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The Role Of Human Resource Information System In Effective Workforce Planning
2013
1 ESHANK GARG@ OYLMPIA COLLEGE
UNIVERSI...
The Role Of Human Resource Information System In Effective Workforce Planning
2013
2 ESHANK GARG@ OYLMPIA COLLEGE
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
3 ESHANK GARG@ OYLMPIA COLLEGE
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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The Role Of Human Resource Information System In Effective Workforce Planning
2013
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ROLE OF HRIS IN EFFECTIVE WORKFORCE PLANNING
ROLE OF HRIS IN EFFECTIVE WORKFORCE PLANNING
ROLE OF HRIS IN EFFECTIVE WORKFORCE PLANNING
ROLE OF HRIS IN EFFECTIVE WORKFORCE PLANNING
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ROLE OF HRIS IN EFFECTIVE WORKFORCE PLANNING
ROLE OF HRIS IN EFFECTIVE WORKFORCE PLANNING
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ROLE OF HRIS IN EFFECTIVE WORKFORCE PLANNING

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Thesis for MBA(HR)- Role of HRIS in effective workforce planning.

Publicada em: Recrutamento e RH
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  • Hello Garg Eshank..i have a project to develop HRIS in my company. I wonder if i can have ur wonderfull paper so i can study more further, Thank you in advance and I looking forward for your response.
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ROLE OF HRIS IN EFFECTIVE WORKFORCE PLANNING

  1. 1. The Role Of Human Resource Information System In Effective Workforce Planning 2013 1 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY THE ROLE OF HUMAN RESOURCE INFORMATION SYSTEM IN EFFECTIVE WORKFORCE PLANNING BY ESHANK GARG UNIVERSITY OF DERBY, UNITED KINGDOM
  2. 2. The Role Of Human Resource Information System In Effective Workforce Planning 2013 2 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Independent Study Commencement Date: JANUARY, 05, 2012 Independent Study Completion Date: SEPTEMBER, 5, 2013 THE ROLE OF HUMAN RESOURCE INFORMATION SYSTEM IN EFFECTIVE WORKFORCE PLANNING BY ESHANK GARG Dissertation submitted in part fulfillment of the Requirements of the University of Derby for the degree of Master of Business in Administration DR. JOANNE HEE
  3. 3. The Role Of Human Resource Information System In Effective Workforce Planning 2013 3 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY SIGNATURE: ______________________ WORD COUNT: 14,629 ACKNOWLEDGEMENT The author wishes to extend her sincere thanks and gratitude to various individuals who has supported me during the completion of this dissertation, without them, this paper would not be possible. Each of them has been a great source of inspiration, strength and happiness all throughout the making of this study. An acknowledgement for the invaluable words of wisdom, assistance and pieces of advice of his supervisor Dr. Joanne Hee, in the preparation and checking of the manuscript, an endless gratitude to the human resource personnel of all the organizations to spare their time despite their busy schedules in meeting their deadlines to answer the questionnaires and to HR executives who check his questionnaires for accuracy, and allowed him for interview. A special note of thanks to her greatest and precious friends whose help, encouragement, and sisterly treatment praise worthy, They were a source of valuable assistance, Her deepest love and affection to her considerate and understanding parents whose unending support cannot be neglected and also to her sister for her words of encouragement. Above all, to God Almighty who provided numerous opportunities culminating with this successful research.
  4. 4. The Role Of Human Resource Information System In Effective Workforce Planning 2013 4 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Eshank Garg 05/09/2013 ABSTRACT Human Resource Information System (HRIS) has become one of most vital information systems in the market. This study focuses on the role of HRIS in human resource planning (HR) in private sector organizations. The purpose is to explore the functionality and contribution of HRIS in workforce planning through HRIS recruiting, training & development subsystems and succession planning subsystem as perceived by senior HR executives in private sector organizations. A pilot survey was carried out to identify the problem using structured interviews with Heads of HR of two selected private companies. A structured questionnaire was used to collect data from senior HR executives of selected private sector companies. Answers received from 45 respondents were analyzed. The overall response rate was 56 percent. The deductive mode of reasoning, cross-sectional study and quantitative techniques were selected as research methods. The results of the survey showed that the most frequently accepted HRIS feature is training needs analysis (TNA), job analysis and there is high correlation between HRIS recruitment subsystem and the effectiveness of workforce planning. Most private sector organizations perceived the contribution to efficiency of workforce planning through HRIS skill inventory, HRIS TNA, HRIS training program evaluation, HRIS succession planning, This study shows that HRIS needs to offer more intelligent capabilities to increase the effectiveness of HR planning. HRIS vendors need to win the trust of HR professionals
  5. 5. The Role Of Human Resource Information System In Effective Workforce Planning 2013 5 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY through enriching features and increasing the awareness and usage of HRIS in HR planning, especially its effectiveness. Table of Contents TITLE PAGE ................................................................................................................................1 ACKNOWLEDGEMENT.............................................................................................................3 ABSTRACT....................................................................................................................................4 TABLE OF CONTENTS ..............................................................................................................5 LIST OF FIGURE .........................................................................................................................9 LIST OF TABLE .........................................................................................................................10 LIST OF ACRONYMS…………………………………………………………………..….....11 CHAPTER 1: INTRODUCTION 1.1 INTRODUCTION ......................................................................................................13 1.2 BACKGROUND ........................................................................................................14 1.3 RESEARCH PROBLEM.............................................................................................18 1.4 SIGNIFICANCE OF THE STUDY.............................................................................19 1.5 PURPOSE OF RESEARCH........................................................................................20 1.5.1 RESEARCH QUESTION………………………………………………..20 1.5.2 RESEARCH OBJECTIVES…………………..........................................20 1.6 JUSTIFICATION OF RESEARCH ............................................................................21 1.7 RESEARCH TERMINOLOGY……………………………………………………..22
  6. 6. The Role Of Human Resource Information System In Effective Workforce Planning 2013 6 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY 1.8 RESEARCH OUTLINE……………………………………………………………..24 1.9 CONCLUSION............................................................................................................25 CHAPTER 2: REVIEW OF LITERATURE 2.1 INTRODUCTION .......................................................................................................27 2.2 LITERATURE REVIEW ...........................................................................................28 2.2.1 HRIS BENEFITS AND OBSTACLES .........................................................29 2.2.2 HRIS USAGE...................................................................................................31 2.3 HRIS ROLE IN HR PLANNING...............................................................................33 2.3.1 TRAINING AND DEVELOPMENT............................................................34 2.3.2 SUCCESSION PLANNING...........................................................................38 2.4.1 RECRUITMENT AND SELECTION..............................................................38 2.4 HRIS MODELS...........................................................................................................41 2.4.1 HYD-SHAFRITZ MODEL ..........................................................................41 2.4.2 RESOURCE FLOW HRIS MODEL............................................................41 2.5 CONCLUSION.........................................................................................................43 CHAPTER 3: RESEARCH DESIGN AND METHODOLOGY 3.1 INTRODUCTION .......................................................................................................46 3.2 RESEARCH DESIGN & METHODOLOGY.............................................................47 3.2.1 RESEARCH PHILOSOPHY........................................................................47 3.2.2 RESEARCH APPROACH ...........................................................................48
