SVKM’S NMIMS

ANIL SURENDRA MODI SCHOOL OF COMMERCE

A

PROJECT REPORT

ON

HUMAN RESOURCE MANAGEMENT

“A STUDY OF HRIS at HDFC Bank, MUMBAI”

SUBMITTED BY

SYBBA Div (B)

ADMIN GROUP NO. 11

NAME AND ROLL NO. OF MEMBERS

STUTI KATHURIA B051

SUDARSHAN AGARWAL B052

SUMER MEHRA B053

TANMAY KEDIA B054

UNDER THE GUIDANCE OF

PROF. A. U. SHELKE

2015

1

INDEX

Sr. No.

Chapter No.

Sub Points Page No.

1 Chapter - I 1.1 Introduction to study

1.2 Objectives

1.3 Limitations of the Study

1.4 Research Methodology

(In table format)

3

2 Chapter – II 2.1 Information about organization

2.2 Type (Service, Manufacturing, Trading etc.)

2.3 About Company (Vision, Mission, Products, Departments, achievements)

2.4 Organizational structure

2.5 Customers

6

3 Chapter – III

3.1 Conceptual background of the study / Theoretical Framework for concept under study

9

4 Chapter - IV Data Analysis, Interpretation 14

5 Chapter - V 5.1 Findings

5.2 Suggestions (if any)

5.3 Conclusion

21

Annexure

filled up questionnaires to be attached (for total sample size)

22

Bibliography & References 23

2

Chapter I

INTRODUCTION

A HRIS, which is also known as a Human Resource Information System or human resource

management system (HRMS), is basically an intersection of human resources and

information technology through HR software. This allows HR activities and processes to

occur electronically.

To put it another way, a HRIS may be viewed as a way, through software, for businesses big

and small to take care of a number of activities, including those related to human resources,

accounting, management, and payroll.

It can be said to be similar to Management Information Systems (MIS) which are used in

different levels of an organization A HRIS allows a company to plan its HR costs more

effectively, as well as to manage them and control them without needing to allocate too many

resources toward them. In most situations, an HRIS will also lead to increases in efficiency

when it comes to making decisions in HR. The decisions made should also increase in quality

—and as a result, the productivity of both employees and manages should increase and

become more effective.

Company chosen – HDFC Bank

We visited HDFC Bank Head Office, Chandivali, we found out that they had implemented

HRIS around 2 years ago when they found that HR tasks were becoming tedious and

cumbersome to handle. HRIS was a massive upgrade on the manual tasks which were

otherwise previously used for payroll management, performance management, report

generation and other financial tasks related to the employees of HDFC Bank.

3

As students of HR, it was particularly important to visit a bank of HDFC’s stature and survey

leading HR professionals about their use of HRIS as Group 11 learnt a great deal about the

concept of HRIS and that it still has tremendous potential to grow as a concept.

We were amazed at the effectiveness it brought along with itself to HDFC Bank. It not only

reduced paperwork but brought along with it data accuracy and removed the

redundancy that would have otherwise been faced had there been too much manpower

looking after these day to day HR tasks, We can definitely say that this opportunity has given

us a lot to learn and ponder about HR for our future studies.

Objective:

To study the HRIS used in HFDC Bank as well as to see and analyse as to what

degree has it benefitted the organization with respect to several aspects such as

creating reports which help analyse organization data much quicker and in a more

efficient manner.

To study how responsive have the HR professionals and managers been to new

technology such as HRIS We also wanted to see the time they took to adapt to HRIS.

4

Limitations

The primary limitations we faced were that the concerned employees couldn’t give

too much time to answer the questionnaire. They were busy with their own work and

removing some time from their hectic schedule was always going to be a difficult

task.

Also since they were in a hurry while filling up the survey as well as when we were

solving a few of our doubts, the authenticity of their answers would always remain

dubious.

RESEARCH METHODOLOGY

A sample survey will be conducted in the organization consisting of a questionnaire

formulated by the students of Group 11. The answers are aimed to be obtained as objective in

manner as possible.

Sample Survey 10-15 Employees

Sample Units Employees, Supervisors, Payroll Managers,

Admin staff, Accountants and HR

department

Sampling Method Random sampling

Data Collection Technique Questionnaire, E-mails, our analysis

5

Chapter II

2.1 INFORMATION ABOUT COMPANY

HDFC Bank Limited is an Indian banking and financial services company headquartered in Mumbai, Maharashtra. It is the fifth largest bank in India by assets, incorporated in 1994.[1]

[7] It is the largest private sector bank[8] in India by market capitalization as of 24 February 2014. The company was founded by Hasmukhbhai Parekh and is now headed by Aditya Puri who is the Managing Director of HDFC Bank Ltd. It is a public company.

