Chapter 1
Evolution of Human Resource
Management and Human Resource
Information Systems: The Role of
Information Technology
NEED FOR HRIS:
THE EXTERNAL ENVIRONMENT
Government Regulations
EEO -1 Report
Employee Composition
Increased Records and Reports
Court Decisions
New Laws
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EXTERNAL ENVIRONMENT
Technology
Lans, Portals
Labor Market
Human Resources Planning
External Environmental Scanning
Societal Concerns
Employee Information Requests
Privacy Issues
Pollution
Community Awareness
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EXTERNAL ENVIRONMENT
Competition
Compensation Management
Labor Market Surveys
Compensation Planning
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HISTORICAL ERAS IN HRIS
Pre-world War II
Reactive, Caretaker Activity
Record Keeping Manual
Not Major Part Of Business
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POSTWAR: 1945-1960
Importance Of Employee Morale
HR Part Of Operating Costs, Not In
Mainstream
Payroll Automation
R & D In Selection
Mainframe Usage By Defense Industry In HR
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SOCIAL ISSUES PERIOD: 1963-1980
Social Issues Legislation Impact HR
Protector Of Employees
Intro Of IBM 360
Advent Of MIS
Paperwork & Reporting Increases
HR Now More In Mainstream Of
Operating Budget
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COST-EFFECTIVENESS: 1980-1990
HR Cost Justify Activities
Increased Role Due To Paperwork Required
In Legislation
Microcomputers & Software Advances
HRIS Capabilities Lower In Cost
Increased Emphasis On R&D
Utility Analysis Critical
Michael J. Kavanagh, Mohan Thite, and Richard D. Johnson - Human Resource Information Systems:
Basics, Applications, and Future Directions, 2e © 2012 SAGE Publications, Inc.
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TECHNOLOGY ADVANCEMENT ERA
(90S-TODAY)
HRIS Commonplace- High Technology
(Internet)
Microcomputer Capacity Increases
HR Main Part Of Strategy Planning - Strategic
Partner
Globalization Of Companies
Hardware-software Tools In Decision-making
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THE EVOLUTION OF STRATEGIC HRM
Contingency Perspective And Fit
Resource - Based View Of The Firm And Social Capital,
HR System Components And Structure
Expanding The Scope Of HRM Beyond The Focal Organization
Achieving HR Implementation And Execution, By Translating
The Rhetoric Into Practice,
Measuring The Outcomes Of SHRM By (E.G., Balanced
Scorecard Approach)
Research Methodological Issues That Stress The Importance Of
Evidence Based Management
Adoption And Use Of HR Metrics
Application Of “Six Sigma" Processes To HRM.
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COMPETITIVE ADVANTAGE
Three Categories Of Resources:
Physical
Organizational
Human Most Critical
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ACTIVITIES OF HR
Transformational
Wright, McMahan, Snell, & Gerhart, 1998 Traditional
Transactional
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HR ACTIVITIES & TIME SPENT
Transactional (65-75%)
Benefits Administration, Record Keeping,
Employee Services
Traditional (15-30%)
Recruitment, Selection, Training, Performance
Management, Compensation, Employee Relations
Transformational (5-15%)
Knowledge Management, Strategic Redirection
And Renewal, Cultural Change, Management
Development
Added Value Wright, McMahan, Snell, & Gerhart, 1998
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INTERFACE BETWEEN HR AND
TECHNOLOGY
IT As A Tool Not A Substitute For
People
How Might The Changes In Technology
Impact The Role And Perceptions Of HR
Departments And Professionals?
How Might Technology Aid In The
Advancement Of Strategic HRM?
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HRIS
Human Resources Information System (HRIS) “A
system used to acquire, store, manipulate, analyze,
retrieve and distribute information regarding an
organization’s human resource to support HRM and
managerial decisions.”
Store And Retrieve Of Large Quantities Of Data.
