Three HRM Activities and the Role of Using Information Systems within These Activities with Examples
The evolution of technology has increased the use of human resource information systems in organizations. The small, medium,and large companies are using HR information systems to meet various needs (Kavanagh and Johnson 2015). However, what sets the well-performing firms from the rest is how they utilize technology in the delivery of human resource functions. Undoubtedly, HR information systems have made it faster and easier for managers to collect information and to effectively communicate with employees. Additionally, the use of information systems has tremendously reduced the administrative work allowing the HR department to focus on more important functions(Bondarouk and Olivas-Lujan 2014). Human resource information systems streamline and simplify procedures within the HR department, which allows managers to securely and quickly organize human capital data in an easy-to-use software. Empirically, organizations that effectively use HRIS in managing their human resource functions derive more benefits than those that do not. This paper explores the use of human resource information systems in the management of key HR functions including recruitment, compensation management, and training.
Recruitment is one of the key HR functions thatallow organizations to find and hire new workers. The use of human resource information systems has made the recruitment and selection process extremely easier for organizations. For instance, the use of HRIS has enabled Apple Company to receive online applications from potential candidates. With HRIS, prospective candidates can send online applications, which save them the cost of printing. Moreover, the use of HRIS enables Apple to easily filter applications and enhances the overall hiring process. Human resource managers can also set the HRIS to only accept applications from suitably qualified candidates. Using the HRIS for recruitment attracts more qualified candidates who are well versed with technology(Bondarouk and Olivas-Lujan 2014). With HRIS, Apple is able to track recruitment expenditure allowing the planning of budgets with accuracy. After receiving online applications, the human resource personnel can review them simultaneously, which speeds up the recruitment process as the HR personnel can even communicate remotely to iron out any concerns before the physical interviews are scheduled.
More importantly, using HRIS for recruitment allows the HR department to easily convert the information received from the applicants into employee files, which is an excellent way to avoid errors that result from the creation of duplicate information. It also minimizes the time that the newly recruited employee spends before becoming productive. Moreover, in the recent past, organizations have used the HRIS in accepting applications for promotion from the existing employees(Bondarouk and Olivas-Lujan 2014). This method helps in keeping the recruitment process more confidential compared to other methods of application for the employees who wish to hide their ambitions from their colleagues. Since the existing employees are familiar with the information system, the recruitment process becomes highly specialized. In brief, the use of human resource information systems saves organizations millions of money and the HR personnel a lot of time allowing them to concentrate on other meaningful obligations.
Compensation management is a critical HR function that goes beyond paying employees for the work done. It plays a crucial role in retaining talented employees, maintaining employee satisfaction, and encouraging employees to work hard. Human resource information systems allow the HR personnel at Walmart supply chain to create profiles for employees based on job title, seniority, and merit, which allows HR managers to view compensation for all the employees at a glance. The centralization of employees’ compensation helps the HR department in sporting any discrepancies as well as possible opportunities easily (Kavanagh and Johnson 2015). Walmart’s HRIS is designed with powerful performance management tools that allow managers to track performance and behavioral information for all employees. This information is included in the employee’s files and used during performance review and assessment. More importantly, easy access to this information enables HR managers to make quick decisions concerning merit or promotion.With HRIS, adjusting compensation for employees whose roles or salaries have changed is easy as it only requires the touch of a button to effect the changes.
HRIS has improved transparency at Walmart in the recent past as it effectively shows base salary standards in the most open and fair manner to all employees. Sharing such information and connecting it to training and development opportunities allow employees to assess their current position and their potential within the organization. Moreover, by making the compensation process more transparent, HRIS enableemployees to figure out their promotion opportunities (Kavanagh and Johnson 2015). Most HRIS come with alerts for spotting errors and discrepancies in compensation management. For instance, if an employee is wrongly placed in a higher grade, the alerts in the system help in mitigating the error before the employee is given a wrong compensation. Similarly, the alerts preventthe HR personnel from accidentally paying employees fewer salaries. The system alerts can also be used in notifying HR personnel of discriminatory situations, whichfacilitatesreviewing and correction of such situations before they become legal issues.
Training and Development
Although HRIS cannot provide training directly to the employees, they are valuable tools for offering training newly recruited employees and developing the already existing ones. HRIS are typically used for setting goals and tracking the entire training process (Bondarouk and Olivas-Lujan 2014). Google Company utilizes the HRIS to link employees to online learning materials and portals with customized learning materials that address their training needs. HR managers regularly use HRIS in setting clear training goals for the employees, which make it easy for them to accomplish those objectives. Google HRIS potentially recalls the time and cross-reference training that was conducted and also include critical notes regarding a particular job performance. With HRIS, it is also possible to view manager’s comments and other crucial information such as customer complaints or compliments, sales information, and other details that can assistin making comparison with training accomplishments.
Also,HRISis marked by the ability to enhance succession planning, which involves preparing employees to take up a position higher than the one they occupied before. HIRS helps in maintaining the relevant information about the employee such as the level of education, skills, and training needs in a centralized place where it is possible to view at a glance including what position the employee qualifies for in the future(Bondarouk and Olivas-Lujan 2014). With HRIS, it also becomes possible to know what skills a particular employee needs to acquire to qualify for another position.Employees’ mobile access to training encouragesthem to take responsibility for their future while at the same time enabling them to account for their growth and advancement. Embracing a culture of autonomy helps the HR managers as they do not need to follow up employees to go for training. With HRIS, HR managers only need is to provide the necessary incentives based on employees’ reported results.
In conclusion, Human Resource Information Systems have drastically transformed organizations since they were introduced a few decades ago. Modern businesses like Apple, Walmart, and Google, and others can now handle complex and repetitive human resource functions with more efficiency and at relatively low cost. In particular, HRIS have influenced recruitment, compensation management, training, and development in dramatic ways. With HRIS, organizations have changed the manner in which recruitment, compensation, and training tasks are performed in attempts to align with the evolution in technology and the increasing employee needs. By shifting to HRIS, organizations can now maintain up-to-date and accurate information concerning human resource capital. As a result, HR managers are in a better position to make informed decisions and to prepare well for future development.
Bondarouk, T., and Olivas-Lujan, M. R. (2014). Human resource management, social innovation and technology. Bingley, U.K: Emerald.
Kavanagh, M. J., Thite, M., and Johnson, R. D. (2015). Human resource information systems: Basics, applications, and future directions. Los Angel