The Brave New World of eHR: Human Resources in the Digital Age

HR systems

Human resource systems can differ widely. They may be:

* Intranets using web-type methods but operating purely within one organization or location.

* Extranets - encompassing two or more organizations.

* Portals - offering links to internal information and services but also accessing the worldwide web.

Advantages
- Familiarity (looking like web pages)
- Attractiveness (colourful, clearly laid out, graphics)
- Integration (linking different HR systems such as basic personnel records, employee handbooks, terms and conditions, contracts, various entitlements and payroll)
- Allowing employees and managers to enter, check and amend controlled ranges of personal and other information.
- Eliminating printing, enveloping and mailing of personnel and other employee information
- Reducing need for telephone handling of routine enquiries by HR staff.

Basic system requirements

1. Desktop PCs for accessing and inputting information locally. Standard browsers are used to access information (e.g. Netscape or Internet Explorer).

2. Organization-wide server. In a small company this need be nothing more than a PC as well. The server must have an intranet server software package installed (Microsoft Internet Information Server, or Netscape Communications Server are examples.)

3. Server-side software such as HTML, Java, Javascript, Perl.

4. Intranet communications protocol running on both PCs and the server.

5. Relational database/Information processing software for records, payroll, etc. If data is to be accessed then the procedure is made slightly more complicated with the need for CGI scripts and database server software on the server.

6. Basic documents such as policy manuals typically loaded in HTML - but formats such as Adobe Acrobat PDF are also an alternative.

Cost-benefit analysis

Difficult to quantify because the greatest return is in improved morale.

Robert Musacchio, CIO with the American Medical Association in Chicago is quoted as having installed between 50-60 intranet applications for 1400 employees at $10,000 to $20,000 per application.

"Musacchio says a self-service employee-benefits site, which provides information on benefits and lets employees pick health-care, day-care, and retirement investment options, was built for "almost six figures." Musacchio figures it provided a 40% return on investment, based on the time saved by human resource managers who don't have to answer employees' questions about these topics because they're answered by the application".('Intranet ROI: Leap Of Faith', Information Week Online, May 24 1999.)

Reference:

Ajuwon, J. (2002) 'Gatekeepers or innovators,' Forum, Conspectus, January 2002, Prime Marketing Publications Ltd.

Otter, T. (2002) 'e meets HR,' Forum, Conspectus, January 2002, Prime Marketing Publications Ltd.

Sweet, P. (2002), Forum, Conspectus, January 2002, Prime Marketing Publications Ltd.

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Knowledge Management