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Human Resources Information System (HRIS

The Human Resource Information System (HRIS) is a software or online solution for the data entry, data tracking, and data information needs of the Human Resources, payroll, management, and accounting functions within a business. Normally packaged as a data base, hundreds of companies sell some form of HRIS and every HRIS has different capabilities. Pick your HRIS carefully based on the capabilities you need in your company. Typically, the better The Human Resource Information Systems (HRIS) provide overall:
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Management of all employee information. Reporting and analysis of employee information. Company-related documents such as employee handbooks, emergency evacuation procedures, and safety guidelines. Benefits administration including enrollment, status changes, and personal information updating. Complete integration with payroll and other company financial software and accounting systems. Applicant tracking and resume management.

The HRIS that most effectively serves companies tracks:
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attendance and PTO use, pay raises and history, pay grades and positions held, performance development plans, training received, disciplinary action received, personal employee information, and occasionally, management and key employee succession plans, high potential employee identification, and applicant tracking, interviewing, and selection.

An effective HRIS provides information on just about anything the company needs to track and analyze about employees, former employees, and applicants. Your company will need to select a Human Resources Information System and customize it to meet your needs. With an appropriate HRIS, Human Resources staff enables employees to do their own benefits updates and address changes, thus freeing HR staff for more strategic functions. Additionally, data necessary for employee management, knowledge development, career growth and development, and equal treatment is facilitated. Finally, managers can access the information they need to legally, ethically, and effectively support the success of their reporting employees. Definition: A Human Resources Information System, is a system that lets you keep track of all your employees and information about them. It is usually done in a database or, more often, in a series of interrelated databases.

TATA MOTORS [ INDIA] 14. 1. Some systems track applicants before they become employees and some are interfaced to payroll or other financial systems.PEPSICO 10. disabilities. salary history. supervisor.ORACLE. THESE ARE THE COMPANIES WHICH USES ''HRIS'' EXTENSIVELY WITHIN THE ORGANIZATION. benefits selected.INFOSYS [ INDIA] 15. training completed. salary. ethnicity.Microsoft 3.IB M 4.Nokia 6.TCS [ INDIA] 16. and more They include reporting capabilities. job title.Intel 8.PROCTOR GAMBLE 12. grade. special qualifications. position history. visa status. WIPRO [ INDIA ] 17.GE 5.UNILEVER [ UK ] 11. veterans status.These systems include the employee name and contact information and all or some of the following:                 department.Toyota 7. .HEWLETT PACKARD 13.GENERAL FOODS 18.McDonald’s 9.CITIBANK 20.FORD MOTORS 19. date of birth.Coca-Cola 2.

and data security. The result was the third generation of the computerized HRIS. Shaw’s Supermarkets. Ameriprise Financial. The third generation took systems far beyond being mere data repositories and created tools with which human resource professionals could do much more (Byars. HRIS has gone from a basic process to convert manual information keeping systems into computerized systems. Terasen Pipelines. Human resource information systems (HRIS) have increasingly transformed since it was first introduced at General Electric in the 1950s. The idea was to integrate many of the different human resource functions. New Technology With the changing world and constant new technology that is available. new technology. Through benchmarking different companies we can learn how other companies have handled certain human resources issues related to information technology. An overall analysis has been completed using research on IBM Europe. This paper also includes eight synopses of companies facing similar issue to those in the reading. In the . Inc. a feature-rich. CS Stars LLC.Human Resource Information System – HRIS Human Resource Information Systems The purpose of this paper is to identify other companies who have faced similar human resources issues in regards to information technology. Many companies have seen a need to transform the way Human Resource operations are performed in order to keep up with new technology and increasing numbers of employees. Terasen Pipelines moved its headquarters from Vancouver to Calgary to be closer to the oil and realized a major growth in employees. self-contained HRIS. 2004). and Toshiba America Medical Systems. information systems. managers need to be aware of the technology that will increase effectiveness in their company. to the HRIS systems that are used today. broad-based. WORKSource Inc. Human resource professionals began to see the possibility of new applications for the computer.. IBM.

