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MANAGEMENT INFORMATION SYSTEM

MIS is an integrated information system, which is used to provide


management with needed information on a regular basis .

The term system in MIS implies ORDER, ARRANGEMENT, and


PURPOSE.

The information can be used for various purposes,

-strategic planning
-delivering increased productivity
-reducing service cycles
-reducing product development cycles
-reducing marketing life cycles
-increasing the understanding of customers' needs
-facilitating business and process re-engineering.

MIS can also be used across the organization as an information


utility to

-support policy making


-meet regulatory and legislative requirements
-support research and development
-support consistent and rapid decision making
-enable effective and efficient utilization of resources
-provide evidence of business transactions
-identify and manage risks
-evaluate and document quality, performance and achievements.

MAKING INFORMATION AVAILABLE


The availability of information is fundamental to the decision making
process. Decisions are made within the organization at
-STRATEGIC
-OPERATIONAL
-PROGRAMMES
-ACTIVITY LEVEL.

The information needs and decision making activities of the


various levels of management
SENIOR MANAGEMENT
Strategic business direction

-information for strategically positioning the organization


-competitive analysis and performance evaluation,
-strategic planning and policy,
-external factors that influence the direction
etc

MID LEVEL MANAGEMENT


Organizational and operational functions

-information for coordination of work units


-information for delivery programmes
-evaluation of resources usage
-budget control
-problem solving
-operational planning
etc

MID LEVEL MANAGEMENT


Programme management within units

-information for implementing programmes


-information for managing programmes
-management of resources usage
-project scheduling
-problem solving
-operational planning
etc

LINE MANAGEMENT
Activity management

-information for routine decision making


-information for problem solving
-information for service delivery
etc.

MANAGEMENT SUPPORT SYSTEMS

The management oriented support systems provide support


to various levels of management.

Executive Information Systems allow executives to see where a


problem or opportunity exists.

Decision Support Systems are used by mid-level management


to support the solution of problems that require judgement
by the problem solver.

Line Managers use Management Reporting Systems for


routine operational information.

FUNCTIONAL INFORMATION SYSTEMS

These include

-Accounting Information Systems

-Marketing Information Systems

-Enterprise Information Systems

-Decision Support Information Systems

-Executive Information Systems

-Quality Management Information Systems

-Manufacturing Information Systems

-Financial Information Systems

-Human resource Information Systems

HRIS includes staff/operational/ MIS HR [ which is management decision making


purpose only]

Following are the attributes of good management information system of human


resource:

-records information for strategic management for senior management.


-labor market trends
-economic analysis / impact on human resources

-records information for operational management, like


*manpower planning
*compensation analysis / management system
*performance management system
*promotions

-records information for first line managers/supervisors like


*jobs descriptions
*job evaluations
*staff appraisals
*training / development records
*terminations
*recruitments/ selection system

Human Resource Information System (HRIS) is a systematic way of storing data and
information for each individual employee to aid planning, decision making, and submitting of
returns and reports to the external agencies.
It is an online solution for the data entry and tracking of a company's human resources
department information, payroll, management, and accounting
.

A Human Resource Management System (HRMS) or Human Resource Information


System (HRIS), refers to the systems and processes at the intersection between human
resource management (HRM) and information technology. It merges HRM as a discipline
and in particular its basic HR activities and processes with the information technology field,
whereas the programming of data processing systems evolved into standardized routines and
packages of enterprise resource planning (ERP) software. On the whole, these ERP systems
have their origin on software that integrates information from different applications into one
universal database. The linkage of its financial and human resource modules through one
database is the most important distinction to the individually and proprietary developed
predecessors, which makes this software application both rigid and flexible.

Purpose

The function of Human Resources departments is generally administrative and common to all
organizations. Organizations may have formalized selection, evaluation, and payroll
processes. Efficient and effective management of "Human Capital" progressed to an
increasingly imperative and complex process. The HR function consists of tracking existing
employee data which traditionally includes personal histories, skills, capabilities,
accomplishments and salary. To reduce the manual workload of these administrative
activities, organizations began to electronically automate many of these processes by
introducing specialized Human Resource Management Systems. HR executives rely on
internal or external IT professionals to develop and maintain an integrated HRMS. Before the
client–server architecture evolved in the late 1980s, many HR automation processes were
relegated to mainframe computers that could handle large amounts of data transactions. In
consequence of the high capital investment necessary to buy or program proprietary software,
these internally-developed HRMS were limited to organizations that possessed a large
amount of capital.Systems enabled increasingly higher administrative control of such
systems. Currently Human Resource Management Systems encompass:

1. Payroll
2. Work Time
3. Benefits Administration
4. HR management Information system
5. Recruiting
6. Training/Learning Management System
7. Performance Record
8. Employee Self-Service

The payroll module automates the pay process by gathering data on employee time and
attendance, calculating various deductions and taxes, and generating periodic pay cheques
and employee tax reports. Data is generally fed from the human resources and time keeping
modules to calculate automatic deposit and manual cheque writing capabilities. This module
can encompass all employee-related transactions as well as integrate with existing financial
management systems.

The work time module gathers standardized time and work related efforts. The most
advanced modules provide broad flexibility in data collection methods, labor distribution
capabilities and data analysis features. Cost analysis and efficiency metrics are the primary
functions.

The benefits administration module provides a system for organizations to administer and
track employee participation in benefits programs. These typically encompass insurance,
compensation, profit sharing and retirement.

The HR management module is a component covering many other HR aspects from


application to retirement. The system records basic demographic and address data, selection,
training and development, capabilities and skills management, compensation planning
records and other related activities. Leading edge systems provide the ability to "read"
applications and enter relevant data to applicable database fields, notify employers and
provide position management and position control. Human resource management function
involves the recruitment, placement, evaluation, compensation and development of the
employees of an organization. Initially, businesses used computer based information systems
to:
• produce pay checks and payroll reports;
• maintain personnel records;
• pursue Talent Management.

Online recruiting has become one of the primary methods employed by HR departments to
garner potential candidates for available positions within an organization. Talent
Management systems typically encompass:

• analyzing personnel usage within an organization;


• identifying potential applicants;
• recruiting through company-facing listings;
• recruiting through online recruiting sites or publications that market to both recruiters
and applicants.

The training module provides a system for organizations to administer and track employee
training and development efforts. The system, normally called a Learning Management
System if a stand alone product, allows HR to track education, qualifications and skills of the
employees, as well as outlining what training courses, books, CDs, web based learning or
materials are available to develop which skills. Courses can then be offered in date specific
sessions, with delegates and training resources being mapped and managed within the same
system.

The Employee Self-Service module allows employees to query HR related data and perform
some HR transactions over the system. Employees may query their attendance record from
the system without asking the information from HR personnel. The module also lets
supervisors approve O.T. requests from their subordinates through the system without
overloading the task on HR department.

Management information systems provide decision-makers information and feedback on


daily operations. Additionally, management information systems can be used strategically,
often incorporating Web technology.

Human Resources MIS: Human Resource Management Information System (MIS) is


concerned with all of the activities related to employees and potential employees of the
organization.
Overview of Human Resource MIS

Inputs to the Human Resource MIS

• Strategic plan or corporate policies


• The TPS, Transaction Processing Systems:
o Payroll data
o Order processing data
o Personnel data
• External sources

Human Resource MIS Subsystems and Outputs

• Human resource planning


• Personnel selection and recruiting
• Training and skills inventory
• Scheduling and job placement
• Wage and salary administration

Human Resource MIS is concerned with all of the activities related to employees and
potential employees of the organization

Benefit reports Salary surveys Scheduling reports Operational databases Databases of


valid transactions for each TPS Transaction processing systems Business transactions
Human Resource MIS Databases of external data Databases of internal data
Manufacturing DSS Manufacturing ES Human resource applications databases Training
test scores Job applicant profiles Needs and planning reports

Inputs to the Human Resource MIS


Strategic plan or corporate policies

The TPS:

 Payroll data
 Order processing data
 Personnel data
 External sources

Human Resource MIS Subsystems and Outputs

• Human resource planning


• Personnel selection and recruiting
• Training and skills inventory
• Scheduling and job placement
• Wage and salary administration

HUMAN RESOURCE INFORMATION SYSTEMS


Human Resource Information Systems (HRIS) have become one of the most
important tools for many businesses. Even the small, 20-person office needs to
realize the benefits of using HRIS to be more efficient. Many firms do not realize how
much time and money they are wasting on manual human resource management
(HRM) tasks until they sit down and inventory their time. HRIS is advancing to
become its own information technology (IT) field. It allows companies to cut costs
and offer more information to employees in a faster and more efficient way.
Especially in difficult economic times, it is critical for companies to become more
efficient in every sector of their business; human resources (HR) is no exception.

