What is HRIS software?
Human resources information systems (HRIS) software stores important employee information for use by many human resources functions in a business. When the HR team enters personal employee data related to each employee’s payroll, benefits, time tracking, and performance into the system, that information is available for analysis, and use across multiple systems and departments.
HRIS Software Market is Expected to Grow at a CAGR of over 10.9%
Who needs HRIS software?
HRIS platforms come in all sizes but are best suited for mid-sized and large businesses. HRIS software can be complicated and expensive to implement so smaller companies can create similar functionality from linked standalone options.
For some companies, an HR information system is not the best choice. Large, multinational and enterprises integrate key financial and supply chain data with human resources data within enterprise resource planning (ERP) software. These combined data points provide context that can then be used for forecasting and hiring trends.
Because human resources information systems contain the personally identifiable information of all of a company’s employees and suppliers, these systems are prime targets for hackers looking for unsecured data. Companies purchasing new HRIS software should consider how the vendor will protect their data. Research encryption standards, security of cloud or on-premise database options, and the vendor’s record of any previous breaches.
Critical features of HRIS platforms
While there are many HRIS solutions on the market, most of them include these key features.
1) Applicant tracking system:
An applicant tracking system (ATS) within an HR information system makes recruiting easier by gathering information about applicants, job offers, and interviews in one place. ATS can also improve the candidate experience by streamlining the application process and enhancing recruiter workflows so they can contact good candidates faster. ATS offers a searchable employee database that speeds up your talent acquisition efforts by querying past candidates and selecting those who might be a good fit for your company now, saving you money on job postings.
Onboarding new employees are time-consuming, but HRIS software can make it more efficient and accessible. The software can automatically submit new hire documents, prompt your new employees to create logins for the necessary sites or apps, and collect tax and payroll information. Many HRIS software also includes learning management features that make training easier and more efficient. By automating these processes, implementing an HRIS reduces the workload for your HR department and improves the new hire experience.
3) Time and attendance tracking:
HRIS systems should include attendance and time tracking to simplify payroll and leave requests. Many platforms include an employee self-service portal where employees can request time off, track the amount of paid time off (PTO) they have remaining, and see their work week. By making this information available to employees, you can reduce the amount of time HR personnel has to spend answering their questions. It also improves the employee experience because they don’t have to wait for a member of the HR team to look up their metrics.
The payroll features in the HRIS software suite work with the time and attendance tracking to make payroll easy. Automatically downloads and consolidates timesheets to pay hourly employees accurately. It also automatically calculates benefits and taxes to withhold the correct amount. Many payroll systems include an employee self-service portal where employees can upload receipts or mileage for reimbursement and view their payslips.
If you’re looking for an HR tool that also includes employee performance management, employee engagement, goal setting, and learning management systems, full-featured human capital management (HCM) platform may be right for you. An HCM platform of Coding Brains can provide you with the tools to manage your HR information and employee management in a single system. For more information, please contact us.