2.2 TYPE

It primarily is a services firm but also offers products in the form of cheque books, plastic money and other forms of banking.

2.3AWARDS AND ACHIEVEMENTS IN 2014

Euromoney - HDFC Bank wins Best Private Banking Services for Super affluent clients for 5 years in a row at Euromoney Awards

Euromoney Private Banking and Wealth Management Survey 2015

- Best Private Banking Services award for Net-worth-specific services category for Super affluent clients (US$ 1 million to US$ 5 million).- Best Private Banking Services award Asset Management

FE Best Bank Awards - Best Bank in the New Private sector- Winner - Profitability- Winner - Efficiency

Business Today - KPMG Study 2014

- Best Large Bank - Overall- Best Large Bank - Growth

Businessworld-PwC India Best Banks Survey 2014

- Best Large Bank   - Fastest Growing Large Bank

6

Asiamoney FX Poll 2014 - Best Domestic Provider of FX options   - Best Domestic Provider of FX products & Services   - Best Domestic Provider of FX research & market coverage   - Best Domestic provider for FX Services

The Asian Banker Strongest Bank in India in the Asian Banker 500 (AB 500) Strongest Bank by Balance Sheet Ranking 2014

Dun & Bradstreet - Polaris Financial Technology Banking Awards 2014

- Best Bank - Managing IT Risk (Large Banks)- Best Bank - Mobile Banking (Large Banks)- Best Bank - Best IT Team (Private Sector Banks)

Forbes Asia Fab 50 Companies List for the 8th year

BrandZ TM Top 50 Most Valuable Indian Brands study by Millward Brown

India's Most Valuable Brand

Finance Asia Country Awards 2014 and poll on India's Top Companies

- Best Bank - India- Best CEO- Rank 1- Best CSR - Rank 1- Best CFO - Rank 2

Asiamoney Best of Best Domestic Banks - India

2.3.VISION AND MISSION

HDFC Bank began operations in 1995 with a simple mission: to be a "World-class Indian Bank". Today they claim that they have comfortably achieved that mission and now set themselves the goal to conquer the world.

PRODUCTS AND SERVICES

Under Products HDFC Bank offers the core services such as:

NRI Banking SME Banking Wholesale Banking

Under Services, HDFC Bank offers core services such as:

Wholesale Banking Retail Banking Treasury services

7

2.4 ORGANIZATION STRUCTURE

At the Head Office, we visited the HR Department and we only found 10 employees sitting in their workstation. Mr. Alok who was an HR Manager, claimed to be the senior most person present in the HR Department and he only had to report to the Senior Manager and the Board of Directors. The other employees we spoke to were young and vibrant HR executives who seemed determined to climb up the ladder and earn their promotion on a meritorious basis.

2.5 CUSTOMERS

Their customers mainly include individuals of middle and higher income group as HDFC is a private bank and it becomes difficult for them to maintain a specific higher amount every month.

8

Chapter III

3.1 CONCEPTUAL BACKGROUND

A Human Resources Management System (HRMS) or Human Resources Information

System (HRIS), refers to the systems and processes at the intersection between human

resource management (HRM) and information technology.

It merges HRM as a discipline and in particular its basic HR activities and processes with the

information technology field, whereas the programming of data processing systems evolved

into standardized routines and packages of enterprise resource planning (ERP) software.

The linkage of its financial and human resource modules through one database is the most

important distinction to the individually and proprietary developed predecessors, which

makes this software application both rigid and flexible.

A Human Capital Management Solution, Human Resources Management System (HRMS) or

Human Resources Information System (HRIS), as it is commonly called is the crossing of

HR systems and processes with information technology.

The Human Resources systems that helps improve the process efficiency, reduces the cost

and time spent on mundane tasks and at the same time improved the overall experience

of the employees and the HR professionals.

9

The function of human resources (HR) departments is administrative and common to all

organizations. Organizations may have formalized selection, evaluation, and payroll

processes. Management of "human capital" progressed to an imperative and complex process.

HR executives rely on internal or external IT professionals to develop and maintain an

integrated HRMS.[3] Before client–server architectures evolved in the late 1980s, many HR

automation processes were relegated to mainframe computers that could handle large

amounts of data transactions. In consequence of the high capital investment necessary to

buy or program proprietary software, these internally developed HRMS were limited to

organizations that possessed a large amount of capital.

The advent of client–server, application service provider, and software as a service(SaaS) or

human resource management systems enabled higher administrative control of such systems.

Currently human resource management systems encompass:

1. Payroll

2. Time and attendance

3. Performance appraisal

4. Benefits administration

5. HR management information system

6. Recruiting/Learning management

7. Performance record

8. Employee self-service

9. Scheduling

10.Absence management

10

11.Analytics

The payroll module automates the pay process by gathering data on employee time and

attendance, calculating various deductions and taxes, and generating periodic pay cheques

and employee tax reports. Data is generally fed from the human resources and time keeping

modules to calculate automatic deposit and manual cheque writing capabilities. This module

can encompass all employee-related transactions as well as integrate with existing financial

management systems.

