The Influence of Technology in Human Resource Management

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  • Topic: Human resource management, Human resources, Employment
  • Pages : 5 (1652 words )
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  • Published : May 15, 2011
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Information technology, also known as IT, has drastically changed the workplaces of the world in the past 50 years. The field of human resources has historically been limited to a clerical or administrative role in the business arena, dealing mainly with tasks like payroll or attendance. In the modern market, new core HR responsibilities include recruitment and training, oversight of legal and regulatory compliance, benefits administration and the safeguarding of confidential employee information, along with many more. These tasks cannot be carried out effectively without the use of high-tech tools. Advances in technology have not only made the handling of basic administrative tasks more efficient, they have expanded the role of HR and created new disciplines within the field.

Database management systems are a prime example of how technology has facilitated the growth and expansion of the HR field. Using a DBMS streamlines the management of employee information. Data entry and tracking, analysis of employee information, benefits administration and applicant tracking are all made easier and less time consuming, with the information available and organized with the punch of a key (Laudon and Laudon, 165).

Human resource outsourcing is a rapidly growing field all on its own. Many businesses, small and large alike, are turning to HR specialization firms such as Aon Human Capital Services, Hewitt Associates, and Affiliated Computer Services. The Braun Consulting Group reported that while saving money is the reason for outsourcing for about half of the companies surveyed, gaining outside expertise, improving service quality, and being able to focus on their core business were also cited as key motivators. These companies characteristically offer services in four principal areas of HR functionalities: payroll, time and labor management, benefits administration, and HR management.

Some of the most widely used software applications are payroll and compensation management software. Payroll software is designed to automate payroll tasks, including managing payroll tax issues like federal and state calculations. Additionally, payroll software assists in creating paychecks, filing tax forms, and creating employee tax records. Compensation management software automates salary reviews, plans, and budgeting to name a few. This software may be hosted in-house by the operating organization, or may be web-based. Web based providers include Oasis Outsourcing, Intuit, and Amycheck. These service providers have assisted small businesses and large corporations alike in streamlining payroll and benefits management.

Employee recruitment and training are widely considered to be two of the most important tasks in human resource management. Attracting and retaining competent, reliable employees is necessary for success in any business. The advent of the Internet has drastically altered the way organizations search for candidates, and vice versa. The Internet allows businesses to reach a much greater pool of candidates with a greater range of knowledge, skills, and abilities, which in turn increases the odds of finding a good match for the position(s). Larger organizations often employ their HRIS departments in developing in-depth company websites with detailed job descriptions and requirements, as well as the organization’s mission statement and corporate culture, in an effort to attract employees that fit with the attitude and values of the company. Smaller organizations cannot afford to create and maintain a large and often expensive website like this, but there are many options for outsourcing online recruitment. In addition to outsourced companies, large job posting websites such as are popular sites for people searching for jobs to post resumes and search for a wide range of openings.

Technology has also been implemented in training employees. E-learning is a widely used tool in employee training and development. The term...
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