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Leveraging HRIS to Bring Organization into The Next Level

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Presented in Human Resource Management Seminar and Conference entitled 'The Implementation of Human Resources Management Information Systems to Enhance Corporate Values' on October 29th 2013.

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Page 1: Leveraging HRIS to Bring Organization into The Next Level

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Page 2: Leveraging HRIS to Bring Organization into The Next Level

Revisiting HRIS

“A technology-based systems used to

acquire, collect, store, manipulate,

analyze, maintain, validate and

distribute information on its human

resources, personnel activities, and

organization unit characteristics”

Page 3: Leveraging HRIS to Bring Organization into The Next Level

Revisiting HRIS (cont’d)

S Also expected to integrate accounting,

finance, business functions

S Needs hardware, software, platform and

solution

S More importantly it requires people

(stakeholders), policies, procedures, and

data

Page 4: Leveraging HRIS to Bring Organization into The Next Level

Employee Administration • New Hire Processing

• Termination Processing

• Track Job Information

• Track Personnel Information

• Track Work Experience

• Track Skills

• Track Grievances

• Reporting

Recruitment Benefits &

Compensation

Learning

Management

Systems

Training &

Development

Time &

Attendance

Performance

Management

Succession

Planning

HRIS in Diagram

Page 5: Leveraging HRIS to Bring Organization into The Next Level
Page 6: Leveraging HRIS to Bring Organization into The Next Level

Systemless Challenges

S Overloaded: too much work, limited resources

S Time-consuming: spending more time on

administrative tasks

S Cost-sensitive: bunches of paper, toner,

cartridge (1-3% from organization annual

revenue, Gartner)

S Redundant entry: into multiple bins – payroll,

HR, benefits, time management

S Risk of errors: data, information

Page 7: Leveraging HRIS to Bring Organization into The Next Level

Systemless Challenges (cont’d)

S Effort-wasting: employees asking for same

information

S Slow decision-making: building reports takes

too long

S Governance: company policy, rule, country

regulation

Page 8: Leveraging HRIS to Bring Organization into The Next Level

Objectives

“To reduce manual workload of

these administrative activities,

organizations began to

electronically automate many of

these processes”

Page 9: Leveraging HRIS to Bring Organization into The Next Level

Objectives in Numbers

Improve Data Access/Accuracy 86%

Superior Service 80%

Enable HR to Serve More Strategically 78%

Administrative Cost Savings 76%

Make Better Decisions 65%

Enable Recruiting of Key Talent 55%

Source: 2007 CedarCrestone HR Self-Survey Results – includes HR

Managers and Directors for Small to Large Companies

Page 10: Leveraging HRIS to Bring Organization into The Next Level

Other Objectives

S Management expects superior data collection

and analysis particularly for performance

appraisal and performance management

S Raising awareness of HR functionality among

employees

S Simplified modification process and enhanced

usability through web-based and self-service

access

Page 11: Leveraging HRIS to Bring Organization into The Next Level

HRIS Goals

Integrating technologies into HR

Increasing Efficiency

Increasing Effectiveness

Page 12: Leveraging HRIS to Bring Organization into The Next Level

HRIS Features

S Skill testing, assessment and development,

résumé processing, recruitment, retention, team

and project management, management

development

S Organizations may have formalized selection,

evaluation and payroll processes

S Tracking employee data (personal histories,

capabilities, skillset, accomplishment and salary)

Page 13: Leveraging HRIS to Bring Organization into The Next Level

Automated Enrollment

13

Employee

The Process • Open, new hire enrollment

• Participant Modeling

• Life Event Changes

• View and Compare benefits

• Verify eligibility

• Access benefit statement

Benefits • Empower employees with key

information

• Eliminate need for printing

communications

• Forces enrollment rules

• Shortens enrollment cycle

• Reduces data errors

• Reduces calls to HR

• Streamlines data transfer process

• Eliminates redundant data entry

Enrollment

Database

Carrier

Carrier

Carrier

Payroll

HR

Page 14: Leveraging HRIS to Bring Organization into The Next Level

Automated Recruitment

14

Key Features Basic:

