ERP – Human Resources: The Key for Success
The intense competitiveness in the global markets demand an improvement in the results. In this context, it is critical of the management of human resources. The concept of Human Resources as a cost generator has to change into a profits generator.
Human Resources is a fundamental part of the scheme of every successful enterprise, as the information received by this area needs to have a continuous follow-up and correct evaluation for the professional development and the social welfare of the workers. However, due to the large quantity of information that is handled in this area, the job is becoming more difficult everyday. ERP is represented like a useful tool to help and orient the users to focus their work in the direct relationship with the staff, and to link the personal skills and aspirations of the personnel related to the objectives and goals of the company.
The Challenge: Additional Value
A highly topical subject is the success in organizations, and it depends largely on the capacity of the companies in attracting, developing and keeping key employees. Therefore, it is necessary to have a system and optimal processes for the management of the same.
Through an ERP system it is possible to facilitate the centralized control and decentralized operation, which allows the leaders of the human resources area to focus on the strategic responsibilities of planning programs of personnel for development. Meanwhile, the operative activities are assumed and optimized by their own tool. By this way, an additional value is added.
The Response For Human Resources
ERP is able to provide the management of the Human Resources area with an integrated solution to the different processes of these sections, which includes the planning, the administration of payroll, the professional development, work health and administration in general.
It is also useful for decision making, analysis, all-embracing management and control report. The internal communication is a indispensable part of the daily tasks of the department, and therefore ERP is also prepared to provide a solution in this field. The regulations and procedures, suggestions box, opinion surveys, virtual welcome, business calendar, letters of appointment, news, and forums are some of the features that will be unified in the system.
In regards to the management, the features vary between the employee self-service; employee procedures like social benefits, trips, vacations, and assessment forms are of great importance. The response for human resources are incredibly important.
Advantages of the System
The implementation of ERP contributes to automate the processes, setting resources free to develop tasks of major interest and optimizing the different Human Resources processes. It is expected that this system helps the users to fit the personnel management into the processes of the core business. The use of corporate WebPages to promote the relationship with the employees increases the satisfaction grade and knowledge, and at the same time allows to execute management tasks of personal details that leads into a reduction of administrative costs.
ERP should cover a total vision of the diverse processes that are involved in the human resources tasks with the objective to line up the securing of the business objectives; and they are necessary for obtaining homogeneous and top-quality information for its analysis. Furthermore, the system provides the users with the possibility of authorizing cooperative processes between the different areas of the enterprise and external agents.
All the strategic features are combined with analytical information. By this way, the management obtains in the short term a general sight regarding the Human Resources strategy. Each user is authorized to receive access to the necessary information on the personnel development, personnel costs, planning of positions and reports. With the use of the applications as well as the Timing manager and complimentary modules, the users have the benefit of an innovative computing support for the development of the area.
Besides, the users in charge of the information entry will be able to register the details in a MS Word or MS Excel single document, and this can be done on offline mode, and they can update the same by ERP. By this way, the use is really easy since there is no need of training because the already known tools can be used and then incorporated into the system.
The Human Resources Module – Main Features
The module specialized in the administration of the operations at the human resources area and the generation of information on the management associated with the administration of the organization chart, which includes a career plan with detailed descriptions of the positions, responsibilities and tasks. The integration with the module of liquidation of assets includes electronic authorization processes and workflow.
Another advantage that the systems provides the users with is the administration of the type of courses and qualifications of the same management of the resumes’ database. It is useful to maintain a proper organization of the requirements, interviews, exams, personnel dossiers, and advances. All the main features in relation with the behaviour are also envisaged, and it is an affective way to administer the applications, warnings and suspensions.
The liquidation of assets permits to generate information of formal presentation and management related to family structure, administrations of vacations for personnel, automatic liquidation of casualties, calculation of liquidation engine, and control of settlements. Also included are the generation of payment orders, advances, and closing.
The main features are divided in six groups. The first one, enterprise planning, offers the possibility to generate work definitions according to quality and also to the specific language and education requirements. It is very useful to create and approve vacant staff requests, and it is also necessary for the creation of organizational schemes. The group of employment contains special features to design the staff selection and project phases according to the politics of the enterprise.
Furthermore, it allows for planning and employment announcements to follow-up the staff selection process; it makes the daily tasks easier since it is possible to plan the interviews with applicants, send mass mailing to all of them and apply tests for the candidates. To save time, one of the tools most appreciated by the users is searching engines to sort out all the data of resumes filtered by specific criteria. In regards to the third, employment record management, ERP provides the department with the option to update the employment records on the basis of information and updating collectively on a single screen for more than one staff member. The listing of personnel employment records could also be sorted by user defined search criteria with the advantage of including pictures in all the staff records.
The most difficult task to complete in order to maintain the good performance is the payroll management. For this point, ERP has a solution that speeds up this process. This feature makes simpler the procedure to follow-up the monthly information on daily or monthly basis according to the needs; bonuses and extra payments could be calculated automatically and it is perfect for defining collective income or deductions and deferred payments. The system is ideal for obtaining bank payment lists and designing electronic data files of the bank where the wages are paid.
The fifth group is the training management one, which allows you to define training institutions, places and trainers, with the advantage of outlining the qualities developed once the training has finished. The cost for the training and the request are saved in the records, as well as what is fundamental to follow for success, taking into account the option for realizing training assessment questionnaires.
Finally, the last group is related to the generation of reports, a real interesting feature for defining user defined reports and creating summaries of payroll reports. Besides, concepts like: seniority, loans, judicial deductions for workers, indemnity of different types like completion of contract, and dismissals are taken into account by ERP.
Through the different features that ERP may have, the only reality is that the human resources area will be able to define the organizations structure of the enterprise, representing it by the display of the organization chart, the assignment of responsibilities, functions and persons inside the structure. It will also help to manage the personal and professional information of the permanent, temporary, or former employees, as well as the candidate’s one, avoiding the delays in the daily work,. This is a common situation that most human resources departments have to face.