Table of ContentsIntroduction – What is ERP Human Resource?..............................................................3

Purpose of Human Resources Information Systems.....................................................3

Advantages of Human Resources Information Systems...............................................4

Placement of all Online Documents Enhance HR Processes...........................4

Improved Management........................................................................................4

Increased HR Manager Productivity...................................................................4

Lower Administrative Costs.................................................................................4

Improved Control and Compliance.....................................................................4

Enhanced Security................................................................................................4

Smoother Audits....................................................................................................5

Reduced Risk..........................................................................................................5

More Focus on Objectives....................................................................................5

Disadvantages of ERP Human Resources.....................................................................6

Expense...................................................................................................................6

Customization........................................................................................................6

User Flexibility.......................................................................................................6

Compatibility with Previous System..................................................................6

Modules Applications...................................................................................................7

Payroll.....................................................................................................................7

HR Management....................................................................................................7

Recruiting...............................................................................................................7

Work Time..............................................................................................................8

Training module....................................................................................................8

Employee Self-Service..........................................................................................8

Examples Of Erp Hr Systems.......................................................................................9

Infor Human Capital Management (HCM)..........................................................9

Sage Accpac HRMS................................................................................................9

SAP ERP HCM.........................................................................................................9

Oracle HRMS........................................................................................................10

Microsoft Axapta Human Resource Management III......................................10

AXACT Uses Human Resource Management System.................................................11

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Microsoft Access - Database Structure.......................................................................12

Relationships Report..................................................................................................12

Database Structure....................................................................................................13

Employee_Information............................................................................................13

Salary_Allowances..................................................................................................13

Salary_Deductions..................................................................................................13

Bank_Id...................................................................................................................13

Training_Id..............................................................................................................14

Complain_Id............................................................................................................14

Relocation_Id..........................................................................................................14

Employee_Salary....................................................................................................14

Employee_Training.................................................................................................15

Employee_Complaints.............................................................................................15

Employee_Worktime...............................................................................................15

Employee_Relocation..............................................................................................15

Employee_Recruitment...........................................................................................16

Database Reports......................................................................................................17

Summary...................................................................................................................21

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INTRODUCTION – WHAT IS ERP HUMAN RESOURCE?

For decades, paper-based employee personnel records have presented significant challenges for Human Resource. Managers require HR staff’s assistance to access and view paperwork relating to various HR functions, such as recruiting, maintaining employee records, and benefits. Management and collection of these records are time consuming and cumbersome, as well as costly. Misplaced documents can disrupt transactions and divert HR staff from other responsibilities. Privacy and security are difficult to manage across dissimilar systems and compliance with state and federal worker regulations requires special attention.

ERP Human Resources make the management of employee records as well as of other HR-related functions easier. It is a streamlined technological tool which bridges the gap between human resource management and information technology. ERP human resource is a software system that is able to provide the management of the Human Resources coordination and integration of important general tasks, which include managing, planning, controlling and coordinating. It unifies these tasks, as well as department-specific tasks such as administration of payroll, employee development, insurance, vacations, benefits, recruiting, appraisals, pay raises, benefits, transfers, appointment letters, employee surveys, and forums, and thus makes the process simpler and more efficient. It is also used for decision making, analysis, and integrated reports.

PURPOSE OF HUMAN RESOURCES INFORMATION SYSTEMS

Global competition is forcing businesses to change the concept of Human Resources from a cost generator into a profits generator. Human Resources is a fundamental part of every successful enterprise, as this area of the business is directly involved in bringing in new talent as well as evaluating and developing existing employees, along with other looking after their general welfare as well as being involved in other important functions. However, due to the large quantity of information that is handled in this area, the job is becoming more difficult every day. ERP is a useful tool to aid the users to make their work more direct and effective by reducing needless duplicate activities and enabling a more direct relationship with the staff, as well as focusing more effectively on the personal skills of the employees and fulfilling the aspirations and objectives of the company and its individuals.

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ADVANTAGES OF HUMAN RESOURCES INFORMATION SYSTEMS

Placement of all Online Documents Enhance HR Processes Previously, employee records were maintained in files, which held documents for each employees and prospective employees, such as resumes, letters of recommendation and performance reviews. These files were secured in filing cabinets. Some organizations will have another set of filing cabinets dedicated to other documents such as medical benefits. Managing multiple sets of records requires clerical support and administrative overhead. The solution is to place all the components of an employee file online using document management technology to provide controlled access to information, while ensuring security, privacy and regulatory compliance. Human resources information systems streamline the processes by managing and integrating offline documents with other digital documents already on file. This also aids in the centralization of HR records by integrating all associated documents with the master files, so anyone with the proper authorization can easily view these records.

