How HRIS Can Benefit Your Business

Depositphotos_16368209_xl-2015Human resources plays a major role in the function of a business, between staying on top of new compliance requirements, handling employee inquiries, processing payroll, overseeing strategic initiatives, and more, HR teams manage many responsibilities in order to keep the office running smoothly and meet business needs. 

As a company grows, it can be difficult for a small in-house HR team to juggle it all. Luckily, HR technology has evolved into what is referred to as Human Resource Information System, or HRIS. This computer software system is used by employers to manage the human resources functions of their organization. It has the capability to maintain employment records of all staff members, and employers can use it to collect data in regards to the company’s staffing, performance management, compensation and benefits activities. Because HR is vital to the function of an organization, let’s look at some of the ways an HRIS can benefit a business. 


One of the main benefits that an HRIS system adds to a business is its ability to create reports and presentations. An HRIS system typically holds all information surrounding the firm’s human resources initiatives, including details regarding the group’s hiring practices, such as a comprehensive listing of all job applicants, an up-to-date index of job openings and electronic copies of each employee’s onboarding paperwork such as I-9 and W2 forms. It also holds data regarding the salary and incentive compensation of each staff member. Having HRIS as a functioning system to record and report these functions can allow for efficient HR workflow at a business, and allow for an employer to access this information in an organized way. 


In regards to staffing efforts, many HRIS systems provide a program that allows access to both internal employees, as well as external job applicants. An HRIS system allows candidates for open positions to submit their resumes and contact information to an employer, as well as current employees to electronically apply for new positions. The system then collects the information and archives it to be accessible by the hiring manager. When working on recruitment strategies, HRIS allows a manager to utilize the search details of applicants such as resumes, education, years of experience and skills in order to choose who they believe will be a good fit to the company. 

Employee Self-Service 

An HRIS stores all your company policies, benefits information, and company resources for easy access, so employees know exactly where to find the answers to all of their questions. They can also electronically enroll in benefit plans in order to monitor and update their current plan, connect with co-workers, and request time off. This allows for employees to access these resources without disrupting HR team members or managers, which can make for a more efficient and productive workflow. 

Risk Management

HRIS can also minimize potential liabilities by systemizing risk management for a business. This is accomplished by keeping electronic records of items such as employee discipline notices, safety training employees have received, accident logs and workers’ compensation claims. This data is analyzed by the HR department to identify ways to improve workplace conditions, safety training classes and disciplinary processes to ensure compliance with all federal and state labor laws.

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