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INTRODUCTION TO HRIS MIS/Technical Review What is an HRIS/HRMS? Introduce the SDLC 1 0 / 2 6 / 0 4 1

I NTRODUCTION TO HRIS MIS/Technical Review What is an HRIS/HRMS? Introduce the SDLC 10/26/04 1

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INTRODUCTION TO HRIS

MIS/Technical Review What is an HRIS/HRMS? Introduce the SDLC

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DATA VS INFORMATIONDATA VS INFORMATION

Data - “Just the facts” >>raw facts

Information - data that has been transformed into a more useful or meaningful form

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TransformationProcess

HOW DOES DATA BECOME INFORMATION?

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InformationData

WHAT IS A “SYSTEM”

A set of elements or components that are formed and interact to accomplish a goal (e.g. transform data into information)

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Processing

WHAT IS AN INFORMATION SYSTEM?

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OutputInput

Feedback Loop

Processing(Calc. Net pay)

AN HR EXAMPLE

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Output(cut paycheck)

Input(hours worked)

Feedback Loop(Is paycheck accurate?)

EVOLUTION OF INFORMATION SYSTEMS

Transaction Processing (e.g payroll) Management Information Systems (e.g. daily

& monthly absenteeism summary) Decision Support Systems (e.g. How many

employees should we hire?) Expert Systems

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ANY COMPUTER-BASED INFO SYSTEMS (HRIS INCLUDED)

Hardware Software Databases Telecommunication Procedures People

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Consists of...

WHAT IS A “HUMAN RESOURCE INFORMATIONSYSTEM”

The application of computers to employee-related record keeping and reporting, and management decision making

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HISTORY OF HRIS

1950’s - virtually non-existent 1960’s - only a select few 1970’s - greater need 1980’s - HRIS a reality in many orgs 1990’s - Numerous vendors, specialties

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GROWTH OF HRMS1

0/2

6/0

4

12

$20

$40

$60

$80

HR

Sof

twar

e sa

les

Mic

ro P

CH

R S

oftw

are

sale

s M

icro

PC

Mil

lion

sM

illi

ons

1983 1986 1987 1989 19911985

TYPICAL HRIS RECORD KEEPING REQUIREMENTS

Employee information Wage and salary data Review dates Benefits Education and training Attendance Performance data/appraisal results

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TYPICAL HRIS REPORTING REQS.

Employee profiles/lists Summary reports on employee groups Historical trends in work-related info Person-position comparisons

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HRIS TRACKS...

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People

PositionsJobs

WorkersComp

HRPlanning

MedicalRecords

Recruit/Employ

EEO/AAP

Benefits

Payroll

PensionAdmin

Emp. RelationsT&D

Comp.

Health &Safety

DEVELOPING AN HRIS: A HOST OF DECISIONS...

Fix what we’ve got (Improve current systems) vs. new system?

Make versus Buy? Scope? Goals/Objectives? Strategy

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DEVELOPING AN HRIS: SYSTEM DEVELOPMENT LIFE CYCLE (SDLC)

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Planning

Design

Analysis

Implementation

Maintenance

PHASE CONTAINMENT

Identify and address any problems at their earliest possible step to avoid costly rework down the road

“Pay a little now, or a lot later!!!”

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WHY HRISS SOMETIMES FAIL

Unclear goals/objectives System solves the

wrong problem Improper

vendor/product selection

Low user involvement Planning overlooks

impact on clerical procedures

Lack of HR/functional expertise in designing

Underestimate conversion effort

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Management- Management- unrealistic unrealistic expectationsexpectations

Lack of overall plan for Lack of overall plan for record mgt.record mgt.

Lack of flexibility and Lack of flexibility and adaptabilityadaptability

Misinterpret HR Misinterpret HR specificationsspecifications

Poor communication Poor communication between HR/ISbetween HR/IS

Inadequate testingInadequate testing

WHY ARE CAREFULLY DEVELOPED INFO SYSTEMS IMPORTANT TO HR?