2003). With the many different applications of HRIS. 2004). Another company that saw the benefits of keeping up with new technology is WORKSource Inc. training management. Some of the many applications of HRIS are: Clerical applications. applicant search expenditures. WORKSource was able to reduce waste and cost. the systems are able to produce more effective and faster outcomes than can be done on paper. accident reporting and prevention and strategic planning. acquired Web-based technology programs from GHG Corp. An intranet is a type of network used by companies to share information to people within the organization. distribution. IBM has a paperless online enrollment plan for all of its employees. By making the move to a HRIS system. By adapting these new programs. electronic timesheet software. To meet the challenge of handling 100 new employees. flexible-benefits administration. and human resource information system (“Tips.past recording keeping was done on paper and with spreadsheets. storage. succession planning.2 million per . An intranet connects people to people and people to information and knowledge within the organization. but they can extend to business partners and even customers with appropriate security clearance (Byars & Rue. The Internet is an increasingly popular way to recruit applicants. Most organizations set up intranets primarily for employees. it serves as an “information hub” for the entire organization. One such company is IBM. time-off system. financial planning. human resource planning. Delivering human resource services online (eHR) supports more efficient collection. research technologies and perform other essential functions in business. attendance reporting and analysis. Applications of HRIS The efficiency of HRIS. Not only has the online enrollment saved the company 1. it is difficult to understand how the programs benefit companies without looking at companies that have already benefited from such programs. risk management. and exchange of data (Friesen. Terasen is able to keep more accurate records as well as better prepare for future growth. turnover analysis. compliance with government regulations. Mangers at Terasen realized that there was a need to change to a more computerized system and looked into different HRIS vendors. WORKSource Inc. training experiences.” 2006). like electronic pay stub.

year on printing and mailing costs. Another company that has taken advantage of HRIS applications is Shaw’s Supermarkets. The use of self-service applications creates a positive situation for HR. and ensuring that their data is accurate. 2002). Shaw’s decided to implement an Employee Self Service (ESS) system. One of the most significant challenges faced by public personnel executives today is measuring the performance of their human resources information system (HRIS) In order to justify the value-added contribution of the HRIS to accomplishing the organization’s mission (Hagood & Friedman. With this solution. the company decided it was time to centralize the HR operations. . Measuring the Effectiveness of HRIS The evaluation should determine whether or not the HRIS has performed up to its expectations and if the HRIS is being used to its full advantage (Byars & Rue. HR was given more time to focus on other issues. but unless it will be an effective tool for HR operations. By utilizing the flexiblebenefits application HRIS has to offer. ESS gives HR more time to focus on strategic issues. In order for Shaw’s to better manage its workforce. So the company has been working to put in place a web-based enrollment system that employees and retirees can access from anywhere (Huering. such as workforce management. 2004). we’ve learned that employees want web access. 2002). Implementing an HRIS program may seem a necessary stem for a company.” Donnelly [Senior Communications Specialist] says. Understanding the different applications HRIS has to offer will give companies the chance to increase employee efficiency and reduce costs. “Since we began offering online enrollment. 2003). succession planning. benefits information and other payroll related information (Koven. while at the same time improving service to employees and managers. it will not help increase efficiency and may hinder it instead. IBM was able to cut costs and give employees the freedom to discover their benefits on their own time and pace. employees have online access to forms. and compensation management. the employees enjoy working with the online plan. so they can log on at home rather than through the company intranet. By giving employees access to their personal information and the ability to update or change their information as needed. After looking at different options. training material.

By making sure employee information that is kept in the HRIS is relevant to the company and making sure there is limited access (password protection) to such information. Whether electronic or paper. 1994). (TAMS). One company that faced a major security issue was CS Stars. 2004). In late 2005. Security of HRIS The privacy of employee information has become a major issue in recent years. a computer that contained personal information on clients and . Inc. TAMS began seeing improvements. if the private information was. requires businesses that maintain computerized data which includes private information to notify the owner of the information of any breach of the security of the system immediately following discovery. with an estimated 70% increase in open enrollment efficiency (Wojcik. New York’s Information Security Breach and Notification Law. TAMS put all employee benefits information online and created an open enrollment option when TAMS changed healthcare providers. companies can make its employees more secure with the safety of their information. or is reasonably believed to have been. Establishing security and end-user privileges calls for a balance of incorporating. By determining the efficiency of the new program. With identity theft becoming a common problem.One company that implemented a HRIS system is Toshiba America Medical Systems. 2007). Though the computer was retrieved and no information seemed to have been harmed. many employees lost their sense of security with the company. effective in December 2005. HR policy. LLC. employee files deserve to be treated with great care. employees are becoming more sensitive about who sees their personal information. Almost immediately upon rolling out the UltiPro portal [new HRIS technology] to employees. system knowledge and day-to-day operations (O’Connell. CS Stars lost track of one of its computers that contained personal information that included names. Another company that experienced a breach in security is Ameriprise Financial. TAMS was able to realize the benefits of the new HRIS system. The bigger problem was that CS Stars failed to notify the affected consumers and employees about the missing computer. addresses and social security numbers of workers compensation benefits. and the security it is kept in. acquired by a person without valid authorization (Cadrain.

