HUMAN RESOURCE INFORMATION SYSTEM (HRIS) -SCOPE, CHALLENGES AND BENEFITS

Abstract

Human resource information system (HRIS) has recently emerged as one of the major modern Human Resource tools. The human resource management works in very close terms with the employees of an organization and holds the duty of organizing them in a way to achieve the set goals in the most efficient manner. In this paper the human resource information system has been examined with respect to scope, features and users. The challenges that might occurs in operations of HRIS and also benefits, the future it holds in the business enterprise and world. Finally, this paper concludes that HRIS is proficient to provide the human resource department and organizations a more efficient and effortless working environment with promising future prospects.

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International Journal of Engineering Science Invention Research & Development; Vol. IX, Issue 2, AUGUST 2022
www.ijesird.com, E-ISSN: 2349-6185
Dr. HemaMirji and Ria Kapoor ijesird, Vol. IX, Issue 2, AUGUST 2022/60
HUMAN RESOURCE INFORMATION SYSTEM
(HRIS) – SCOPE, CHALLENGES AND BENEFITS
Dr. HemaMirji, Ria Kapoor
Assistant Professor, Student
BharatiVidyapeeth (Deemed to be University)
Institute of Management and Entrepreneurship Development, Pune
hema.mirji@bharatividyapeeth.edu, ria2002kapoor@gmail.com
ABSTRACT: Human resource information system (HRIS) has
recently emerged as one of the major modern Human Resource
tools. The human resource management works in very close
terms with the employees of an organization and holds the duty
of organizing them in a way to achieve the set goals in the most
efficient manner. In this paper the human resource information
system has been examined with respect to scope, features and
users. The challenges that might occurs in operations of HRIS
and also benefits, the future it holds in the business enterprise
and world. Finally, this paper concludes that HRIS is proficient
to provide the human resource department and organizations a
more efficient and effortless working environment with
promising future prospects.
Keywords :HRIS, Human Resource Information Systems, Human
Resource Management
I. INTRODUCTION
We are living in an everchanging world. The pace
of change in the corporate sector has remarkably
precipitated in the last century and with time the
rate of change is expected to increase. With the
realization of this fact business enterprises have
decided to employ human resource information
system and evolve with the complex and fluctuating
environment for efficient human resource
management. Information plays an important role
for any organization to coordinate its activities and
employees to reach the required goal. Therefore, a
proper system is required which can store, assemble
and efficiently communicate information within the
environment. (Shaikh, 2014) Consequently,
organizations have shifted towards information
technology which has started paying an important
role in the storage and application of information.
The emergence of information technology has also
influenced the working of human resource
management by modifying the traditional working
system and replacing them by introducing human
resource information system (HRIS). For the
efficient management of human resource functions
HRIS provides fast, effective and professional
handling of resources and information.Thus, HRIS
has evolved as a system which stores the
information regarding every aspect of human
resources be it academic, family, qualification,
personal, performance and career evaluation, salary,
medical or training and development of an
individual. With HRIS all these records can be
available in a single screen with assured reliability.
Moreover, reports with numerous parameters can be
generated and modified with ease. HRIS manages
day to day HR processes, reduces paperwork, and
keeps employee data updated which enables
management to move into more prolific functions
((Eric Vulpen, 2021). The software even provides
employees answers to their personal questions by
giving them access to their basic information. There
are many ways and forms of using HRIS which
provide in depth and wider perspective of the
invaluable knowledge of an organization’s working.
II. SCOPE OF HRIS
The convergence of information technology and
human resources has led to the emergence of
“Human Resource Information System” (HRIS)
which is supported by an HR software. HRIS has
come to light as a software package which provides
exclusive features which helps the HR professionals
to fix, sort and align their data resources. This tool
is mostly used for data tracking, data information
requirements, and data entering for organizations.
HRIS platform can be utilized by any HR
professional for storing and collecting important
data, improving work quality and for smooth
workflow and thereby it brings cost effectiveand

