Function Of Human Resource Management System

2897 words - 12 pages

According to Porter’s Value Chain, information technology is categorized as a support activity that does not directly add competitive advantage to an organization (Porter, 1985). Although it may not directly add competitive advantage to a company, information technology is used as a tool to create efficiencies within other activities, both supportive and primary, by reducing the time, money, and the effort spent accomplishing the task at hand. One great example of this is how information technology can be leveraged to increase the contribution of human resources within an organization. Like information technology, human resources is classified as a support activity, but is absolutely essential to the overall ability to function as an organization of any company with more than one employee. Human resource technology can be defined as any technology that is used to attract, hire, retain, and maintain human resources, support HR administration, and optimize Human resource management.
A Human Resource Management System (HRMS) or Human Resource Information System (HRIS) is a software application that combines many of the human resources functions, including benefits administration, payroll, recruiting and training, and performance analysis into one system (Bessler, 2011). This report will give an overview of these functions, our lining what processes are currently used to perform them, what technologies exist to help perform the specific function and then show how technology can be used to streamline, automate, integrate and even eliminate many of these processes thereby creating a more efficient role that can save any company time and money.
The first function of human resource management is to find potential candidates for future employment. Recruiting

The Process of recruiting potential employees is a major role of human resource departments that requires excessive amounts of time and money. The process begins by identifying the need to fill a vacant or newly created position. Once the need is established, a detailed job description and list of necessary qualification must be generated. This step allows human resource managers to post the position, either internally or publically, and to then begin selecting potential candidates for further evaluation. Traditionally, it would take a team up to ten people weeks of manually reading and screening paper resumes and cover letters. Once they have been read and screened, they need to be filed away for later reference, or discarded. Human resource managers must keep track of which files have or have not been screened, the results of those files that have been screened, and then need to store them to be used and referenced later in the recruiting/hiring process. Along with a resume and a cover letter, potential candidates will fill out and send in a job application. Just like the resumes and cover letters, the applications need to be reviewed, evaluated, and stored for later...

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