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Course Code : MS-23
Course Title : Human Resource Planning
Assignment No. : 23/TMA-3/SEM-I/2005
Set-2
Q.1. Why is Human Resource Audit Important for an organisation? What if Human Resource Audit is not undertaking by an organisation, discuss in detail the advantages and disadvantages of HR Audit? Prepare a brief resume of Human Resource Audit of the organisation you are familiar with, also briefly describe the organisation you are referring to.
Answer.
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Q.2 Define Human Resource Information System? Explain the Human Resource Information System (HRIS) of your organisation or any organisation you are familiar with, Discuss the advantages and disadvantages of the system. Briefly describe the organisation you are referring to.
Answer. Human resource information system is changing the face of human resource management. It has been proven to improve the process of internal and external communication. It is an accurate source of collecting and processing data that is crucial to achieving business goals.
Human Resource Management Systems (HRMS), Human Resource Information Systems (HRIS), or also called HR modules, shape an intersection in between human resources management and information technology. It merges HRM as a discipline and in particular its basic HR activities and processes with the information technology field, whereas the planning and programming of data processing systems evolved into standardized routines and packages of (ERP) software. On the whole, these ERP systems have their origin on software that integrates information from different applications into one universal database. The linkage of its financial and human resource modules through one database is the most important distinction to the individually and proprietary developed predecessors, which makes this software application both rigid and flexible. All in all, the HR function is still to a large degree administrative and common to all organizations. To varying degrees, most organizations have formalized selection, evaluation, and payroll processes. Efficient and effective management of the "Human capital" Pool (HCP) has become an increasingly imperative and complex activity to all HR professionals. The HR function consists of tracking innumerable data points on each employee, from personal histories, data, skills, capabilities, experiences to payroll records. To reduce the manual workload of these administrative activities, organizations began to electronically automate many of these processes by introducing innovative HRMS/HCM technology. Due to complexity in programming, capabilities and limited technical resources, HR executives rely on internal or external IT professionals to develop and maintain their Human Resource Management Systems (HRMS). Before the client server architecture evolved in the late 1980s, every single HR automation process came largely in form of mainframe computers that could handle large amounts of data transactions. In consequence of the high capital investment necessary to purchase or program proprietary software, these internally developed HRMS were limited to medium to large organisations being able to afford internal IT capabilities. The advent of client-server HRMS authorised HR executives for the first time to take responsibility and ownership of their systems. These client-server HRMS are characteristically developed around four principal areas of HR functionalities: 1) "payroll", 2) time and labour management 3) benefits administration and 4) HR management.
The payroll model automates the pay process by gathering data on employee time and attendance, calculating various deductions and taxes, and generating periodic paycheques and employee tax reports. Data is generally fed from the human resources and time keeping modules to calculate automatic deposit and manual cheque writing capabilities. Sophisticated HCM systems can set up accounts payable transactions from employee deduction or produce garnishment cheques. The payroll module sends accounting information to the general ledger for posting subsequent to a pay cycle.
The time and labour management module applies new technology and methods (time collection devices) to cost effectively gather and evaluate employee time/work information. The most advanced modules provide broad flexibility in data collection methods, as well as labour distribution capabilities and data analysis features. This module is a key ingredient to establish organisational cost accounting capabilities.
The benefit administration model permits HR professionals to easily administer and track employee participation in benefits programs ranging from healthcare provider, insurance policy, and pension plan to profit sharing or stock option plans.
The HR management module is a component covering all other HR aspects from application to retirement. The system records basic demographic and address data, selection, training and development, capabilities and skills management, compensation planning records and other related activities. Leading edge systems provide the ability to "read" applications and enter relevant data to applicable database fields, notify employers and provide position management and position control.
Typically, HRMS/HCM technology replaces the four core HR activities by streamlining them electronically; 1) payroll, 2) time and labour management, 3) benefit administration and 4) HR management. While using the internet or corporate intranet as a communication and workflow vehicle, the HRMS/HCM technology can convert these into web-based HRMS components of the ERP system and permit to reduce transaction costs, leading to greater HR and organisational efficiency. Through employee or manager self-service (ESS or MSS), HR activities shift away from paper based processes to using self-service functionalities that benefit employees, managers and HR professionals alike. Costly and time consuming HR administrative tasks, such as travel reimbursement, personnel data change, benefits enrolment, enrolment in training classes (employee side) and to instruct a personnel action, authorise access to information for employees (manager's side) are being individually handled and permit to reduce HR transaction time, leading to HR and organisational effectiveness. Consequently, HR professionals can spend fewer resources in managing administrative HR activities and can apply freed time and resources to concentrate on strategic HR issues, which lead to business innovation.
In order to implement a human resource information system successfully there are a few key factors to consider. First begin by addressing the objectives you wish to achieve with the new system. What functions do you want it to handle, and what data do you need it to process?
Next you want to address the cost issue. Look at what the initial cost will be and any maintenance and upgrade costs. You also want to see how well the new system will integrate with your current capabilities. If it is compatible, how long will it take to implement the new system? The new HRIS software should come with customization and the availability of technical support.
The next and relatively on of the most important aspects is the smooth integration with the employees. You must consider the time and training of staff that must occur before the system is installed. The human resource information system you establish will only as effective as those using it. If employees are not trained properly you will not get the full use out of the product. Once all of these elements are addressed you can then set the new technology in place that will improve service, productivity and ultimately reduce costs.
I am familiar with Zenith computers. Zenith It Group is a leading Information Technology group in India. Zenith Computers Limited, a company belonging to the Zenith IT Group, manufactures and distributes a whole range of MNC Quality computers at Indian Prices. Incorporated in 1980, the company has grown steadily and has achieved the number one position in the PC market in India. Zenith Infotech Limited, a company belonging to the Zenith IT Group specializes in designing Internet Software. Zenith Computers Limited has achieved many milestones. Some of the noteworthy ones are as given below :
We are using HRVantage for human resource management. It is a LAN/desktop HR system designed for organizations with fewer than 500 employees. Both HR software products include robust HR management functionality and complete, integrated reporting. Dependable technology is critical to the success of any HR software company. Spectrum is the only best-in-class human resource management software provider to be a Microsoft® Certified Solution Provider Partner since 1992. The main problem with this software is that it can only handle organizations with less that 500 employees. Moreover, it doesn't have a web based interface.
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