• Requisition management

• Job board integration

• Resume uploading

• Pre-screening questions

• Key word searching

• Applicant tracking

• Candidate Ranking

• Approval processes

• Follow-up Reminders

• Agency Access

• Contact Logs

• Reporting

Benefits

• Save money

• Post jobs with greater ease

• Reduce your time to hire

• Get better candidates faster

• Automate your hiring workflow

• Build an ongoing talent pool

• Improve your marketplace brand

Job Boards

Corporate

Site

E-Recruiting

Candidate Hiring

Manager

HR

Page 15: Leveraging HRIS to Bring Organization into The Next Level

What Does It Promise? Feature Benefit Value*

Automatic tier calculation for

health, dental, and vision

benefits based on selected

family members

Eliminates employees

selecting the wrong coverage

tier

$1.19 PEPM

Configurable automatic

pending alerts and options by

plan, enrollment type, and life

event

Enables limited resources to

focus on high impact

transactions

Strategic HR

Configurable overage

dependent rules with HR &

EE alerts

Eliminates paying premiums

on ineligible overage

dependents

$4.44 PEPM

Automatic life and disability

rate and limit updates on age

and salary changes

Eliminates mistakes in payroll

deductions, premium

payments, and confirming

coverage limits at time of

claim

Prevents errors

Easy to use premium

reconciliation reports (with

Retro adjustments)

Eliminates overpayments in

premiums due to carrier or

employer processing errors

$4.79 PEPM

15 Source: Forrester Consulting, May 2009

Page 16: Leveraging HRIS to Bring Organization into The Next Level

HRIS Users

HRIS

MANAGERS

HR PROFESSIONALS

EMPLOYEES

Page 17: Leveraging HRIS to Bring Organization into The Next Level

Integrating Technologies into HR

“Created significant challenges for

HR professionals resulting from

transforming traditional into on-line

processes”

Page 18: Leveraging HRIS to Bring Organization into The Next Level

Improving Efficiency

S Fewer fixed resources: payroll calculation,

benefits administration, and health benefits

processing

S Significant efficiencies in these areas particularly

record processing from mainframe to server

S Lower Total Cost of Ownership (TCO)

S Now grabbed more company in any size

Page 19: Leveraging HRIS to Bring Organization into The Next Level

Improving Effectiveness

S Accuracy of keyed-in information

S Fastening reconciliation

S Simplifying process and accelerating timeliness

S Large data sets require reconciliation

S Pension, benefits administration, and employee

activities to mention a few

Page 20: Leveraging HRIS to Bring Organization into The Next Level

Business Case

“Research shows superior HR practices accounted for 47% increase in company market value on average”

Source: Scott Cohen and Bruce Pfau, Consulting Psychology Journal, Aligning Human Capital Practices and Employee Behavior with Shareholder Value; 2003.

Page 21: Leveraging HRIS to Bring Organization into The Next Level

If Decided to Implement Then

• Build a team of stakeholders

• Define our short and long-term objectives

• Understand the options available

• Build our shopping list

• Consider multiple vendors

• Educate ourselves

• Script the demos

• Define and weight our priorities

• Understand selection and ongoing resource requirements

• Select vendor suits our goals at its best

Page 22: Leveraging HRIS to Bring Organization into The Next Level

Few Considerations Prior To Procure

S How will our company grow in the next five years?

S How quick will we launch?

S What is our budget?

S Do we have IT resources to support an on-site

system?

S What legacy systems must new systems

integrate?

S Are we comfortable giving up control of private

data?

S What features are our priorities?

