Introduction to HRIS (Human Resource Information System)

📌 Definition

A Human Resource Information System (HRIS) is a computerized system or software

application designed to help human resource professionals store, manage, and analyze data
related to employees and HR functions within an organization.

It acts as a centralized database that integrates all HR activities, such as:

 Recruitment and hiring

 Employee records
 Payroll and compensation
 Benefits administration
 Performance management
 Training and development

HRIS is a combination of information technology and human resource management. It helps

HR departments perform their tasks more effectively and efficiently by automating processes
and reducing manual work.

📌 Key Features of HRIS

 Centralized employee data storage

 Automated HR workflows (e.g., leave requests, approvals)
 Self-service portals for employees and managers
 Integration with payroll, attendance, and performance systems
 Real-time reporting and dashboards

📌 Purpose of HRIS

The main purpose of HRIS is to streamline HR processes, improve data accuracy, and support
strategic decision-making. Here's a breakdown of its specific purposes:

✅ 1. Streamline HR Operations

 Reduces manual paperwork and repetitive tasks

 Automates processes such as attendance tracking, payroll, and leave management

✅ 2. Improve Efficiency and Productivity

 Saves time for HR staff and employees

 Allows HR professionals to focus on strategic tasks (like talent development) instead of
administrative work

✅ 3. Enhance Data Accuracy and Consistency

  Minimizes human errors in employee records and payroll
 Centralized system ensures updated and accurate information

✅ 4. Support Decision-Making

 Provides analytics and reports on workforce trends, employee performance, and HR

metrics
 Helps managers make informed decisions about hiring, promotions, and training

✅ 5. Reduce Costs

 Automating processes leads to long-term cost savings

 Fewer resources are needed for administrative tasks

✅ 6. Ensure Compliance

 Helps track compliance with labor laws, tax regulations, and company policies
 Stores records required for audits or legal reviews

📌 Example Scenario

Imagine a company with 200 employees. Before HRIS, HR staff had to manually update
employee attendance, manage leaves through emails, and calculate payroll using spreadsheets.
With an HRIS in place, employees can log their attendance online, apply for leave through the
system, and payroll is processed automatically based on data from the system. This saves time,
avoids errors, and improves employee satisfaction

Objectives of HRIS (Human Resource Information System)

The main objectives of HRIS are centered around improving the efficiency, effectiveness, and
strategic role of the Human Resource (HR) department. Below are the key objectives explained
in detail:

✅ 1. Improve HR Decision-Making

 HRIS provides accurate, real-time data about employees, departments, and

organizational trends.
 It supports data-driven decisions in areas such as hiring, promotions, performance
reviews, and workforce planning.
 For example, if HR wants to identify which department has the highest employee
turnover, HRIS can generate a report instantly.

Result: Better planning and reduced risks in HR activities.

✅ 2. Enhance Productivity and Efficiency

  HRIS automates time-consuming tasks like payroll processing, attendance tracking, and
employee record keeping.
 Reduces manual paperwork and the need for redundant data entry.
 Employees can access and update their information using self-service portals, saving HR
staff time.

Result: HR staff can focus more on strategic roles rather than administrative work.

✅ 3. Support Strategic Planning

 HRIS helps organizations plan for the future workforce needs by providing insights
through analytics.
 It assists in succession planning, identifying skill gaps, and preparing for expansion or
downsizing.
 For instance, analyzing performance and training data can help HR recommend
employees for future leadership roles.

Result: Aligns HR activities with the long-term goals of the organization.

✅ 4. Automate Administrative Tasks

 Common HR tasks such as:

o Managing employee leave
o Generating payslips
o Updating employee records
o Scheduling interviews or trainings
can all be automated using HRIS.
 Automation minimizes errors and improves speed and accuracy in task execution.

Result: More streamlined operations and cost saving

✅ 5. Maintain Compliance with Labor Laws

 HRIS helps track and document compliance with local, national, and international
labor laws (e.g., minimum wage, work hours, benefits, safety regulations).
 It ensures timely submissions of tax and legal documents.
 The system can also alert HR when certifications or contracts are due for renewal.

Result: Reduces the risk of legal issues, penalties, or audits.

🔍 Bonus Objective: Improve Employee Experience

 By offering employee self-service options for updating details, requesting leave, viewing
payslips, etc., HRIS improves transparency and employee satisfaction.

In Summary
 Objective What It Achieves
Improve HR Decision-Making Enables better hiring, promotion, and planning decisions
Enhance Productivity and Efficiency Saves time, reduces paperwork, and speeds up HR processes
Support Strategic Planning Helps in forecasting and workforce development strategies
Automate Administrative Tasks Reduces manual work and increases process accuracy
Maintain Compliance with Laws Ensures legal and regulatory adherence

1. Database – The Core of HRIS

 The database is the central data storage unit of the HRIS.