  7. 7. The Role Of Human Resource Information System In Effective Workforce Planning 2013 7 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY 3.2.3 RESEARCH STRATEGY............................................................................49 3.2.4 TIME HORIZONS...................................................................................50 3.2.5 POPULATION AND SAMPLE FRAME ...............................................50 3.2.6 CONCEPTUAL FRAMEWORK............................................................54 3.2.7 VARIABLES ...........................................................................................55 3.2.8 DATA COLLECTION METHODS........................................................56 3.2.9 RESEARCH INSTRUMENTS................................................................57 3.2.10 QUESTIONNAIRE AND VALIDATION PROCESS .........................58 3.3 RELIABILITY AND VALIDATION PROCESS.......................................................58 3.3.1 RELIABILITY..............................................................................................58 3.3.2 VALIDITY ...................................................................................................59 3.4 ETHICAL CONSIDERATION...................................................................................59 3.5 DATA ANALYSIS TECHNIQUES AND TOOLS....................................................60 3.5.1FREQUENCY AND PERCENTAGE DISTRIBUTION .............................60 3.4.3 WEIGHTED MEAN.....................................................................................61 3.4.4 PEARSON’S CORRELATION COEFFICIENT.........................................62 3.6 CONCLUSION............................................................................................................63 CHAPTER 4: DATA ANALYSIS & INTERPRETATION OF DATA 4.1 INTRODUCTION .......................................................................................................65 4.2 FINDINGS AND DISCUSSIONS ..............................................................................66
  8. 8. The Role Of Human Resource Information System In Effective Workforce Planning 2013 8 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY 4.2.1 RESPONSE RATE.....................................................................................66 4.2.2 PRE-TESTING .........................................................................................66 4.2.3 DEMOGRAPHIC CHARACTERISTICS OF RESPONDENTS ............67 4.2.4 PRESENTATION OF VARIABLES .......................................................70 4.2.4.1 HRIS RECRUITMENT SUBSYSTEM ..................................71 4.2.4.1 HRIS TRAINING & DEVELOPMENT SUBSYSTEM.........75 4.2.4.1 HRIS SUCCESION PLANING SUBSYSTEM ......................78 4.2.4.1 HRIS WORKFORCE PLANNING………………………….81 4.3 SAMPLE DISTRIBUTION ANALYSIS....................................................................82 4.4 CONCLUSION ABOUT EACH RESEARCH QUESTION ......................................84 4.5 CONCLUSION ABOUT THE RESEARCH PROBLEM ..........................................85 CHAPTER 5: SUMMARY OF FINDINGS, CONCLUSIONS & RECOMMENDATION 5.1 INTRODUCTIOM.......................................................................................................87 5.1 SUMMARY.................................................................................................................88 5.2 RECOMMENDATION...............................................................................................89 5.3 IMPLICATION FOR FUTURE RESEARCH ............................................................91 GLOSSARY…………………………………………………………………………………….92 REFERENCE.............................................................................................................................100 APPENDX I: ..............................................................................................................................114 APPENDX II: ............................................................................................................................124
  9. 9. The Role Of Human Resource Information System In Effective Workforce Planning 2013 9 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY LIST OF FIGURES FIGURE 1.1 LEVELS OF MANAGEMENT AND TYPES OF SUPPORT SYSTEM ...... 15 FIGURE 2.1 TRAINING AND DEVELOPMENT NEEDS ASSESSMENT MODEL ............................ 36 FIGURE 2.2 FRAMEWORK OF RECRUITMENT AND SELECTION ................................................. 39 FIGURE 2.3 THE HYDE- SHAFRITZ HRIS MODEL............................................................................. 41 FIGURE 3.1 SCHEMATIC DIAGRAM FOR THE CONCEPTUAL FRAMEWORK ............................ 54 FIGURE 3.2 VARIABLES IN THE CONCEPTUAL FRAMEWORK .................................................... 55 FIGURE 4.1 DISTRIBUTIONS OF RESPONDENTS ABOUT GENDER.............................................. 67 FIGURE 4.2 DISTRIBUTIONS OF RESPONDENTS ABOUT MARITAL STATUS............................ 68 FIGURE 4.3 DISTRIBUTIONS OF RESPONDENTS ABOUT AGE...................................................... 68 FIGURE 4.4 DISTRIBUTIONS OF RESPONDENTS ABOUT EMPLOYMENT STATUS .................. 69 FIGURE 4.5 INDUSTRIES TO WHICH RESPONDENTS BELONG..................................................... 70 FIGURE 4.6 HRIS JOB ANALYSIS ........................................................................................................ 72 FIGURE 4.7 HRIS SKILL INVENTORY ................................................................................................ 73 FIGURE 4.8 HRIS e-RECRUITMENT...................................................................................................... 74 FIGURE 4.9 HRIS TRAINING NEED ANALYSIS ................................................................................. 76 FIGURE 4.10 HRIS TRAINING PROCESS EVALUATION................................................................... 77 FIGURE 4.11 HRIS CAREER PLANNING.............................................................................................. 79 FIGURE 4.12 HRIS EMPLOYEE POTENTIALITY…………………………………………………….80 FIGURE 4.13 HRIS WORKFORCE PLANNING……………………………………………………….82 FIGURE 4.14 STANDARD ERROR BAR GRAPH…………………………………………………….83 FIGURE 5.1 PROPOSED MODEL OF HRIS……………………………………………….90
  10. 10. The Role Of Human Resource Information System In Effective Workforce Planning 2013 10 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY LIST OF TABLES TABLE 3.1: DISTRIBUTION OF TARGET POPULATION AMONG MANUFACTURING ORGANIZATION .......... 51 TABLE 3.2 DISTRIBUTION OF TARGET POPULATION AMONG SERVICE ORGANIZATION............................ 51 TABLE 3.3 SUMMARY OF DISTRIBUTION OF TARGET POPULATION AMONG ORGANIZATIONS ................ 51 TABLE 3.4 DISTRIBUTION OF SAMPLE AMONG MANUFACTURING ORGANIZATION ................................. 53 TABLE 3.5 DISTRIBUTION OF SAMPLE AMONG SERVICE ORGANIZATION……………………………………………….53 TABLE 3.6 TOTAL NUMBER OF EMPLOYEES IN THE SAMPLE…………………………………………………………………..53 TABLE 3.7 BREAKDOWN OF VARIABLES……………………………………………………………………………………………….114 TABLE 3.8 TYPES OF DATA REQUIREMENT AND SATA COLLECTION METHODS……………………………………115 TABLE 3.9 DATA REQUIREMENT TABLE……………………………………………………………………………………………….116 TABLE 3.10 SUMMARY OF THE STUDY…………………………………………………………………………………………………119 TABLE 4.1 RESPONSE RATE FROM THE ORGANIZATIONS……………………………………………………………………….66 TABLE 4.2 WEIGHTED MEAN AND VERBAL INTERPRETATION ON HRIS ROLE IN RECRUITMENT SUBSYSTEM…………………………………………………………………………………………………………………………………………120 TABLE 4.3 WEIGHTED MEAN AND VERBAL INTERPRETATION ON HRIS ROLE IN TRAINING AND DEVELOPMENT SUBSYSTEM………………………………………………………………………………………………………………..121 TABLE 4.4 WEIGHTED MEAN AND VERBAL INTERPRETATION ON HRIS ROLE IN SUCCESSION PLANNING SUBSYSTEM …………………………………………………………………………………………………………………………………………122 TABLE 4.5 DESCRIPTIVE STATICS…………………………………………………………………………………………………………….83 TABLE 4.6 SUMMARY OF THE RESULT………………………………………………………………………………………………….123
  11. 11. The Role Of Human Resource Information System In Effective Workforce Planning 2013 11 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY List of Acronyms BPO: Business Process Outsource DSS: Decision Support System ESS: Executive Support System HR: Human Resource HRIS: Human Resource Information Systems HRM: Human Resource Management IAAS: Infrastructure as a Service IS: Information Systems IT: Information Technology MIS: Management Information System PAAS: Platform as a Service SAAS: Software as a Service SHRP: Strategic Human Resource Planning SOA: Service Oriented Architecture TPS: Transaction Processing Systems
  12. 12. The Role Of Human Resource Information System In Effective Workforce Planning 2013 12 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY CHAPTER 1 INTRODUCTION 1.1 Introduction
  13. 13. The Role Of Human Resource Information System In Effective Workforce Planning 2013 13 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Organizations continuously invest substantial amounts of money on Information System. If they invest without identifying the current value of support and future limitations, they can’t gain competitive advantage in a rapid changing business world (Tansley et al 2001). They may even go bankrupt without ever meeting these two ends. Human Resource Information System (HRIS) is one of the Information System in which one should invest intelligently, most of the large scale organizations spend large amount on HRIS, but unfortunately many of them utilize it just for HR administrative purposes rather than for effective and efficient Human Resource Planning. After spending considerable amounts, if HRIS is used only for administrative work, it will not be effective. This study aims to find out the contribution of HRIS in Human Resource Planning throughout recruitment, training and succession planning within the perception of Senior HR and HR executives developing a conceptual framework.
