Literature Review

Human resource management Human resource is of paramount importance for the success of any organization. Human resource management is the planning ,organizing directing and controlling the procurement ,development ,compensation ,integration ,maintenance and reproduction of human resource to the end that individual ,organizational and societal objectives and accomplished. Resources are the wealth of an organization which can help it in achieving its goal. Human resource management is concerned with the human being in an organization. Human resource management refers to the practices and policies one needs to carry out to deal with the personnel aspects of the management job. HRM refers to a set of Programs, functions and activities designed and carried out in order to maximize both employees as well as organizational effectiveness. Human resource management is the strategic and coherent approach to the management of an organization's most valued assets the people working there who individually and collectively contribute to the achievement of the objectives of the business. HRM is the acronym for the term “Human Resource Management”. Human Resource Management is the organizational function that deals with issues related to people such as compensation, hiring, performance management, organization development,

safety,

wellness,

benefits,

employee

motivation,

communication,

administration, and training. HRM can also be performed by line managers. The human resources are multidimensional in nature. From the national point of view, human resources may be defined as the knowledge, skills, creative abilities, talents and aptitudes obtained in the population; whereas from the viewpoint of the individual enterprise, they represent the total of the inherent abilities, acquired knowledge and skills as exemplified in the talents and aptitudes of its employees. Human Resource Management has come to be recognized as an inherent part of management, which is concerned with the human resources of an organization. Its objective is the maintenance of better human relations in the organization by the development, application and evaluation of policies, procedures and programmes relating to human resources to optimize their contribution towards the realization of organizational objectives. In other words, HRM is concerned with getting better results with the collaboration of people. It is an integral but distinctive part of management, concerned with people at work and their relationships

within

the

enterprise.

HRM

helps

in

attaining

maximum individual development, desirable working relationship between employees and

employers, employees and employees, and effective modelling of human resources as contrasted with physical resources. It is the recruitment, selection, development, utilization, compensation and motivation of human resources by the organization. All the organizations have three basic resources, that is, men ,material and money. Out of these, the Human Resource occupies a vital position, because it is through the men on the job that the organization is able to utilise the material and machine resources for the maximum benefit of the organization. In every organization, public or private, big or small, old or new, Human Resource management is of crucial significance. Human Resources management has two aspects. The management or administration aspect. The development aspect. Human Resource Management: Nature Human Resource Management is a process of bringing people and organizations together so that the goals of each are met. The various features of HRM include: • It is pervasive in nature as it is present in all enterprises. • Its focus is on results rather than on rules. • It tries to help employees develop their potential fully. • It encourages employees to give their best to the organization. • It is all about people at work, both as individuals and groups. • It tries to put people on assigned jobs in order to produce good results. • It helps an organization meet its goals in the future by providing for competent and wellmotivated employees. • It tries to build and maintain cordial relations between people working at various levels in the organization. • It is a multidisciplinary activity, utilizing knowledge and inputs drawn from psychology, economics, etc. Human Resource Management: Scope The scope of HRM is very wide: 1. Personnel aspect-This is concerned with manpower planning, recruitment, selection, placement, transfer, promotion, training and development, layoff and retrenchment, remuneration, incentives, productivity etc. 2. Welfare aspect-It deals with working conditions and amenities such as canteens, crèches, rest and lunch rooms, housing, transport, medical assistance, education, health and safety, recreation facilities, etc.

3. Industrial relations aspect-This covers union-management relations, joint consultation, collective bargaining, grievance and disciplinary procedures, settlement of disputes, etc. Human Resource Management: Objectives • To help the organization reach its goals. • To ensure effective utilization and maximum development of human resources. • To ensure respect for human beings. To identify and satisfy the needs of individuals. • To ensure reconciliation of individual goals with those of the organization. • To achieve and maintain high morale among employees. • To provide the organization with well-trained and well-motivated employees. • To increase to the fullest the employee's job satisfaction and self-actualization. • To develop and maintain a quality of work life. • To be ethically and socially responsive to the needs of society. • To develop overall personality of each employee in its multidimensional aspect. • To enhance employee's capabilities to perform the present job.. Human Resource Management: Functions In order to achieve the above objectives, Human Resource Management undertakes the following activities: 1. Human resource or manpower planning. 2. Recruitment, selection and placement of personnel. 3. Training and development of employees. 4. Appraisal of performance of employees. 5. Taking corrective steps such as transfer from one job to another. 6. Remuneration of employees. 7. Social security and welfare of employees. 8. Setting general and specific management policy for organizational relationship. 9. Collective bargaining, contract negotiation and grievance handling. 10. Staffing the organization. 11. Aiding in the self-development of employees at all levels. 12. Developing and maintaining motivation for workers by providing incentives. 13. Reviewing and auditing manpower management in the organization 14. Potential Appraisal. Feedback Counselling. 15. Role Analysis for job occupants. 16. Job Rotation. 17. Quality Circle, Organization development and Quality of Working Life.

