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(1)

Appendix E

Human Resources

Information Systems

(2)

Human Resources

Human Resources

Information System (HRIS)

Information System (HRIS)

 Handles specialized processing concerning Handles specialized processing concerning

firm’s personnel

firm’s personnel

 HR Computerized processing done using HR Computerized processing done using

human resources information system

human resources information system

(HRIS)

(HRIS)

 Has become as valuable as other CBIS Has become as valuable as other CBIS

subsystems

(3)

HR Function

HR Function

 Originally called personnelOriginally called personnel

 Can be a department or functional areaCan be a department or functional area

 HR director is often used to describe the HR director is often used to describe the

person in charge

(4)

Recruiting Hiring & TrainingEducation Terminat-ion

Benefit Administration

Potential

Employees Employees EmployeesRetired

The Firm

Primary HR Activities

(5)

The HRIS

The HRIS

 The name HRMS (Human Resource The name HRMS (Human Resource

Management System) is also catching on in

Management System) is also catching on in

industry

industry

 May not always be computer-basedMay not always be computer-based

(6)

The Evolution of the HRIS

The Evolution of the HRIS

 First, paper files were located in the Personnel First, paper files were located in the Personnel department.

department.

 Then, punched card and magnetic media files were Then, punched card and magnetic media files were located in IS.

located in IS.

 Government legislation in the 1960s and 70s Government legislation in the 1960s and 70s eventually called management's attention to the

eventually called management's attention to the

importance of HR data.

importance of HR data.

(7)

Accounting information system Human resources research system Manufacturing intelligence subsystem Work force planning subsystem Work force management subsystem Benefits subsystem Internal sources Environmental sources Input subsystems Output subsystems Users

Data Information

(8)

Accounting Information

Accounting Information

Subsystem

Subsystem

 Two main types of dataTwo main types of data

1. Personnel -- name, birth date, sex, marital

1. Personnel -- name, birth date, sex, marital

status, education, skills, etc.

status, education, skills, etc.

2.

2.Accounting -- hourly rate or monthly salary, Accounting -- hourly rate or monthly salary, taxes, insurance deductions, etc.

(9)

Human Resources

Human Resources

Research Subsystem

Research Subsystem

 Examples: Examples:

Job analyses and evaluationsJob analyses and evaluations – Succession studiesSuccession studies

– Grievance studiesGrievance studies

 This research can generate new data for the This research can generate new data for the database (job analyses)

database (job analyses)

 And it can use existing database contents And it can use existing database contents (succession studies)

(10)

Human Resources

Human Resources

Intelligence Subsystem [cont.]

Intelligence Subsystem [cont.]

 Government Government

– Stay current on legislationStay current on legislationFile reports.File reports.

 Suppliers Suppliers

Employment servicesEmployment services

 Labor unions, local community, competitors Labor unions, local community, competitors

(11)

Human Resources

Human Resources

Intelligence Subsystem [cont.]

Intelligence Subsystem [cont.]

 Global community intelligenceGlobal community intelligence  Financial community Financial community

– Employee planningEmployee planning

(12)

The HRIS Database

The HRIS Database

Type of data:

Type of data:

1.

1. Employee Employee

82.5% of the firms maintain only employee data

82.5% of the firms maintain only employee data 2.

2. Nonemployee Nonemployee

8% of the firms

8% of the firms

mainly organizations external to the firm

(13)

Possible HRIS Database

Possible HRIS Database

(14)

Database Location

Database Location

 Operating division -- decentralizedOperating division -- decentralized

 Outside service center -- outsourcedOutside service center -- outsourced

 Central computer is still the most popular Central computer is still the most popular

location

location

(15)

Executives

Non HR

1

0 3 4

1 21 3 4 5

(2.78)

Managers

(3.09)

HR Director

(3.79)

Other HR Managers

(4.33)

(16)

94.5

84.4

34.7

8.7

Percentage of firms reporting output types

(17)

Software

Software

 Custom software is usually developed Custom software is usually developed

jointly by HR and IS

jointly by HR and IS

 Some software is integrated into a core Some software is integrated into a core

HRIS

HRIS

(18)