  14. 14. The Role Of Human Resource Information System In Effective Workforce Planning 2013 14 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY 1.2 Background As the new economy shifts gears, we enter an era when the careful examination of value creation is not enough. Therefore entrepreneurs invested further on Information Technology (IT) and Information System (IS) intending to lead the market and gain competitive advantage (Tansley et al 2001). Nowadays the most part of daily activities of managers are spending to receive information, communication and using information in different affairs of organization. Since the information is the base of all activities in an organization, there should be system to produce and manage the data. The purpose of such type of system is ensuring providing proper and reliable information. Such have been called Information System (Karimidizboni R 2013). The HRIS got its start in 1960s and 70s as firms converted their personnel records from hardcopy and punched card, to computer storage (McLeod R and DeSanctis G 1995). The first generation of computerized HRIS is involved the conversion of manual information keeping system to computerized system (Mc Adams J 2007). As the 1970 advances, the second generation of computerized HRIS was initiated with the introduction of the mini-computer. The second generation of computerized HRIS was completed in early 1980s. The data repository was moved to the human resource professional desktop (Bulmash J 2010). Moving the data repository from some mainframe or computer group to the desktop caused a great deal of excitement in HR field. Software vendors observed the desire of HR professional and began to develop systems to integrate the various areas within their application. The result was the third generation of the HRIS, a feature rich, broad based, self- contained HRIS. The third generation took system far beyond being mere data repositories and created tools with which HR professionals could do much more, the extent to which the organization has developed their HRIS varies from organization to organization (Francis A 2007). Therefore, organizations invested further on Information technology (IT) and Information System (IS) intending to lead the market and to gain competitive advantage. Gradually, IS turned out to be a backbone of the organization, used for most
  15. 15. The Role Of Human Resource Information System In Effective Workforce Planning 2013 15 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY of the operational level activities. Furthermore, IS has been developed to support business decision making in order to increase the quality of business decisions. (Figure 1.1) Figure1.1: Level of Management and Types of Support System Source: (Belle et al 2001) Organizations endeavored to use IS at managerial and strategic level to gain competitive advantage, among the four main type of systems within the industry, Management Information System (MIS) and Decision Support System (DIS) are mostly used for business decisions. In most of the firms these systems are loosely coupled resulting ineffective information transportation from one to another, leading to failure to respond quickly to the challenges in the business environment (Dessler G 2011). There are lot of terms in use for these systems, but the most common are e-HRM (e Human Resource Management), HRIS (Human Resource Information System) and HRMS (Human Resource Management System). There is a fundamental difference them, as Human Resource Management System has directly implementation in HR department and employees. Enhancement of HR department is the main goal of HRIS, which all indirectly improve business (Dusmanescu D and Martinovic A B 2011). Apart, from that HRIS can be viewed as database system or a series of interconnected database (Venkateswaran N 2007). Human Resource Information System
  16. 16. The Role Of Human Resource Information System In Effective Workforce Planning 2013 16 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY The increase pressure to support strategic objectives and the greater focus on shareholder value has led to changes in both job content and expectations of HR professionals (Shaikh S 2012). Similarly, Mayfield et al (2003), noted that one such major changes include contemporary use of IS in support of HRM. So, a careful analysis indicated that increase HRIS usage enabled improved professional performance. Human Resource Information System (HRIS) is one of the most important management information system, which contribute to HR administration function of an organization. It is the primary transactional processor, editor, record-keeper and functional application system (Grobler et al 2006). HRIS aptly defined by Hendrickson (2003) as an “integrated system used to gather, store and analyze information regarding an organization’s human resources’ comprising of databases, computer applications, hardware and software necessary to collect, record, store, manage, deliver, present and manipulate data for human resources function”. It supports the provision of executive reports and summaries for senior management and is crucial for learning organizations that see their HR as providing a major competitive advantage (Shaikh S 2012). It can perform a number of functions from the simple storage and communication of information to more complex transactions. HRIS becomes an integrated strategic tool since it collect, manages and report information for decision making (Ruel et al 2004). Fully integrated HRIS ought to interface with other systems enabling and enhancing the communication between departments such as payroll system with accounting system. Since HRIS deals with employee’s personal data, which are sensitive, it should ensure data security system while transferring information from one place to another. HRIS should be able to enhance communication between employers and employees and build strong relationship with line managers and unions (Shiri S 2012). The use of HRIS has been advocated as an opportunity for human resource professionals to become strategic partners with top management. HRIS allow HR function to become more efficient and to provide better information for decision making (Beadles et al 2005). New HRIS trend seem to build important effect on HR planning embedding new technology with organizational objective and goals. Enterprise Resource Planning System (ERP), when
  17. 17. The Role Of Human Resource Information System In Effective Workforce Planning 2013 17 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY linked with the HRIS subsystem, provides a competitive advantage to organizations over competitors (Belle et al 2001). HRIS and Workforce Planning Workforce Planning is about having right talent with the right skills, at the right time and cost, to support the organization’s strategy. According to Pattanayak and Biswajeet (2009), the role of HR is to incorporate planning and control of Human Resource into the corporate level plans. As a result all resources are used together in the best possible combination. It deals with the systematic and continuing process of analyzing organization’s human resource requirement and develops a plan to fulfill the future workforce positions. It aids to align the organizational objectives with its HR concerns through short-term as well as long-term strategic HR plan by evaluating feedback regularly (Anyim FC 2012). If HRIS facilitates HR planning such as recruitment, training and succession planning, organizations would gain a competitive advantage. HRIS or Human Resource Management System (HRMS) can assist in recognizing experienced, qualified and skilful employees. It can provide a statistical overview for the whole organization to improve its productivity by selecting and developing potential employees for positions (Armstrong M 2009). Organizational recruiting sources such as direct application, advertisements, public or private employment agencies, colleges; universities etc. are going to be replaced by HRIS electronic recruiting facilities reducing the cost of the organization. Employee selection must be according to the job type and relevant skill requirements such as technical skills, intelligence, interpersonal skills, computer skills etc. HRIS inventory facilities can be used to store data in a skill database facilitating the selection of the most suitable candidates after analyzing their skills and qualification according to the job requirement (Antonio FS 2006). Organizations make jobs more rewarding by job enlargement, job enrichment, job rotation and empowerment. In addition, organizations reengineer jobs to compensate employee shortage. Employees gain training and development opportunities whenever
  18. 18. The Role Of Human Resource Information System In Effective Workforce Planning 2013 18 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY HR department decides to redesign current jobs. Tao et al (2006), states that training especially is an important strategic practice in the development of internal competence. HRIS facilitates training need analysis to decide what training program might best meet the need; it assists the organization to maintain a training record for each delegate. Succession planning is another part of training and development, used to identify high- potential employee already working in the organization in order to fill the top management positions whenever they become vacant (Brown J 2002). HRIS is one of the systems that organizations invest and implement according to their corporate, HR and IS/IT strategies. HRIS is developed to assist the organizational HR planning. 1.3 Research Problem Organizations that are smart enough to set overall information system policies in advance seem to acquire HRIS to fulfill their HR administrative functions as well as human resource planning functions. Though the existing HRIS system supports HR planning functionalities of the organization, some organizations do not fully utilize them for recruiting, training and succession planning due to the dependence on traditional methods or due to unawareness. Others struggle to align their existing HRIS system facilities with the HR planning functionalities owing to lack of support from their existing system or lack of investments to upgrade the system with required features. The research findings lead to the conclusion that very few organizations are fully aware of the administrative functionality of HRIS and make use of them but do not make optimum use of HRIS functions in support of workforce planning. How does HRIS contribute to workforce planning? Do the available HRIS functionalities adequately support organizational HR planning efficiency and effectiveness? This research is to investigate the contribution of HRIS to Workforce Planning thorough recruitment, training and succession planning to reveal the strength of HRIS as a management processing system. This study would guide future HRIS user to make optimum use of
  19. 19. The Role Of Human Resource Information System In Effective Workforce Planning 2013 19 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY HRIS functionalities in HR planning rather than employing it only for administrative work. 1.4 Significance of the Study In the research context, HRIS is still in its initial stages since a lot of forming and reforming are going on in the industry. There is a knowledge gap within research studies as to how HRIS could contribute to effective workforce planning. Therefore, finding the role of HRIS in workforce planning in private sector organizations would be very important, and would contribute to the body of knowledge. Workforce planning is one of the most crucial aspects of an organization, which can be facilitated by HRIS functionalities. A number of vendors supply HRIS software to the market under different names and prices. Organizations spend substantial amounts to acquire HRIS software. After a while, they suffer when they try to align the available HRIS functionalities with HR planning. Sometimes thought organizational HRIS support for HR planning features, organizations do not use all the functionality due to poor response from the users (Nawaz M N 2012). It is time to conduct a proper study to find out how HRIS could contribute to workforce planning other than as a mean of facilitating administrative matters. This study would not only fill the existence gap in research studies, it would also encourage organizations to review there IS policies and HRIS utilization in HR planning Thought this study, HRIS vendors would also be able to re-evaluate the HR planning functionality of HRIS to minimize deficiencies and enhance its services. Furthermore, vendors can decide as to whether they have instructed their client to make optimum use of HR planning through the opinion of the senior HR executives. 1.5 Purpose of Research
  20. 20. The Role Of Human Resource Information System In Effective Workforce Planning 2013 20 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY The purpose of this research is to explore the functionality and contribution of HRIS in Workforce planning through HRIS recruiting, training and succession planning subsystem within the perception of senior HR executives in private sector organizations. This study would contribute to the body of knowledge by filling the existence gap in the workforce planning aspect of HRIS studies by analyzing the senior HR executive’s opinions and awareness of HRIS functionalities towards the success of workforce planning. Workforce planning and people management was selected as the focus of this study since it is likely to be supported by HRIS tools; job analysis, skill inventory, e- recruiting, TNA, training evaluation, succession planning, HRIS labour demand and supply analysis and decision making. This study would determine the contribution of this to human resource planning by developing a conceptual framework. 1.5.1 Research Questions 2. How effective and efficient does the HRIS recruitment subsystem contribute to workforce planning of an organization? 3. How effective and efficient does the HRIS training subsystem contribute to workforce planning of an organization? 4. How effective and efficient does the HRIS succession planning subsystem contribute to workforce planning of an organization? 1.5.2 Research Objectives 1. To investigate the contribution of HRIS recruitment subsystem to workforce planning of an organization. 2. To investigate the contribution of HRIS training subsystem to workforce planning of an organization. 3. To investigate the contribution of HRIS succession planning subsystem to workforce planning of an organization. 1.6 Justification of Research
  21. 21. The Role Of Human Resource Information System In Effective Workforce Planning 2013 21 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY This research will disclose the role of HRIS in workforce planning with special emphasis on recruitment, training and succession planning since these processes have direct involvement in organizational goals. This study proposes a conceptual framework representing the role of HRIS in workforce planning through recruitment, training and succession planning. During the pilot survey, Heads of HR who are directly involved in HR planning were interviewed to analyze their views. They emphasized that senior HR executives were more involved in HRIS than them. For this reason, researcher has selected senior HR executive as a focus to carry out this research, as they are the experts who directly use HRIS. Beadles et al (2005) find out that user satisfaction and perception of the system has often been used as a proxy measure for the effectiveness of the system. This is because the ideal assessment of HRIS success might include hard measure such as Return on Investment (ROI) the control of extraneous variables makes this type of measurement of success difficult if not impossible. Although the management plans to make use of HRIS in workforce planning, if the existing HRIS functionality does not support the objectives, the effort will not bear fruit. This research would help to identify whether the existing HRIS in an organization is still in developing stage or it has matured to facilitate workforce planning. This study will identify if organizational HRIS considered MIS (Management Information System) and DSS (Decision Support System) to support HR decision making or merely TPS (Transaction Processing System). It makes recommendation for the future developments of HRIS in order to fit into workforce planning. A lot of research has focused on the administrative functionalities of HRIS but very few studies have been carried out on the HR planning aspect of HRIS. There is a knowledge gap as to how recruitment, selection, training and succession planning functionalities of HRIS contribute to HR planning. Not many studies exist on the HRIS HR decision support functionality for workforce planning. Therefore, this research is important. 1.7 Research Terminology
  22. 22. The Role Of Human Resource Information System In Effective Workforce Planning 2013 22 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Co relational analysis Co relational analysis is done to trace the mutual influence of variable on one another (Sekaran and Uma 2003), whereas the correlation coefficient (r) indicates the strength of relationship between two variables. Cross-sectional study A cross sectional research is the study of a particular phenomenon (or phenomena) at a particular time, i.e.; a snapshot (Saunders et al 2003). Decision support system (DSS) Decision support system (DSS) refer to computer system used by managers in the decision making process. Finally distinguished between data-oriented and management oriented approaches. Deductive research approach Deductive research approach involving the testing of a theoretical proposition by the employment of a research strategy specifically designed for the purpose of its testing (Saunders et al 2003). ERP system ERP system is software that provides computer system interrogation and support to all units and functions across on organization in a single system, thus eliminating the need for individual unit database or systems (Babey 2006). Executive information system (EIS) Executive information system (EIS) are user- friendly computerized systems designed specifically to provide selected and summarized information from diverse sources in a form that permits access, analysis and presentation to assist top level management (Collier and Dixon 1995).