Human Resource Management: Major Influencing Factors In the 21st century HRM will be influenced by following factors, which will work as various issues affecting its strategy: • Size of the workforce. • Rising employees' expectations • Drastic changes in the technology as well as Life-style changes. • Composition of workforce. New skills required. • Environmental challenges. • Lean and mean organizations. • Impact of new economic policy. Political ideology of the Government. • Downsizing and rightsizing of the organizations. • Culture prevailing in the organization etc.

Information technology IT Stands for "Information Technology," and is pronounced I.T. It refers to anything related to computing technology, such as networking, hardware, software, the Internet, or the people that work with these technologies. Many companies now have IT departments for managing the computers, networks, and other technical areas of their businesses. IT jobs include computer programming, network administration, computer engineering, Web development, technical support, and many other related occupations. Since we live in the information age, information technology has become a part of our everyday lives. That means the term IT, already highly overused, is here to stay. IT is the area of managing technology and spans a wide variety of areas that include computer software, information systems, computer hardware, programming languages but are not limited to things such as processes, and data constructs. In short, anything that renders data, information or perceived knowledge in any visual format whatsoever, via any multimedia distribution mechanism, is considered part of the IT domain. IT provides businesses with four sets of core services to help execute the business strategy: business process automation, providing information, connecting with customers, and productivity

tools.IT professionals perform a variety of functions that range from installing applications to designing complex computer networks and information databases. A few of the duties that IT professionals perform may include data management, networking, engineering computer hardware, server management, database and software design, as well as management and administration of entire systems. Information technology is starting to spread further than the conventional personal computer and network technologies, and more into integrations of other technologies such as the use of cell phones, televisions, automobiles, and more, which is increasing the demand for such jobs. Information Technology is the branch of engineering that deals with the use of computers to store, retrieve and transmit information. The acquisition, processing, storage and dissemination of vocal, pictorial, textual and numerical information by a microelectronicsbased combination of computing and telecommunications are its main fields. The term in its modern sense first appeared in a 1958 article published in the Harvard Business Review, in which authors Leavitt and Whisler commented that the new technology does not yet have a single established name. We shall call it information technology . Some of the modern and emerging fields of Information technology are next generation web technologies, bioinformatics, cloud computing, global information systems, large scale knowledge bases, etc. Advancements are mainly driven in the field of computer science. The Organization in an enterprise or business that is held responsible and accountable for the technology used for planning, design, construction, testing, distribution, support and operations of software, computers and computer related systems that exist for the purpose of Data, Information and Knowledge management and/or processing.

Importance of Information Technology in Business There are many businesses which are in need of the software packages for satisfying their operational as well as functional needs. For fulfilling this requirement, these companies sign deals with the software manufacturing companies. Information technology is useful in ensuring the smooth functioning of all the departments in a company such as the human resource department, finance department, manufacturing department and in security related purposes. The companies in the automobile manufacturing sector are able to get rid of any sort of errors or mistakes in the proper functioning of the tools used for designing and manufacturing purposes. Due to the development of the information technology sector, the companies are being able to keep themselves aware of the changes in the global markets.

The software applications and the hardware devices are known to be the main elements of the use of information technology. The web browsers, the operating systems, ERP's and special purpose applications are the software which are used in information technology. IT plays an important role in easily solving the mathematical problems and in the project management system. It has a great use in the automated production of sensitive information, automated up gradation of the important business processes and the automated streamlining of the various business processes. It has also played an important role in the areas of communication and automated administration of entire systems. Information technology has become a vital and integral part of every business plan. From multi-national corporations who maintain mainframe systems and databases to small businesses that own a single computer, IT plays a role. The reasons for the omnipresent use of computer technology in business can best be determined by looking at how it is being used across the business world. Communication

