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Necessity of Human Resources Information System (HRIS) for human resources management (Part-2)

The field of Human Resource Management has been continuously evolving and the HR in today’s scenario is playing a strategic role and without HRIS an HR cannot play a good strategic role.

Md. Kamruzzaman Sabuj, BA(Hons) MA(Eng) MBA, LLB, PGD-HRM, DSC, DISM, ITP, Director -HCM, Compliance & Admin, Windy Group

Human resources (HR), is the driving forces for any industry, including textile and apparel industry, are the key success factor of any organization. More than 4.2 million people are working in Bangladesh apparel sector. From the beginning to till today, the human resources have been playing a vital role to boost up the industry’s competitive capabilities for enjoying a competitive advantage and superior profitability over rivals.

Necessity of Human Resources Information System (HRIS) for human resources management
Figure: Every company needs a Human Resources Information System (HRIS) for human resources management.

Many industrialists have been using information technology for achieving efficiency in human resource management in Bangladesh but it is not at a satisfactory level. Actually, an HR department has a lot to do. They do more than hire and fire employees.

According to Advance Systems Inc., a provider of workforce management solutions, “If your human resource department is overwhelmed or does not have the resources they need to perform their jobs, your entire company suffers. That’s why it’s important not only to staff your HR department correctly but also give them the tools they need to be efficient and productive.”

Today internet and automation have facilitated accessibility, reliability, and accuracy of information; improved organizational effectiveness and provided a leadership edge by applying technology in various operations. The field of Human Resource Management has been continuously evolving and the HR in today’s scenario is playing a strategic role than merely a support system and without HRIS an HR cannot play a good strategic role.

The solution offered by a good HRIS

Most essential HR functions, modules of good HRIS software and ten features of a good HRIS were discussed in August issue. Other 13 features of a good HRIS have been discussed here to make it understandable for any HR professional irrespective of industry, type or size of the organization.

1. Auto notification 

In an organization, top management is very busy with their regular work so sometimes they forget the interview schedule or forget to approve their subordinate leave and many other small but important issue. HRIS allow the organization to remind the top management regarding these issues through auto notification service (SMS & Email). Not only this, it also allows to wish employees on their birthday occasion and send the interview notification to the potential candidates.


2. Employee’s disciplinary record

2. Employee’s disciplinary record

Disciplining employees is a necessary matter in every organization, though an unpleasant one. Effective discipline can help to correct employee behavioral issues and can increase productivity. Effective discipline will also help to protect the company against wrongful dismiss. Through HRIS, we can maintain an effective disciplinary process and can able to preserve the disciplinary record, which is necessary for appraisal and for the future disciplinary procedure.

3. Dynamism and customizability

A Good HRIS should be dynamic and customizable in all respect whether it is accommodating a new process or issuing of a letter or delivering email automatically. HR department needs to accommodate new functions, rules, policies very frequently. HR also needs to generate thousands of letters like – offer letter, appointment letter, increment letter, promotion letter, transfer letter, disciplinary related letter, long absent letter, and many other types. A good HRIS can eliminate many manual jobs by a few clicks only.

4. Online approvals

In every organization, it is a tough task to have the top management approval on different issues like recruitment, increment, leave and so on, since they are busy with the foreign meeting and their routine activates. So the online approval process of the HRIS enables them to give the approval at wherever & whenever they want it.

5. HR matrix and researches

Top management always wants to see all the index or matrix at a glance. In HR matrix, we find total recurrent status and its cost, total separation status and its cost, total disciplinary record, monthly late, present, absenteeism, turnover, orientation record & so on. After seeing this, management decides where further initiative should be taken to control or improve this. Though HRIS we can maintain this HR matrix.

Your system should be taking all the manual effort out of reporting and should have a library of template-based reports (along with the ability to build custom reports) on attendance, performance, joiners, leavers, turnover etc… and do graphical representations. If your system has anything but a powerful, empowering and easy to use reporting system, then look elsewhere.

6. E-Learning and skill tracking

6. E-Learning and skill tracking

Often using the outcomes of the performance management process as a starting point, this module may produce individual training plans for staff, deal with bookings (for training courses and other learning options), and manage the follow-on evaluation and feedback process, while tracking training expenditure against budget allocations. A good HRIS can track the skill inventory of every individual and take advantages of that information.

