Human Resource Information Management System: Advantages & Disadvantages

Human Resource Information Management System (HRIMS) is a system that helps to provide information about the employees. This software is used to enter, track and manipulate the data related to the employees (Demand Media Inc,   2012). This system is being implemented by organization on the basis of their capabilities. It helps to provide various information’s related to employee’s handbooks, safety guidelines, status changes, payroll, resume management and etc (About.com,   2012). HRIMS is used to acquire, store, access, use, share and update the information for the decision making process in an organization. The stored information provides guidance to the recruiters, trainers and career planners to use it at micro and macro level. It helps companies to track information related to attendance, hike in employees pays, position held by the employees, performance development plan, training, maintaining discipline, succession planning process, interviewing and tracking the employees. It also helps in the standard reporting process within and outside the organization. Manual work load can be easily reduced and HR system can work efficiently and effectively with the help of HRIMS.

Advantages of HRIMS

They are listed below.

• It helps in smooth functioning of HR activities in an organization.
• It helps to resolve the queries of the employees by finding the solutions at every point.
• HR audit is strongly supported by the HRIMS.
• People who are specialized in IT sector can easily use it.
• It reduces the manual effort related to filing and paper documentation.

Disadvantages of HRIMS

They are listed below.

• Small organizations cannot implement it because it requires cost huge cost
• Proper Information Technology system should be set up before implementing this system.
• Many times the top management does not want to implement it because it requires time to implement this process.
• Only Specialized HRIMS Teams can use it who have knowledge in this domain area.

The companies like SAP, PeopleSoft, Oracle, have been providing the HRIMS software packages to different companies on the basis of their size and their needs.

The activities mainly related with the HRIMS are explained below

1. Recruiting and Hiring

It is used for recruiting and hiring process by publishing advertisements. It brings employees within an organization with the help of employment agencies, by conducting campus interviews and general tests (High Beam Research Inc,    2012).

2. Education and Training

It provides employee’s job related training by enhancing their knowledge and skills. Proper induction programs are being conducted by the HR managers. Motivational factors related to rewards and promotion can also be linked with HRIMS.

3.Data Management

It manages all the data related to the employees so that it can be used as and when required. It stores the data related to employee’s activities in an organization.

4. Benefits & Termination related to Employees

The information related to the employees benefits like allowances, profit sharing Bonuses are being stored in it. The necessary paperwork related with the termination of employees can also be processed. The exit interview can be conducted and retirement programs for the older employees can also be framed.

Model OF HRIMS

Organizations get the model designed as per their requirements. The model will explain how HRIMS work in an Organization.

1. Input Sub System

This is the first stage where organization needs to decide what type of HRIMS module or software should be implemented by them. It requires a commitment and support from the top management because it requires cost that needs to be invested for purchasing this software. The intelligent HR Managers need to do a detail research to purchase and successfully implement it in their respective organization.

                                                 (Customer Centric Holding Pvt. Ltd,     2012)

2.Storing of Data

The data related to the permanent employees can be stored. The data of employees who have been hired from the consultancies and contractors are also stored. It also stores the information related to governmental organizations and trade unions.

3. Output Sub System

When the data is stored it is processed and used by the output subsystem for different purpose.

• The work force planning can be done by proper job analysis process. Workforce can be managed by framing the proper training and development strategies.
• It will help in recruitment process by tracking the Job applicants by ascertaining their authentication related to qualifications and salary.
• It will add value by calculating the salary of the employees including the deductions and the reimbursement. It helps in systematic payroll processing.
• Proper performance management and appraisal system can be done online which will helps to reduce the time and cost.
• Environmental Reporting System will help to ensure and check whether the organization is following the labor policies and law enforced by the Government. It will also keep track on the Trade Union Activities. Timely updates related to the employees can be produced in form of output.

HR Managers can align with the HRIMS software by following functional reporting structure. Web based portals can be used for hiring the candidates. The Key Result Areas (KRA) of employees can be linked with the time bound tasks. On line Psychometric tests can be carried out for the employees to know about their compentencies. The various activities like attendance & leave calculation, payroll, MIS reports and auto generation of birthday cards on employee’s birthday can be done by the HRIMS (Hearst Communication Inc,    2012).

Security Issues while implementing HRIMS

The HR Manager must consider the security issues before implementing the HRIMS. HR manager must have knowledge about how sensitive is employees data and how it should be managed. The information related the Birthdates, Qualifications, performance rating, address of employees are very confidential for any organization. HR managers must use specific safety measures to prevent from encrypting or loss of employees related data. The security measures that can be applied by the HR Manager are listed below.

1.Limited Access

The employees who work on the HRIMS software must also use it appropriately because unlimited access may invite other employees who can trace their work easily. The employee who works for updating the data in the software should always follow the guidelines to update it regularly on time. He should only update the data and should not perform the task related to the payroll calculation of the employees. Every department function should be responsible to their work. They employees who perform work on HRIS software should handle their work with honesty. It will help in proper HR auditing process. For an example, the software should not be given to employees who do not have knowledge to use it. It should be tracked by the HRIMS Head manager from time to time so that certain check points can be maintained for the users whether they have been using it properly or not.

2.Hygiene

The managers must maintain the Hygiene by maintaining or installing the firewall .As soon the work gets completed system should shut down automatically. Confidential data must be stored by proper password systems. For an example, the employees working in such software must know how to operate it effectively and prevent from hackers who can hack the important information related to the salary details of the employees. The data of employees should be protected from virus. If employees lack knowledge related to HRIMS subject then it is the duty of HR Manager to provide the training to such employees.

3.Proper Use of Hardware

There must be supervisors who can monitor the work during the working hours at various HRIMS sites in an organization. For example Privacy should be maintained without sharing information with the other organizations. Proper channel should be used so that the data does not get tampered during the sharing process between the sender and the receiver. The HR Manager can track the employees with the help of shared document (Effortless HR    2012).

HRIMS has been choice of top and medium organization these days. HR department is over burdened with time consuming activities. It will ensure confidence by providing the information 24 hrs with the help of internet at any location. Clarity of work is there and it increases the productivity of the employees. According to Cedar Crestone 2010-11 surveys, 60% of employee service is related with the modules of HRIMS. Single HRIMS software has reduced the use of other different software’s used for data entry and increased its efficiencies in the Organization.

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