For many companies, email is the principal means of communication between employees, suppliers and customers. Email was one of the early drivers of the Internet, providing a simple and inexpensive means to communicate. Over the years, a number of other communications tools have also evolved, allowing staff to communicate using live chat systems, online meeting tools and video-conferencing systems. Voice over internet protocol (VOIP) telephones and smart-phones offer even more high-tech ways for employees to communicate. Inventory Management When it comes to managing inventory, organizations need to maintain enough stock to meet demand without investing in more than they require. Inventory management systems track the quantity of each item a company maintains, triggering an order of additional stock when the quantities fall below a pre-determined amount. These systems are best used when the inventory management system is connected to the point-of-sale (POS) system. The POS system ensures that each time an item is sold, one of that item is removed from the inventory count, creating a closed information loop between all departments. Data Management The days of large file rooms, rows of filing cabinets and the mailing of documents is fading fast. Today, most companies store digital versions of documents on servers and storage devices. These documents become instantly available to everyone in the company, regardless of their geographical location. Companies are able to store and maintain a tremendous

amount of historical data economically, and employees benefit from immediate access to the documents they need. Management Information Systems Storing data is only a benefit if that data can be used effectively. Progressive companies use that data as part of their strategic planning process as well as the tactical execution of that strategy. Management Information Systems (MIS) enable companies to track sales data, expenses and productivity levels. The information can be used to track profitability over time, maximize return on investment and identify areas of improvement. Managers can track sales on a daily basis, allowing them to immediately react to lower-than-expected numbers by boosting employee productivity or reducing the cost of an item. Customer Relationship Management Companies are using IT to improve the way they design and manage customer relationships. Customer Relationship Management (CRM) systems capture every interaction a company has with a customer, so that a more enriching experience is possible. If a customer calls a call center with an issue, the customer support representative will be able to see what the customer has purchased, view shipping information, call up the training manual for that item and effectively respond to the issue. The entire interaction is stored in the CRM system, ready to be recalled if the customer calls again. The customer has a better, more focused experience and the company benefits from improved productivity

The features of information technology Speed One of the main reasons so many business have turned to the IT world for their professional needs is the sheer speed at which computers and related technologies can process information. Email is a perfect example, as it eliminates the need to wait several days for a packet of documents to reach a client or business associate. Worldwide communications used to occur primarily through postal delivery. While still the optimal method for sending packages, printable materials such as legal documents or contracts may now move much more swiftly via the Internet. Businesses can receive news and updates which may provide vital insight into current market trends or changes in a clients needs almost instantaneously. Businesses are therefore able to provide immediate assistance to clients and thus improve their customer service. Efficiency

Increased speed often leads to increased efficiency. While eliminating the need to wait for packages or sensitive materials to arrive, businesses are able to receive and respond to changes instantly. This improved response time almost guarantees a higher chance at eliminating potential issues by allowing businesses to react quickly. Information technology also allows data to be stored in formats, which make information easier to store or send. The space a business saves by not having to maintain a room filled with filing cabinets and boxes of paper documents allows a company to function in less space and thereby reduce the cost of office rental or construction. Multi-Tasking Another business advantage of information technologies is the ability of computers to perform multiple tasks simultaneously. Provided the hardware is able to support it, the operator may have several different programs functioning at the same time. Furthermore, computers are generally capable of performing complex calculations, such as mathematical equations or travel distances, very quickly and accurately. Low Cost Computers themselves are much less expensive than they were years ago. As technology becomes more common, the cost becomes more affordable. Furthermore, as already mentioned, computers may replace other means of document storage and thereby allow companies to trim back on real estate expenses. Computers may also enable certain jobs to be eliminated. With a single operator being capable of performing several tasks at once, less personnel is often required to accomplish the same amount of work as before. Postal expenses and delivery costs may also decline as emails replace mail correspondence. Though a staff of hardware and software specialists is required to maintain operations, computers are an efficient means of eliminating labor costs for other data processing jobs. Entrepreneurs The Internet has become one of the foremost means of communication. Most people have access to a computer and to the Internet, thus making it easier to reach large masses of people all over the world. Many people have opened their own businesses and begun making money at home. Using information technology, a person may find a way to sell a product they manufacture themselves, such as jewelry or clothing. Online advertisements are present on almost every website and make it easy for consumers to find products and services offered by small business owners. Anyone can launch their own website and begin pursuing promising

careers without having to concern themselves with expenses such as office space or commuting.

The Role Technology Plays on Today’s Human Resource Management Technology is the practical application of science to commerce or industry; the study of or a collection of techniques; a particular technological concept; the body of tools and other implements produced by a given society .Technology is here and will continue to progress. To understand the role technology plays on today’s HRM we first have to understand business technology.