  23. 23. The Role Of Human Resource Information System In Effective Workforce Planning 2013 23 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Expert system (ES) An expert system (ES) is a computer system which has the knowledge-based component of an expert skill held in a form that enables the computer to offer intelligent advice or take an intelligent decision Inductive research approach Inductive research approach involving the development of a theory as a result of the observation of empirical data (Saunders et al 2003), therefore, general inferences induced from particular instances Non-profitability sampling In non-profitability sampling design, the elements in the population do not have any probability attaché to their being chosen as sample subjects Probability sampling design When elements in the population have a known chance of being chosen as subjects in the sample, we resort to a probability sampling design. Positivism Positivism is a paradigm that originated in the natural sciences. It rests on the assumption that social reality is singular and objective, and is not affected by the act of investigating it (Collis and Hussey 2009). Qualitative and Quantitative method In new or underdeveloped areas, it is common to apply qualitative methods in a preliminary stage, thus enabling the researcher to develop a conceptual framework, to generate hypothesis, or to establish the necessary tools (particularly instruments for measurement) for the quantitative study.
  24. 24. The Role Of Human Resource Information System In Effective Workforce Planning 2013 24 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY 1.8 Outline of this research Chapter 1: Introduction This chapter includes the background to this research, its objectives and discusses HRIS‘s functional role within an organization, human resource planning and HRIS theoretical perceptions. Chapter 2: Literature survey This chapter analyses the existing studies and their findings. It also highlights the existing gaps of knowledge and examines the potential contribution of the current study to fill this gap. Chapter 3: Research design This chapter lays out the conceptual framework of the thesis. Research approach, methods and strategy are selected considering the alternative actions. Conceptual framework is developed identifying the variables, their relationships. Select the appropriate statistical methods that can be used to analyze the data. Chapter 4: Data Analysis In this chapter, results are discussed using appropriate charts, graphs and tables with selected software packages. Chapter 5: Summary, conclusion and recommendations Presents a summary of the study recapitulating the findings and highlights future areas for research. Existing gaps that could not be addressed in the current research are also documented. 1.9 Conclusion Information system adds value to an organization enhancing efficiency and effectiveness of daily activities. Workforce planning is the process of forecasting
  25. 25. The Role Of Human Resource Information System In Effective Workforce Planning 2013 25 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY employment needs. HRIS is one of the information systems that facilitates workforce planning. Even though HRIS facilitates workforce planning, some organizations are unable to make use of it due to various problems such as lack of support through the existing system, lack of knowledge or because of dependency on the traditional method. This research study mainly aims to find out whether the organizational HRIS role contribute to effective and efficient workforce planning processes through recruitment and selection and training and succession planning processes.
  26. 26. The Role Of Human Resource Information System In Effective Workforce Planning 2013 26 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY CHAPTER 2 REVIEW OF LITERATURE 2.1 Introduction Information System is an integrating subject area for man researches in this information age. HRIS is a management information system, which is employed by many
  27. 27. The Role Of Human Resource Information System In Effective Workforce Planning 2013 27 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY organizations spending substantial amounts. Many studies have discussed HRIS benefits, obstacles and usage on various occasions. Workforce planning is another research area that has been discussed continuously from many years. However, there are not many studies based on the contribution of HRIS in workforce planning throughout recruitment, training and succession planning. This literature survey attempts to gather the existing knowledge based on HRIS model, workforce planning, recruitment, training and succession planning. By reviewing existing studies, the research tries to reveal knowledge gap, which has to be addressed in a near future. 2.2 Literature Review Human Resource Information System (HRIS) is a concept concerning the utilization of Information Technology (IT) development and characteristics for effective managing of the HRM functions and application (Kovach et al 2002). The last decade has seen a significant increase in the number of organizations gathering, storing and analyzing
  28. 28. The Role Of Human Resource Information System In Effective Workforce Planning 2013 28 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY human resource data using HRIS (Ball 2001; Barron et al 2004; Hussain et al 2007; Ngai et al 2006). In the present context of globalization, employing organizations, and their environments have become increasingly complex. Managers in these organizations face growing difficulties in coping with workforce that may be spread across various countries, cultures and political system (Beckers and Bsat 2002). Snell et al (2002) observe that HRIS can meet the challenge of simultaneously becoming more strategic, flexible, cost- effective and customer oriented by leveraging information technology. The rapid development of IT during the last two decade has boosted the implementation and application e-HRM/ HRIS (Strohmeier 2007). Surveys of HR consultants suggest that number of organizations adopting HRIS and the depth of applications within the organizations are continually increasing (Benfatto M C 2010). Kovach et al (2002) argue that HRIS varies among organization in relation to their size; it can be informal as the payroll, records and time cards in a small organization. The emergence of strategic human resource management (SHRM) approach has created a real need for information about HR (Ball 2001). Studies show that HRIS application in HR helps in achieving primarily three objectives i.e. cost reduction, efficiency grains, and facilitating management and improving the strategic orientation of HRM/ innovation, client services (Broderick and Boudreau 1992). Ruel et al (2004) added a fourth dimension to it i.e. allowing integration of HR functions. These could be set as HRIS goals and taken as the basic reasons for adaptation of HRIS in an organization. The current generation of HRIS automates and develops routine administrative and compliance functions traditionally performed by corporate HR departments and can facilitate the outsourcing of HR (Barron et al 2004). In doing so, HRIS not only make it possible for organizations to significantly reduce the costs associated with HR delivery, but also to reassess the need for retaining internal HR capabilities. However, HRIS also provide HR professionals with opportunities to enhance their contribution to the strategic direction of the firm (Lawler et al 2003). Second, HRIS provides an opportunity for HR to play a more strategic role, through their ability to generate real time reports on HR issues, including workforce planning (Hendrickson 2003; Lawler et al 2004; Lengnick Hall et al 2003).
