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The Role of Human Resource Information Systems

(HRIS) in StrategicHuman Resource Management
(SHRM)

Asafo-Adjei Agyenim Boateng

Master
of Science Theses in Accounting Swedish School Of
Economics and Business Administration 2007
HANKEN-Swedish School of Economics and Business
AdministrationDepartment
: Accounting
Type of Work
:Master of Science Thesis
Author
: Asafo-Adjei Agyenim Boateng
Date: 4
th
August, 2007
Title of Thesis
THE ROLE OF HRIS IN STRATEGIC HUMAN RESOURCE
MANAGEMENT
Abstract
:Information technology is expected to drive Human
Resource (HR)'s transition from afocus on Human
Resource Management (HRM) to Strategic Human
Resource Management(SHRM). This strategic role not
only adds a valuable dimension to the HR function,
but alsochanges the competencies that define HR
professional and practitioner success.The study aims
at investigating what role if any do Human Resource
InformationSystems (HRIS) play in SHRM. It attempts
to examine how HR professionals and managersin
different organizations see the effects of HRIS on
strategic HR tasks and job roles. It alsotries to find
out if there is any significant difference in the usage
of HRIS betweenSmall/Medium (SME) size and Large
size companies. A survey questionnaire was sent
to170 companies and a response rate of 15.9% was
received. The target group of thequestionnaire was

HR managers, HR directors, and HR professionals in

companies based inFinland. The scope was widened
to include both large and small/medium
sizedorganizations across all the business
sectors.The results of the survey reveal that HR
professionals not only consider HRIS usage as
asupport for strategic HR tasks but also perceive it as
an enabling technology. The study alsoindicates that
large sized firms are most likely to experience
considerable HRIS usage insupport of strategic HR
tasks. Moreover, there was no significant difference
in proportion tothe size of a company regarding HRIS
usage in support of commitment management
andmanaging trade union relations with
organizations. Low response rate of this study
makesgeneralization rather difficult however, future
research would benefit from higher responserates for
more generalized results.
Key Words
: Human Resources, Human Resource Management,
Strategic Human ResourceManagement, Human
Resource Information Systems, Strategic Human
Resource Tasks,Enabled Technology

ii
TABLE OF CONTENT
List of
Tables..........................................................................
............................................ivList of
Figures ........................................................................
............................................iv1
INTRODUCTION............................................................
................................................11.1 Study
background..................................................................
....................................11.2 Research
Objective......................................................................
..............................41.3 Structure of the
study............................................................................
....................42 THE CONCEPT OF HUMAN RESOURCE
MANAGEMENT (HRM)........................52.1 Human
Resource management
(HRM).....................................................................52.
2 HRM
definition......................................................................
...................................52.3 HRM processes
....................................................................................
.....................92.3.1 Planning
process........................................................................
.........................92.3.2 Recruitment
process........................................................................
.................102.3.3 Selection
process........................................................................
......................102.3.4 Orientation, training and
development
process................................................112.3.5 Career
planning and development
process.......................................................112.3.6

Performance appraisal
process........................................................................
.122.3.7 Employee Compensation and benefits
process................................................122.3.8
Occupational health and safety process
...........................................................132.4 Chapter
Summary.....................................................................
...............................143 THE CONCEPT OF STRATEGIC
HUMAN RESOURCE MANAGEMENT
(SHRM).........................................................................
..................................................................153.1
SHRM
development................................................................
................................153.2 SHRM
definition......................................................................
...............................153.3 Dimensions of
SHRM...........................................................................
..................193.3.1 Re engineering and strategic
human resource
management ............................193.3.2 Leadership
and strategic human resource
management...................................203.3.4
Workplace learning and strategic human resource
management.....................203.3.5 Trade unions and
strategic human resource
management................................213.4 Chapter
summary......................................................................
..............................214 HUMAN RESOURCE
INFORMATION SYSTEMS (HRIS) IN ORGANIZATION .
234.1 Development of
HRIS.............................................................................
................234.2 Definition of
HRIS.............................................................................
.....................244.3 Components of an HRIS

