What is HRIS?
A human resource information system (HRIS) is software that provides a centralized repository of employee master data that the human resource management (HRM) group needs for completing core human resource (core HR) processes. An HRIS can help HR and organizations become more efficient through the use of technology.
An HRIS stores, processes and manages employee data, such as names, addresses, national IDs or Social Security numbers, visa or work permit information, and information about dependents. It typically also provides HR functions such as recruiting, applicant tracking, time and attendance management, performance appraisals, and benefits administration. It may also offer employee self-service functions, and perhaps even accounting functions.
Related: What is an HRIS? A Complete Guide
Functions of HRIS
1 CORE HR
The basic duties performed by the HR department about employee information are referred to as “Core HR,” including:
- Demographics
- History
- Role specifics
- Tax-withholdings
- Management of time
When all employee data is kept in one organized place, HR professionals save time. When all employee data is kept in one convenient area, HR professionals save time. They also save time when employee self-service is made available (employees can update their info, book holiday, etc).
By examining CORE HR data including staff training histories, job-role requirements, and anticipated leave, an HRIS analyst (more on this later) can generate several reports to provide insights into project management, company patterns, and future needs.
2. Payroll
Your employees’ pay schedules are automated by HRIS management software, which also keeps track of their time and attendance. With the help of this automation, employees may enter their leave requests, which supervisors can then approve. This saves you significant time so you can attend to other business demands.
This application makes it simple to search for individuals who are being paid according to their schedules. Be sure to take note of the “Things I Can Do” column on the right; this quick-access menu acts as a reminder of tasks that need to be completed and helps you save time with simple system links.
3. Perks for Employees
HRIS software speeds open enrollment periods and offer self-service options for employees to evaluate their benefits information. When circumstances in their lives change, employees have the option to make approved adjustments to their benefit information.
Employees can use this feature to look up benefit details when they have inquiries about topics like:
- Medical protection
- Health Insurance
- Disability compensation
- Data on dependent benefits
Employee HRIS independence saves your HR team valuable time. HR personnel may now concentrate their time on more strategic duties instead of having to answer questions and do research for specific individuals.
4. Training HRIS
Training modules assist your HR department in keeping track of the credentials, licenses, and skills of your employees.
HRIS training features also make it simple to distribute revised policies and guidelines. Additionally, it can be coupled with an LMS (Learning Management System) to centralize transcripts and available training in one place that is simple to find.
Employees can examine the training that is offered, monitor their progress, and go through the course alternatives using this integrated LMS system.
5. Performance Monitoring
An HRIS offers solutions for meeting performance management requirements such as goal-setting, training and development needs, self-evaluations, and anonymous surveys. These capabilities enable remote training and survey completion for staff members. Since employees may answer from the convenience of their own homes, this promotes greater involvement.
While it’s crucial to do interactive review meetings with your team, some performance evaluation components can be performed independently by an employee. This is a good method to encourage open discussion and greater engagement. Additionally, this expedites the procedure and saves you time.
6. Timekeeping and Vacation
HRIS software enables quick and precise time tracking as well as leave usage monitoring. Additionally, it saves time for managers and employees alike because hours are recorded at the touch of a button.
This feature enables more self-sufficiency. Staff saves time by entering their leave requests, eliminating the need for back-and-forth emails, and phone conversations, and handling in-person requests.
7. Onboarding
Successful onboarding is essential for both a new employee and the firm as a whole. When it comes to onboarding, HRIS installation is revolutionary since it enables you to:
- When there are job openings, reach out to big candidate pools
- Apply criteria for selection to the received applications
- Track candidate information and resumes
- Allows HR analysts to match a job opening with suitable candidates from an application pool
- Process new hires quickly through mobile accessibility,
This makes HRIS software especially beneficial for companies with high turnover rates because you can improve your hiring practices and expectations of employee standards without having to invest a lot of time and resources.
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HRIS software can manage other HR needs as well, such as:
- Safety
- Performance and Goal Measures
- Learning and Development
- Succession Planning
- Talent Management.
Reporting and analytics in HRIS
What is HR reporting?