Common learning and development module features include:

  • E-Learning portal
  • Training recommendations linked to the role, skill set, and career aspirations
  • Individual user learning plans
  • Setting and managing goals
  • Links to competency framework
  • Streamlined learning administration (reducing the HR overhead)

7. E-recruitment management

7. E-recruitment management

E-recruitment can allow any HRM to be efficient in sourcing right talent. Through a good HRIS, an organization can do the following series of task for a right recruitment –

  • Manpower budget
  • Manpower requisition
  • Manpower requisition approval
  • Job advertisement
  • Online application
  • Notify potential candidate through mail & SMS
  • Notify board members through mail & SMS
  • Online exam and screening
  • Interview appraisal
  • Auto-generated offer and appointment letter

8. Attendance and leave management

The organization can maintain shift wise attendance through HRIS and have the wide range of parameter for attendance reporting such as – late report, date wise late report, department wise late report, early out, absence report, department wise absent report. Through HRIS organization also able to maintain the online leave in such way-first employee apply for leave on his entry screen assigning his responsibility to someone (Except sick leave) whenever assigned person agrees to take the responsibility by clicking the agree on button then it goes to his HOD for recommendation and when HOD agree it goes to HR for approval.

9. Compensation management and final settlement

9. Compensation management and final settlement

Through an integrated HRIS an organization can able to generate auto calculated payroll, bonuses, incentives etc even at the separation it can deliver a final settlement bill where it includes due salary, due OT, current salary current OT, service benefit, earn leave and other form of income as an income and deduct all the loans or liabilities.

Through HRIS organization can do following task of compensation-

  • Auto-segregation pay package
  • Bonus & incentive
  • Auto loan deduction
  • OT(Compliance & Non-Compliance)
  • Increment history
  • Uploading excel file
  • Auto-generate letter (Increment)
  • Final settlement

10. User-Friendly implementation

There has been such a rush to market in the HR software space that user-friendliness may have been sacrificed to get the system out of the door in some HR systems. If your system is not easy to use, you simply will not get the return on investment from the system and you should not settle for an awkward to use the system. There are plenty of intuitive, user-friendly systems out there and if yours is not user-friendly, find one that is.

11. Database Integration to avoid human error and data redundancy

A strong database (like Oracle 10g or 11g) and integrated HRIS can offer the management I intelligence and analytics to take strategic decision for any progressive business to be competitive by being free from Human Error and redundancy of data input. Just doing payroll is no way considered as HRIS where a modern HRIS offers a lot many HR activities in the HR Application or in the software.

12. Easy Implementation of an HRIS

Any success of implantation of HRIS must demand an easy and user-friendly system. The respective management involvement plays a vital role to install and implement a result driven HRIS application. It is a pretty long and tiresome process of implementation where every user’s motivation is highly anticipated. An HRIS implementation may take a few months to few years where customization is a continuous process to remain competitive in the industry.

13. Affordable cost

Finally, it arises the ultimate question -which is the software where we can get this sort of solution at what price. There are many renowned HRIS around the world but most of them require huge investment and high-level of user efficiency. Some of them are working as a part or module of giant ERP solution software like SAP HANA HCM/ SeccuessFactor, Oracle PeopleSoft, Microsoft Dynamics 365, NetSuit, Infor CloudSuite etc. that may cost millions of dollars. Many of them are free standalone HR system like Sentrifugo, OragngeHRM, BarazaHCM, OpenHRMS, iHRMS– which are also open source and customizable. There are few locally developed HRIS like- GreenHR, Kormee, Kandaree, BaseIT, Shorol, Jibika etc. are better suits with local laws, cultures and practices where affordable price is a big factor.

In most cases, local companies are putting their effort and time to develop in-house HRIS but without having a right professional consultation and right programmer, it goes in vein. Experts’ advice-while searching a good HRIS try to get an integrated system, which has a proven record of accomplishment with all these features. Only attendance and payroll process does not name any application as HRIS-Human Resources Information System. It should have a complete process flow of HRM functions.

Also Read: Necessity of HRIS for human resources management (Part-1)

If anyone has any feedback or input regarding the published news, please contact: info@textiletoday.com.bd

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