Page 23: Leveraging HRIS to Bring Organization into The Next Level

Issues to Eye For

Business Process

S Change Management

S Planning Contingencies

Security

S Controlling Access

S Security Technology

Management considerations

S Physical security

S Information security

Page 24: Leveraging HRIS to Bring Organization into The Next Level

Systems Development Failures

S Lack of goal clarity

S Poor problem identification

S Infrastructural failures

S Organizational support

S Faulty planning

Page 25: Leveraging HRIS to Bring Organization into The Next Level

Success Strategies for Implementation

S Build a business case to gain internal

commitment

S Don’t treat as a single project with a start and end

date

S Identify milestones to achieve success points –

build momentum

S Make sure it’s not viewed as just an HR Project

Page 26: Leveraging HRIS to Bring Organization into The Next Level

Success Strategies for Implementation (cont’d)

S Get resource commitment and make sure they are

accountable for results

S Technology alone isn’t the ANSWER – will need to

rework processes

S Understand that users will experience change

S Continue to sell internally

S Think strategically – use the data

Page 27: Leveraging HRIS to Bring Organization into The Next Level

Key HR Technology Trends

1.Strong preference toward Software as

a Service (SaaS)

2.HRIS becoming more affordable and

easier

3.Adoption of Self-Service is increasing

Page 28: Leveraging HRIS to Bring Organization into The Next Level

Key HR Technology Trends (cont’d)

4. Technology solutions being more tightly

integrated

5. Core HR vendors extending capabilities to

compete with best-of-breed (niche) vendors

6. Challenging workforce issues driving Talent

Management suites with particular focus on

Recruitment

Page 29: Leveraging HRIS to Bring Organization into The Next Level

Driving HRIS Forward

S HRD is no longer viewed as “cost center” within

an organization

S HR staff relegated into non-strategic tasks

(“overhead cost” activities)

S HR as competitive differentiator to attract top-

talent, reduce employee turn-over, and control

high cost of benefit enrollment and utilization

Page 30: Leveraging HRIS to Bring Organization into The Next Level

Driving HRIS Forward (cont’d)

S HRD as key component of a company’s ongoing success

and a recognized contributor to the bottom-line

S Employee as valuable “assets”, while main products are

“productivity”, “service” and “expertise”

S Key challenges: selecting and quantifying human capital

info of human capital management metrics like revenue-

to-employee, productivity-to-employee, turnover rate,

employee assessment and satisfaction, time to fill, cost to

hire, employee performance

Page 31: Leveraging HRIS to Bring Organization into The Next Level

HRIS vendor and HRD to educate

execs on how human capital

management practices and

corporate success are integrally

linked

What’s Next?

Page 32: Leveraging HRIS to Bring Organization into The Next Level

Mapping HRIS Into Corporate Strategy

S Executives tend to expect HRD to concentrate on

Talent Management and HR Services

S It provides a clear-cut measurement of how

employee performance maps towards company

objectives, in an environment of increased

globalization and regulation

S In short, HRD needs to focus on People, Process

and Strategy to remain competitive and increase

profitability

Page 33: Leveraging HRIS to Bring Organization into The Next Level

A web-compliant, scalable, easily

maintainable, and cost-effective HRMS

systems to empower managers and execs

on strategic business initiatives and

encourage employees to monitor progress

through an easy-to-use self-service

learning environment

Competitive Environment for Greater Profitability

Page 34: Leveraging HRIS to Bring Organization into The Next Level

Ensuring HR Efficiencies for Managerial Staff

Cultivating effective managers results in significant economic paybacks and greater employee satisfaction

HR tools as a way to ensure that managers can properly disseminate both business and strategic objectives, as well as routine business practices

More productive and effective in cultivating direct reports

Page 35: Leveraging HRIS to Bring Organization into The Next Level

Making HRIS Convenient for Employees

S Making info easily available to employees is another

way to reduce costs across the organization

S Through an employee self-service portal, employees

can review and change their personal information,

enroll in benefits or training classes and receive

information about themselves and the company

S It frees up HRD so that they can focus on more

strategic activities

Page 36: Leveraging HRIS to Bring Organization into The Next Level

Reach Me

S E-mail: [email protected]

S Profile: www.linkedin.com/in/goutama

S Presentation: www.slideshare.net/goudotmobi

S Web: www.about.me/goudotmobi

S Twitter: @goudotmobi

Page 37: Leveraging HRIS to Bring Organization into The Next Level

Q&A

Page 38: Leveraging HRIS to Bring Organization into The Next Level

Thank You!