The Role of Information Technology in Human Resource Management

Running Head: HRM
Human Resource Management
Report
System04104
3/1/2019

HRM
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Table of Contents
1. Introduction...................................................................................................................................2
2. Need of Information in the HR functions at the three levels of Managerial Decision-making.......3
2.1 Operational Level.........................................................................................................................3
2.2 Tactical Level................................................................................................................................4
2.3 Strategic Level..............................................................................................................................5
3. IT based Information Systems in HR..............................................................................................5
3.1 Types of IT based IS in HR............................................................................................................5
3.1.1 Operational HRIS.................................................................................................................5
3.1.2 Tactical HRIS.........................................................................................................................6
3.1.3 Strategic HRIS.......................................................................................................................7
3.2 Best HR information system and Vendors/Developers..........................................................7
5. Internet based Information System in HR......................................................................................8
6. Conclusion...................................................................................................................................10
References...........................................................................................................................................11

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1. Introduction
Human resource management (HRM) plays an important role in the success of
organisation, which is realized by all companies in modern competitive environment. It is
accepted by many authors that human resource is the greatest capital of organisations for the
overall growth and development. However, the process of organisational progress and
development could not be possible without human involvement because humans are an
important factor in achieving the organisational target. The development and growth of
human resource based on new and experimental information and this information can be
generated or collected through information technology (IT). Thus, IT has also an important
role in human resource management that can create a new strength in HR.
This report is based on the use of information technology in HRM and the role of IT
in organisation to manage and develop human capital. This report includes how information
technology helps the organisation in its decision-making. Information technology and
computer technology in combination with Internet, social media, and mobile communication
enables the organisation to re-engineering its internal and external business processes. IT
enables organisation to improve the organisational structure and strengthen their core
competencies. Further, in the end of the report, the role of internet-based HR information
system has been discussed that shows how human resource function and information
technology are interrelated and influence each other.

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2. Need of Information in the HR functions at the three levels of
Managerial Decision-making
Information plays an important part in any organisation and in managerial decision-
making. It is the combination of people and information technology to carry out different
management functions including human resource management and its functions. In modern
days, Information technology is used by many organisations to perform various HR function
at all three levels of managerial decision making; operational level, tactical level, and
strategic level (Dorel, 2011). Information is needed at all these three levels to perform several
activities and making decisions to get the organisation objective and goals. Thus, the
importance of information technology has been increased with its increasing role in
management at various levels.
HRM is one of the parameters that determine the success of an organisation.
Information System in human resource management used to collect, analyse, manipulate, and
dissemination of information for the purpose of organising human resource activities. Uses of
information and communication technology are two integral part and imperative for the
HRM. In the modern era, there are many information systems used in the organisation such to
control and manage the HR function such as ERP, and SAP etc. (Brockbank, Ulrich,
Kryscynski, Ulrich, 2018).
2.1 Operational Level
The operational level decision-making in an organisation is related to control and
guide day-to-day activities in the organisation related to employee’s daily work performance.
The HRIS assist the management to make decisions related to those activities, which are
repetitive in nature. Although these activities are performed by the ground level workers and
controlled by the lower levels of management, then the information generated by the
information system is needed by the lower level management for decision-making (Qadir &
Agrawal, 2017).
For example, an HR manager using the HRIS for analysing the daily performance of
employees, their attendance record, and collecting the data related to the employee’s working
hours. A operational decision needs information related to employee’s absence record,