordance with the legislation (federal judicial service commission);
- Reduction or elimination of redundancy in the system;
- Standardization of business processes;
- Highly reliable data in the system, whether it is external or internal threats;
- Increased employee satisfaction in the HR department because the easiest and efficient execution of the tasks;
- The ability to establish full control over internal migration of employees and the management of their talents and
- The ability to take preventive measures to avoid unpleasant situations in the Company
- HRIS provides the advantages to the employees among which the most important are the following:
Employees can update their own records in the system: One of the most common methods of granting this access has been by moving HRIS from client server architecture to a Web-based environment. Interactive voice response (IVR) is the latest method being adopted by many firms to allow employees to update their HR information. This includes such common tasks as updating address information, planning for retirement, updating health-plan information, reporting on life events such as the birth of a child, changing beneficiaries on life insurance. Merck & Co. has estimated a cost reduction of 86 percent per HR transaction when performed by the employee
Other uses of HRIS to employees include the use of HR portals, which provide employees with information as well as the ability to complete HR-related transactions. By using these portals, employees are able to communicate to one another via e-mail, read company news and policies, link to Web sites with relevant job-related or company related information, and perform HR calculations for retirement scenarios or cost benefit analysis for insurance options.
(Krishna and Bhaskar, 2011) summarized the benefits of HRIS as mentioned in Figure 2.
Figure 2. Benefits of Human Resource Information Systems
1.7 LIMITATION OF THE STUDY
Protection: Security is one of the biggest worries. The biggest security concern today is unauthorized access to the system since HRIS contains all the confidential data. The system must to adapt to disallow unauthorized access and publishing of such data. This would require compartmentalizing the data, that is different people having restricted access to the data and all the data must not be accessed by all.
Monetary Value: Cost factor is the most important problem since any software requires huge investment which may not be affordable to relatively smaller companies. With any system, there are acquisition costs and maintenance costs. SaaS (software as a service) systems are somewhat easier to handle from a cost point of view since they are cloud-based and don’t require as much initial cash outflow.
Extra staff: In larger organizations, where HRIS is installed with variety of features, there becomes a necessity of hiring an IT specialist who looks after the technical aspect of the software.
1.8 IMPORTANCE OF THE STUDY
HRIS primary role of integrating human resource management and information technology has lead to competitive advantage and hence attracted many human resource managers and professionals. Other vital facts of HRIS reported in literature are effective human resource decision making and also strengthening an organization’s character (Sadri and Chatterjee, 2003), reducing process and administration cost, speeding up transaction processing, reduce information errors and improve the tracking and control of human resource actions (Lengnick et al., 2003), crucial in terms of operating, controlling and planning activities in human resource (Lenderer 1984).
It can be summarized that HRIS, is a computerized system that aids in the processing of information relating to human resource management and has become a crucial element of all organizations. It can be deemed as a device which is designed to fulfill the manpower information needs of the organization. Thus, the importance of HRIS is multifaceted, ranging from operational assistance in collecting, storing and preparing data for reports, simplifying and accelerating the processes and controlling the available data, reducing labor costs for human resource departments, and providing timely and diverse information to the management of the company, based on which it is possible to make quality strategic decisions related to human capital.
1.9 SCOPE OF THE STUDY
The intersection of Human Resource and Information Technology leads to the birth of the title “Human Resource Information System” (HRIS) which is initiated through an HR software. A human resource information system (HRIS) can be called as a software package that got exclusively features to sort and help the human resource professionals to fix and align their data resources.
The online tool can be used for human resource actions like data entry, data tracking and the data information requirements of any organization.
Any Human resource professional can fully utilize the HRIS platform for facilitating their workflow, improving their work efficiency and also storing and collecting their information. Legislation today that offer HRIS packages to their employers.
Thus a human resource information system can be viewed as a comprehensive tool for both big and small businesses for streamlining their departmental activities of various natures like human resource, accounting, and management and employee payroll. The Human Resource Information system can thereby bring qualitatively and cost-effective solutions to the company via efficiently managing the tasks, timely controlling and monitoring of resources and also the real-time allocation of necessary resources to the employees.
In most situations, a Human Resource Information System mediates for better decision making bringing qualitative changes in the productivity of both employees and managers. There are numerous solutions offered by the Human Resource Information System to a company. To name the few the HRIS includes employee training, employee payroll, HR, compliance, and recruiting.
One of the prominent advantage in getting implemented with a Human Resource Information System is that the HR Administrator can save a lot of his hours for the strategic framework of their employees rather than dealing with non-strategic, mundane tasks which are demanded running the administrative side of HR. As the software automatically updates every task within the department, the HR Administrator can plan his time accordingly for the strategic utilization of the employees.
Also, any Human Resource Information System allows an easy exchange of information never like before. With much greater ease and no formalities surrounding, it paves a platform for a smooth exchange of words. The HRIS is designed to be centralized in nature and can be accessed easily from anywhere within the company reducing the redundancy within the organization.
An HRIS software helps the HR professionals insert all the necessary data into the system using their robust database. Also, the inserted information is made accessible round the clock. There are several types of data that HR professionals can collect and store in the database like that of compensation history, emergency contact information, employee biography, performance and much more making it an all-inclusive platform.
Human Resource Information system comes with an effective payroll management function. One can easily download or unload employee hours, and issue cheques or payroll deposits to employees using these facilities reducing the conventional risks involved in the payment of salaried employees. Also, the HRIS facilitate with medical benefits and retirement deductions for payroll.
To conclude with, it is pivotal to have a strong HRIS for your business as it takes the company goals, objectives, mission and values in more serious tone and properly invests in its future and success. As the system remains flexible in nature, it becomes easy to customize any HRIS to meet the unique needs of a company. One can easily obtain with precision and stability in the workforce data and also simplify with the process of deployments like the collection of data
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