Improved ManagementAll HR related information is available online, providing managers more information upon which to base their employee management decisions.

Increased HR Manager Productivity ERP for Human Resource’s self service capabilities reduce inquiries to HR from both employees and managers, freeing HR managers for other tasks.

Lower Administrative Costs Document transportation costs are eliminated, as are the costs of physical storage space, office space, filing cabinets, offsite storage, etc. Clerical time is no longer spent looking for lost or misfiled documents.

Improved Control and Compliance ERP HR enables a more automated recording and recording keep, which improves the audit trail, compliance with corporate standards and legal regulations.

Enhanced Security

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ERP for human resources restricts access to personnel file and other records to unauthorized individuals, enabling greater security.

Smoother Audits With all HR related documentation integrated and available in one location with an ERP system, internal and external audits are completed in less time with fewer people affected.

Reduced Risk With important documents online, the risk of lost or damaged documents is eliminated.

Improved Management-Subordinate Communication and Relationships

ERP HR enables management to use technology to constantly update the employees on their progress. One example is the creation of web pages or portals for each employee with constant updates and management comments regarding employee performance. This enables better coordination and a smoother communication between the management and their subordinates.

More Focus on ObjectivesERP HR enables employees to better understand how their actions will affect the objectives of the organization. For example, with better information available, the decision maker will be better able to judge of his/her actions will affect the budget and resources.

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DISADVANTAGES OF ERP HUMAN RESOURCES

ExpenseNot all business, especially small to mid-sized businesses, are able to afford the implementation of new technology. The expense of new ERP technology is not only limited to the purchase of the software, but also to installation, testing, as well as training and integrating with other components.

CustomizationEach organization is different and has its own unique needs. Thus, the different applications of a general ERP HR system may not meet the needs of all businesses. Some systems may not have enough capability to meet the requirements of a large or growing organization. Furthermore, not all software is customizable to each specific business. Thus, other components of the organization may need to be customized to conform to the new ERP system. This process may be burdensome, as it would surely require much time and effort as well as resources of an organization.

User FlexibilityEach organization has users with a variety of levels of capabilities. Thus, not all individuals may be able to easily or comfortably adapt to the new system, especially if the newly-installed system is complex. Thus, the process may require additional time and cost to ensure that the users become comfortable with the new system and are able to use it effectively.

Compatibility with Previous SystemNot all information systems are able to integrate the information and functions of the previous systems into their own. Thus, this may cause an inconsistency as the access to different information may require the use of different software (old and new).

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MODULES APPLICATIONSFollowing is a list of HR modules and how ERP HR has affected these modules:

PayrollERP HR streamlines and speeds up 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. The procedure is made simpler as it enables the follow-up of information on daily or monthly basis according to the needs; bonuses and extra payments could be calculated automatically and it is perfect for defining collective income or deductions and deferred payments. The system is ideal for obtaining bank payment lists and designing electronic data files of the bank where the wages are paid. This module in many cases can also be integrated with existing financial management systems within the organization.

Benefits Administration: ERP HR provides a system for organizations to administer and track employee participation in benefits programs. These typically include insurance, compensation, profit sharing and retirement.

HR ManagementThis component covers many other HR aspects from initial application to retirement. The system records basic demographic and address data, selection, training and development, capabilities and skills management, compensation records and other activities. ERP HR is able to centralize this information and provide better reporting of it. It also helps human resource management in the evaluation, compensation and development of the employees of an organization.

RecruitingERP HR has made the recruitment and evaluation of candidates more effective by aiding HR managers in analyzing personnel based on company needs and objectives as well as matching education requirements and other qualifications. The processes involved in follow-up with recruits, interviews, dispatching of mass mailing are also made more efficient. To save time, one of the tools most appreciated by the users is search engines to sort out all the data of resumes filtered by specific criteria. In addition, users are able to sort data through defined search criteria with the advantage of including pictures in all the staff records.

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Work TimeThe Work Time 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 also features of updated ERP HR systems.

Training moduleERP HR provides a system for management to administer and track employee training and development. It 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 based on employee needs as well as resources available. More sophisticated systems allow managers to approve training, budgets and calendars alongside performance management and appraisal decisions.

Employee Self-ServiceERP HR enables all employees to query HR-related data and perform some HR transactions over the system without the assistance of HR personnel. Employees may check their attendance record from the system as well as check on benefits status.

