Analyze the HR system

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Define the business requirements for the development of an HR system to support the objective of this request. Create a detailed project plan that provides a list of all the tasks, resources, schedule and budget required to complete the project. The project should be completed in approximately six months, so the new system can be utilized in the second quarter of next year.

A new Human Resource Information System (HRIS) can save you tremendous amounts of time and make you and your staff far more effective at your job, but it is important to understand work will be required to maintain the database and maximize results. At least 20% of companies purchasing HR software (includingHR Payroll Software, integrated HRIS products, and other Human Resource Management Software) stop using those products within six months because they are unable to keep up with the input required to maintain the data. So it is extremely important before you have your company make an investment into a HRIS Systems that you have a complete understanding of exactly how much input will be required from you and your staff.

1. Improve your HR Software IQ
2. Determine your HR Software Needs
3. Create a detailed HR Software requirements spreadsheet
4. Determine your HR Software budget
5. Pick four or five HR Software vendors to review
6. Evaluate the HRIS systems
7. Research each HR Software company
8. Set HR software implementation expectations & Price
9. Make your HRIS purchase Decision
10. Getting management approval for your new HR Software

1. Improve your HR Software IQ

Before you are able to determine what your needs are for an HR system, you need to know what type of capabilities HR software, HRIS or HRMS applications provide. Below, we provide additional basic detail on the HRIS options that are available and what system capabilities they typically contain.

Common HRIS Software Features and Options

? Employee Database - An employee database or HR database is the one common feature with all HRIS, HRMS or HR software applications. They may differ on options and features they provide but all have some type of base employee database from which to start. The employee database will likely contain fields for most of the information you have in an employee file. However, with that HRIS data being contained within a database, you will have the ability to report and manipulate the data.

? Payroll - Many of today's HRIS, HRMS and HR software applications offer payroll as an option. The companies who offer a payroll system can pitch the benefits of a fully integrated package. The largest benefit of this option is that all of both the HR and Payroll data is contained in a single system. Therefore, double input or the transfer of data does not exist. The HRIS or HR software packages that don't offer payroll usually offer a variety of interfaces to provide the capability of importing or exporting data to a third party payroll option. If you don't plan on changing out your payroll application, this might be the best bet. Make sure the vendor you select either offers a payroll option or is able to provide an interface to your existing payroll application.

? Attendance - Manually tracking attendance and accruals is a wasteful time consuming process for those HR departments who don't have the advantages of an automated HRIS or HRMS system. Attendance systems will typically track accruals and provide automatic increases to accrual rates based on seniority. If you don't have an integrated payroll application and/or an integrated time collection system, you may not be able to track accrual rates if the levels are based on hours worked as opposed to time of service.

? Time Collection - In the past, most of the HRIS, HRMS and HR software vendors did not offer time collection systems. They usually worked with third parties and interfaces to import data into their system. Over the last few years, a number of HRIS software companies have started to create their own integrated applications for tracking time records for payroll. There are a variety of ways time data can be collected. The easiest is a simple online employee time sheet. The employee simply inputs the hours they worked and submits the information. Some web based systems act the same as a time clock where employees log in, clock in for the day, out for lunch and so on. The third option may involve the actual use of physical time clocks which integrate to a software application and to your HR and Payroll applications.

? Training Management - Most, if not all, HRIS, HRMS or HR software applications provide the ability to track basic training data such as when someone took a class and when they are due to take it again. Certain industries are responsible for tracking far more training than others. Those that are in health care and manufacturing, for example, typically not only have to track when an employee got trained and must be retrained but also how many CEU's or credits they need to achieve certification or program requirements. They may also have to track training required by Job Title. A few systems on the market will integrate training management system options with an ESS system. In this case, employees may be able to view training details or enroll in classes online.

? Recruiting - Recruiting solutions have come a long way. Many of the online recruiting options offer the ability to link data to your web site. With this option, prospective applicants can apply for positions directly on your company web site. The advantage is that all of this data is contained in a data base that can be searched to determine who the most qualified candidate is. A few systems take the process a step further by offering the applicant self service where the applicant can setup a profile and actually monitor their stage of the hiring process.

? ESS - Employee Self Service systems provide employees or managers with the ability to access and, if approved, change data related to themselves or their employees online or through a company intranet. The advantages of these systems are obvious. Managers and employees have the ability to look up important details on their employees without having to contact HR. This data may include simple demographic detail or include more inclusive, time collection, training, attendance, performance management, succession management and/or payroll information. Most systems will provide for some type of automated work flow. When an employee makes a change to data the information may change automatically or it may go through an approval process, where his manager may approve or deny the request before HR makes the change final.

? Manager Self Service - A key element, and sometimes a more important element, of Employee Self Service is manager self service which was touched upon above. This capability gives managers the ability to view data and, if allowed, change data on their direct and indirect employees. As mentioned above, managers who use an ESS product with manager self service, may have the ability to change or approve changes to employee data including demographics, time ...