  29. 29. The Role Of Human Resource Information System In Effective Workforce Planning 2013 29 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY The existing literature on HRIS suggests that they have different impact on HR across organizations, but provides little explanation for this variation. Early survey suggested that HRIS were used predominantly to automate routine tasks (Martinson 1994; Grant et al 2006). Ball (2001) reported similar results for small and medium sized enterprises in UK and conducted that HR had missed the strategic opportunity provided by HRIS. More recent research shows greater use of HRIS in support of strategic decision making by HR (Hussain et al 2007). However, the extent to which HRIS is used in a strategic fashion differs across organizations, with the vast majority of organizations continuing to use HRIS simply to replace manual processing and to reduce costs (Brown J 2002). 2.2.1 HRIS Benefits and Obstacles Many studies have cited HRIS benefits, such as the improvement in accuracy, the cost saving and the timely and quick access to information through HR reports (Ngai and Wat 2006). In HR, reports can be generated from data input into a HRIS database via previously programmed report generators, thereby making “transparent” HR collective data from the aggregation of the personal data actually input (Tansley et al 2001). Ngai and Wat studied how HRIS reduced the cost of an organization. How it maintained customer satisfaction, improved quality and innovations. Almost all the HR applications involve the automating of HRM activities (Ngai et al 2006). HRIS was not only designed to automated HRM activities to gain administrative advantages; rather, it could be used for decision making to provide strategic advantages for companies. The key element in the support HRIS provides for the company’s HR strategy is the availability of information as input for HR relating decision- making processes (Beulen and Erik 2009). Ngai and Wat (2006), listed benefits of HRIS: increased competitiveness by improving HR operations shifts the focus of HR from the processing of transactions to strategic HRM, makes employees part of HRIS and reengineering the entire HR function of companies. Alvarez-Suescun (2007) also highlighted HRIS as a competitive tool which can be used in the organizational HR department. Reddic and Christopher (2009) stated that the scope of HRIS was information rich and transaction poor. First, this implied that the typical justification for the implementation of HRIS or reducing costs might not be found in the survey findings presented. It seemed that
  30. 30. The Role Of Human Resource Information System In Effective Workforce Planning 2013 30 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY improving customer service and providing higher quality services were important factors. Second, more effort should be devoted to finding ways to increase the use of HRIS to support more advanced strategic decision-making tools within public sector organizations. The evidence showed that there was more use of HRIS for basic information, but much less on decision support functions. Reddic and Christopher (2009) arrived at an important conclusion; improving customer service and providing higher quality services were important than reducing cost, which is not much discussed in other studies. In particular, most researchers emphasized the decision-making inability of HRIS. Kovach and Cathcart (1999) mentioned that lack of top management support, funds, HR knowledge of system designers and HR solutions are the main factors that keep organizations away from HRIS. Teo et al (2007), also came up with similar findings: departmental relative advantage, compatibility, top management support, size of the organization and HRIS expertise emerged as important variables discriminating between adopters and non- adopters of HRIS. A research conducted by the Institute of Management and Administration 2002 indicated the issues in managing a HRIS to include: lack of staff, lack of budget, problem with time management, need to work with other departments and lack of IT support. Ngai and Wat (2006) found costs to be the main barrier to the implementation of HRIS. Ball (2001) identified two fundamental differences between small and large firms when purchasing HRIS: cost and risk. Small firms cannot afford advance enterprise resource planning ERP systems (i.e. SAP, PeopleSoft) due to cost. The risk on implementing new software was high for small organizations. They needed longer time to develop HRIS to have more sophisticated facilities. Ngai and Wat (2006) and Ball (2001) showed that small organizations have a lesser possibility of implementing HRIS due to lack of funds. However, Ball (2001) foresaw suitable HRIS system for small organizations thought they didn’t facilitate all the features that large organizations gain. He states that the small business sector is seen as growth area by some HRIS software vendors who prefer flexible, low-cost genetic, windows-based products. Recent practitioner literature examining the use of HRIS in small companies advanced the view that the issues they face regarding HRIS uses are
  31. 31. The Role Of Human Resource Information System In Effective Workforce Planning 2013 31 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY slightly different to their larger counterparts, yet research in HRIS to date is oriented to the larger organization. Ngai and Wat (2006) concluded that cost of adopting, operating and maintaining the HRIS is relatively high. Cost created barriers and kept HRIS away from small organizations. Same issue caused the lack of attention given to develop and enjoy sophisticated benefits of HRIS. Ozcelik and Ferman (2006) say that HRIS may create resistance from employees sue to emotional resistance to change or use technology due to learning difficulties, and fear of measures taken to ensure the security of information. Most HRIS researchers focus on its benefits and implementation barriers. Most of them observed the high cost of HRIS. Few of them analyzed the HRIS decision support benefits. 2.2.2 HRIS Usage Human resource planning, recruiting, and training and succession planning are less frequent users within personnel perhaps reflecting greater use of the system for routine reporting than for decision support. Ngai and Wat (2006) stated that HRIS usage was decided by the HR strategy of an organization and further described a matching process between different strategies and different system usage. If the strategy were to reduce cost, the system would have been based on administration purposes. Ngai and Wat (2006) classified HRIS into two types according to their usage: “unsophisticated” and “sophisticated”. Payroll and benefits administration, and employee absence records keeping electronically is listed as “unsophisticated” since it is an electronic replication of the contents of the HR department‘s manual files. He called this simple minded automation. Use of IS in recruitment and selection, training and development, succession planning, HR planning and performance appraisal, is classified as “sophisticated” since those support decisions which involve expert judgments. A quality-based strategy is similar to an expert systems approach. Innovation strategy matched with decision support systems. Kovach and Cathcart (1999) also noted that HRIS information could be used for administrative purposes, which reduce cost and time, and supported more analytical
  32. 32. The Role Of Human Resource Information System In Effective Workforce Planning 2013 32 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY decisions as well. They further added two general purposes of HRIS application as administrative purposes that reduced processing costs and time, and decision- support application that assisted HR managers, non- HR managers, and employees to make better decisions. According to a survey Ball (2001) showed that 60 percent of Fortune 500 companies used the HRIS to support daily human resource management (HRM) operations. He classified HRIS according to administrative and analytical aspects and predicted out though HRIS was used for administrative purposes, the trend would be to use it for analytical purposes. HRIS functionality nowadays includes corporate communication, recruitment, succession, training, employee opinion survey, compensation, payroll services and employee verification as well as general information (Ngai and Wat 2006). According to Beulen and Erik (2009), the HRIS contributes positively to staff retention for global IT service providers in engineering markets. HRISs have indirect influence on retention management. But a HRIS can also be a strategic HR tool. HR executives can use HRISs to support their strategy and talent management programs by considering some specific functionality, such as human resource planning, staff development and regulatory compliance, benefits administration, and performance appraisal (Beulen and Erik, 2009). According to Beulen and Erik (2009), performance appraisal is an important factor in employee retention. In performance appraisal, it is really important that employee’s individual expectations are managed well, but the same holds for the expectations of departments and divisions. The degree to which objectivity regarding individual’s performances is properly assessed is very important and employee’s sense of being appraised objectively is increased by setting clear objectives before the assignment, and by assessing their performance together with them afterwards (Beulen and Erik 2009). These insights should be used to set the HRIS parameters and to implement its functionalities. When such aspects are implemented, HRIS may indeed contribute significantly to the optimization of retention management (Beulen, 2009). Though Beulen (2009) studied in depth the staff retention aspect of HRIS, most of the researchers had studied unsophisticated usages of HRIS. They have not focused much on whether the users enjoy the sophisticate usages fully or partly. Are the benefits received worth the cost? These aspects are not much analyzed by most of researchers.
  33. 33. The Role Of Human Resource Information System In Effective Workforce Planning 2013 33 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Even Beulen (2009) has not done as in-depth study regarding HR planning since his objective was to find whether HRIS’s contribution to staff retention was positive or not. 2.3 HRIS Role in HR Planning HRIS provides a foundation if a set of analytical tools that assist managers in establishing objectives and in evaluation the performance of the organization’s HR programs. The well designed HRIS will serve as the main management tool for aligning human resource department goal with long term planning goals (Chauhan et al 2011). HRIS primary role of integrating human resource management and information technology has lead to competitive advantage and hence attracted many human resource managers and professionals. Other vital facts of HRIS reported in literature are effective human resource decision making and also strengthening an organization’s character (Sadri and Chatterjee 2003), reducing process and administration cost, speeding up transaction processing, reduce information errors and improve the tracking and control the HR actions (Lengnick et al 2003). It can be summarized that HRIS, is a computerized system that aids in processing of information relating to human resource management and has come a crucial element of all organizations. It can be deemed as a device which is designed to fulfill the manpower information needs of the organization. Thus the importance and role of HRIS is multifaceted, ranging from operational assistance in collecting, storing and preparing data for reports, simplifying and accelerating the process and controlling the available data, reducing labour cost for human resource departments and providing timely and diverse information to the management of the company, based on which it is possible to make quality strategic decisions related to human capital (Aggarwal N and Kapoor M 2012). This paper mainly focuses on the role of HRIS in recruitment, training and development. 2.3.1 Training and Development
  34. 34. The Role Of Human Resource Information System In Effective Workforce Planning 2013 34 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Training and development of employees is crucial in organizations in the era of competition due to the fact that organizations need to survive, grow and develop. It could no longer be based on the good will of the superior to train his/her subordinates (Glaveli and Kufidu 2005). The training and development intervention needed to be carefully designed and implemented and linked to organizational goals and strategy for the training investment to pay off. Training is considered as the process of upgrading the knowledge, developing skills, bringing about attitude and behavioral changes, improving the ability of the trainee to perform tasks effectively and efficiently in organization (Will 1994; Palo et al 2003). Similarly, Steward 1996 combines the two concepts of training and development and gives an organization function which has the outcome of ensuring that the contribution of individual and group in achieving the organizational objectives through the development of appropriate knowledge, skills and attitude of the employee (Ongori H and Nzonzo JC 2011). Sambrook and Sally (2005) suggests there are difference between training and development practices relative to organization size and small firms face unique barriers, including access to time for and the cost of training. According to Glaveli and Kufidu (2005) the training approach is continuous, systematic and strategy oriented. The training process consists of four phases. a. Training Need Analysis (TNA) b. The design phase, which involves the creation of the training activity. During this phase, formulates and implements a detailed training plan, referring to: training objectives and content, staff subject to training, involved resources, methodological options, training delivery channels-media, centralization/decentralization of the activity, specific objectives and outcomes etc. c. The implementation phase, which refers to the understanding of the participant’s background and characteristics, the close observation of the instructor’s behavior, measurement of participant’s perception level and participant’s satisfaction. d. The training evaluation. It is necessary to ensure that the training activity is processing towards the intended objectives. The evaluation phase measures mainly participant’s satisfaction with the training program.
  35. 35. The Role Of Human Resource Information System In Effective Workforce Planning 2013 35 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Training resources, like other resources in the organization, are limited. To utilize training resources to the best advantage, companies must put a fair amount to effort in training needs assessment. Tao et al (2006) defined need as a gap between a current set of circumstances and some changed or desirable set of circumstances, and needs assessment as the process of measuring (as scientifically as possible) or appraising that gap. The word “circumstance” in this definition can be substituted with words such as “proficiency” (knowledge, skills and attitudes), “performance” or “situation”. Furthermore, he advocated that though companies may adopt various training models or processes, they all need to establish a training information system as a reference for determining an effective training plan, HRIS consists of one of the automated training needs assessment tools. Tao et al (2006) presented a conceptual framework of a web- based training needs assessment system, they have not studied whether the existing HRIS TNA support for HR planning which is going to address by this research study. According to Glaveli and Kufidu (2005), an electronic model based on skills development and the evaluation of employees sustains the training and development effort. The advantages expected are to: a. Put the right employee to the right job, b. Profit the best people in each area and create personality and skill traits, c. Make a valid and fair evaluation, d. Allow people see and understand who they are and their future training and development needs, e. Help to know at which rate employee is capable of learning, and f. Help to build effective teams. Training and Development Needs Assessment Model The Al-Khayyat (1998) model (Figure: 2.1) has discussed the main elements of T&D information system. The limitation of this model is that it has not depicted how the new technology contributes to T&D. the model could have been perfect if it showed the effect that comes from organizational HRIS system to enhance the each step of Al- Khayyat’s (1998) Training and Development Needs Assessment Model.
