HR Information Systems Buyer's Guide- What are HR information systems?
From BuyerZone.com's overview - An HR information system (HRIS) is a software package that provides a complete management system for human resources activities in small-to-medium-sized businesses. They help streamline administrative procedures, manage employee benefits, reduce the need for paperwork and manual records, and keep track of all personal and job-related employee data.
HRIS can handle management of benefits for both HR personnel and company employees. HR directors can import payroll and benefits data into HRIS from in-house and outside sources. This allows them to manage all facets of HR from a single location. It also provides employees with self-service access to their accounts. With a secure system that requires a log in ID and password for each user, employees can check vacation balances, review benefits data, and update personal information without having to first contact HR staff.
HRIS basic features
In lieu of standardized paperwork, HRIS allows employees to fill out forms online, make changes based on life events, and get information on their benefits at any time. Rather than "pulling an employee's file," HR personnel can reference any information about an employee through the system, including personal information, benefits, number of dependents, emergency contacts, and job history.
HRIS include both standardized and customized reports. Standard reports feature templates for various administrative purposes including employee reviews, record keeping, OSHA, workers' compensation, employment history, and absence tracking. Customized reports be created that incorporate categories and information unique to your business.
Most HRIS applications have a comprehensive tracking system. You can keep tabs on employee attendance to determine vacation and sick time accrued, how many days were used out of a vacation bank, and how long one has held a position at the company. It also lets you track longer absences such as family leave and jury duty. In addition, HRIS tracking capabilities can maintain grievances filed by or against the employee stemming from discipline, disputes, and complaints.
Even though HRIS allows employees to have self-service access, you can set limitations. Many programs will allow you to customize which screens employees can view and whether or not they have permission to edit certain data.
HRIS buying checklistHere are some helpful things to keep in mind before deciding to implement HRIS:
- How many employees will this support?
- How much can I afford to spend on an HRIS solution?
- Can HRIS help me save my company money?
- Will my staff and I need training to learn how to use the software?
- Has the HRIS provider worked with businesses like mine in the past?
- Can I test the software before purchasing?
- What technical support options do I have if something goes wrong?
HRIS Pricing
You have two options for purchasing HRIS: an in-house (or "boxed") software system or via license.
With in-house software, you own the rights to the program and can install and uninstall at will but it is very pricey, costing several thousand dollars plus maintenance fees and general updates.
To license software for small-to-medium sized businesses, you'll pay $500-$700 for a single-user system (one administrator) and $900-$1,200 for a network/multi-user system (multiple administrators) to chart 75-100 employees. It then costs a few hundred dollars extra for additional employees in increments of 100. Larger companies can find HRIS solutions starting at $1,000 and up.
The price of the service will often include 30 days of free technical support by phone and email and also software maintenance. You may have to pay extra to extend the warranty beyond the 30-day window.
HRIS Tips
Get help. Software may provide Help documentation in both printed and online form. Decide which format is useful for you and find out if the vendor offers it.
Try it before you buy it. Some companies may provide a free trial period before you purchase to see if the HRIS program is right for your business.
Additional options. Some HRIS programs will include all applications while others provide basic functionality with costs for add-ons such as job application tracking.
PC or Mac. Most HRIS software is compatible with many versions of Windows but some vendors may offer software that you can use in both PC or Macintosh environments.
