What is a HRIS or Human Resource Information System?

15 minutes read

HRIS, or “Human Resource Information Systems” refers to the digital automation of tasks and functions that were once performed by HR personnel. Most companies of 100 or more employees are choosing to streamline HR functions by implementing an HRIS platform to manage a wide range of processes associated with human capital and company processes. An HRIS system is a powerful and effective digital support, freeing HR personnel to focus on tasks that are more productive and remunerative for the organization as a whole.

What Does an HRIS Do?

HRIS platforms collect and store all employee information that can be then accessed to perform various tasks. An HRIS system, such as that developed by EPAY Systems, streamlines the management a wide scope of HR functions. In simple terms, an HRIS system is designed to manage people, company procedures, and internal policies, and may offer the following capabilities:

  • Functions with a database storing all vital information on employees, including names, addresses, salary, wages, contracts, and individual performance reports.
  • Provides a portal where employees can manage some tasks, including requesting time off, reviewing payroll history, and providing communication for designated team members.
  • Manages performance of employees.
  • Manages payroll.
  • Provides resume and applicant management, along with employee onboarding functions.
  • Tracks employee time and attendance.
  • Provides a wide scope of instantly generated reports for analysis.

HRIS Software: Common Types & Platforms

Various platforms are available to perform HRIS functions. These platforms vary in the depth of capabilities, from basic to comprehensive and flexible, offering a more extensive range of HR functions by integrating with modules that perform other tasks:

  • Applicant tracking
  • Workforce analytics
  • Performance management
  • Wage and hour compliance
  • Payroll
  • Tax management
  • Scheduling features for hourly employees, accessible on smartphones and tablets
  • Labor budgeting
  • Benefits tracking
  • Mobile time tracking with facial recognition features
  • Employee onboarding management
  • Real-time alerts, messaging
  • 401k tracking

Benefits of an HRIS

An HRIS provides many benefits for companies. Some of these benefits include:

  • Maintaining Compliance: HRIS stores data in its system to help you stay up to date with compliance regulations.
  • Increased Efficiency: Having all of your organization’s information in one database reduces errors and also saves time for your employees.
  • Self-Service: Employees have a more pleasant experience choosing benefits, since they can change benefits on their own as they wish.
  • Improved Collaboration: Since the organization’s data is in one place, collaboration is easier among employees, even when your company has remote teams.

Implementing HRIS

Implementing an HRIS requires thorough consideration. To choose and implement the right HRIS system for you company, follow the steps below:

  1. Figure out what your company needs from an HRIS.
  2. Curate a list of potential providers that meet your needs and requirements.
  3. Research and request proposals from these providers, then choose the best provider based on your needs.
  4. Put an implementation team together and have them take care of day-to-day tasks that come from the implementation.
  5. Define user groups and map out your processes. If needed, integrate your HRIS with other existing systems within your organization.
  6. Test your new HRIS system and see how you can potentially improve your system.
  7. Once the system is approved, create a training program for your technical staff and employees on how to use the HRIS.
  8. After you’ve given your team the proper support, you can deploy your HRIS. To keep the system running efficiency, always be open to collecting feedback as the system runs over time.

How to Choose an HRIS System for Your Business

Evaluating the best performing system to implement requires an in-depth review of all functions the platform provides, by asking the following questions:

  • Will employee productivity be enhanced significantly with digital features for scheduling and tracking?
  • Does the platform provide a full range of HR functions and will it integrate seamlessly with your existing software?
  • Is the platform fully flexible and capable of being customized to function correctly to match the unique needs of your business?
  • Does it have the capacity to manage hourly, salaried, and contract workers?
  • What is the integration process? Is it real-time or updated on a schedule, and what data transfer problems could be encountered in implementing a new platform?
  • Does it manage the entire lifecycle of human capital management, from hire to retire?
  • Does the system provide 24/7 support?
  • What level of security of data is provided by the system?
  • Does the platform come in at a price that matches your budget?

Choosing the Best HRIS System

It is imperative that the HRIS system implemented is a top-performer, capable of covering a scope of HR functions. It needs to be customizable to serve the unique needs of the enterprise and it needs to integrate seamlessly with accounting software. It should offer tools that function simply and easily on a smartphone for scheduling and timekeeping.

EPAY Systems has developed various HRIS solutions that are capable of all these prior-stated functions and are therefore perfect for any company looking to improve upon their existing HR processes.

The Difference: HRIS vs. HCM vs. HRMS

The various HR systems available can be described as HRIS, HCM, or HRMS, but only a full evaluation of the features the program offers will reveal the capabilities of the system. Essentially, these different designations mean:

HRIS Systems

These systems include a centralized depository that stores master employee data that provides instant access, including names, addresses, social security numbers, dependents, along with functions for recruiting, applicant tracking, time and attendance functions, performance evaluations, and benefits, with employee access for personal information on benefits, etc. These systems securely store the core data to be accessed for a full range of HR functions.

HRMS Systems

HRMS (human resources management systems) platforms function to manage employee lifecycle, through recruiting, training, and retention. The current software options may offer added functions such as budget management, and employee performance assessment and tracking. Analytics are typically part of these software systems, allowing HR to track employee performance and identify problem areas.

HCM Systems

HCM (human capital management) offer some similar functions as HRIS and HRMS systems in HR personnel tracking, with added features for employees, including clocking in and out and schedule management. Human Capital Management covers the full scope of HR functions.

Streamlining Production with a Comprehensive HRIS System

With an HRIS system implemented, a range of vital functions related to personnel and productivity are managed far more efficiently, eliminating many tasks, forms, and files that are traditionally maintained by HR.

Human Capital Management Software from EPAY

EPAY, a leading provider of HR and Payroll software, is proud to provide our clients with streamlined Human Capital Management solution that helps you put the “human” back into your Human Resource department. These systems are extremely similar to HRIS solutions and eliminate tedious manual HR processes to help you focus on what’s truly important to your business.

Our HCM systems can help you keep in-depth employee records, increase the efficiency of your onboarding process and benefits enrollment, and provide real-time self-service to employees. On top of that, EPAY’s HCM systems will help you:

  • Ensure accurate employee tax information
  • Capture digital signatures
  • Generate company org charts automatically
  • Assign benefits plans base on eligibility rules
  • Transfer data from HR to payroll effortlessly
  • Provide mobile self-service for employees

Overall, EPAY’s HCM system is here to increase the efficiency of your HR department and help your HR personnel focus on what’s truly important.

The Bottom Line on HRIS Systems

The right HRIS system makes it possible for many HR tasks to be managed electronically, saving human labor hours. When HR personnel is free from these tasks, they can focus on more productive activities that enhance company growth and profits. An HRIS system, like EPAY’s HCM system, that matches your company’s needs is an organizational tool that avoids the hassles of endless paperwork, filing, and repetitive entering of data on various paper forms while providing a far higher level of security for employee data.

Employees have access to their information, greatly reducing the need to contact HR to get simple questions about pay, benefits, or other issues resolved.

EPAY is your source for effective and efficient Human Resource Information Systems that will truly transform your company’s HR department. Find out more about our HCM solutions today!

FAQs about Human Resource Management Systems (HRIS)

  • How many employees can be in the HRIS? The number of employees an HRIS can handle depends on the system you choose. Some HRIS’s are ideal for companies with 20 employees while others have the capability to handle up to 3,000 employees.
  • What questions should I ask potential HRIS vendors? Important screening questions to ask can include: What do users like best about your HRIS? Does the HRIS need to integrate with other systems? How user-friendly is the system?

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