The time and attendance module gathers standardized time and work related efforts. The

most advanced modules provide broad flexibility in data collection methods, labor

distribution capabilities and data analysis features. Cost analysis and efficiency metrics are

the primary functions.

The benefits administration module provides a system for organizations to administer and

track employee participation in benefits programs. These typically encompass insurance,

compensation, profit sharing and retirement.

The HR management module is a component covering many other HR aspects from

application to retirement. The system records basic demographic and address data, selection,

training and development, capabilities and skills management, compensation planning

records and other related activities. Leading edge systems provide the ability to "read"

applications and enter relevant data to applicable database fields, notify employers and

provide position management and position control. Human resource management function

involves the recruitment, placement, evaluation, compensation and development of the

employees of an organization. Initially, businesses used computer based information systems

to:

produce pay checks and payroll reports;

maintain personnel records;

11

pursue talent management.

Online recruiting has become one of the primary methods employed by HR departments to

garner potential candidates for available positions within an organization. Talent management

systems typically encompass:

analyzing personnel usage within an organization;

identifying potential applicants;

recruiting through company-facing listings;

recruiting through online recruiting sites or publications that market to both recruiters and

applicants.

The significant cost incurred in maintaining an organized recruitment effort, cross-posting

within and across general or industry-specific job boards and maintaining a competitive

exposure of availabilities has given rise to the development of a dedicated applicant tracking

system, or 'ATS', module.

The training module provides a system for organizations to administer and track employee

training and development efforts. The system, normally called a "learning management

system" (LMS) if a standalone product, allows HR to track education, qualifications and

skills of the employees, as well as outlining what training courses, books, CDs, web based

learning or materials are available to develop which skills. Courses can then be offered in

date specific sessions, with delegates and training resources being mapped and managed

within the same system. Sophisticated LMS allow managers to approve training, budgets and

calendars alongside performance management and appraisal metrics.

The employee self-service module allows employees to query HR related data and perform

some HR transactions over the system. Employees may query their attendance record from

the system without asking the information from HR personnel. The module also lets

12

supervisors approve O.T. requests from their subordinates through the system without

overloading the task on HR department.

Many organizations have gone beyond the traditional functions and developed human

resource management information systems, which support recruitment, selection, hiring, job

placement, performance appraisals, employee benefit analysis, health, safety and security,

while others integrate an outsourced applicant tracking system that encompasses a subset of

the above.

Assigning Responsibilities Communication between the Employees.

The Analytics module enables organizations to extend the value of an HRMS

implementation by extracting HR related data for use with other business intelligence

platforms. For example, organizations combine HR metrics with other business data to

identify trends and anomalies in headcount in order to better predict the impact of employee

turnover on future output.

There are now many types of Human Resources Management System (HRMS) or Human

Resources Information System (HRIS) some of which are typically local-machine based

software packages the other main type is an online cloud-based system which can be accessed

via a web browser.

The Staff Training Module enables organizations the ability to enter, track and manage

employee and staff training. Each type of activity can be recorded together with the

additional data. The performance of each employee or staff member is then stored and can be

accessed via the Analytics module.

13

Chapter IV

In this section, we will do data analysis and its interpretation.

Our survey was filled by 10 people.

The following graphical tools represent the answers to the questions and give the reader an idea about the survey demographics.

70%

30%

Age Group

21-3031-40

14

80%

20%

Gender

MaleFemale

AGE GROUP Around 30% of the people working under HR department were between 31-40 and 70% were between 21-30 years of age.

GENDER Out of the 10 people we surveyed, only 2 were female and 8 were male.

Role of the employee

HR managerHR professionalOther

Q. How long have you been working as HR specialist?

How long have you been an HR specialist0

1

2

3

4

5

6

3

2

5

0-1 yr1-3yr3-5yr

15

ROLE OF THE EMPLOYEE 3 people here HR manager, 3 were HR professional and 4 were from the other department.

TIME PERIOD SINCE THEY’VE BEEN WORKING AS HR SPECIALIST 3 people have been working in HDFC since less than 1 year, 2 people between 1 to 3 years and 5 people since 3 years but less than 5 years.

Q. Since how long have you been using the HRIS?

8

2

How long have you been using HRIS

Less than 3 yrsNot sure\no response

Q. For what purpose are you using HRIS?

Reduce paper work

Speed up work Reduce Manpower Management of HR0123456789

Employees: Reasons to use HRIS

Q. To what extent HRIS is used?

16

HOW LONG THEY HAVE BEEN USING HRIS 8 of the people have been a part of the HRIS since less than 3 years, wereas 2 people were not sure about it.