  36. 36. The Role Of Human Resource Information System In Effective Workforce Planning 2013 36 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Figure 2.1 Training and Development Needs Assessment Model Source: (Al- Khayyat 1998 ) However, Al-Khayyat (1998) model has identified the evaluation and feedback element as one of the most important elements in training and development, which was studied in detailed by Yadapadithaya in 2001. According to Yadapadithaya (2001) argued that though some experts on the evaluation of training make a distinction between validation (the assessment of whether the training has achieved its intended objectives) and evaluation (the measurement of the total effects of the training program) in practice, this distinction is not always meaningful. Since it may be almost impossible to obtain information on the total effects of training, which may be extremely complex. Yadapadithaya (2001: 265) has stated that the training needs analysis and evaluation trend as follows; PLAN TO PLAN - T&D FIELD - HR T&D COMITEE - ADMINISTRATIVE RULES DATA GATHERING - DEVELOP - COMPETENCY CHARTS - QUESTIONAIRE - DESIGN T&D Information system EVALUATION AND FEEDBACK DATA ANALYSIS IMPLEMENTATION DEVELOP DATA GATHERING CYCLE
  37. 37. The Role Of Human Resource Information System In Effective Workforce Planning 2013 37 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY “a sound training and development program should contain specific, measurable, achievable, relevant, and timely (SMART) objectives based on a systematic training- needs analysis conducted at three levels- individual (acquisition of proper knowledge, skills and attitudes) and organization (organization objectives, resources and allocation of resources). A very important aim of the evaluation process is to determine whether the predetermined objectives are being met”. Yadapadithaya (2001:266) has highlighted two basic aims of evaluation: assessing training effectiveness and using it as a training aid. “The primary aim of evaluation is to improve training by discovering which training processes are successful in achieving their stated objectives (to ‘sort’ out good training from the ‘bad’). Since ‘evaluation’ affects ‘learning’, it can also be used as a training aid (knowledge of results facilitates good learning)”. Evaluation data can be obtained prior to training, during training, immediately after training, or at a specified time after the end of training. In most of the cases, evaluation was done immediately after training. As Yadapadithaya (2001) points out, the various levels of evaluation-reactions, learning, job behavior, organizational unit and ultimate value- act as powerful links in a chain of cause and effect. Training leads to reactions, which lead to learning, changes in job behavior, and changes in organizational unit, which lead to changes in achievement of the ultimate goals of the organization. At the same time Yadapadithaya (2001) has argued according to the finding that this can be broken at any link when trainees have learnt something but not going to apply them to achieve objectives of the organization. He concluded other deficiencies in corporate training and development system as lack of a clear-cut written training and development policy, weak interaction between the industries seeking training provision and the institutions providing training, lack of systematic and comprehensive training needs assessment, and failure to evaluate the effectiveness of training and development program. However, he has not focused on how new technology: HRIS can be used to increase the effectiveness of evaluation stage of training and development. 2.3.2 Succession Planning
  38. 38. The Role Of Human Resource Information System In Effective Workforce Planning 2013 38 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Succession planning can be defined as the attempt to plan for the right number and quality of managers and key-skilled employees to cover retirements, death, serious illness or promotion or any new positions which may be created in future organization plans (Sambrook 2005). For decades, the concern of succession planning was about the exact people, not skills and talents, who are needed for the organization’s future (Garman R and Tyler I 2004). Some researchers explained succession planning as a systematic effort to help managers, who needs to identify a pool of high-potential candidates, develop leadership competencies and then select leaders from the pool of potential leaders. Others have referred to it as a strategic, systematic and deliberate activity to ensure an organization’s future capability to fill vacancies without bias (Mehrabani SE and Mohamad NA 2011). A key factor influencing succession planning is the role of human resource development, which includes organizational development, career development, and the learning and development of potential successors (Sambrook and Sally, 2005). However, Sambrook ans Sally (2005), has not discussed how IS, especially HRIS can be used in succession planning, which is the main weak point in his research. 2.3.3 Recruitment and Selection Recruitment represents one of the cores staffing activity that need to be effective and efficiently planned and conducted for organizations to attain success (Darrag et al 2010). Darrag et al (2010), identified recruitment as the process of discovering potential candidates for actual or anticipated organizational vacancies or from another perspective, it is a link activity-bringing together those with jobs to fill and those seeking jobs. According to Selden et al (2000) a fair number of studies focus on the performance effects of specific human resource management policies, such as training and selection. The different stages of the recruitment and selection process were identified as:  Department (contextual) analysis,  Job analysis,  Job description and person specification,  The seeking of applicants,
  39. 39. The Role Of Human Resource Information System In Effective Workforce Planning 2013 39 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY  Attracting applicants,  Screening applicants,  Interviewing candidates,  Appointment. According to Pattanayak (2000), planned recruitment program has the following basic components (Figure: 2.2) Figure 2.2: Framework of Recruitment and Selection Source: (Pattanayak 2000) The process of recruitment may begin with advertising vacancies, this may be done internally or externally or both can be achieved using a range of media, which may involve using the company website (El-kot and Leat, 2008), the use of the internet for recruitment purposes has become very popular. However El-kot and Leat (2008), has identified the different level of technical sophistication found among organizations in Recruitment Advertisement Organization Goals Job Analysis Job Description Job Specification Applicants Workload Analysis Manpower Requisition Selection Process Application Forms Test Interview Reference Check Medical Examination Selected Candidate
  40. 40. The Role Of Human Resource Information System In Effective Workforce Planning 2013 40 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY relation to the use of new technology in selection. Organizations may also make use of state run job centers or employment agencies or their own database of speculative enquires. According to El-kot and Leat (2008), there is a range of selection practices that may be used including: application forms, curriculum vitae, one-to-one and panel interviews, psychometric testing, assessment centers, job trials, job specific aptitude or knowledge tests, graphology, group-based activities and references. El-kot and Leat (2008) concluded that the selection interview had probably been the single most used technique in most countries throughout the twentieth century. Though Darrag et al (2010) and El- kot and Leat (2008) have all studied recruitment and selection methods in detail they have not focused their attention on how new technology, especially HRIS could enhance and strengthen the recruitment and selection process of an organization. Selden et al (2009), in their study focused on evaluating the effectiveness of human resource management system, offering a framework and methodology filling this knowledge gap: human resource management system is often an invisible asset that creates value by enhancing government’s capacity to recruit and retain employees. However, they addressed the ability to assign an effective evaluation system given an existing set of criteria and constructed a survey instrument aligned with the identified criteria but they didn’t try to measure the effectiveness of recruitment and selection feature of Human resource management system. The results of this assessment were robust to a variety of rule specifications and measurement adjustments Selden et al (2000). El-kot and Leat (2008) has discussed the online recruitment process, which is more fitting for paperless offices. 2.4 HRIS Models 2.4.1 Hyde-Shafritz Model
  41. 41. The Role Of Human Resource Information System In Effective Workforce Planning 2013 41 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Albert C. Hyde and Jay M. Shafritz were among the first to attempt a conceptual framework for the HRIS. In a 1977 journal article, they identified sixteen database modules, which were integrated in that they had the capability of exchanging data (McLeod and Sanctis 1995). It was a very primary module, which listed the modules as sixteen inputs and outputs (Figure 2.1) Both position and person data are entered into the HRIS to enable management to perform the planning function. The HRIS produces reports organized along the lines of the modules, which facilitate accountability. A feedback loop enables the objectives to be modified to reflect actual performance. This is a typical closed- loop system module, consisting of input, processing, output, and feedback loop (Asmanhanostadi 2011). Figure: 2.3 The Hyde-Shafritz HRIS model Source: (McLeod and Sanctis 1995) 2.4.2 Resource Flow HRIS Model The resource-flow model illustrated in figure 2.2 consists of three subsystems devoted to data input, a HRIS database, and six subsystems devoted to transforming the data into information and making it available to users. The input data obtained from both internal
  42. 42. The Role Of Human Resource Information System In Effective Workforce Planning 2013 42 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY and environmental sources, and the users consist of individuals and organizations both inside and outside the firm (McLeod and Sanctis 1995). The Resource flow model focuses on the flow of human resources through the firm. It recognizes that the firm’s environment provides a pool of potential employees who are subjected to a screening process before joining the firm. While in the firm, the employees receive training and education, perform their tasks and receive evaluations. The employees are compensated for their efforts with money and other benefits (McLeod and Sanctis 1995). The task of the HRIS is to gather data that tracks this human resource flow, store the data until it is needed and use the data to produce information and enables person both in the firm and its environment to monitor the flow. In input subsystem, there are three main subsystems which are data processing, human resource research and human resource intelligence. Some input data might include software that can transform the data into the format that needed and required. The second is HRIS database; all the data and information can be stored in computer storage. The last one is output subsystem, which contains all the output related to HR consists of workforce planning subsystem, recruitment, workforce management, compensation, benefit and environmental reporting subsystem (Allan 2011). 2.5 Conclusion Organizations use Information Systems in all levels of information management: strategic, tactic and operational. HRIS is one of the information systems out which
  43. 43. The Role Of Human Resource Information System In Effective Workforce Planning 2013 43 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY transform the roe of the HR department incorporating records for employee resource, rewards, training etc. Many studies cited HRIS benefits, such as improvements in accuracy, cost saving, timely and quick access to information through HR reports, decision-making and increased competitiveness. Lack of top management support, funds, HR knowledge of system designers and HR solutions, are the main factors keeping organizations away from HRIS. According to literature, human resource planning, recruiting and training are less frequent users within personnel perhaps reflecting greater use of the system for routine reporting than for decision support. HRIS is classified in to two types according to their usage: “unsophisticated” and “sophisticated”. Payroll and benefits administration, employee absence record keeping electronically are listed as “unsophisticated”. Use of IS in recruitment and selection, training and development, HR planning and performance appraisal, is classified as “sophisticated”. Many researches were curious about the integration of HRIS with other emerging technologies such as MIS, ERP, her etc. Due to the advent of internal technology and the emerging concept of business intelligence HRM subsystems have changed to e-HRM systems. It is very hard to give a clear cut view to distinguish her from HRIS since HRIS developed with most of the her features today. According to Alvarez-Suescun (2007), firm size or technical skills do not affect organizational sourcing decisions. The HRIS implementation sourcing decision may be influenced by previous experiences in the implementation of other systems and strategic contribution of the IS on the internal organization. According to some literature organizations gain competitive and strategic advantage if HRIS activities are undertaken internally. HRIS facilitates training and development and recruitment processes of the organizations. The training and development function is essential for changing behavior and culture and reinforcing the new behavior and culture in an organization. Succession planning which is facilitated by HRIS helps to identify key players in the organization and develop them for future demand. Recruitment represents one of the core staffing activities that need to be planned efficiently and effectively. Pattanayak (2000) identified four sub functions: determining the nature of the job to be filled. In Indian
  44. 44. The Role Of Human Resource Information System In Effective Workforce Planning 2013 44 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY context, literature relevant to HRIS, training and development and recruitment and selection are hard to found, especially how, HRIS contribute to HR planning through training and development and recruitment and selection. The systematic development of HRIS models is studied through the literature review. The first conceptual framework is the Hyde-Shafritz Model, which listed the modules as sixteen inputs and outputs presented in 1977 by Albert C. Hyde and Jay M. Shafritz. The Simon Input/Data Maintenance/Output Model was presented in 1986 by Andrew Manzini and John D. Gridley. They viewed the HRIS in terms of interfaces with a corporate human resources database. The Fisher, Schoenfeldt, and Shaw Application Modules presented in 1990 by Cynthia D. Fisher, Lyle Schoenfeldt, and James B. Shaw identifying nine major application areas of the HRIS. The mst recent and comprehensive model was a Resource Flow HRIS Model, which was presented by HRSP and McLeod and Schell. This was more advanced than earlier models. There was some amount of focus to embed artificial intelligence in order to facilitate more advanced decision-making capabilities.