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EXAMPLES OF ERP HR SYSTEMS

Infor Human Capital Management (HCM)Human Capital Management is a Web-enabled service that brings a variety of capabilities to the table, and perhaps even more features than the average business needs. The module has support for multiple languages, currencies, tax definitions, benefits, security configurations and platforms. It consists of three basic components:

Resource Management: Features here include benefits administration, payroll, and compensation.

Work-Force Management: This component aids the HR department to cost-effectively handle complex work-force management challenges. It includes scheduling, time and attendance, absence handling and performance support.

Talent Management: This part of the module provides work-force development capabilities that are focused on recruitment, learning, employee performance and competency management. Succession-planning capabilities are also provided.

Infor HCM takes advantage of Web technology to provide an ERP HR module that can be instantly updated and easily scaled.

Sage Accpac HRMSSage Accpac HRMS provides support for a variety of HR tasks, including benefits, training, recruiting and compliance. The module offers a flexible design that lets users select their own database platform, including SQL or MSDE (Microsoft Desktop Engine).

Sage Accpac HRMS also includes powerful reporting and analysis tools that provide customized insight on almost any HR issue. Hundreds of standard report templates are included. An integrated database is designed to feed a steady flow of information to managers and staff.

This software gives users a voice in its design and operation. It’s tailored for midsize manufacturing businesses.

SAP ERP HCMThis is a highly versatile and extremely scalable HR module. This software is designed to give companies in virtually all industries a full selection of HR tools. The software can automate virtually all fundamental, and most advanced, HR processes, including employee administration, payroll and reporting. The product supports compliance with both global and local regulations. Other features include talent

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management, performance measurements and real-time insight into just about any HR trend.

This software fulfills virtually all the needs of the HR department and has the capability of greatly reducing the HR staff requirements. However, many of its features are not required by small-to-medium-sized businesses.

Oracle HRMSThis software is designed to automate practically every HR-department function. The mission of this software is described as "The complete recruit-to-retire process." This software specializes in integration of virtually all records and data, and aims to supply a fast, immediate and accurate view of HR-related activities, including recruiting, payroll, benefits, performance management, learning, compensation, time management and real-time analytics.

Oracle's HRMS is comparable to the SAP software described above in terms of capability, though it is more flexible and easier to use. It would not be advisable for small businesses however.

Microsoft Axapta Human Resource Management IIIThis software supplies features that support the career development of individual employees — a capability overlooked by many other HR modules. The software aims to help businesses create professional development plans focused on employee's goals and skills and matching these with the company objectives. Features of this software incorporate personal interviews, training curriculums, skills matching, skill-gap analysis and other components. It also enables a more collaborative and coordinated development effort and dialogue between employees and management.

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AXACT USES HUMAN RESOURCE MANAGEMENT SYSTEMAxact is an organization which uses information systems extensively in all of its departments, including the human resource department. It extensively uses up-to-date human resource systems in areas of training, employee recruiting, and transportation, collection of salary information and performance management.

The Company sets up training programs regularly, about twice a week, with training ranging from motivation and communication to applications and software. The human resource department sends out notices to Team Leaders informing them of the latest training program arrangements. The Team Leaders then nominate members who they feel should attend the training program. It is up to the Team Leader to decide whether the training will be mandatory or optional.

Axact uses information systems extensively relating to the area of referrals. It has set up a system where current employees receive notices of new vacancies. Lately, a system has been set up to send these notices to the employees’ mobiles as well. Employees who successfully refer new employees earn a bonus. In addition, Axact uses other channels, such as new papers, magazines and job recruitment websites for recruiting purposes.

Another key area in which Axact uses information systems is in the area of transportation. Axact informs each employee of their pick time daily via text message. In addition, it provides the name and the phone number of the driver in case any special arrangements need to be made. This is in addition to sending any changes in the normal time via e-mail.

Salary information collection is another area of extensive information system use by Axact. The salary information is updated daily. Users are able to view the exact status (the amount they are owed up to that specific point in the month). If any discrepancies occur, the employee is able to fill out the discrepancy form, which is sent to the Team Leader for approval. Any case of any leaves (past or future leaves); the employee fills out a form and chooses the type (i.e. casual, sick, marriage, other, etc.).

Employees are also easily able to view the status of the various benefits (i.e. provident fund, leaves, health care amount available, etc.) as well as up-to-date information relating to their performance in comparison to the past and to other employees. Using information system provides a company such as Axact an advantage. It enables them to have an edge in terms of bringing in top employees as well as retaining them. It also keeps employee moral optimal by providing employees with an abundant amount of information, thereby reducing confusion. It also enhances performance as the employee has full knowledge of exactly where he or she stands and what needs to be done to improve or maintain performance.

