Human resource management software has evolved in the past many years. The powerful solution now plays a major role in streamlining HR activities, boosting employee engagement and meeting compliance requirements.
While choosing the right HR management software, the organisation can get confused between acronyms like HRMS and HRIS. This is mainly because both terms are often used interchangeably, and both solutions assist in workforce management.
However, there are differences between HRIS and HRMS. Read on to find out what they are and make an educated choice in the end.
Human Resource Information System (HRIS)
HRIS is a software solution that stores, organises and manages employee-related data of an organisation. HRIS software features may vary from one provider to another. However, the main purpose is to keep employee data safe and support HR functions.
Some of the common applications and features of HRIS software are discussed below.
- RecruitmentThe HRIS system supports recruiting efforts in myriad ways. It helps in creating a resume repository which can be accessed anytime. Application Tracking enables job postings and tracking of applications. Onboarding features like workflows and checklists provide a pleasant hiring experience. In addition, leave management and absence management data can be recorded.
- TrainingTraining and development programs can be initiated using HRIS systems and continued for existing employees.
- CompensationAll types of compensation, such as salary, overtime compensation, health insurance, and paid time off, can be managed in one place using the HRIS system.
- Benefits AdministrationBenefits administration is made easy with the HRIS system. Additionally, employees can get relevant information using the system.
- Workflow Management & Self-ServiceProductive and efficient workflows can be created. Plus, self-service enables employees, managers, and others to login into the system, fill out forms, manage data and more.
Human Resource Management System (HRMS)
HRMS software comprises powerful features that cover and manage all aspects of HR. It contains all the features of HRIS and has a much broader scope with additional features focused on payroll, employees and time.
For example, the best HRMS software can be used by large corporations with a worldwide presence to manage employees working at different locations. HRMS allows employee management according to country-specific laws. Automated features can handle taxes and other legalities too.
HRMS software also provides advanced analytics features, which help organisations to create region-level reports. Plus, the number of integrations with third-party apps is greater with HRMS than with HRIS.
Thus, HRMS boosts the efficiency of HR functions, increases productivity and eliminates repetition by using advanced technology.
The lines between HRMS and HRIS continue to blur. However, the global scope of HRMS is an advantage over HRIS. Remember, each service provider packages software features differently. Therefore, it is necessary to consider the requirements, plan the budget, understand the services promised, and then decide on the best HR software.
HTIC Global is one of the leading HRMS software solution providers helping countless businesses across the world. For more details about our comprehensive range of HR services, packages and prices, contact us at any time.