Better safety Better service Competitive Advantage Fewer Errors Greater Accuracy Higher Quality Products Improved Health Care Improved

Communication Increased Efficiency

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Increased ProductivityIncreased Productivity More efficient More efficient

administrationadministration More opportunitiesMore opportunities Reduced labor Reduced labor

requirementsrequirements Reduced costsReduced costs Superior managerial Superior managerial

decision makingdecision making Superior controlSuperior control

VENDOR CONTACTS

PeopleSoft Oracle HR Applications Ascentis Software - HROffice Eric Systems Inc. Infinium Spectrum

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Http://www.ihrim.org/market/onlineguide/alphabetical.htm

22

This session will present best in practice examples designed to: This session will present best in practice examples designed to:

• Using current technology to full capacity;

• How to plan for the future;

• Communication of an HRIS system's value beyond HR;

• Thinking about new ways of using data to help move your business forward; and,

• Effectively budget and manage your HR Technology resources.

• Using current technology to full capacity;

• How to plan for the future;

• Communication of an HRIS system's value beyond HR;

• Thinking about new ways of using data to help move your business forward; and,

• Effectively budget and manage your HR Technology resources.

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How to be a better business partner using TechnologyHow to be a better business partner using Technology

• Use systems that are appropriate for your company

• Contact your audit and legal departments

• Trust Managers and Employees

• It’s all about the data or data is power

• Act as if your HRIS group is a “Center of Excellence”

• Use systems that are appropriate for your company

• Contact your audit and legal departments

• Trust Managers and Employees

• It’s all about the data or data is power

• Act as if your HRIS group is a “Center of Excellence”

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AgendaAgenda

• Overview

• Evolution– Technology– HRMS

• Plan for the Future

• Getting Religion on “Strategy”

• The Future

• Questions

• Overview

• Evolution– Technology– HRMS

• Plan for the Future

• Getting Religion on “Strategy”

• The Future

• Questions

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OverviewOverview

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What is HR?What is HR?

• human resourcesn. Abbr. HR – (used with a pl. verb) The persons employed in a business or

organization; personnel. – (used with a sing. verb) The field of personnel recruitment and

management.

– Source: The American Heritage® Dictionary of the English Language, Fourth EditionCopyright © 2000 by Houghton Mifflin Company.Published by Houghton Mifflin Company. All rights reserved.

• human resourcesn. Abbr. HR – (used with a pl. verb) The persons employed in a business or

organization; personnel. – (used with a sing. verb) The field of personnel recruitment and

management.

– Source: The American Heritage® Dictionary of the English Language, Fourth EditionCopyright © 2000 by Houghton Mifflin Company.Published by Houghton Mifflin Company. All rights reserved.

Recruit, Hire, Train, Sustain, and Reward the

Right People.

Overview

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What is IT?What is IT?

• information technologyn. Abbr. IT

– The development, installation, and implementation of computer systems and applications.

– Source: The American Heritage® Dictionary of the English Language, Fourth EditionCopyright © 2000 by Houghton Mifflin Company.Published by Houghton Mifflin Company. All rights reserved.

– <business, jargon> (IT) Applied computer systems - both hardware and software, and often including networking and telecommunications, usually in the context of a business or other enterprise. Often the name of the part of an enterprise that deals with all things electronic.

– The term "computer science" is usually reserved for the more theoretical, academic aspects of computing, while the vaguer terms "information systems" (IS) or "information services" may include more of the human activities and non-computerised business processes like knowledge management

– Source: The Free On-line Dictionary of Computing, © 1993-2001 Denis Howe

• information technologyn. Abbr. IT

– The development, installation, and implementation of computer systems and applications.

– Source: The American Heritage® Dictionary of the English Language, Fourth EditionCopyright © 2000 by Houghton Mifflin Company.Published by Houghton Mifflin Company. All rights reserved.

– <business, jargon> (IT) Applied computer systems - both hardware and software, and often including networking and telecommunications, usually in the context of a business or other enterprise. Often the name of the part of an enterprise that deals with all things electronic.

