HRIS stands for Human Resources Information System. Often HRIS software will use the acronym HRMS (Human Resources Management System) interchangeably with HRIS. In either case, the objective remains the same--to centralize all of the information that you need about employees or applicants in a flexible database which facilitates all of your HR managements needs.

There are software packages designed especially for small businesses, large corporations, or medium-sized companies. Some software must be used as-is, but some applications can be customized based on your specific needs and a business plan. You may opt for a simple database, or for a group of inter-related databases with storage, processing, and reporting capabilities.

To be prepared for any eventualities, look for a software package which tracks department and job title, salary and salary history, and position history. You may also want personal information such as age, ethnicity, nationality, disabilities, veteran status, or the status of a visa or working papers.

Integrated HRIS Software If you select an advanced HRIS package, it is likely that it will be able to interface with payroll. You can track benefits, as well, and manage them with the same database of information. If you are offering any form of workmen's compensation, you can track that. Sophisticated functionality will interface not only with payroll but also with a direct deposit system to facilitate payment of employees in the most convenient and expeditious manner possible. HRIS software is useful for supervisors and HR departments alike. You can limit access by password and/or to certain positions, so that a VP or manager has access to certain information, a recruiter has access to other information, and the payroll department is governed by another set of parameters. Multiple departments within the same company should not have to waste time entering records and maintaining their own databases when it is so easy to have one comprehensive database and allow access to different subsets of the information within it based on need to know. When you are looking at HRIS software, don't stop with considering the functions of a computer program. Many of the companies which design HRIS systems also offer other valuable services which can help you with all stages of HR management. Purchasing or Renting an HR Solution You have a choice to make between purchasing or renting your HR management system. If you have a substantial infrastructure and want to host your own servers and provide an IT Staff to support your HR department, you may find that the most cost-effective solution is purchasing your HRIS package. If you have a smaller company and want to use an HR solution to grow, you may choose to rent the software, server space, and relevant licenses from a professional provider.

There are a number of governmental regulations with which any business must comply. You will be able to update good HRIS software with information on relevant requirements for your business and run reports to track your compliances. You HRIS software package can be fully integrated into every aspect of your company's long term plan, so choose it wisely. A flexible and robust program will help you grow and maintain smooth operations.

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