  45. 45. The Role Of Human Resource Information System In Effective Workforce Planning 2013 45 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY CHAPTER 3 RESEARCH DESIGN & METHODOLOG Y
  46. 46. The Role Of Human Resource Information System In Effective Workforce Planning 2013 46 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY 3.1 Introduction This chapter lays down the research design. The discussion borders specifically on the research philosophy, approach, strategy in order to develop methodology to address research questions. Sampling procedure too is discussed in detail. Questionnaire was developed to identify the variables and data requirements to fulfill the research objectives. Measuring instruments such as validity and reliability are discussed in detail in this chapter.
  47. 47. The Role Of Human Resource Information System In Effective Workforce Planning 2013 47 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY 3.2 Research Design and Methodology 3.2.1 Research Philosophy This study shares some of positivism aspects which recognize only facts and observable phenomena and follow a deductive theory. Under positivism, theories provide the basis of explanation, permit the anticipation of phenomena, predict their occurrence and therefore allow them to be controlled (Collis and Hussey 2009). Explanation consists of establishing casual relationship between variables by establishing casual laws and linking them to a deductive or integrated theory (Collis and Hussey 2009). Since it is assumed that social phenomena can be measured, study is associated with quantitative methods of analysis. Though HRIS and business environment changes to some extent the results of the study can be generalized within a specific environment. Since the study is exploratory, it did not attempt to dig into deeper layers of reality. In positivism, reality is objective and singular, separate from the researcher. Similarly, researcher is independent from what was researched. The HRIS role is subjective and multiple as seen by the senior HR executives. Therefore biases are present. In that sense, study is closed to interpretive philosophy. Interpretive is underpinned by the belief that social reality is not objective but highly subjective because it is shaped by our perceptions. The researcher interacts with that being researched because it is impossible to separate what exists in the social world from what is in the researcher’s mind (Saunders et al 2009).
  48. 48. The Role Of Human Resource Information System In Effective Workforce Planning 2013 48 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Even though it is difficult to classify the study under positivism/realism or interpretive philosophy, it could be argued that this study is closer to realism philosophy since it was likely to affect senior HR executive’s attitude and perception towards the efficient and effective use of HRIS in workforce planning in a given environment. Realism shared some philosophical aspects with positivism as well. Senior HE executives themselves did not object to this study since HRIS influence in workforce planning was independent from attitude and perception of senior HR executives as the fruitfulness of HRIS depends on its available features developed by vendors. Despite that, HRIS usage in HR planning depends on senior HR executives since their attitude, perception and behaviors deploy the HRIS role successfully, which is not noticeable to them. 3.2.2 Research Approaches This study followed deductive research approach where theory and hypothesis are developed and a research strategy is designed to test the hypothesis. This study moved from theory to data explaining casual relationship between variables. According to literature review, research is an empirical however; sufficient literature on HRIS is available from different county and organizations. Conceptual framework was developed based on literature and pilot survey. Research focused on senior HR executive’s opinions. The study is based on quantitative data analysis, where deductive research approach was most suitable. Quantitative data collected to quantify the organizational practice of HRIS for workforce planning. The study could be generalized due to the large sample size. This is possible to some extent since organizational IS and HR strategies change from organization to organization. Simultaneously, HRIS functionalities evolve and reshape day by day due to increasing awareness, new technology and business requirements. The results or findings of this research can be used by organizations that are having similar contexts to enhance and shape their HRIS usage in HR planning from the initial stages of the business. Similar kind of studies could produce similar results in a similar context due to the highly structured methodology employed. Within this study,
  49. 49. The Role Of Human Resource Information System In Effective Workforce Planning 2013 49 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY researcher was independent from what was being researched. Researcher was only involved in collecting data through questionnaire, which were either e-mailed to the participants or handed over manually. Study applied controls to ensure the validity of data. Researcher was interested in understanding what is happening rather than as to why it was happening. As much, for this research, deductive approach was more suitable. 3.2.3 Research Strategy Research strategy is developed to plan and answer the research questions. After having considered several research strategies such as experiment, case studies etc; a survey was opted to carry out the research, which is a popular and common strategy in business and management research, which is a popular and common strategy in business and management research. It links to the deductive approach as well (Saunders et al 2009). This research study was an academic research, which had to be completed with limited available resources: both time and source. Survey strategy helped to collect large amount of data using a questionnaire from a sizable population in a highly economical way. Data collected through the questionnaire provided standard data allowing easy comparison. Senior HR executive’s views could be captured with minimum effort and cost. Therefore survey was the most suitable strategy for this research. Questionnaire was disturbed to a sample to representing an unbiased subset of the population. Statistical methods were used to test the likelihood that the characteristics of the sample were found in the population. This effort helped to generalize the findings to some extend within similar type of private sector organizations that use HRIS or organizations, who are planning to use HRIS. Data gathered from questionnaire was used to find dependent and independent variables in the relationship and the validity of the relationship of proposed conceptual framework. As mentioned in first chapter, pilot survey was conducted through interviews. This interview strategy could not be adopted since the number of senior HR executives was rather large and cannot be managed with finite time and cost. Case study is a good
  50. 50. The Role Of Human Resource Information System In Effective Workforce Planning 2013 50 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY strategy, but was not selected after considering the time and cost. Case study is a good strategy, but was not selected after considering the time needed to complete research and weak possibility of generalization. Experiment research was not selected due to its unsuitability to this research, which is not on natural science. 3.2.4 Time Horizons This study was not carried out over long period and did not investigate the same group of people several times. Therefore, it cannot be classified as a longitudinal study. According to research questions, this study is designed to obtain research data in different contexts, but over the same period. It had studied two different types of industries: service and manufacturing. Seventy nine (79) senior HR executives were selected randomly as sample size and data collected on their opinion and behaviors towards HRIS through questionnaire, which was designed base on many variables. Moreover, the study was an exploratory research since there are not enough previous HRIS studies relevant to workforce planning. Hypothesis was generated for future research. Therefore, cross- sectional study was selected as time horizon. 3.2.5 Population and Sample frame The unit of analysis for this study consisted of two groups according to industry types: service and manufacturing. Out of total 100 senior HR executives, 79 are selected for sampling of this study. Due to time, budget and resources constraints, stratified random sampling method are employed in this research. Research population refers to the people events or things of interest to the researcher that are to be investigate (Sankaran 2003). In this study, the research population is aimed primarily at urban areas.