 It contains all employee-related information, such as:
o Personal details (name, address, date of birth)
o Employment history
o Attendance records
o Payroll data
o Performance evaluations
o Training records

📌 Example: When HR wants to generate a list of employees due for appraisal, the system pulls
that information from the database.

Key Function: Stores, organizes, and retrieves employee data quickly and securely.

✅ 2. Hardware – The Physical Infrastructure

 Hardware refers to the physical devices used to run the HRIS.

 Includes:
o Computers
o Servers
o Networking devices (routers, switches)
o Storage devices
o Backup systems

📌 Example: Servers store the HRIS software and database, and employee computers are used to
access the system.

Key Function: Supports the technical operations and access to HRIS.

✅ 3. Software – The Functional Tools

 Software is the actual HRIS application or program that users interact with.
 It includes user interfaces, dashboards, and modules like:
o Recruitment
o Payroll
o Performance management
 o Leave management
o Reporting and analytics

📌 Example: A payroll module calculates employee salaries and generates payslips.

Key Function: Executes HR tasks and processes digitally using tools and applications.

✅ 4. Processes – Standard Operating Procedures (SOPs)

 These are the rules, workflows, and guidelines that define how HR tasks are to be
carried out using the HRIS.
 Examples include:
o Steps for employee on boarding
o Workflow for approving leave
o Rules for updating employee records

📌 Example: A leave request moves from the employee to the manager, then to HR for final
approval – all defined by the process.

Key Function: Ensures consistency, accountability, and standardization in using HRIS.

✅ 5. People – The Users of HRIS

 This includes all individuals who interact with the HRIS:

o HR Professionals – Manage records, process payroll, monitor attendance
o Employees – Update personal information, apply for leave, view payslips
o Managers/Supervisors – Approve leave, review performance reports

📌 Example: Employees use self-service portals, while HR admins access backend functions.

Key Function: People input and use data; their engagement determines the success of the
system.

🧠 Summary Table

Component Description Function

Database Central data storage Holds all HR data
Hardware Physical devices Supports system operation
Software Applications/tools Automates HR functions
Processes Workflows/procedures Standardizes usage
People Users of the system Input and manage data

Functions of HRIS
An HRIS (Human Resource Information System) supports and automates a wide range of HR
functions. These functions help HR departments operate efficiently and align their activities
with organizational goals.

✅ 1. Recruitment and Selection

 Manages the entire hiring process, from posting job vacancies to onboarding new
employees.
 HRIS can:
o Post job openings on websites and job boards
o Store applications and resumes
o Track applicants through different recruitment stages
o Schedule interviews
o Send automated communications to candidates

📌 Example: A company uses HRIS to filter applicants based on qualifications and automatically
schedule interviews for shortlisted candidates.

✅ 2. Employee Information Management

 Maintains a centralized database of all employee records, such as:

o Personal details
o Job roles
o Emergency contacts
o Employment history
o Documents and certifications

📌 Example: HR staff can quickly access or update an employee’s contact information or view
their promotion history.

✅ 3. Payroll Processing

 Automates the calculation of salaries, deductions, taxes, and other payments.

 Integrates with time tracking and attendance systems for accurate payroll.
 Generates payslips, tax forms, and payment reports.

📌 Example: The HRIS calculates an employee's net salary after tax and benefits deductions and
sends an auto-generated payslip.

✅ 4. Time and Attendance

 Tracks when employees start and finish work, their working hours, and overtime.
 Includes features like:
o Biometric integration (fingerprint scanners)
o Clock-in/clock-out systems
 o Real-time attendance reports

📌 Example: HRIS alerts managers if employees are frequently late or have low attendance.

✅ 5. Performance Management

 Helps in setting goals, conducting performance reviews, and tracking KPIs (Key
Performance Indicators).
 Allows managers and employees to give and receive feedback.
 Stores performance records for promotions, rewards, or disciplinary actions.

📌 Example: Employees and managers use the HRIS to complete quarterly performance
appraisals and track progress toward goals.

✅ 6. Training and Development

 Manages training programs, tracks participation, and stores training materials.

 Allows employees to register for courses, view schedules, and access e-learning content.
 Tracks certifications and skill development.

📌 Example: HRIS alerts HR when an employee’s required safety certification is about to expire.

✅ 7. Leave Management

 Automates leave application, approval, and tracking.

 Shows leave balances, types of leave (casual, sick, earned), and holiday calendars.
 Sends notifications for leave approvals or denials.

📌 Example: An employee applies for vacation leave through the system, which is routed to their
manager for approval.

