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HUMAN RESOURCE INFORMATION SYSTEMS (HRIS)-THE NEW ROLE OF HR


IN THE GIANT DATA AGE

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Submitted to International Conference; On Innovative Research in Management of Accounting, Banking,
Economics, Marketing, Tourism, Business, Human Resource, Law and Governance (IC-2018) Organized by
“Krishi Sanskriti Publications”

HUMAN RESOURCE INFORMATION SYSTEMS (HRIS)


-THE NEW ROLE OF HR IN THE GIANT DATA AGE

Mr. Karan Das1 Prof. Arup Barman2


Research Scholar, Assam University, Silchar, India Professor, Assam University, Silchar, India
Ph: 88762-24586 Ph: 99549-12377
Email: karandas90@yahoo.in Email: abgeet@gmail.com

Abstract
Mankind has entered the information age from an allow users to store and retrieve data concerning an
industrial age that prevailed till a few years back. When organisation’s human resources which will at large help, to
digitalisation have made the entire world engulfed with relief the overburdened task of data handling in the HR
more and more data, the nature of information and the department and concentrate on its core business function.
information technology is the fulcrum of future The function of HRIS is multifaceted ranging from
opportunities and challenges in this intense competitive operational assistance to carrying out data analytics to
business environment. Now, as the role of HR have provide timely and diverse information for strategic
transformed to a core strategic business function, it has decision making related to human capital.
become imperative for HR to be comprehensive, fast, The paper aims to describe the evolution of HRIS, its
accurate, enhanced quality and in line with the upcoming importance in the modern management and its roleplay in
trends. Thus, it is of outmost importance of HR to transforming HR from transactional HR to strategic HR.
incorporate information and communication technologies This paper also attempts to identify different vendors
(ICT) to give a competitive advantage to the organisation providing standard HRIS software solutions and also give a
with along improve the value of the human capital. Human predictive analysis on future growth prospects in this field.
Resource Information System (HRIS) is a Management
Information System (MIS) which contain databases that
Keywords: Digitalisation, HRIS, MIS, data analytics,
human capital, HRIS Software solutions

1. Introduction centre stage of core competency, vital information


The Information and Technology Revolution has become the oil for running the business engine in
is the latest revolution known to mankind. Mankind the competitive global business environment.
has entered into the new era of information age from With the technological advancement and
an industrial age that prevailed few years back. This human capital giving the strategic edge, Human
new information age is characterised by huge chunks Resource Management has become an integral part of
of data ‘giant data’ which is submerging the whole business with the role of strategic partner in
world and can be turned into valuable information organisational decision making for improved
through use of advanced digital technologies. productivity of the organisation. Organizations have
Technology today is about speedy access to accurate realised the growing necessity of technologies in
current information, and the ability to access this leveraging the HRM functions, for intensifying
information via multiple systems which give competition, managing the global workforce, and to
organizations a strategic edge. Thus, with the improve HR service delivery with cost savings
businesses going global and technology taking the
1
. This emerging need of a high impact achieve enriched employee experience and improved
digital HR have been forcing the organizations and sustainable performance.
HR leaders to turn to investing in HR Technologies Human Resource Management has been
to improve HR’s experience in business2 Thus, the dealing with information from its very traditional
role of HR shifted from transactional HR to a function of record keeper of employees in the
transformational HR wherein the tech-centric HR is organisation. However, it was only after the TQM
able to provide modernised workforce solutions to movement of conscious cost reduction, we see the
emergence of ‘strategic implementation of