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MICROSOFT ACCESS - DATABASE STRUCTURE

RELATIONSHIPS REPORT

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DATABASE STRUCTURE

Employee_Information

Salary_Allowances

Salary_Deductions

Bank_Id

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Training_Id

Complain_Id

Relocation_Id

Employee_Salary

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Employee_Training

Employee_Complaints

Employee_Worktime

Employee_Relocation

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Employee_Recruitment

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DATABASE REPORTS

All Male EmployeesName Gender Date of Joining

Wahaj Male 10/2/1990

Moeen Male 5/6/1999

Salman Male 5/8/1989

Junaid Male 4/6/2002

Fawad Male 9/2/2003

Ali Male 1/2/1967

Hassan Male 7/8/1999

Mohsin Male 9/8/2009

Farhan Male 6/6/1999

Saleem Male 7/7/2007

Waleed Male 5/5/1999

Taha Male 4/8/2000

Sohaib Male 5/7/2001

Shahid Male 7/8/2002

Muneer Male 6/6/2003

Mehmood Male 9/2/2005

Talha Male 2/3/2003

Hamzah Male 10/9/2000

Haroon Male 6/7/2008

Employee ComplaintsDepartment Name Description

Administration WahajPersonal ProblemStructural Problem

Customer FariyaPersonal ProblemInterpersonal Problem

Finance MoeenPersonal ProblemStructural ProblemHygiene ProblemInterpersonal ProblemPersonal Problem

Manufacturing SalmanHygiene Problem

Sales Marketing MehreenPersonal Problem

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Employee Salary SummaryName Salary Month Net Salary Deductions Allowances

AliMAR $25,000.00 Canteen Charges Rent

FarhanJAN $28,000.00 Unpaid Leave Paid Leave

FariyaOCT $24,000.00 Income Tax Car Fund

FawadJAN $21,000.00 Provident Fund Provident FundJAN $21,000.00 EOBI Rent

HassanFEB $16,000.00 EOBI Bonus

JunaidMAR $16,000.00 EOBI Car Fund

MehreenJUL $8,000.00 Provident Fund Rent

MoeenOCT $18,000.00 EOBI Rent

MohsinFEB $11,000.00 Provident Fund Provident Fund

SalmanJUL $24,000.00 Canteen Charges Bonus

SaniyaNOV $19,000.00 Canteen Charges Paid Leave

WahajSEP $22,000.00 EOBI Car Fund

Highest Work time Employees

Total Hours Name Stationed at

230 Farhan North Branch

218 Waleed North Branch

200 Fariya Headoffice

188 Salman South Branch

180 Sara South Branch

180 Wahaj North Branch

178 Ali South Branch

176 Saniya South Branch

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Employee Relocation StatusName Relocation Date Description

Farhan 5/25/2010 Hire from another city

Zainab 2/20/2010 Hire from another city

Farha 3/3/2010 Hire from another city

Ali 5/25/2010 Hire from another country

Mohsin 12/12/2009 Hire from another country

Taha 11/10/2008 Hire from another country

Hassan 9/9/2009 Hire from another country

Shahid 3/3/2010 Transfer in from another city

Fariya 5/5/2010 Transfer in from another city

Shahid 2/20/2010 Transfer in from another country

Saleema 5/25/2010 Transfer in from another country

Moeen 5/25/2010 Transfer in from another country

Ali 3/3/2010 Transfer in from another country

Hassan 11/10/2008 Transfer out of city

Junaid 2/2/2010 Transfer out of city

Wahaj 4/16/2010 Transfer out of city

Salman 1/4/2010 Transfer out of city

Mohsin 5/25/2010 Transfer out of city

Fariya 3/3/2010 Transfer out of city

Fawad 2/20/2010 Transfer out of country

Zainab 11/10/2008 Transfer out of country

Moeen 11/10/2008 Transfer out of country

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SUMMARYERP HR streamlines the management of human resources and human capitals through a more efficient and effective maintenance and management of the employee database including contact information, salary details, attendance, performance evaluation and promotion of all employees, as well as various functions such as recruitment, placement, evaluation, development and payroll. The integration of human resource management and information technology enables a more automated, efficient, and centralized record management and which ultimately reduces administrative work and cost. On the whole, this is done through software which enables the integration of information from different applications into one universal database. The linkage of human resource and other modules (i.e. financial) is possibly the most important feature as it enables better coordination of personnel as well as records through all the departments of the organization.

Today’s ERP HR software covers many HR aspects from application to retirement. 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, as well as enable a more precise employee and talent evaluation. With increasing global competitiveness, the application of ERP HR enables businesses to evaluate and develop talent as well as become more efficient while cutting costs, which are always important factors in the overall success of an organization.

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