Human Resource Management System
Human Resource Management System
[edit]Purpose
The function of Human Resources departments is generally administrative and common to all
organizations. Organizations may have formalized selection, evaluation, and payroll processes. Efficient
and effective management of "Human Capital" progressed to an increasingly imperative and complex
process. The HR function consists of tracking existing employee data which traditionally includes
personal histories, skills, capabilities, accomplishments and salary. To reduce the manual workload of
these administrative activities, organizations began to electronically automate many of these processes
by introducing specialized Human Resource Management Systems. HR executives rely on internal or
external IT professionals to develop and maintain an integrated HRMS. Before theclient–
server architecture evolved in the late 1980s, many HR automation processes were relegated to
mainframe computers that could handle large amounts of data transactions. In consequence of the high
capital investment necessary to buy or program proprietary software, these internally-developed HRMS
were limited to organizations that possessed a large amount of capital. The advent ofclient–
server, Application Service Provider, and Software as a Service SaaS or Human Resource Management
Systems enabled increasingly higher administrative control of such systems. Currently Human Resource
Management Systems encompass:
1. Payroll
2. Work Time
3. Benefits Administration
5. Recruiting
6. Training/Learning Management System
7. Performance Record
8. Employee Self-Service
The payroll module automates the pay process by gathering data on employee time and attendance,
calculating various deductions and taxes, and generating periodic pay cheques and employee tax
reports. Data is generally fed from the human resources and time keeping modules to calculate automatic
deposit and manual cheque writing capabilities. This module can encompass all employee-related
transactions as well as integrate with existing financial management systems.
The work time module gathers standardized time and work related efforts. The most advanced modules
provide broad flexibility in data collection methods, labor distribution capabilities and data analysis
features. Cost analysis and efficiency metrics are the primary functions.
The HR management module is a component covering many other HR aspects from application to
retirement. The system records basic demographic and address data, selection, training and
development, capabilities and skills management, compensation planning records and other related
activities. Leading edge systems provide the ability to "read" applications and enter relevant data to
applicable database fields, notify employers and provide position management and position control.
Human resource management function involves the recruitment, placement, evaluation, compensation
and development of the employees of an organization. Initially, businesses used computer based
information systems to:
pursue Talent Management.
recruiting through online recruiting sites or publications that market to both recruiters and applicants.
The significant cost incurred in maintaining an organized recruitment effort, cross-posting within and
across general or industry-specific job boards and maintaining a competitive exposure of availabilities has
given rise to the development of a dedicated Applicant Tracking System, or 'ATS', module.
The training module provides a system for organizations to administer and track employee training and
development efforts. The system, normally called a Learning Management System if a stand alone
product, allows HR to track education, qualifications and skills of the employees, as well as outlining what
training courses, books, CDs, web based learning or materials are available to develop which skills.
Courses can then be offered in date specific sessions, with delegates and training resources being
mapped and managed within the same system. Sophisticated LMS allow managers to approve training,
budgets and calendars alongside performance management and appraisal metrics.
The Employee Self-Service module allows employees to query HR related data and perform some HR
transactions over the system. Employees may query their attendance record from the system without
asking the information from HR personnel. The module also lets supervisors approve O.T. requests from
their subordinates through the system without overloading the task on HR department.
Many organizations have gone beyond the traditional functions and developed human resource
management information systems, which support recruitment, selection, hiring, job placement,
performance appraisals, employee benefit analysis, health, safety and security, while others integrate an
outsourced Applicant Tracking System that encompasses a subset of the above.