1
Submitted to International Conference; On Innovative Research in Management of Accounting, Banking,
Economics, Marketing, Tourism, Business, Human Resource, Law and Governance (IC-2018) Organized by
“Krishi Sanskriti Publications”
information and communication technology’ for HR enhancing workforce performance and productivity,
operations for achieving the target of full human and offering new HR initiatives to support
potential. Fast invention and changes of information organisation growth9.Therefore, HR in collaboration
technology, the corporate human resource with information technology have been the key
management has to get marry the data science3. This enabler for HR to dive into the role of strategic
coupling between human resources and data science partner for increasing overall organisational
has led to the emergence of human analytics, effectiveness.
workforce analytics, performance analytics and so on (Figure-1, Here)
wherein the HR is transforming data into insights and The role of HR transformed with the evolution of
the ability to provide ‘quality’ data that will new technologies in the modern workplace. Figure-1
transcend into meaningful decisions for improved depicts that innovation in the functioning of Human
organisational performance. Resource Information System have led to substantial
Therefore, Collaboration of IT and HRM is change in the HR developmental process. From the
a critical component for business and organisational beginning, during the phase of Personnel
sustainability; technological synchronisation and Management, wherein the HR department used to
collaboration can create value to the organisation by keep records of each employee, handle their salaries,
enhancing the level of performance at individual, benefits, vacations etc. During 1960s to 1980s, when
department and organisational level4. HR provides IT ‘human capital’ was considered as an important asset
with HR practises to ensure IT has talent, discipline for the organisation, HR became an integral part of
and accountability to design and use technology to the core business processes, HRIS was in the shape
provide decision-based data, while, IT provides HR of mainframe computers wherein it performed the
with technological infrastructure to more efficiently function of transactional information processing,
and effectively deliver HR5. Continuous innovation where along with storage and retrieval of
in information and communication technology and information, processing and manipulation of data also
HR becoming the ‘mainframe’ of the organisation, became important. It was only during the last twenty
we see the emergence of Human Resource years of 20th century, with the advent of internet and
Information Systems (HRIS), a database system or a web technologies, companies started to use HR
series of interconnected databases, a software that information for strategic management. HRIS became
can combine multiple HR function6. Apart from daily an integrated system with the objective to provide
and operational information, HRIS has the ability to information for decision making on human resources
supply with strategic information management of the (Decision Support System -DSS). The latest
company7. HRIS is an integrated acquiring and dimension of HRIS is the Expert System-ES wherein
storing data to make analysis, make decisions in the the HRIS itself will be technologically capable to
field of HR8. Thus, HRIS is a database technology carry out multiple HR functionalities on its own with
enabling the HR to simplify the HR info-flow and improved HR service quality.
provide the management with HR related information 3. Review on HRM to e-HRM
for strategic decision making. The global view on technology integration
2. HRIS in Making Strategic-HR in HR tech spaces concentrates on the issues of
Human Resource Management have productivity, wellness, flexible workforce,
undergone a massive restructuring of its HR performance review, talent management, user
operations wherein its sole aim of being the experience, innovation, digitalization, automation,
personnel administrator in transactional HR have HR cloud, artificial intelligence, data analytics and
transformed itself to a core business partner in HR technology10. With the technological innovation
Strategic HR. Digitalisation have changed the focus we see that the whole workplace has become
of HR from making HR operations more efficient and restructured from real to virtual. The HR function
effective through process standardisation and itself transformed from technologically enabled e-
technology to formulating business strategies that an HRM to information and communication enabled
add value to the organisation; which involves HRIS. While use of information and communication
anticipating critical workforce trends, shaping and technology is becoming imperative for HRM, the
executing business strategies, identifying and need for a highly enhanced, compliance driven and
addressing people related risks and regulations, cost enabled HR service delivery that have led to the

2
Submitted to International Conference; On Innovative Research in Management of Accounting, Banking,
Economics, Marketing, Tourism, Business, Human Resource, Law and Governance (IC-2018) Organized by
“Krishi Sanskriti Publications”
innovativeness in the information and communication to align more effectively with the organization’s
technology that have transformed the whole structure strategic plan, assist managers with decision making
of HR operations. One agent of change which is by providing relevant data so they can make more
identified by the researchers is the use of Internet and effective decisions (Bulmash J., 2006). The study
Web technologies to augment and enhance HRM11. also establishes the growing HRIS start ups in the HR
In 90’s organisations used the Internet and Web Tech spaces wherein the companies deliver multiple,
technologies for a myriad of HRM activities such as enhanced HR services to big business organisations
managing payrolls, employee directories and also for and clients at global level through latest information
communicating with the employees12.Thus, as web and communication technologies.
technologies matured, organisations enthusiastically (Table-1, Here)
adopted them and more and more of HRM functions Table 1, depicts the various subsystems of HRIS
became web enabled. Thus, we see the emergence of which are basically, Core HR-Personnel, Payroll,
web technologically enabled functions of HRM Employees Self-Service, Onboarding, Recruiting,
defined by e-Recruitment, e-Payroll, e-Performance Benefit Administration, Scheduling, Time and
Management, e-Training etc. wherein almost all the Attendance, Performance Management,
routine functions of HRM are carried out virtually. Compensation Management, Succession Planning,
Therefore, the information and communication Position control, Learning Management, Workflow
technology enable innovative ways of carrying out management, Mobile Capabilities, Employee
routine organisational asks via the power of virtual Engagement, Workforce Tracking. The table
work environment13. Thus, the routine HRM compares the various sub-HRIS services delivered
activities takes place via smart suites of applications based on 20 popular HRIS vendors across the globe.
which are integrated organisation wide, through a With all the HRIS vendors enabling themselves with
network of HRM related data, information, services, mobile capabilities, it is seen that Performance
databases, applications, and transactions that are management, Onboarding and Compensation
generally accessible at any time by the employees management are the most popular HR services
and managers of the organisation as a whole; and this provided (85%), followed by Workforce management
integrated solution is derived as the Human Resource (80%) and Scheduling and Employee Engagement
Information System (HRIS). (75%). The HR services being provided least by the
HRIS is the composite of databases, HRIS vendors are Learning management,
computer applications, and hardware and software Recruitment and Employees self service (50%). This
necessary to collect, record, store, manage, deliver, is perhaps because specialised niche HR Tech
manipulate, and present data for human resources. vendors have huge market capture in the field of
here are several different components, called Learning, Recruiting and Employee self-service. It is
subsystems, that compose an HRIS: Employee difficult to carry out other HR routine functions with
administration, recruitment, time and attendance, these functions.
training and development, pension administration, 4. Prediction as the Functions in Data Age
employment equity, performance evaluation, The HRM function today is asked to bring
compensation management, benefits administration, new ideas, to change the HR processes and to
performance management, scheduling, health and develop the HR services delivery. HR now plays the
safety, labour relations, and payroll interface14.The role of creating value in the organisation. HR has
role of HRIS is integral. In information technology differentiated its status from the traditional practises,
process, information is always produced, distributed, through integrating the HR service design by
processed and managed, so information technology installing trust with every division of the organisation
will definitely be the solution of problems wherein by considering a holistic approach. The HR
human capabilities are in concern so as to develop innovations must entail collaboration with top
and enhance productivity15. Thus, HRIS support management; along with integration with the
HRM in maintaining employee records, ensure legal business goals, vision, missions of company;
compliance, enable managers to forecast and plan strategic plan and culture of organization and
future HR requirement, provide information to company-wide communication16. Intense business
managers and HR so they can manage knowledge competition and the evolving quest of HRM
and manage talent (career and succession planning), innovation have transformed the role of HRM to a
provide information to enable HR plans and activities high-impact strategic HRM wherein the HR function