– The term "computer science" is usually reserved for the more theoretical, academic aspects of computing, while the vaguer terms "information systems" (IS) or "information services" may include more of the human activities and non-computerised business processes like knowledge management

– Source: The Free On-line Dictionary of Computing, © 1993-2001 Denis Howe

Turning data into knowledge

Overview

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HR and ITHR and IT

Recruiting

Training

Salaries Overtime

Benefits

Executive Comp & Perqs

COBRA

EEOC

Job Documentation

FLSA/Compliance

Promotions

SeveranceExpatriation/Moving

Incentives

Succession Planning

Human Resources

Communications Job Evaluation

Information Technology

Excel

PowerPoint

Access

HRIS

Payroll

Overview

Manager Self

Service

Employee Self

Service

Development

Growth

Reward

Success

Measurement

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Overview

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3010/26/04

31Source: IEEE

Evolution

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A Short History of ComputersA Short History of Computers

Source: IEEE

1950s

1960s

1970s

MainframesStorageCOBOL(1959)

PascalFortranBasic

CalculatorsMicrocomputingApple II

1980s

SoftwareProcessing powerCDs

1990s

User InterfaceNetworkingEmail/The Internet

2000s

WirelessMiniaturizationConvergence

Evolution

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History of HRMSHistory of HRMS

• DBMS

• Payroll

• HRIS

• Enterprise Resource Planning

• DBMS

• Payroll

• HRIS

• Enterprise Resource Planning

Transactions

Storage

Analysis

Access

Evolution

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Rainbow of ChoicesRainbow of Choices

HRISPayroll

•Transactions entered manually and centrally

•Stores data and transactions

•Calculations are done outside of the system

•Simple exports to benefit providers

eHR

•Transactions entered manually and centrally

•Stores data and transactions

•Performs simple calculations

•Provides feeds to other systems and providers via export

•Transactions are initiated by employees or managers

•All calculations are parameterized for easy changes

•Other systems use ODBC, automated feeds or other integrated linkages

ERPs HR PortalsNext GenPayrollAccess/Excel

Evolution

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What do you need in your HR systems to support business strategies?What do you need in your HR systems to support business strategies?

• Manager Self Service• Employee Self Service• Executive Information System• Payroll feeds• Benefit calculations• Reporting (including Managerial/Legal)• Compensation Program Administration• History• Globality• Budgeting/Planning• Headcount• Recruiting• Skills Inventory, Career Development, Succession Planning, Training,

Competencies• Job History and Employee Background• Market Pricing/Matching/Survey Management

• Manager Self Service• Employee Self Service• Executive Information System• Payroll feeds• Benefit calculations• Reporting (including Managerial/Legal)• Compensation Program Administration• History• Globality• Budgeting/Planning• Headcount• Recruiting• Skills Inventory, Career Development, Succession Planning, Training,

Competencies• Job History and Employee Background• Market Pricing/Matching/Survey Management

(Check all that apply)

Evolution

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System DesignSystem Design

Data

Compensation

Recruiting Benefits

HR

PayrollTraining

Reporting

History Calculations

Headcount

IT/Infrastructure

Executives

Legal/Audit

Security

Facilities

Strategy &Planning

Finance

Managers/Employees

Evolution

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Manager Self ServiceManager Self ServiceEvolution

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Evolution

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Plan for the FuturePlan for the Future

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Where do I start?Where do I start?

• Corporate HR audit

• What are your company’s?– Business Goals– Acquisition Strategies– Understanding of timeframes

• What are the HR priorities for systems?

• What’s your BUDGET?

• ROI

• Business Plans are not only for dotcoms anymore!

• Corporate HR audit

• What are your company’s?– Business Goals– Acquisition Strategies– Understanding of timeframes

• What are the HR priorities for systems?

• What’s your BUDGET?

• ROI

• Business Plans are not only for dotcoms anymore!

Plan for the Future

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What does that mean for your HRMS?What does that mean for your HRMS?

• New System or a makeover?

• Highly customized or configured?

• How old is your current system?

• Are there plug-in solutions out there for your needs?

• Think ahead…

• New System or a makeover?

• Highly customized or configured?

• How old is your current system?

• Are there plug-in solutions out there for your needs?

• Think ahead…

Plan for the Future

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How to save time and moneyor Implementation Strategies 101How to save time and moneyor Implementation Strategies 101

• What do you want your HR processes to be?