people are using them. and promote programs that utilize social media.employees was stolen. business and management consulting. and the outcomes of the company’s responses. ring and financing. Inc. Now that those technologies are here. institutionalizing a function to deal specifically with new media is not a corporate move. Companies Benchmarked IBM Europe The Situation: IBM is a global organization offering research. speaking 165 languages across 75 countries. All of these companies know the importance of new technology. IBM established a separate “new media” function within its corporate communication department. they’re growing and there here to stay-we’re just going to put some . support. It’s a response to the issues already emerging in the company. By responding quickly to the need for more security. It employs around 340. The recognition was that blogging was already happening among IBMers. Ameriprise made sure all employees had the new security suite installed on their computers. and serving clients in 174 countries. Because many of the employees at Ameriprise take their computers between work and home. are good examples of companies facing issues similar to human resources information technology and human resources information systems. Conclusion IBM.000 people. In a similar way. software. Making sure employees information is kept as secure as possible there will be more trust in the company and the HR employees working with that information. In January 2007. Terasen Pipeline. Ameriprise made sure all information is being kept secure. hardware. the company determined there was a need to put more security into those computers. human resources information systems. The remainder of this paper provides synopses of more companies facing human resources issues. IT consulting. and Toshiba America Medical Systems. CS Stars LCC. IBM main goal is to educate. and data security. how the company responded to the issues. just in an unregulated way. or establishing from scratch. IBM Europe decided to expand internal communication by blogging guidelines.

wikis. “Its remit: To act as expert consultants inside and outside IBM on issues relating to blogs. From the multimedia brainstorming “WorldJam” that made news headlines back in 2001 in which 50. online idea-sharing session about the company’s direction. but include results from IBM forums. the results they get back not only come from the main intranet pages. including new media aspects. The Response: IBM’s intent around social media has now been officially formalized. the likelihood is that an employee population full of a . IBM had the need to connect its 340. wikis. IBM has a history of being a t the forefront of technology based corporate communication.structure around them so that we can try to optimize their use. IMB has always prepared itself to use breakthrough technologies to establish a two-way dialogue with its employees. the company established a separate “new media” function within its corporate communication department. The main idea is to educate. and is now moving fast beyond RSS and podcasts into videocasting and “virtual world” technologies like Second Life.” The users decide what technologies they want to use and how they want to use them. IMB has an understanding that employees are no longer staying in a company their entire lives. RSS and other social media applications. From January 22 2007.000 global employees more effectively. The need for social media was necessary and could no longer wait. blogs and podcast/videocasts tags. The Outcome: In the last few years IBM has been recognized as being the vanguard of socialmedia use: IBM was on of the first Fortune 500 companies to get behind collaborative wikis.000 employees worldwide joined a real time. The company has come to the conclusion that with an increasingly young and mobile workforce. It’s just not like that any more. When an employee logs onto their portal an executes a key word search.300 employees have been there fewer than five years. The intranet search facility extends to all areas of the site. support and promote programs that utilize these tools. In Belgium for example over 50 percent of 2. That main idea is that IBM understands that they must remember to respect the fact that social media are social. published internal blogging guidelines as far back as 2003.

