Nfluence of Technology in Hrm

nfluence of Technology in HRM

Information technology has, of course, changed the face of HRM in the United States and abroad.

Perhaps the most central use of technology in HRM is an organization's Human resources human resources information system (HRIS). An HRIS provides current and accurate data for purposes of control and decision making; in this sense it moves beyond simply storing and retrieving information to include broader applications such as producing reports, forecasting HR needs, strategic planning, career and promotion planning, and evaluating HR policies and practices-a topic discussed further in Chapter 4.Human resources information system (HRIS) computerized system that provides current and accurate date for purposes of control and decision making.

.The impact of information technology (IT) within HR has been both pervasive and profound. IT allows firms to store and retrieve large amounts of information quickly and inexpensively. It also enables them to rapidly and accurately combine and reconfigure data to create new information. Further, because it allows organizations to store and quickly use the judgment and decision models developed in the minds of experts, IT systems help to institutionalize organizational knowledge. With IT networks, managers can communicate more easily and selectively with others in remote parts of the world, thereby allowing for even better use of the information at their disposal. In that regard, IT can be a potent weapon for lowering administrative costs, increasing productivity, speeding response times, improving decision making, and enhancing service. It may also be vital for coordinating activities with parties external to the firm. Ultimately, IT can provide a data and communications platform that helps HR link and leverage the firm's human capital to achieve competitive advantage.

The operational impact. There are three basic ways that IT influences HRM. The first is its operational impact; that is, automating routine activities, alleviating the administrative burden, reducing costs, and improving productivity internal to the HR function itself. As shown in Highlights in HRM 1, the most frequent uses of IT in HRM include automating payroll processing, maintaining employee records, and administering benefits programs. At Merck and Company, Inc. there is a major initiative under way to create a global HR data warehouse that provides a uniform architecture for HR reporting (such as payroll, benefits enrollment, address changes, and retirement). To ensure consistency across databases in various location a condition necessary for analysis and decision making on a global scale-IT and HR managers are working together to develop standardized data definitions and coding structures for all transactions. The goal of this project is to establish one comprehensive repository for employee data while simultaneously