3
Submitted to International Conference; On Innovative Research in Management of Accounting, Banking,
Economics, Marketing, Tourism, Business, Human Resource, Law and Governance (IC-2018) Organized by
“Krishi Sanskriti Publications”
is enabled to act strategically in achieving improved performance and also achieving organisational goals.
5. Conclusion
Days have gone for rolling through traditional effectiveness and efficiency”. The widespread adoption
subjective strand for managing human resource of enterprise-resource-planning (ERP) and HR-information
related functions. Days also have passed out to systems (HRIS) made data on business operations,
consider “HRM is solely based on humanitarian performance, and personnel both more accessible and more
thinking and applications for gaining organisational standardized
17
. The proliferation of HR-information systems transactional HR work. This software and data ages
(HRIS) generated a community of software and are forcing HR functions to start quantifying their
technology intermediaries. These intermediaries have costs and performance. HRIS has brought many new
becoming professional and technology that can help challenges and opportunities for HR professionals to
executives to use advanced analytics to find the links move beyond thinking of subjectivity to the
between recruiting and managing talent and using it objectivity that connects to strategy and
more productively. HRIS has been enabling organisational competitiveness.
organisations in consolidating and outsourcing of

Exhibit:
Table 1
Sl Functions Ch Pa Se On Re Bf Sc T Pf Co Sp Pc L Wm Mo Eg Wt
HR Co.s
1 One Point 18 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

19 1 1 1 1
2 HR Payroll
20 1 1 1 1
3 Criteria
21 1 1 1 1 1 1 1 1 1 1 1 1
4 HRMS Soln.
22 1 1 1 1 1 1 1 1 1
5 JobDiva
6 PrecedentHR23 1 1 1 1 1 1 1 1 1 1 1 1

24 1 1 1 1 1 1 1 1 1
7 EON Appl
8 HR Works25 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

26 1 1 1 1 1 1 1 1 1 1 1 1
9 PayNW
27 1 1 1 1 1 1 1 1 1 1 1 1 1
10 Kronos
11 emPerform28 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

29 1 1 1
12 EB
13 iRecruit30 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

31 1 1 1 1 1 1 1 1 1 1 1 1 1
14 AdminiSmart
32 1 1 1 1 1 1 1 1 1 1 1 1 1 1
15 Ascentis
33 1 1 1 1 1 1 1 1 1 1 1 1
16 Centranum
34 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1
17 Tricore
35 1 1 1 1 1 1 1 1 1 1 1 1 1
18 Bamboo HR
36 1 1 1 1 1 1 1 1 1 1 1 1 1
19 HRMantra
37 1 1 1 1 1 1 1 1 1 1 1
20 Tisomo
Frequency 13 12 10 17 10 12 15 13 17 13 13 12 10 16 20 15 14

(Codes: Ch: Core HR-Personnel, Pa: Payroll, Se: Employees Self-Service, On: Onboarding, Re: Recruiting, Bf:
Benefit Administration, Sc: Scheduling, T: Time and Attendance, Pf: Performance Management, Co:
Compensation Management, Sp: Succession Planning, Pc: Position control, L: Learning Management, Wm:
Workflow management, Mo: Mobile Capabilities, Eg: Employee Engagement, Wt: Workforce Tracking)

4
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Economics, Marketing, Tourism, Business, Human Resource, Law and Governance (IC-2018) Organized by
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Figure- 1

PERSONNEL STRATEGIC HR
HR MANAGEMENT
MANAGEMENT MANAGEMENT

BUSINESS BUSINESS STRATEGIC


FUNCTION PARTNERS PARTNER

TRANSACTIONAL MANAGEMENT
DECISION SUPPORT
INFORMATION EXPERT SYSTEM -ES
PROCESS SYSTEM -MIS SYSTEM -DSS

Source: Dusmanescu, D.& Bradic-Martinovic A.38

1
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