International Journal of Engineering Science Invention Research & Development; Vol. IX, Issue 2, AUGUST 2022
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Dr. HemaMirji and Ria Kapoor ijesird, Vol. IX, Issue 2, AUGUST 2022/61
qualitative solutions by timely controlling and
managing the tasks, overseeingand real time
allocation of resources for the benefit of the
company as well as the employees.
HRIS usually plays a role in two
importantfunctions, which are managerial and
operative. For the managerial purposeHRIS
providesthe storage and access of information
related to the most basic and crucial activities of
any organization which are planning, organizing,
staffing, directing and controlling of the human
resources in order to reach the set goal efficiently.
Whereas it helps in operative functions by
providing a backup for the data related to the
procurement, compensation, development,
maintenance and the motivation which are all
directly related to the performance of the
employees. (Shaikh, 2014)The HRIS software that
helps the HR department with their goals mainly
has two parts. The first is storage, it is the primary
step in forming a properly managed
workforce.(TalenTeam, 2022) The second part
includes the capability of HRIS to carry out the HR
processes and tasks. The manual processes are
converted into automated and laborsaving with the
use of artificial intelligence enabling the department
to carry out various activities which are impossible
to do manually in a short period of time.
III. FEATURES AND USERS
An average HRIS will include some basic features
that assist the management with recruitment,
compensation, workforce management whichhelps
in the formation of an organization. Recently new
HRIS systems have also been launched which can
be customized according to the company needs.
This system maintains a sense of stability and
standardization by providing self-service access to
policies and plans and automating human resource
tasks resulting in better employee experience and
increased working efficiency. The user-friendly
interface and intuitiveness of the system results in a
good grasp of data with minimum prior
information.(HRSprouts, 2021)Self-operated
withdrawals,air tight security, quick reach and a
centralized system are required for the analysis and
calculation of employee data which is easily
provided by this system. HRIS also provides
companies with crucial features like employee self-
service, accurate data reporting, employee work
hour tracking, and comprehension of company
databases, notification reminders and flexibility as
well as clarity of working within the organization.
An HRIS provides assistance to each and every
employeeworking in the organizationas a notable
portion of their jobs is interacting with this system
on a daily basis.(ORACLE)An HRIS as the name
suggests is chiefly used by the HR managers to
bring ease in their operations as this system
eliminates the paperwork, offers e signatures and
online documentation for the hiring process. It
prevents the compliance issues by storing all the
essential employee information in a centralized
system which also helps in generating reports and
improves management of employees. (Arun, 2020)
This system is also used for error less payroll
processing. As it can provide timesheets and
connects all the employees, reporting managers use
it to assist their teams and manage them. Overall, it
is a time, effort and money saving option for
everyone in the company.
IV. CHALLENGES
Making use of the Human Resource Information
System in a way that it supports the organization
Managerial
Functions Planning Organizing Staffing Direction Controlling
Operative
Functions Procurement Development Compensation Maintenance Motivation

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strategies as well as the business needs is a
challenge for both IT and HR sectors. With the
evolving businesses the role of human resources
increases and so does its dependence on HRIS.
Companies should be well aware of
theirrequirements from the software and get it
designed according to its needs through IT experts.
The formation of a solid strategy will be crucial for
the organization’s success and they should be
prepared and mindful to face some challenges
which might tag along the efficient and useful
nature of the HRIS software.
(I) Employee and management training-The
implementing and acquiring of the HRIS
software have been exciting for
companies and employeesas it is
considered the new solution for a
systematic and effectiveworking
environment. However, many
companies just focus on the benefits that
the system brings and neglect focusing
on the potential challenges and problems
that come with HRIS implementation.
Whenever a company shifts to a new
information software it has to make its
employees and managers undergo a
training to get familiarized with its
working. (Rietsema, 2018)
(II) Dynamic system-To involve the
employees in implementation and
adaptation of the software, managers
have to set aside a fair amount of time as
even the most user-friendly systems can
be imposing when people are not
familiar with it. As HRIS is emerging as
a new AI project, changes are
continuously taking place in the system
which can sometimes be hard for the
managers to understand themselves.
Hence, and additional cost is gone in
updating as well as hiring IT
professionals to make the managers
familiar with the changes(Behra, 2016)
(III) Data security and legal requirements-
Ever organization has to adhere
tonumerous local,state as well as federal
regulations. Companies seldom become
susceptible to audits and have topay
penalties if they fail to adhere with the
legal requirements for the process,
structure and data management(Inc.,
2020)companies using the HRIS
software have to make sure that their
data is secure right from the start as all
the crucial information is being stored
with cloud and SaaS. Companies face a
hard time ensuring that their data is in
the right hands and have to understand
the terms and conditions put forward by
the HRIS vendors. It can be
contemplating and laboriousto look after
password management and ensure that
only certain concerned partiesget the
clearance to access sensitive data.
V. BENEFITS OF HRIS
The HRIS software has resulted in providing a
more efficient environment to organizations all over
the world(Jahan, 2014)The human resource
department holds a very high importance to the
organization as a whole as it is responsible in
directing the workforce towards the goal. As HRM
works to provide hiring labor, training services,
motivating and guiding employees, as well as
training and enrichment programs, it acts like a
supportive background for the company. The fact
that this department handles so many important
functions and is a critical part of every organization,
proper emphasis should be given to the point that
HR professionals should be provided with right
Challenges
Employee and management training
Dynamic System
Data security and legal requirements