000 downloads a week.000 customers and advisors was stolen from a car. and the buyers are frequently located in Russia. IBM has scored some notable successes on both fronts in the near 5000 wiki pages now up and running in the organization. Ameriprise Financial The Situation: The Department of Justice survey estimates that 3. with over 20. For Philippe Borremans. Trafficking in personal date goes beyond U. is not that far away. households were victims of identity theft in 2004. Rita Dew. technical. One reason clients are concerned about data security is the widespread publicity generated by breaches at financial services firm. and employees . IBM has created centralized platforms for most tools that fall under its remit.S. and physical safeguards related to client records and information. also acknowledge large-scale customer data losses in 2005. In years to come IBM will have to deal with employee base for which blogging is just the natural way to interact over a web platform. The company has been a huge pick-up in interest in podcasting over the last 18 months writing can seem such a technical skill. Other financial services firm. The Response: Ameriprise Financial had to fight back and had to implement “layers of protection. says that the Securities and Exchange Commission requires investment advisors to have policies and procedures that address the administrative. which includes wikis.younger generation. for whom these tools are part and parcel of life. In late December 2205.6 million U. including Citigroup and Bank of America. borders: the New York Times reports that stolen financial information is often distributed among participants of online trading boards. whereas people feel they can talk more freely than they can write.S. Florida. has the potential business applications of a wiki cover two broad benefits: Collaborating and knowledge sharing.” It is important for employees who their primary business computer. new media lead Europe for IBM. an Ameriprise Financial employee’s laptop that contained unencrypted data on approximately 230. and the Middle East. a compliance consulting firm in Delray Beach. One of the most consistently popular IBM podcasts. Ukraine. President of NCS.

located in Vancouver. The Response: . Other programs that are being used to protect client’s information are RAID Level 1 system to store data on the drives that are encrypted with WinMagic’s SecureDocs software. Encryption ensures that anyone who steals the computer will be absolutely unable to read the data. With the big move. Employees stores all client related data and tax preparation software database on the encrypted drive. This should keep the data secure if any employee’s laptop is stolen or if the drive is removed from the laptop. Canada and is located in several provinces and U. office. This has given many financial advisors the greatest peace of mind. With the company in many different locations and the growing numbers of employees. and meeting sites. even by connecting it to another computer as a “slave drive. This software allows employees to create an encrypted virtual drive on the laptop that serves as data storage safe. The best thing is that when an employee turns off the computer the information is stored “safe”. the company went through a growth spurt. Other financial advisors are relying on encryption both in and out of the office. which employees store on CDs in a fireproof safe.S. which employees has set up with one gigabyte of storage space. The software also generates encrypted backup files. In 2001 the company changed its headquarters to Calgary to be closer to the oil. Terasen Pipelines The Situation: Terasen Pipelines is a subsidiary of Terasen Inc. The vulnerability of this arrangement and the need for a safety software program is much needed. the HR department saw a need to find a new system to keep more accurate records.regularly transport the computer between home. The Outcome: Employees who are transporting lab tops should install the Steganos Security Suite on their computer. the software automatically encrypts the virtual drive’s data. states.

” (Vu. consisting of students. second-job part-timers. In order to help manage the workforce. senior citizens. The Response: . Terasen began to look into HRIS companies to help with the HR operations. One theme often voiced throughout this process was: “You guys don’t know how hard we’re working when we can make it so much easier with a system that could do a lot of this for us. The Outcome: Although there was difficulty adapting to a new way of recordkeeping.In the past Terasen had kept records on paper and with spreadsheets and with the growth of the company. 2005). With a workforce of 30. Hewitt’s application service provider model with eCyborg was found to be the right fit. Their employee mix includes approximately 70 percent part-time employees. You don’t always have to run to the cabinet for the employee file just to get basic information. One third of the workforce is made up of union associates. and career part-timers. some of the HR staff had experience working with an HRIS and were able to help their colleagues imagine new processes. In order to compensate for future growth. It can all be at your fingertips. This system has helped Terasen better prepare for current and future growth. and Shaw’s staff oversees the company’s involvement with three unions and six separate contracts (Koven. this system does not work as well as in the past. In order to help Terasen ease the HR burden of implementing a new HR system. the management of Terasen was convinced to look for a vendor to help implement and maintain a HRIS system.000 located at 180 stores throughout six states. Terasen was able to find a system that will help support the current and future growth of the company. as aided by a system. 2002). After researching different companies. Shaw’s HR staff is responsible for managing employees’ personal data. Fortunately. Shaw’s Supermarkets The Situation: Shaw’s Supermarkets is the second largest supermarket chain in New England. the HR staff became interested in centralizing its HR operations.