  51. 51. The Role Of Human Resource Information System In Effective Workforce Planning 2013 51 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Population Frame Organization Type Population Manufacturing Organization 4 Service Organization 4 Table 3.1: Distribution of target population among manufacturing organizations Private Sector Organization Senior HR Executives (Who Uses HRIS) Tata Steel 15 Hayleys 25 Nestle India 11 Larsen & Toubro 14 Total 65 Table 3.2: Distribution of target population among service organizations Private Sector Organization Senior HR Executives (Who uses HRIS) HDFC Bank 7 Decimal Technology 5 Hilton Hotel 8 Reliance Communication 15 Total 35 Total number of employee in the population Table 3.3: Summary of distribution of target population among organizations
  52. 52. The Role Of Human Resource Information System In Effective Workforce Planning 2013 52 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Private Sector Organizations Senior HR Executives (Who uses HRIS) Manufacturing Organizations 65 Service Organizations 35 Total 100 Sampling Methods: probability sampling: stratified random Stratified random sampling used to select senior HR executives who use HRIS to extract information to assist the top management. Stratified random sampling is suitable for this study since the population divided into two significant strata based on industry type: manufacturing and service. A random sample was then drawn from each of the strata which ensure that each case in the population has an equal chance of being included in the sample (Dempsey 2003). Determining the sample size Hayleys, Tata Steel and Nestle India were selected as sample representing the manufacturing organizations. These are the leading manufacturing organizations. To represent the service sector Decimal technology, Hilton hotels and Reliance communication were selected. Initially all the selected organizations have based on Krejcie and Morgan table (Collis and Hussey 2009), which could have been constructed using the following formula: S= X² NP (1- P) ÷ d² (N- 1) + X² P (1- P) Where; S= required sample size, X²= the table value of chi square for 1 degree of freedom at the desired confidence level N= the population size
  53. 53. The Role Of Human Resource Information System In Effective Workforce Planning 2013 53 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY P= the population proportion (assumed to be .50 since this would provide the max. sample size). d= the degree of accuracy expressed as a portion (.05) Table 3.4 Distribution of sample among manufacturing organizations Private Sector Organization Senior HR executives (Who uses HRIS) Tata Steel 15 Nestle India 11 Hayleys 25 Total 51 Table 3.5 Distribution of sample among service organizations Private Sector Organization Senior HR executives (Who uses HRIS) Hilton hotel 5 Decimal Technology 8 Reliance Communication 15 Total 28 Organization Type Population Sample Manufacturing Organization 4 3 Service Organization 4 3
  54. 54. The Role Of Human Resource Information System In Effective Workforce Planning 2013 54 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Table 3.6 Total number of employees in the sample Private Sector Organizations Senior HR executives (Who uses HRIS) Manufacturing organizations 51 Service organizations 28 Total 79 Table: 3.4, 3.5 illustrate number of senior HR executives who uses HRIS in selected organizations as sample based on their industry type. Table 3.6, shows total number of senior HR executives in the sample based on each industry. 3.2.6 Conceptual Framework INTERNAL SOURCE EXTERNAL SOURCE INPUT SUBSYSTEM OUTPUT SUBSYSTEM TRAINING SUBSYSTEM RECRUITMENT SUBSYSTEM SUCCESSION PLANNING SUBSYSTEM HRIS DATABASE WORKFORCE PLANNING
  55. 55. The Role Of Human Resource Information System In Effective Workforce Planning 2013 55 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Figure 3.1: Schematic diagram for the conceptual framework Conceptual framework (Figure 3.1) depicts HRIS contribution to workforce planning through three sub systems: HRIS training subsystem, HRIS recruitment subsystem and HRIS succession planning subsystem. HRIS recruitment subsystem represents the functionality of HRIS job analysis, e-recruitment and skill inventory. HRIS training and development subsystem contribute the features of HRIS TNA; HRIS training program evaluation (Aswathappa K 2008) and HRIS succession planning subsystem contribute the features of employee potentialities and identify training gaps (Subba Rao P 2008). 3.2.7 Variables A conceptual framework developed for logical understanding of the relationship between the factors that are identified as vital to the problem. The variables can be graphically represented as follows and the questionnaire is given in Appendix A, which was used to measure the relationship between the variables. A working model was formed as follows to test the research objectives and measure the relationship between variables. H1 H2 H3 H6 HRIS DATABASE HRIS JOB ANALYSIS HRIS E-RECRUITING HRIS SKILL INVENTORY HRIS CAREER PLANNING HRIS EMPLOYEE POTENTIALITY WORK FORCE PLANNING RECRUITMENT SUBSYSTEM SUCCESSION PLANNING SUBSYSTEM
  56. 56. The Role Of Human Resource Information System In Effective Workforce Planning 2013 56 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY H7 H4 H5 Figure 3.2 Variables in the conceptual framework HRIS role was identified from three subsystems: HRIS recruiting subsystem, HRIS training subsystem and HRIS succession planning subsystem. From these subsystems, mediate variables were identified considering available HRIS features. All the variables measured using a five point Likert Scales ranging, which are a non-comparative scaling technique and are uni-dimensional in nature. Respondents are asked to indicate their level of agreement with a given statement by way of an ordinal scale (Bertram D 2009). HRIS recruitment subsystem features for job analysis, skill inventory and e-recruitment (Tansley et al 2001), HRIS training subsystem features for TNA, training program evaluation (Lokhandwala 2009). HRIS succession planning subsystem features career planning and HRIS employee potentiality. These features of HRIS are identified as mediate variables, which contribute to dependant variables i.e. effective workforce planning (Beulen (2009), Panayotopoulou et al (2005)) (Appendix1 - Table 3.7). 3.2.8 Data Collection Methods This study focuses on the role of HRIS in an effective workforce planning. Due to time and financial constraints, a mail questionnaire survey and sample interview was considered to be the best instrument for data collection this approach also allowed a wide geographical coverage (Diliman 2000). Also participant’s responses were not
  57. 57. The Role Of Human Resource Information System In Effective Workforce Planning 2013 57 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY influenced by the presence of researchers or evaluators as in other data gathering instruments (Boyce 2002). Primary Data Collection As mentioned earlier a pilot survey was done with experts using semi structured interview to clarify the research area. After identifying the research area, questionnaire was designed to address research questions in order to collect primary data for further analysis. Questionnaire provided an efficient way of collecting responses for a large sample prior to quantitative analysis. Questionnaire was e-mailed to the participants since most users read and respond to their own mail. Respondents were senior HR executives involved in workforce planning and HRIS. Questionnaire consisted of scale questions to collect questions. Five point Likert scale ranging: (1; strongly disagree, 2: disagree, 3: neither agrees nor disagrees, 4: agree, 5: strongly agree) was used when designing the questionnaire. Secondary Data Collection Secondary data was collected using organizational annual reports and information available on websites. Annual reports helped to identify organizational strategies: IT/IS and HR organizational hierarchy, investments on IT, organizational scale: large, medium or small etc. annual reports and contact details of organizations were downloaded from websites. Information about HRIS clients were collected through the vendors sites (Appendix1- Table 3.8). 3.2.9 Research Instruments Research instruments used most popular methods with anonymous questionnaire design (Ghauri and Grohaug 2010). A set of questionnaire constructed by the researcher was used to gather data from the group of respondents. The questionnaire was based on four main sections; namely: Section I- Profile of Respondent
  58. 58. The Role Of Human Resource Information System In Effective Workforce Planning 2013 58 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY Section II- Role of HRIS recruitment subsystem in workforce planning Section III- Role of HRIS training subsystem in workforce planning Section IV- Role HRIS succession planning subsystem in workforce planning Questionnaire designed to collect primary data ensuring validity and reliability. Each research question and objective considered and identifying the variables associated with each. Then investigate questions designed to collect most appropriate data (Appendix 2). 3.2.10 Questionnaire validation process A questionnaire is pre-formulated written set of questions to respondents to record their answers and contains close- ended questions and scales to matrix questions (Mellenberg 2008) (Appendix1 – Table 3.9). In designing the context of survey instruments, the rules in item construction with regards to simplicity, clarity and coherence were observed. The researcher constructed questionnaire was shown to colleagues, friends and the managers to determine coherence and clarity of research. Their comments and suggestions were integrated into the preliminary revision of the questionnaire. 3.3 Reliability and Validity of findings 3.3.1 Reliability An alternative method was used to protect the reliability of answer by comparing responses to alternative questions. The research focus on one single capability of HRIS, if the respondent agreed with the first question definitely, he/she need to agree to the second similar question. If the response to the second question is totally different from
  59. 59. The Role Of Human Resource Information System In Effective Workforce Planning 2013 59 ESHANK GARG@ OYLMPIA COLLEGE UNIVERSITY OF DERBY the first one, it means that respondent has not understood the questions and that the collected data may be erroneous, which should be cleaned. Questionnaire was emailed on the mid of week which was neither on a ‘high’, looking forward to the weekend, nor on a ‘low’ with the working week expecting to reduce participant error. Participant bias is reduced since respondent has to select only one response, which ranked. The researcher expects the same result to be produced under similar circumstances since reliability was high. 3.3.2 Validity As mentioned earlier, a pilot survey was done with HR experts using semi structured interview. Here I considered the quality of their contribution over quantity within limited time and resources. According to their answers, the questionnaire was fine tuned. Questionnaire was further tested using friends. Therefore, respondents had no problems in answering the questions enabling to obtain some assessment of the question’s validity and likely reliability of the data. There was a remark column in order to add respondent’s comment if they want. 3.4 Ethical Considerations As I have mentioned in first chapter, during the pilot survey stage I conducted three interviews with three experts of HR. I explained the purpose of my research to them clearly and took the appointments. During the interview time, I requested the permission to record the interview. One expert allowed recording the interview. The other two organizations did not give permission to take the electronic devices due to security reasons. Therefore, I could not record those two interviews. I took prior permission to use the data which I gathered for the research. At the same time I got permission to mention the organizations names and interview’s post in the thesis to prove the validity of data. All three- interview answers were taken down with the

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