✅ 8. Benefits Administration

 Manages employee benefits such as:

o Health insurance
o Retirement plans
o Bonuses and incentives
 Employees can view or enroll in benefit programs through self-service portals.

📌 Example: During open enrollment, employees select their preferred health plan directly via
HRIS.

🧠 Summary Table
 Function Purpose
Recruitment and Selection Automate hiring and track candidates
Employee Information Mgmt Store and manage employee records
Payroll Processing Calculate salaries and deductions
Time and Attendance Track work hours and absenteeism
Performance Management Evaluate and manage employee performance
Training and Development Organize and track employee learning
Leave Management Automate leave requests and approvals
Benefits Administration Manage health, retirement, and other employee benefits

Types of HRIS
HRIS can be categorized based on the level of decision-making and the nature of HR
functions they support. There are three main types of HRIS systems:

✅ 1. Operational HRIS

Purpose: To support day-to-day HR operations and routine administrative tasks.

Key Features:

 Data entry and management

 Attendance tracking
 Payroll processing
 Employee personal records
 Leave management
 Shift scheduling

Users: HR clerks, payroll staff, administrative assistants

📌 Example: An HRIS that tracks daily employee attendance and automatically generates payroll
based on working hours.

Benefits:

 Increases accuracy of routine tasks

 Reduces paperwork
 Saves time on administrative duties

✅ 2. Tactical HRIS
Purpose: To help mid-level HR managers in decision-making related to HR planning and
resource allocation.

Key Features:

 Recruitment and selection tracking

 Training and development planning
 Performance evaluation tools
 Compensation and benefits analysis

Users: HR managers, department heads, team leaders

📌 Example: A tactical HRIS might help a manager compare training needs across departments
to allocate a training budget effectively.

Benefits:

 Supports decision-making in talent acquisition and development

 Enhances workforce productivity
 Helps manage HR costs and programs efficiently

✅ 3. Strategic HRIS

Purpose: To assist in long-term HR planning and policy-making aligned with the

organization’s strategic goals.

Key Features:

 Workforce planning
 Succession planning
 Predictive analytics (e.g., future talent needs)
 HR metrics and reporting
 Talent management systems

Users: Senior HR leaders, executives, strategic planners

📌 Example: A strategic HRIS may help forecast how many employees will retire in the next 5
years and what skills the company will need to replace them.

Benefits:

 Aligns HR strategy with business goals

 Supports future workforce planning
 Helps retain and develop top talent

🧠 Comparison Table: Types of HRIS

 Type of HRIS Main Focus Users Examples of Use
Operational Daily HR tasks and Payroll, attendance, employee
HR staff
HRIS record-keeping records
HR managers, Recruitment planning, training
Tactical HRIS Mid-level decision support
supervisors programs
Long-term planning and
Strategic HRIS
forecasting

Examples of HRIS
✅ 1. Operational HRIS Examples

These systems are designed to handle day-to-day HR operations such as payroll, attendance,
and basic employee data management.

Software Key Features Used For

Employee database, time-off Employee information and leave
BambooHR
tracking, org charts management
Time tracking, leave management,
Zoho People Daily HR operations
attendance
Paychex Flex Payroll, tax filing, compliance tools Small business payroll and HR tasks
ADP Workforce Payroll and compliance for medium to
Payroll, benefits, attendance
Now large businesses

✅ 2. Tactical HRIS Examples

These systems help with mid-level HR decisions such as recruitment, training, and performance
management.

Software Key Features Used For

Freshteam (by Applicant tracking system,
Recruitment and hiring process
Freshworks) onboarding
Performance reviews, leave, and Mid-level HR planning and
Keka HR
payroll staff development
SAP SuccessFactors (basic Learning management, Employee performance and
modules) compensation planning learning
Job posting, resume screening, Recruitment and talent
Workable
interview scheduling acquisition

✅ 3. Strategic HRIS Examples

These systems support long-term HR planning, analytics, and talent strategy aligned with
business goals.

Software Key Features Used For

Talent planning, analytics, Strategic workforce
Workday HCM
succession planning management
HR analytics, workforce modeling, Large enterprise HR strategy
Oracle HCM Cloud
global HR and global operations
SAP SuccessFactors Predictive analytics, succession
Strategic HR decisions
(advanced modules) planning, leadership development
Talent management, learning Long-term HR planning and
Cornerstone OnDemand
analytics, succession planning development

🧠 Summary Table

HRIS Type Example Software Common Use

Operational BambooHR, ADP, Zoho People Payroll, attendance, employee database
Tactical Freshteam, Keka, SAP SuccessFactors Hiring, training, performance management
Strategic Workday, Oracle HCM, Cornerstone Succession planning, talent analytics