says. training material. such as workforce management. and ensuring that their data is accurate. With this solution. which enforces the state’s 2005 Information Security Breach and Notification Law. LLC The Situation: New York Attorney General Andrew Cuomo has announced that New York State has reached its first settlement with a company charged with failing to notify consumers and others that their personal data had gone missing.” Penney. not during work hours. The use of self-service applications creates a positive situation for HR. Shaw’s has also seen improvement in productivity because employees are updating information at home. I received several e-mails from employees saying this was a great change and how easy ESS was. a Chicago-based claims management company. “We even had a significant increase in our medical coverage costs. which the case is not often when employees are selecting their benefit options. The Outcome: Shaw’s has had positive feedback since implementing the ESS solution. employees have online access to forms. Employees are also able to update their information online. and it was almost a non-issue because the online enrollment featured the plan choices. ESS gives HR more time to focus on strategic issues. charged CS STARS LLC. Cuomo’s office. benefits information and other payroll related information. By giving the employees more access to their information they are able to see the benefit choices available to them. “The reaction from our employees has been extremely positive. which helps reduce the paperwork of the past. while at the same time improving service to employees and managers. VP of Compensation and Benefits. 2002). and compensation management.In order to centralize HR operations Shaw’s decided to implement an ESS (employee self-service) solution. and the company subsidy. An employee self-service application makes it very easy for them to understand their contributions and coverage options.000 New .” (Koven. the employee cost. with failing to give notice that it had lost track of a computer containing data on 540. CS Stars. succession planning.

of a cleaning contractor. addresses. including the names. effective in December 2005. requires businesses that maintain computerized data which includes private information to notify the owner of the information of any breach of the security of the system immediately following discovery. (Cadrain) IBM .000 for costs related to this investigation. and the missing computer was located and recovered. CS STARS agreed to comply with the law and ensure that proper notifications will be made in the event of any future breach. acquired by a person without valid authorization. an organization that assists in providing workers’ comp benefits under the state’s workers’ comp law. 2006. a CS STARS employee noticed that a computer was missing that held personal information. was the New York Special Funds Conservation Committee. But CS Stars waited until June 29. CS STARS will pay the Attorney General’s office $60. if the private information was. On May 9. the FBI determined an employee. 2006. 2006. The Outcome: New York’s Information Security Breach and Notification Law. CS STARS waited until July 8. and Social Security numbers of recipients of workers’ compensation benefits. Because the FBI declared that notice to consumers might impede its investigation. had stolen the computer. The company also agreed to implement more extensive practices relating to the security of private information. the FBI found that the data on the missing computer had not been improperly accessed. to send notices to the 540. (Cadrain) Without admitting to any violation of law. but employers in their role as custodians of employees’ personal data. In addition.000 New Yorkers affected by the breach. 2006. or is reasonably believed to have been. which had been in the custody of CS STARS. The law affects not only businesses in their dealings with their customers. On July 25. to notify Special Funds and the FBI of the security breach.Yorkers’ workers’ comp claims. The Response: The owner of the lost data.

Donnelly says. N.The Situation: IBM’s paperless online enrollment system. Employees log in personally and are greeted by name and with important information regarding their benefits enrollment. So the company has been working to put in place a web-based enrollment system that employees and retirees can access from anywhere. we’ve learned that employees want web access. “Employees can select the health care services they expect to use in a particular year.” Donnelly says. 2002) The Outcome: “Since we began offering online enrollment. according to Cathleen Donnelly. Donnelly says. 2002) The Response: One of those tools.S. senior communications specialist at company headquarters in Armonk. drill down into very specific details and follow links to the health care providers for research. research program information and access decision support tools from their desktop computers. Employees can get summary information on the plans.2 million per year on printing and mailing costs alone. (Heuring. The company saves $1. a personal medical cost estimator. enables employees to calculate potential out-of-pocket health care expenses under each of the plan options available to them. (Heuring. employees and the company. has proved to be a winner for both the company’s 135. and the calculator lets them compare estimated benefit amounts for each plan. estimate expected frequency of use.” Donnelly says.Y. “The feedback that we’ve received from employees tells us that this tool has really helped them to make a comparison between plans based on how they consume medical services. They automatically get access to health plans that are available to them. and the employees’ can take advantage of a variety of technologies to learn about issues. Donnelly says the . and calculate potential costs under each plan option. so they can log on at home rather than through the company intranet.000 active U. introduced in 1999.” The calculator shows both IBM’s costs and the employee’s. such as the deadlines and when changes take effect.