Business technology refers to the integration of computer and

communications technologies in support of administrative applications and procedures within an organization. Business technology is constantly evolving. Business technology is required for a successful business. It is no longer enough for HRM to maintain a narrow operational focus, view its activities as restricted to the limits of its own organization, or to limit itself to traditional human resource responsibilities HRs should go above and beyond. The HR field has evolved over time and nowadays HR is under more scrutiny and is more accountable than ever. There is little room for mistakes, which can be overwhelming costly. HRs these days and in the near future have a greater importance in the strategic business partnership with the organization, and for this challenge to be won there is an increasing need for technology to be inserted on its daily operations and on its decision-making considerations. Information Technology has been playing an important role in all aspects in business even in Human Resource Management. This article explores the impact of IT in recruitment and job placement; empowered teams for problem-solving; communication improvement; job flexibility and multitasking. Information Technology serves as a platform for wider scope of recruitment possibilities. Bigger companies which are confined internationally will have chances of hiring best employees who are based from different countries. This is possible because of the virtual tasks which can be assigned to them. Even if the company desires to hire manpower whose job cannot be done virtually, still there is greater opportunity to hire workers offshore whose skill sets fit to what you really need for the company. The use of IT also lessens the trainer’s burden to give instructions and training to the newly hired employees and to facilitate job tests. There are various Information Technology tools which

will gauge employees’ personalities, test the skills and even sum up the qualification a certain applicant has. Trainers or supervisors can be relieved of the repetitive tasks which include giving everyday instructions and personally performing tasks demonstrations in step by step manner. They can just create a video tutorial and let the trainees follow them easily. The Human resource management world is beset with challenges and problems with regards to employee management especially when it comes to performance monitoring. In most companies, they are spending so much for people who will monitor daily performances of the employees. With the advent of technology, CCTV cameras and other monitoring devices make supervisors stay in a certain room while checking every detail of the employees’ performance every now and then. Evaluations and decisions as to promote retain or fire employees can be best supported with unbiased records and performance evaluations which can be objectively checked with the use of Information Technology tools. The company can create a team to quantify output of employees, decide on the incentives of productivity and plan ahead for any issues concerning employee performance. These are all facilitated through IT empowered gadgets and software. Does this mean unbiased decisions? For most of the companies, it is! Further, communication problems whether in top-down, down-up or vertical ways can be facilitated virtually without any time, distance and other limitations. Human resource managers can communicate the employees anytime even if the employee is assigned outside the office. This is done vice-versa as well. Also, meetings and conferences are held virtually which will enable all people to participate through mobile devices. Another good thing about Information technology is the opportunity of the employees to multitask and to choose a schedule on their preferences. Such are believed to enhance productivity. The trends in technology which directly or indirectly have an impact in HRM are: •

Growth in knowledge needs. World trade is growing over three times faster in knowledge-intensive goods and services such as biomedicine, robotics, and engineering

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Shift in human competencies. Some predict that in 2015 almost all net employment growth will be in knowledge workers

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Global market connection. Technology is dissolving borders and creating an interconnected marketplace

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Business streamlining. Easy to use communication, electronic mail, electronic conferencing, and databases are creating instantaneous dissemination of data to make better decisions to geographically dispersed workers.

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Rapid response. Technology permits quicker communications, which allows faster decision-making.

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Quicker innovation. Teams of marketing, engineering, and production personnel working in parallel with computer provided files, data, and information develop products faster.

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Quality improvement. The concept of building quality into the entire process of making, marketing, and servicing is enhanced by computer monitoring systems and through robotics.

HRIS for the effectiveness of HRM A human resource information system (HRIS) is defined as a computer based application for assembling and processing data related to the human resource management (HRM) function. As in other types of information systems, an HRIS consists of a database, which contains one or more files in which the data relevant to the system are maintained, and a database management system, which provides the means by which users of the system access and utilize these data. The HRIS thus contains tools that allow users to input new data and edit existing data; in addition, such programs provide users with the opportunity to select from an array of predefined reports that may either be printed or displayed on a monitor. Reports may address any of a number of different HRM issues (e.g., succession planning, compensation planning, equal employment opportunity monitoring). HRISs also generally include tools by which users or system administrators may generate ad hoc reports and select specific cases or subsets of cases for display. In order to understand the types of applications available to HRIS users, it is best to consider the evolving nature of human resource information systems applications. The HRM field lagged behind a number of other functional areas of management in the utilization of computer applications, but beginning in the late 1980s extensive use of sophisticated applications began to appear. Prior to that time, manual record systems often dominated in personnel or human resource departments. Computer applications used in the field were generally limited to basic record keeping and payroll management systems. Virtually all such systems were based on mainframe computers and required extensive support from information systems professionals. Thus, human resource managers