....................................................................................
.....244.4 Users of HRIS
applications.................................................................
....................254.5 HRIS
functions......................................................................
..................................264.5.1 Integrating the
Technologies of
HR.................................................................264.5.2
Increased
Efficiency.....................................................................
....................264.5.3 Increased
Effectiveness...............................................................
.....................264.5.4 IT-Enabled
Processes.....................................................................
..................274.6 Cost and benefit of
HRIS.............................................................................
...........274.7 Chapter
summary......................................................................
..............................295 HRIS ROLE IN
SHRM...........................................................................
.......................315.1 Previous
research.......................................................................
..............................315.2 HRIS
usage...........................................................................
...................................31
iii5.2.1 Ball
(2000)..........................................................................
..............................315.3 The role and impact of HRIS
..................................................................................3
35.3.1 Hussain et al.,
(2006)..........................................................................
..............335.3.2 Florkowski
(2006)..........................................................................

..................345.3.3 Gasc, Llopis and Gonzlez

(2004).................................................................345.3
.4 Ordnez de Pablos
(2004)..........................................................................
......365.3.5 Buckley, Kathleen, Joy and Michaels
(2004) ..................................................375.3.6
Gardner, Lepak and Bartol
(2003)...................................................................375.
3.7 Baran, Karabulut, and Pekdemir
(2002)...........................................................385.3.8
Tansley, Sue and Hazel
(2001) ........................................................................
405.4 HRIS
Implementations..........................................................
..................................415.4.1 Ngai and Wat
(2004)..........................................................................
..............415.4.2 Shrivastava and Shaw
(2003)..........................................................................
.425.4.3 Lado and Wilson
(1994)..........................................................................
.........435.5 Analysis of the previous
research.......................................................................
.....446 HYPOTHESES DEVELOPMENT AND RESEARCH
METHODOLOGY................496.1 Research
Objective......................................................................
............................496.2 Research questions and
Hypotheses..................................................................
......506.3 Hypotheses
development................................................................
.........................516.4 Data and Sample collection
methods......................................................................
576.5 Chapter
summary......................................................................
..............................587 EMPIRICAL RESULTS AND

ANALYSIS .................................................................6
07.1 The Response
rate..............................................................................
.....................607.2 Characteristics of the Statistics
...............................................................................61
7.3 Presentation of the research findings
......................................................................637.3.1
Hypotheses
1..................................................................................
..................637.3. 2 Hypothesis
2..................................................................................
..................647.3.3 Hypothesis
3..................................................................................
...................667.3.4 Hypothesis
4..................................................................................
...................687.3.5 Hypotheses
5..................................................................................
..................707.4 Evaluation of the Empirical
Results........................................................................
727.5 Validity, Reliability and
Generalizibility.............................................................
...757.6 Chapter
Summary.....................................................................
...............................768
CONCLUSION...............................................................
...............................................778.1 Analysis of the
Contribution.................................................................
..................778.2 Recommendations and Suggestions
for Further
Research......................................81Reference............
....................................................................................
...........................83Appendices...................................
....................................................................................
.91Appendix

A..................................................................................
.................................91(i) Cover
Letter...........................................................................
...............................91(ii)
Questionnaire..............................................................
.........................................92Appendix B
(Frequencies) ..............................................................
..............................96Appendix C (One sample Ttests)............................................................................
.....97Appendix D (Independent sample Ttest)...................................................................101Ap
pendix E (Graphs)
....................................................................................
..............103
.7
.....65
69
StrategicHRM
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Sections
show all prev | next

1 INTRODUCTION
1.1 Study background
1.2 Research Objective
1.3 Structure of the study
2 THE CONCEPT OF HUMAN RESOURCE
MANAGEMENT (HRM)
2.1 Human Resource management (HRM)
2.2 HRM definition
Figure1: Fields of HRM
2.3 HRM processes

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