Role of Human Resource Information System in Banking Industry of Developing Countries

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Role of Human Resource Information System in Banking Industry of Developing Countries Dr. Harman Preet Singh Assistant Professor, PGDAV College University of Delhi, Delhi, India Dr. Sunita Jindal Associate Professor, giBS GGS IP University, Delhi, India Sekh Abdul Samim Sr. Relationship Manager, IIPM Bhubaneswar, India Abstract- The deployment of Human Resource Information System (HRIS) in banking is the fruit of development of Information Technology (IT). It has emerged as an important interdisciplinary tool to achieve vital organizational Human Resource (HR) objectives. HRIS is applied in personnel administration, salary administration, leave/absence recording, skill inventory, medical history, performance appraisal, training and development, HR planning, recruitment, career planning, negotiations etc. In developing countries, the banking industry has gone from a basic process to convert manual information keeping systems into computerized systems. HRIS has become a vital tool to IT enable HR processes. In this paper, the role of HRIS in transforming the banking industry of developing countries is discussed. HRIS in banks of various developing countries like India, Pakistan, Indonesia, Thailand, Sri Lanka and Kenya are studied. It is done to explore the current status and potential utility of HRIS in developing countries. Based on the study, certain practical suggestions have been given to manage and improve HRIS in banking industry of developing countries. It comes out that an appropriate integrated IT platform should be chosen for HRIS. There should be effective harmonization between HR processes and IT platform. In the nutshell, this paper establishes HRIS as a prominent interdisciplinary tool to effectively manage organizations and brings forth synergies among disciplines of HR, IT and banking in the context of developing countries. Keywords- Banking industry, developing countries, HRIS, IT I. INTRODUCTION Human Resource Information System (HRIS) is a concept which utilizes the development of Information Technology (IT) for effective management of the Human Resource (HR) functions and applications. HRIS enables systematic procedure for collecting, storing, maintaining, and recovering data required by the organizations about their human resources, personnel activities and organizational characteristics [1]. It acquires, stores, manipulates, analyzes, retrieves, and distributes information about an organization’s human resources [2]. HRIS helps organizations in managing all HR information. It helps in recoding and analyzing employees and

The First International Conference on Interdisciplinary Research and Development, 31 May - 1 June 2011, Thailand


Dr. Harman Preet Singh, Dr. Sunita Jindal, and Sekh Abdul Samim

organizational information and documents, such as employee handbooks, emergency evacuation and safety procedures [3][4]. It helps organizations to keep an accurate, complete and updated database that can be retrieved from reports and manuals [5]. For instance, the University of Minnesota at Rochester generates a payroll distribution report, which identifies university employees’ salaries from different accounts such as academic department account, administrative department account and research grant account. Such a report typically takes thirty hours to generate, but through HRIS it can be done in minutes by the end users [6]. The nature of HRIS varies among organizations in relation to their size. In small organizations, it tends to be informal whereas in large organizations, it is more formal and coordinated. Lengnick-Hall and Moritz prompt HRIS to be implemented at three different levels [7]: • • • The publishing of information The automation of transactions Transformation of HR into a strategic partner with the line business II. COMPONENTS OF HRIS There are three major functional components of HRIS [8]: • Input function –...
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