• Clean data = money savings

• Make sure you get a specification from your vendor

• Keep the data clean

• Manage the implementation carefully

• Remember your ROI requirements and business plan goals

• What do you want your HR processes to be?

• Clean data = money savings

• Make sure you get a specification from your vendor

• Keep the data clean

• Manage the implementation carefully

• Remember your ROI requirements and business plan goals

Plan for the Future

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Post-Implementation StrategiesPost-Implementation Strategies

• Now that your system is built, keep it running smoothly

• Remember to stay true to the processes designed into your system

• Create plans for renewal of your vows

• Reporting and analyzing off of your new data goldmine

• Ensure ROI goals have been met

• Now that your system is built, keep it running smoothly

• Remember to stay true to the processes designed into your system

• Create plans for renewal of your vows

• Reporting and analyzing off of your new data goldmine

• Ensure ROI goals have been met

Plan for the Future

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PARADIGMS

What is Strategy?What is Strategy?Getting Religion on “Strategy”

par·a·digm   n.

1. One that serves as a pattern or model. 2. A set or list of all the inflectional forms of a word or of one of its grammatical categories: the

paradigm of an irregular verb. 3. A set of assumptions, concepts, values, and practices that constitutes a way of viewing reality for

the community that shares them, especially in an intellectual discipline.

Source: The American Heritage® Dictionary of the English Language, Fourth EditionCopyright © 2000 by Houghton Mifflin Company.Published by Houghton Mifflin Company. All rights reserved.

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What is your HRIT strategy?What is your HRIT strategy?

• HR is a cost center - provide a service that business leaders need

• Anticipate needs

• Ask executives for their knowledge wish list

• Turning information into knowledge

• Be bold – think creatively

• HR is a cost center - provide a service that business leaders need

• Anticipate needs

• Ask executives for their knowledge wish list

• Turning information into knowledge

• Be bold – think creatively

Getting Religion on “Strategy”

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Strategic AnalysesStrategic Analyses

• Headcount– Statistics– Metrics

• Turnover

• Total Costs

• Recruiting – Metrics– Guidelines

• Headcount– Statistics– Metrics

• Turnover

• Total Costs

• Recruiting – Metrics– Guidelines

Turn data into knowledge

Getting Religion on “Strategy”

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The FutureThe Future

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A Global Perspective: A Database of Repatriate Skills

• Vast majority of U.S. companies have failed to realize importance of creating databases of repatriate skills

• Colgate-Palmolive’s database is primarily for succession planning.

• It also contains data on each manager’s experience with or awareness of particular cultures

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CHRIS System (cont.)

• Creating a New HR Transaction—Knowledge and Skills• Creating a New HR Transaction—Organizational Chart• Creating a New HR Transaction—Comments• Creating a New HR Transaction—Comments specific to COE• Creating a New HR Transaction—Exclusions• Creating a New HR Transaction—History• Creating a New HR Transaction—Submission• Printing• Checking HR Transaction Status• HR Transaction Status—Definitions• Creating a New HR Transaction—LTE Positions

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General Information

• The Classified Human Resources Information System (CHRIS) is a web-based application system built under the auspices of the Classified Human Resources (CHR) within the Office of Human Resources at the University of Wisconsin - Madison.

• The purpose of CHRIS is to automate and facilitate entry of new positions (fill vacancy), update current positions and process reclassifications and reallocations, for employee positions at the UW - Madison.

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PART 4

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Welcome!

HUMAN RESOURCE INFORMATION SYSTEMS

(HRIS)

WORKSHOP FACILITATOR: MINHAS BHOJANI10/26/04 56

LEARNING OBJECTIVES OF SESSION

• UNDERSTAND THE RELATIONSHIP

BETWEEN STRATEGIC HRM AND HRIS

• UNDERSTAND THAT AN EFFECTIVE HRIS

FACILITATES THE ACHIEVEMENT OF

HRM OBJECTIVES

• IMPROVE SERVICE STANDARDS

THROUGH HRIS

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ACTIVITY

• LIST DOWN THE FUNCTIONS / ACTIVITIES OF HRM

• WHAT DO YOU UNDERSTAND BY HUMAN RESOURCE INFORMATION SYSTEM (HRIS)