It mainly refers to a process to analyze & compare many critical metrics about the workforce. It includes full-time versus part-time workers, workforce gender ratios, employee turnover, open jobs, hiring new candidates, etc.
In this fast and competitive business world, you as an HR manager must have the proper reporting skills to figure out what’s going around in your organization. From monitoring each employee to ensuring a good workspace, you need skills and a good HR management mindset.
That’s why HR reporting is entirely a critical component that every HR manager should adopt right away. It helps to control each part of the HR department to take your business to the next level. Continuously observing an employee’s performance report can help identify areas of improvement within the organization.
Related: Benefits of HRIS
What is HR Analytics
While talking about HR reporting skills, analytics is also a significant part that boosts the reporting process by giving a crystal precise dimension. It’s a systematic way to identify and measure the impact of HR metrics on overall business performance. If reports help to organize data, proper analysis helps to make data-driven decisions.
Apart from preparing reports and performing other crucial activities, there are many more reasons that you should know. Here we’ll share the seven most effective causes of using HR reporting and analytics for business. Let’s check out the step-by-step:
1. Make a Well-informed Hiring Decision
Hiring the most talented person for a company is the first and foremost task for HR admins. Sometimes it seems to be tough to find the right people at the right time. After getting access to all your previous reports & analytics, it will be easier for you to make the right candidate from past hires’ records.
Let’s say you want to hire developers with five years of experience in a developer post. After getting the applicants’ resumes in hand, you observe that most of them have under five years of experience in that particular post. Therefore, by examining the reports & previous analytics, you can conclude by modifying the job requirements criteria.
2. Implement New Things to Your Hiring Process
Most companies don’t have a precise recruitment process, and it seems to be inconstant. The main reason behind this lack of proper data management. Knowing how to utilize past hiring data could reshape your entire recruitment process and filter out the right people for your organization.
Therefore, regardless of the size of your business, data will come to support you in every case because it helps you view past hiring needs and prepare the report in time. So whenever you’re called upon to hire candidates, you have data in hand and a precise hiring process. These will help you to find out the best people for your company efficiently. Also, there will be enough space & time to implement new things in your existing hiring process.
3. Provides Your Employee Turnover Reasons, Ways to Solve Them
It’s such alarming news for any company. A flawed HR management system and lack of proper knowledge to analyze data could drive your company to hire inappropriate people. However, sometimes turnover may be unpredictable. But if you closely look for the reasons by taking help from previous data & reports, you can figure it out.
4. Tracks Employee Performance & Ensure Maximum Output
With reports & analytics, you can track your preferred employee’s performance. It lets you review their overall performances, feedback, and actions over their work time. You can file it quarter-wise for your convenience. It will be easier for you to determine whether s/he is a rockstar performer or just an average one.
Based on their performance, you can offer increments, give promotions, provide additional training or performance bonus, etc. It will encourage employees to perform like a rockstar which leads to profitability.
5. Helps to Find Reasons for Your Employee Unhappiness
HR reports & analytics is right there to sort out all the probable reasons for their grief. You can create a survey and ask your employee to put their issues, suggestions, and feedback on the HR policy, or even if they’re not happy, etc. And then collect them in a spreadsheet or through HR software. Finally, take action to resolve issues or internal conflicts.
6. Manages Your Employee Compensation
Managing employees’ wages. You must have to ensure all employees are being paid according to their expectations. That means you have to maintain a proper balance and give what they deserve.
In this crucial case, HR analytics could help you act smartly. You can view employees’ pay scales, current benefits, work time, and other compensations. And then compare previous reports to present employee performances, costs, and other circumstances. Lastly, make the final call on increments or adding other deserving benefits.
7. Helps To Make Strategic Decisions for Business Growth
Apart from giving excellent employee management facilities, HR reporting & analytics is also helpful to make strategic decisions for the business. It might help your company grow with payment management, a first-class work environment, or ensuring paperless work facilities, etc.
With these so many advantages and use cases, it is wise to employ HR reporting and analytics in every company. You can invest a considerable amount in reporting & data analysis to improve the HR functions and benefits of your business.