Q.

What software do you use for HRIS?

MS Excel ERP Free customised software

Don't know0

1

2

3

4

5

6

7

8

9

10

0 0

9

1

What type of software do you use?

Q. How effective is your software in the following features?

17

To what extent HRIS is used0

1

2

3

4

5

6

7

8

3

7

60%80%

SOFTWARE TYPE USED

HDFC uses a free customized software for HRIS and not ERP or MS Excel.

OR

Q. Rate the following features in the software that you currently are using.

User Fr

iendly

Compatibilit

y

Reliab

lility

Efficie

ncy

Secu

rity

Flexib

lility

Maintai

nibiltyClar

ity

Consisten

cy

Stabilit

y

Accurac

y0

1

2

3

4

5

6

7

8

9

ExcellentGoodAverage

18

RATING OF THE FEATURES The software got a excellent rating in being user friendly as the software is customized. However it’s compatibilty, reliability and effeicenicy is good according to most of the employees.

HDFC can work on improving the security and consistency of it’s HRIS software and should continue to maintain their maintainablity and accuracy.

Q. Are you able to meet strategic goals through HRIS?

Moderately Good Excellent0

1

2

3

4

5

6

Are you able to meet strategic goals through HRIS

19

ABLE TO MEET GOALS THROUGH HRIS

Out of 10 people, 3 feel that the strategic goals are being met, but however this can be improved and hence they’ve given a moderate rating.

Whereas, 5 people are happy with the functioning of the HRIS and the ways it is helping the organisation to achieve it’s goal, but still there is still a little scope for improvement.

Only 2 people are satisfied with the way HRIS is helping them meet their strategic goals.

Q. To what extent do you perform the following HR tasks?

Human re

source

develo

pment

Communications

Career

manag

emen

t

Commitmen

t man

agem

ent

Leaders

hip man

agem

ent

Business

proces

ses re

engin

eeing

Manag

ing rela

tions trad

e unions

Decisio

n mak

ing 0

1

2

3

4

5

6

7

8

12345

20

1 – Not at all 5 – Very much

Human resource development – Most of the people agree that they are able to participate in Human Resource development through HRIS.

Communications – About 7 people said that they moderately think that they’re able to improve communications via HRIS, there is scope for improvement.

Career Management – 1 person felt that HRIS is not helping not manage is career, whereas, 5 people felt that HRIS is nicely helping them manage their career.

In commitment management, leadership management, business process outsourcing and managing trade unions, around 2 people think that their HRIS is excellent and the rest felt that it’s close to perfection.

CHAPTER V

5.1. Findings and Suggestions

After meeting the HR specialists and conducting the survey, we have the following findings –

1. The employees believe that the HRIS in use can be improved in terms of data security.

2. We would suggest the HDFC bank to improve the security by either using a different software(paid and customised for the Co.) or to develop their own software to suit the structure and requirements of the organisation.

3. We found that the decision making process does not use HRIS to the full extent. We would recommend that the reports generated by the software be implemented in this process the maximum extent possible.

4. Some suggestions by the employees include reducing the errors made by the HRIS and increasing speed of report generation. These shortcomings can be overcome by developing their own software.

5. One another observation is that the ratio of male to female employees in the HR department is 8:2. This gap in the sex ratio is not feasible for the Co. as the female employees in the company need to be catered as well by the HR Department. Also, while developing their own software the input of the female employees in the HR department is essential to develop a holistic view towards HRIS and Human Resources in general.

5.2. Conclusion

We can conclude this report by saying that HRIS as a software will only take Human Resources forward as a concept despite having its fair share of shortcomings. People who use HRIS in organizations have their apprehensions on the data security aspect of it. Once it becomes a little more secure and if a fool proof security system is installed which can ensure that no manipulation of data takes place, an HR manager can be rest assured that HRIS will revolutionize the way HR reports are handled and will eventually reduce a lot of superfluous tasks and cut down the work load on human capital. This will ensure that they can divert their attention on important tasks such as selection and recruitment.

Personally, we as Group 11 really enjoyed studying about HRIS as a concept and have learned an immense amount about this up and coming concept.

We would like to thank Miss Ashvini Shelke for giving us this opportunity to study about HRIS.

21

ANNEXURE

10 SURVEY FORMS FROM THE HR DEPARTMENT OF HDFC BANK

22

BIBLIOGRAPHY

www.hrpayrollsystems.net/hris/ http://www.ssbfnet.com/ojs/index.php/ijrbs/article/view/157 searchfinancialapplications.techtarget.com/definition/HRIS http://www.emeraldinsight.com/doi/abs/10.1108/01437720810908947 https://ideas.repec.org/p/psi/resdis/22 en.wikipedia.org/wiki/Human_resource_management_system

23