• TELL US 3 ADVANTAGES OR DISADVANTAGES OF HRIS BASED ON YOUR UNDERSTANDING OF HRIS

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WE NOW HAVE THE TECHNOLOGY TO ALLOW

US TO REDUCE HR ADMINISTRATION AND TO

PROVIDE IMPROVED LEVELS OF SERVICE TO

OUR INTERNAL CUSTOMERS. IT IS OUR

CHALLENGE TO EMBRACE NEW TECHNOLOGY

AND TO FINALLY STEP OUT OF OUR

PERSONNEL ADMINISTRATION HISTORY TO A

PLACE OF LEADERSHIP.

Rob Sharp, HR Consultant, Employee Connect

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Yes……

What Is HR?Your Resume Looks Great, You Have More Than enough experience And I Think You’d be Perfect For The VP Of HR Job!

Before I Welcome You Aboard, Do You Have Any Questions?

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DEFINITION OF HRIS

HRIS IS ANY ORGANIZED APPROACH FOR

OBTAINING RELEVANT AND TIMELY DATA ON

WHICH TO BASE HUMAN RESOURCE

MANAGEMENT DECISION

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DEFINITION OF HRIS

THE HRIS SHOULD BE DESIGNED TO PROVIDE INFORMATION THAT IS:

TIMELY: A MANAGER MUST HAVE ACCESS TO UP-TO-DATE INFORMATION

ACCURATE: A MANAGER MUST BE ABLE TO RELY ON THE ACCURACY OF THE INFORMATION PROVIDED

CONCISE: A MANAGER CAN ABSORB ONLY SO MUCH INFORMATION AT ANY ONE TIME

RELEVANT: A MANAGER SHOULD RECEIVE ONLY THE INFORMATION NEEDED IN A PARTICULAR SITUATION

COMPLETE: A MANAGER SHOULD RECEIVE COMPLETE, NOT PARTIAL, INFORMATION

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Current 5 - 7 years ago

Difference

Maitaining RecordsCollect, track and maintain data on employees

Auditing / ControllingEnsure compliance to internal operations, regulations, legal and union requirements

HR Service ProviderAssist with implement and administration of HR practices

Practice DevelopmentDevelop new HR systems and practices

Strategic Business PartnerMember of the management team. Involved with strategic HR planning, organisation design and strategic change

23.0% 11.0% Significant Increase

Significant Decrease

Significant Decrease

Significant Decrease

Significant Increase

Human Resources Roles Are Changing

A study by the Center for Effective Organisations, University of Southern California, and The Human Resources Planning Society.

15.0% 22.0%

12.0% 19.0%

31.0% 35.0%

19.0% 13.0%

Current 5 - 7 years ago

Difference

Maitaining RecordsCollect, track and maintain data on employees

Auditing / ControllingEnsure compliance to internal operations, regulations, legal and union requirements

HR Service ProviderAssist with implement and administration of HR practices

Practice DevelopmentDevelop new HR systems and practices

Strategic Business PartnerMember of the management team. Involved with strategic HR planning, organisation design and strategic change

23.0% 11.0% Significant Increase

Significant Decrease

Significant Decrease

Significant Decrease

Significant Increase

Human Resources Roles Are Changing

A study by the Center for Effective Organisations, University of Southern California, and The Human Resources Planning Society.

15.0% 22.0%

12.0% 19.0%

31.0% 35.0%

19.0% 13.0%

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HRIS OverviewThe big picture - reasons

for change

SavingsComplexity Duplication

World-class HR

Poor accessibility Inefficient paper-drivenprocess

Inconsistencies

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IDENTIFY NEEDS OF DATABASE

MANUAL / AUTOMATE

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MODULES OF HRIS

• PAYROLL• COMPENSATION ADMINISTRATION• BENEFITS ADMINISTRATION• EXPATRIATE MANAGEMENT• TRAINING & DEVELOPMENT• CAREER PLANNING & DEVELOPMENT• HR PLANNING• PERFORMANCE APPRAISAL• ATTENDANCE• SELECTION / RECRUITMENT PAYROLL

