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
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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
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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.
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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;
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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
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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.
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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
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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.
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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
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