What Is HRIS

Human resources is used to describe the people who work for – or in – an organization, company, economy or business sector. Much more than that,Human Resources is also used in describing the department or division of an organization that focuses on managing the employees. This management of employees and everything related to them is widely termed Human Resource Management.

Simply put, Human Resource Management is the process of hiring to developing employees, so they are more valuable to their organization.

The basic functions of Human Resource Management (HRM) are threefold:

  • Staffing – recruiting of talent
  • Aligning the workforce with the business by defining and designing work.
  • Continuously working on developing employees so they are more valuable to the organization.

To avoid critical problems, organizations put in a lot of energy and effort in properly setting up an efficient in-house HR department.

The Benefits of an In-House HR Department

Specific Training and Development:

It is easier for the HR department to assess and identify the type of skills training and employee development necessary for improving skills and qualifications of existing staff, compared to external or outsourced management. This aids in improving employee retention, and reducing turnover.

Company Culture and Principles:

An in-house department easily creates a cohesive work environment, while effectively integrating the company’s culture and business principles into the employees. This begins right from the hiring, orientation and on-boarding process.

Swift and Timely Conflict Resolution:

Conflict in the workplace is inevitable, given the different mix of individuals. If not properly and swiftly identified and resolved by a skilled HR manager, it can blow out of proportion and negatively affect the whole workforce.

Sustaining Business Legacy:

Very importantly, an in-house HR department can identify promising employees with leadership capabilities and potentials and develop succession-planning goals for smooth transitions into leadership roles. This assures the organization of future success and stability.

Integration of Human Resource Information System (HRIS)

Increasingly, the workforce of organizations are becoming more demanding and diverse – age, ethnicity, gender wise etc. They are also, for the most part, digitally savvy people. Leading organizations understand that managing talent in the midst of such technological revolution will be critical.

Due to the pressure to discover and groom talent, coupled with this increasingly technology dependent age, it is not surprising that more HR departments are embracing digitization in their management.

These ones help both the management and employees transition to digital ways of organizing and leading. They also alter the HR processes and systems through new digital apps and platforms for carrying out HR services – thus improving employee productivity and data quality. These programs and solutions are known as Human Resource Information System (HRIS).

This system is designed to aid the new way of working – fast-paced distribution of information, obtaining feedback and connecting. It is a crossroad of human resources and information technology using HR software.

In lieu of the traditional methods of creating an onboarding system, a learning system, a performance management system and a collaboration and coaching system, the HRIS ties these solutions together in seamless apps that transform employee experiences.

Benefits of the HRIS

Relative to the traditional way of carrying out human resource activities, the advent of the HRIS has brought with it numerous advantages.

Drastically Reduced Cost:

A good HRIS will save money. Using befitting software tools will help in reducing the cost of time and job performance evaluation.

Increased Efficiency and Productivity:

The most glaring benefit of the HRIS is the increase in productivity. The HRIS frees up the workers to focus on issues that are more important.

Efficient and Effective Metrics and Data Analysis:

The HRIS usually possesses metrics tools to allow you collect data and accurately analyze issues like turnover rate and hiring costs. This willhelp you make informed decisions.

Motivation and Morale:

HR software also gives your employees the ability to manage their own information.  This provides a boost of morale, empowerment and engagement leading to an overall improved company culture.

Enhanced Communication:

Most HRIS include an employee directory. This makes it easier for employees to reach out to colleagues who are not in their immediate department.

Diminished Errors:

It is common knowledge that errors can lead to grave complications – legal or financial. The HRIS software decreases the quantity of error to the barest minimum.

Common HRIS Model Pricing Schedules

Prices vary depending on the model and vendor. The most popular model is the monthly pay-per-employee payment model. With this, a monthly fee is paid for each employee – whether or not they use the software. This ranges from a dollar ($1) up to ten dollars ($10). Usually, an increase in total number of employees reduces the cost per employee – apart from a one-time implementation fee.

The next type of pricing is a monthly fee for administrative users, ranging from five ($5) to twenty dollars ($20). There is also a one-time implementation fee.

Larger organizations use the onetime payment model, ranging from five hundred ($500) to ten thousand dollars ($10,000). It can have an annual support fee attached, or an optional payment for add-ons as purchased. Implementations for enterprises can run from ten thousand dollars ($10,000),to one hundred thousand dollars ($100,000).