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tools and resources to work efficiently as well as
effectively. Hence, with the innovation of HRIS human resource employees have been improve their
productivity as well as the results of their efforts.
(I) Administration and Performance
analysis-This software allows the
administration of employee benefits to
be streamlined and efficient. It allows
the employees and new recruitsto get
enrolled in benefit plans by themselves
electronically. Through HRIS
employees can log in and update or
monitor their current progress, change
information about themselves and
collect dataabout the plans and policies
as well as themselves. This self-service
software helps the administration by
using minimal manpower, saving the
time and money of the
organization.HRIS also provides HRM
with certain analytical tools which gives
them the ability toanalyze data in an
efficient and succinct manner and collect
the data needed to perform calculations
within a short period of time. (Pribanic,
2018)There are various types of HRIS
systems for different purposes and
functions which can be purchased and
implemented as per the suitability and
companies should carefully design the
software according to their budget and
needs.
(II) Improved productivity-One of the most
beneficial features of HRIS is that it
improves the productivity of human
resource employees. HRIS can be
mended in different forms according to
the need of the company and proved to
be highly detailed as it enhances the
speed and accuracy while reducing the
workload of HR by simplifying
collecting resumes, handling employee
data, generating performance charts and
gathering the queries and problems
faced by the employees. (Jahan,
2014)These are the various tasks which
if done in the traditional way took away
numerous crucial hours of the company,
but since the software have started to
handle them a drastic reduction of time
and efforts have been noticed.
(III) Reducing errors-The employees form
the backbone of any organization and
hence are the most important asset. Its
very crucial to keep information related
to the workforce in a safe and correct
manner and that is why most of the HR
related tasks are highly regulated. Even
a small error can cause considerable
financial loss or result in legal issues for
the company.(Rani, 2018)HRIS has the
ability of reducing potential errors which
can not be caught because of human
oversight or other considerable factors.
Furthermore, this software helps with
compliance issues as some softwares can
be designed to review compliance with
specific regulations and rules which
Administration
and
Performance
analysis
Improved
productivity Reducing
errors BENEFITS

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makes it efficient to check if the
company is in compliance with the
regulations and laws to stay away from
legal issues.
VI. CONCLUSION
HRIS has shown tremendous help as it is capable of
supporting activities like maintaining complete
records of existing as well as past employees,
developing programs to determine what kind of
skills and talents are needed by specific employees,
dividing the workforce into different categories
according to their potential and performance, and
holding large amount of information which can be
quickly and easily modified resulting in the
automation of HR related functions. HRIS has
become a crucial MIS sub function within the
personnel areas of numerous multinational
corporations as it shows potential to serve as an
online solution for data tracking, data entry, and
information needs for the HR and accounting
functions of any business.
In the light of the above discussion, the author
would like to conclude that there are enormous
opportunities for the concept of human resource
information system as a helping software for the
human resource management provided the
shortfalls are resolved through tailormade solutions
and proper automation.
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