had little opportunity to design sophisticated reports and computer-based analytical tools to aid in managerial decision making. In general, uses of computers in HRM fell into the category of electronic data processing applications, which generally involve the automation of relatively routine tasks. All indications are that HRISs will continue to play an increasingly important role in the HRM field. An important driving factor is that HRISs facilitate process reengineering in the HRM area, thus promoting greater efficiency. Functions that once were carried out manually and in many steps can often be largely automated. And the business firm's continuing demand for information to facilitate planning and strategy formulation will necessitate further reliance on HRISs. Finally, the linking of HRISs to organizational intranets is apt to gain in popularity as a relatively inexpensive and appealing means of gathering and distributing human resource information.

Role of Management Information System (MIS) in Human Resource Management In today’s organizations Human Resource is considered as one of the key resources of business organizations. The transaction processing layer of MIS in human resource function deals with routine activities like attendance recording and payroll calculations. The operational level activities also include maintaining the employee records which is used as a basis for strategic layers. With the growing importance of human resource management and increasing size of the organizations, maintenance of employee related data and generating Appropriate reports are the crucial aspects of any organization. Therefore more and more organizations are adopting computer based human resource management systems. A management information system provides information that is needed to manage organizations efficiently and effectively. Management information systems involve three primary resources: people, technology, and information or decision making. Management information systems are distinct from other information systems in that they are used to analyse operational activities in the organization. Academically, the term is commonly used to refer to the group of information management methods tied to the automation or support of human decision-making. The Management Information System is a collection of men, tools, procedures and software to perform various business tasks at various levels in the organization. Many organizations have separate MIS departments which are involved in maintaining records, performing transactions, report generations and consolidation of the important information which will be supplied to the various levels of the management. MIS

primarily serves the functions of controlling and decision-making at the managerial level. MIS has three basic levels: Operational, middle management and top management where the information is passed from bottom to top. This paper is an attempt to design and develop the Management Information System for Birla Corporation Limited, which involves Attendance Capturing & Recording System which will be used in monitoring the staff, control over the irregularities and reporting to the top management and show how it is useful in decision making at top level. The Management Information System has evolved as an important tool and technique in business management area in the current opportunities and business threats. Right information at right time in right format will decide the managements’ Human resource decisions . MIS is one of the important functions of management. In the 21st century the organizations need the information which is accurate, timely and reliable. The MIS plays an important role in providing the information required for crucial decision making which affects directly to the performance of the organization.

The benefits of an integrated Human Resource and Payroll platform The success of any business today is intrinsically linked with the capital of its key asset – its people. If Human Resources and Payroll functions are treated only as operational overheads, they are unlikely to provide best-in-class services to an organisation. Outsourcing them offers the opportunity for excellent service levels that deliver added value. In a company, payroll is the sum of all financial records of salaries for an employee, wages, bonuses and deductions. In accounting, payroll refers to the amount paid to employees for services they provided during a certain period of time. Payroll plays a major role in a company for several reasons. From an accounting perspective, payroll is crucial because payroll and payroll taxes considerably affect the net income of most companies and they are subject to laws and regulations. From an ethics in business viewpoint payroll is a critical department as employees are responsive to payroll errors and irregularities: good employee morale requires payroll to be paid timely and accurately. The primary mission of the payroll department is to ensure that all employees are paid accurately and timely with the correct withholdings and deductions, and to ensure the withholdings and deductions are remitted in a

timely manner. This includes salary payments, tax withholdings, and deductions from a pay check.

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Conclusion Human Resource Management is presented with the challenge of becoming more effective and productive, and they are accepting this challenging by turning to technology as a mean to improve their performance; however technology presents its own challenges as well. The role technology plays on Human Resource Management is most fundamental when used as part of an organization’s business strategy. There are specific technology designed for HRM

decision-making, however the efficiency of these decisions remain dependent on the human training and skills. Technology is incorporated on the fibber of our lives because of its overwhelming presence in e-business, as Internet continues to have an exponential growth. Living in such a fast paced society, technology is ever changing. With developments such as ATM machines, selfcheckout registers, and online shopping, technology has always been evolving to make our lives better and easier. This statement can be said for all business industries, as well as in our everyday lives. For the human resources industry in specific, Information Technology is used to attract, hire, retain and maintain talent, support workforce administration, and optimize workforce management. The goal from automating the following functions is to help managers work faster and more efficiently. Information technology is used by managers, employees, HR professionals in different ways to improve the way they do business.