payroll.” 2006). time-off system. WORKSource Inc.” 2006).” 2006). 2006. in an interview with PMR. The Response: WORKSource has eight workforce centers. When the contract with the PEO terminated on June 30. acquired Web-based technology programs from GHG Corp. with approximately 108 employees. Hahn. electronic timesheet software. said she relied on LEAN to help get a handle on what needed to change for her to manage the increased workload. Two years earlier. located throughout a six-county region. benefits. and human resource information system (“Tips. and human resources for those employees were processed and managed by a Professional Employer Organization. Previously. Eliminate waste: determine how to complete a . The Outcome: Mastering the concepts of LEAN led Hahn to develop and apply her own acronym of “REASON” to her department’s payroll and HR processes. which meant Hahn’s workload more than doubled effective July 2006 (“Tips. The Situation: To meet the challenge of handling 100 new employees. “I began to read as much as possible about LEAN and joined an HR LEAN focus group” (“Tips.system has received high marks for convenience because employees can “get in and out quickly. Hahn’s CEO had introduced her to LEAN. The company also has 52 administrative staff in its headquarters office. a Japanese management concept of eliminating wasteful steps and motion when completing processes.” WORKSource Inc. Review the process: map payroll tasks from start to finish. those 108 employees were immediately moved to the payroll of WORKSource. These tools enabled CEO Judith Hahn to handling payroll procedures efficiently and effectively. like electronic paystub.

payroll task most efficiently without unnecessary steps. MRI. thought it would make sense to add a benefits communication component to it. (TAMS). X-ray. Never allow negativity: make change simple and fun. TAMS began seeing improvements. an independent group company of Toshiba Corporation and a global leading provider of diagnostic medical imaging systems and comprehensive medical solutions. nuclear medicine. By having all the benefit information online. Almost immediately upon rolling out the UltiPro portal to employees. 2004). Give employees plenty of encouragement and time to learn (“Tips. The Outcome: . Such was the case halfway through the project. to United Health Group Inc (Wojcik. 2004). ultrasound. the TAMS employee handbook would also be a living document. TAMS selected Ultimate Software’s offering and went live in September 2002 after an on-time and on-budget implementation. director of benefits and human resources information systems at Tustin. such as CT. Sell innovations to management: document the return on investment of each innovation. and information systems. with an estimated 70% increase in open enrollment efficiency (Wojcik. California-based Toshiba America Medical Systems Inc. The Response: TAMS. Analyze alternatives: research and evaluate the applicability of new technology. Open the lines of communication: communicate openly—and often—with all stakeholders. The Situation: Lynda Morvik. including employees and top management. had been using a payroll service bureau and an in-house solution for HR that didn’t include easy-to-use consolidated reporting or an employee portal. when TAMS changed health care plans from Aetna Inc. enabling Morvik to make changes when necessary. Judith Hahn was able to implement the right human resource functions using information systems.” 2006). After evaluating UltiPro alongside several enterprise resource vendors. Toshiba America Medical Systems Inc.

To continue elevating its use of Ultimate Software’s HRMS/payroll solution. . Business Insurance magazine also gave TAMS the Electronic Benefit Communication (EBC) award for outstanding achievement in communicating employee benefits programs over the Web. which garnered a 2004 Apex Award for publication excellence. 2004). TAMS modified the UltiPro portal to meet the imaging company’s unique needs (Wojcik. It was completely integrated with several proprietary applications created to address compensation and performance management issues so that TAMS employees have a central location for comprehensive workforce and payroll information from a Web browser that they can access with a single sign-on (Wojcik. 2004). including the benefits handbook. That same year. TAMS has posted a library of documents and forms on its HR portal.In an effort to expand the usage of the Web beyond the benefits enrollment process.