The Components of an HRIS System

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Human resources information systems help HR professionals maintain employee data.
Human resources information systems help HR professionals maintain employee data. (Image: Stockbyte/Stockbyte/Getty Images)

A human resources information system (HRIS) is a software package developed to aid human resources (HR) professionals to manage data. Human resource professionals utilize these systems to facilitate work flow, improve efficiency and store and collect information. Several companies offer HRIS packages to employers. HRIS packages can be customized to the specific needs and requirements of the employer.

Database

HRIS core offering includes a database to store employee information. HR professionals can input all personnel data into the system, which can be accessed from anywhere, around the clock. Types of data that HR professionals collect in the database include compensation history, emergency contact information and performance reviews. The core database can also be viewed as an online backup for paper files.

Time and Labor Management

Time and labor management can be time consuming. HRIS packages allow employees to input their own hours worked and allows managers to immediately verify vacation requests, and the data is directly fed to payroll. Time and labor management also improves the HR department's ability to track attendance and punctuality.

Payroll

Another core component of an HRIS is the payroll function. HR can easily download or upload employee hours and issue checks or payroll deposits to employees. Salaried employees can also be paid automatically with significantly reduced risk for error. The HRIS payroll software usually improves tax compliance for locations with multiple tax levels. The HRIS payroll function stores payroll registers and tax filing reports in accordance with legal requirements.

Benefits

Some HRIS packages allow employers to establish and maintain medical benefits and retirement investments through their software. Such applications allow employers to have a one-stop shopping experience for all of their human resources data management needs. Other HRIS packages facilitate medical benefit and retirement investment deductions for payroll but not the establishment of those benefits.

Employee Interface

Most HRIS packages allow for an employee to have limited user access. Employee users access a part of the database wherein they can update their personal information, review pay stubs, change retirement benefit selections, update direct deposit information or download benefit election documents.

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