COMPENSATIONADMINISTRATION

BENEFITSADMINISTRATION

EXPATRIATEMANAGEMENT

TRAINING & DEVELOPMENT

CAREER PLANNING& DEVELOPMENT

HR PLANNING

PERFORMANCEAPPRAISALS

ATTENDANCE

SELECTION / RECRUITMENT

HRISINTEGRATED

DATABASE

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MODULES OF HRIS

PAYROLL

COMPENSATIONADMINISTRATION

BENEFITSADMINISTRATION

EXPATRIATEMANAGEMENT

TRAINING & DEVELOPMENT

CAREER PLANNING& DEVELOPMENT

HR PLANNING

PERFORMANCEAPPRAISALS

ATTENDANCE

SELECTION / RECRUITMENT

HRISINTEGRATEDDATABASE

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Personal DetailsChecking your

personal details

Address

Personal contactnumber

Emergencycontact number

Marital status

Academicqualifications

Benefits

Payroll bank accountDependencies

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THE AUTOMATED HR MACHINE -

SELF SERVICE CONCEPT

• EMPLOYEE / MANAGER SELF-SERVICE

• E-LEARNING

• RETIREMENT CALCULATORS

• LOAN CALCULATORS

• PERFORMANCE MANAGEMENT

• DECISION-MAKING TOOLS

• POLICIES AND PROCEDURES

• RECRUITMENT AND SELECTION

• CAREER MANAGEMENT

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AUTOMATE RESUME TRACKING PROCESS

• RECEPTION OF APPLICATION

• PRESCREENING RESUMES

• CORRESPONDENCE

• APPLICATION FORM

• TESTS

• PRELIMINARY INTERVIEW

• ISSUANCE OF LETTERS LIKE MEDICAL, OFFER,

ETC

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CASE STUDYA MATTER OF PRIVACY

YOUR COMPANY HAS RECENTLY REVAMPED ITS HRIS. PAYROLL AND HR

RECORDS ARE NOW INTEGRATED INTO ONE DATABASE. ALTHOUGH

ACCESS TO CONFIDENTIAL HR INFORMATION IS RESTRICTED, SOME SEMI-

PRIVATE INFORMATION SUCH AS THE EMPLOYEE’S NAME, ADDRESS AND

TELEPHONE NUMBER CAN BE ACCESSED ONLINE BY ALL SUPERVISORS.

EMPLOYEES CAN ALSO ALTER THEIR OWN PERSONNEL RECORDS (FOR E.G.

CHANGES OF ADDRESS, TELEPHONE NUMBERS OR NUMBER OF

DEPENDENTS). EMPLOYEES LIKE THE NEW SYSTEM BECAUSE IT MEANS

THAT THEY KNOW THEIR PERSONNEL FILES ARE UP TO DATE AND THAT

INFORMATION IS READILY AVAILABLE IN AN EMERGENCY. FURTHERMORE,

THE NEW SYSTEM HAS RESULTED IN CONSIDERABLE IMPROVEMENTS IN HR

RECORD KEEPING AND THE ABILITY OF THE HR DEPARTMENT TO GENERATE

MORE USEFUL MANAGEMENT REPORTS. HOWEVER, AN EMPLOYEE IN THE

SALES DEPARTMENT IS EXTREMELY UPSET; SHE HAS BEEN RECEIVING

OBSCENCE PHONE CALLS AND BLAMES THE NEW HRIS. SHE ALLEGES THAT

THE CALLER MUST BE SOMEONE FROM THE COMPANY BECAUSE HER

NUMBER IS UNLISTED10/26/04 74

CASE STUDYA MATTER OF PRIVACY

• SHOULD INFORMATION SUCH AS TELEPHONE NUMBERS BE

AVAILABLE TO OTHER EMPLOYEES?

• WHICH IS MORE IMPORTANT - THE COMPANY’S NEED TO COLLECT

JOB-RELATED INFORMATION OR AN EMPLOYEE’S RIGHT TO

PRIVACY?

• SHOULD EMPLOYEES BE ALLOWED TO CHANGE THEIR OWN FILES?

• WHICH PERSONNEL DATA SHOULD BE CLASSIFIED (A) RESTRICTED

AND (B) UNRESTRICTED?

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