THE IMPORTANCE OF HUMAN RESOURCE INFORMATION SYSTEM

 

The Importance of Human Resource Information System 

HRIS stands for Human Resources Information System. The HRIS is a system that is used to collect and store data on an organization’s employees.

In most cases, an HRIS encompasses the basic functionalities needed for end-to-end Human Resources Management (HRM). It is a system for recruitment, performance management, learning & development, and more.

Benefits of an HRIS

Using an HRIS has a number of clear benefits. That’s why companies of all sizes implement this tool to support their people operations. Centrally, the HRIS holds employee information. A wide range of employee data is then easily accessible, in one system. 

Record-keeping. An HRIS is a record-keeping system that keeps track of changes to anything related to employees. The HRIS can be seen as the single source of truth when it comes to personnel data.

Compliance. Some data is collected and stored for compliance reasons. This includes material for the identification of employees in case of theft, fraud, or other misbehaviors, first contact information in case of accidents, citizens identification information for the tax office, and expiration dates for mandatory certification. All this information can be stored in the HRIS. It is essential that data is stored safely and securely, in line with GDPR regulations. 

Efficiency. Having all this information stored in one place not only benefits accuracy but also saves time. Some companies still keep a lot of data about employees as physical paperwork. Finding the right folder, and locating the right sheet, can take up a lot of staff time. 

HR strategy. The HRIS permits the tracking of data required to advance the HR and business strategy. Depending on the priorities of the organization, different data will be essential to track. This is where the HRIS shines. 

Self-Service HR. A final benefit is the ability to offer self-service HR to employees and managers. This enables employees to manage their own affairs. When done right, the HRIS can offer a good employee experience. Keep in mind that not all HRIS systems offer this in a user-friendly manner

Conclusion 

Working with an HRIS has multiple benefits for the organization, HR, and the employee. Using an HRIS becomes interesting when you have between large number of employees. Because at this stage, managing this basic information in Excel becomes cumbersome and simple procedures like approving employee holidays need to be standardized. Using an HRIS is especially beneficial for large organizations which typically use more advanced HRIS systems to support different HR functions

References

Gupta, C. B., 2008. Human Resources Management. 1st Edition ed. New Delhi : Sultan Chand & Sons Publishers.