HRIS refers to software packages that address HR needs with respect to planning,
employee information access, and employer regulatory compliance. The following
text begins with a discussion of human resource planning, followed by human
resource management systems.
HUMAN RESOURCE MANAGEMENT SYSTEMS
Several major software companies provide HRMS packages. SAP, PeoleSoft, Oracle,
and ADP are the largest. Depending on the company's needs and size, package
options may include some or all of the following services:

• Employee career cycle management


• 24/7 data access to authorized managers
• Customized levels of access to confidential data
• Pre-populated forms and templates
• Access to real-time data—with instantaneous updates
• Employee administration
• Benefits administration
• Compliance
• Recruitment
• Performance and development
• Safety and health
• Succession planning
• Time-off management
• Organization management
• Payroll
• Training

The opportunities to add more services are endless and continue to improve.

For most companies, the hardware and software needed to run these programs are
fairly standard. Hardware and software is dependent on the complexity of the HRMS
package; more complex HRMS packages require more hardware (e.g., server space
and speed).

HRMS includes allowing HR to transition from an administrative department to a


strategic management department. The strategic value aspect of the HRMS
investment focuses on managing human capital by supporting functions such as
recruitment, performance/competency management, employee development, and
employee customer service. By executing well in these areas, companies can reduce
employee turnover, reduce hiring costs, and improve individual performance.

ADP offers a comprehensive suite of software that can run on almost all modern
operating systems. A major player in the HRMS business is PeopleSoft. Acquired by
Oracle Corp. in January 2005, PeopleSoft puts it focus on one complete HRM
product line. There are three versions of the company's Enterprise suite: Enterprise,
EnterpriseOne, and PeopleSoft World.

According to PeopleSoft, the Enterprise program is designed with the Internet in


mind, and allows employers to:

• Plan the workforce needed to carry out an organization's business objectives, attract
the right people, and provide them with the tools they need to be productive.
• Assess workforce skills and design learning and performance programs that develop
people in alignment with their career paths and corporate objectives.
• Optimize a global workforce by putting the right people in the right jobs at the right
time. This includes tracking the workforce and monitoring performance.
• Plan compensation and reward structures that align the workforce with corporate
objectives. This includes linking the right employees with the right types of
compensation, and rewarding them with a total package that maximizes efficiency,
reduces costs, and increases overall performance.

EnterpriseOne works with the original Enterprise program and also let employers:

• Maintain a database of employee skill sets and competencies, as well as information


about outside applicants.
• Track approved positions and headcount by company and department.
• Track recruitment data, such as where a company is finding employees, how long
they stay, qualifications, and recruitment costs.
• Simplifying the employee evaluation process through automated workflow, which
automatically alerts employees and managers about scheduled performance reviews.
• Helping managers to understand discrepancies between employees' expected and
actual performance through built-in competency gap analysis tools.
• Providing true exception reporting with flexible reporting tools that summarize data,
embed workflow messaging, and populate spreadsheets.
Another HRMS trend is the use of online surveys. This allows companies to get fast
information on their employees, policies, procedures, competition, and anything else
they decide to survey. This also gives employees a sense of belonging and
contributing to their company. Online employee surveys usually have an 80 percent
return ratio, which is much higher than paper surveys.

Employees are becoming more self sufficient in the workplace because of HRMS and
the growth of technology. They are able to answer questions, down-load forms, enroll
in benefits, change payroll options, and complete training on their own. This saves
both time and money. An employee does not have to make several phone calls in
order to speak with the one person who knows the answer to their questions.
Answers are readily available, usually on the company intranet. This also frees up HR
to focus on more profitable activities for the company, such as recruiting and
employee development.

Another growing trend includes improved methods for monitoring and managing
employees' use of the Internet. This helps management to improve productivity,
reduce legal liabilities, and control IT costs. Companies are blocking e-mail that may
be offensive in order to reduce legal liabilities. They also are blocking Web sites that
are inappropriate for workplace viewing. This has improved productivity by reducing
non-productive activities.

HRMS providers have products for companies of all sizes. These providers profit by
maximizing the services they offer. Therefore, they are going to target large
companies that need more support. However, providers are still interested in small
companies, and those that will need more support as they grow.

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