Combine And Reconfigure Data To Create New
Information.
Institutionalization Of Organizational Knowledge.
Easier Communications.
Lower Administrative Costs, Increase Productivity And
Response Times.
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HRIS DEFINITION
Not Just Hardware-software
Includes People, Forms, Policies, Procedures, And
Data
Purpose – Provide Service
Variety Of Users
Strategic
Tactical
Operational Decisions
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E-HRM & HRIS
Electronic Human Resource Management (E-hrm)
Information Technology (E.G., Web)central
Component
Application And Hr-function Focused
HRIS
Technology And Processes (E.G., Databases,
Enterprise Resources Planning (ERP) Architecture,
Smart Phones, Etc.) That Support Employee
Access To HR Data And The Move To E-hrm.
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BIGGEST ADVANTAGES OF HRIS
Reduced Manual Handling And Paperwork
Or
Enables Greater Impact Of Paperwork On Business
Operation
Reports
Analysis
Negotiations
Communications
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INFORMATION SYSTEMS PROVIDING
SUPPORT FOR HRM (Table 1.1)
Organizational Type of System Major Goal and HRM Example
Level Focus
Operational Transaction Processing Improved transaction speed Payroll processing
System and accuracy Time and attendance entry
Improved efficiency in the
processing of daily business
transactions
Automation of routine
transactions
Reduced transaction costs
Managerial Management Information Provides key data to Producing EE03 reports
System managers Calculating yield ratios for
Supports regular and recruiting
ongoing decisions Calculating per-capita merit
Provides defined and ad- increases
hoc reporting
Executive Executive Information Provides aggregate, high- Succession planning
System level data Aggregate data on
Helps managers with long- balanced scorecard
range planning
Supports strategic direction
and decisions
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INFORMATION SYSTEMS PROVIDING
SUPPORT FOR HRM (Table 1.1 Cont.)
Organizational Type of System Major Goal and Focus HRM Example
Level
Boundary Spanning Decision Support Interactive and iterative managerial Staffing needs assessment
System decision-making Labor market analysis
Supports forecasting and “what-if” Employee skills assessment
analysis
Supports business simulations
Expert System Embed human knowledge into Résumé keyword searches
information systems
Automate decisions with technology
Office Automation Designing documents E-mail training room
Systems Scheduling shared resources scheduling
Communication
Collaboration Supports electronic communication Communication support for e-
Technologies and collaboration between learning
employees Online meetings and shared
Supports virtual teams documents
HR departmental wikis
Enterprise Resources Integration and centralization of Orangery
Planning System corporate data Oracle/PeopleSoft
Share data across functional Lawson HRM
boundaries SAP
Single data source and common
technology architecture
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SYSTEM DEVELOPMENT LIFE CYCLE
(SDLC)
Five General Phases:
(1) Planning
(2) Analysis
(3) Design
(4) Implementation
(5) Maintenance
Begins With Planning And Ends With
Continuous Evaluation
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A MODEL OF ORGANIZATIONAL
FUNCTIONING
Organic model
HRIS is critical to the efficient operation of an
organization
Inter relatedness between the strategic
management system, the strategic HRM
system, and the performance goals, business
and HR are generated during the strategic
planning process.
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A MODEL OF ORGANIZATIONAL
FUNCTIONING
The HR Goals Drive The HR Programs That
Provide Management The Tools For The
Efficient And Effective Use Of Employees
The HRIS Has Become Increasingly Important
In Supporting The HR Management System
As Well As In Strategic Planning
HR Metrics And Cost-benefit Results (Value
Added And Return On Investment - ROI),
Are In Continual Interaction
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A MODEL OF ORGANIZATIONAL
FUNCTIONING
National Culture Impacts Entire Model
Through Strong Effects On External
Environment
External Environment Influences Internal
Functioning Of Organization
Interaction Between Strategic Management
System And Strategic HRM Will Improve The
Functioning Of The Organization
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