Work Force Planning

Work Force Planning

Subsystem

Subsystem

Enable manager to identify future personnel

Enable manager to identify future personnel

needs

needs

 Organization chartingOrganization charting

 Salary forecastingSalary forecasting

 Job analysis/evaluationJob analysis/evaluation

(19)

In Being

Application name use developed

____________________________________________ Organization charting 238 58 Salary forecasting 237 47 Job analysis/evaluation 176 66 Planning 68 61 Work force modeling 66 29

Number of Firms Using

Number of Firms Using

Work Force Planning

Work Force Planning

Applications

(20)

Recruiting Subsystem

Recruiting Subsystem

 Applicant trackingApplicant tracking

 Internal searchInternal search

(21)

Number of Firms Using

Number of Firms Using

Recruiting Applications

Recruiting Applications

Application name In Being Use Developed

________________________________________ Applicant tracking 235 98 Internal search 111 56 ________________________________________ Totals 346 154

(22)

Work Force

Work Force

Management Subsystem

Management Subsystem

 Performance appraisal Performance appraisal  TrainingTraining

 Position control -- ensuring that headcount does Position control -- ensuring that headcount does

not exceed budgeted limits.

not exceed budgeted limits.

 RelocationRelocation

(23)

Number of Firms Using

Number of Firms Using

Work Force Management

Work Force Management

Applications

Applications

In Being Application name use developed

(24)

Compensation Subsystem

Compensation Subsystem

Most systems in use

Most systems in use

Merit increasesMerit increasesPayrollPayroll

Executive compensationExecutive compensationBonus incentivesBonus incentives

(25)

Number of Firms Using

Number of Firms Using

Compensation Applications

Compensation Applications

In Being

Application name use developed ___________________________________________ Merit increases 404 36 Payroll 389 21 Executive compensation 273 39 Bonus incentives 230 31 Attendance 191 69

(26)

Benefits Subsystem

Benefits Subsystem

 Defined contributionDefined contribution

 Defined benefitsDefined benefits

 Benefit statementsBenefit statements

 Flexible benefitsFlexible benefits

 Stock purchaseStock purchase

(27)

Number of Firms Using

Number of Firms Using

Benefits Applications

Benefits Applications

In Being Application name use developed

_____________________________________________ Defined contribution 275 38 Defined benefits 270 47 Benefit statements 234 57 Flexible benefits 195 55 Stock purchase 149 16 Claims processing 88 11 _____________________________________________ Totals 1211 224

(28)

Environmental Reporting

Environmental Reporting

Subsystem

Subsystem

 Reports firm’s personnel policies and Reports firm’s personnel policies and

practices to the government

practices to the government

(29)

Number of Firms Using

Number of Firms Using

Environmental Reporting

Environmental Reporting

Applications

Applications

In Being Application name use developed

_____________________________________________ EEO records 402 43 EEO analysis 352 47 Union increases 165 13 Health records 102 41 Toxic substance 80 32 Grievances 66 31 _____________________________________________ Totals 1,167 207

(30)

Executive Perception of

Executive Perception of

HRIS Value

HRIS Value

HRIS HRIS is HRIS is HRIS is HRIS is

9

185

242

4

Top mgmt

(31)

Users of HRIS

HR director X X X X X X

Other executives X X X X X X

Compensation/benefits manager X X

HR planning manager X

Employee/labor relations manager X X

EEO/AAP manager X X X X X X

Recruiting & selection dvlpmnt mgr X X

Training manager X

Manager of accounting X X

Payroll manager X X

Other managers X X X X X X

(32)

Summary

Summary

 HR function has four primary activitiesHR function has four primary activities – Recruiting and hiringRecruiting and hiring

– Educating and trainingEducating and training

– Management employee-related data Management employee-related data Termination and benefit administrationTermination and benefit administration

 HRIS helps managers manage the personnel resourceHRIS helps managers manage the personnel resource  Two big influences on HRIS developmentTwo big influences on HRIS development

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