This term e-HRM was first coined and explored in 1990s.It is planning, application, implementation and involvement of information systems in sharing of HR activities through networking and supporting performance activities.
e-HRM is the administrative support of the HR function inorganizations by using Internet technology. A way of implementing HRM strategies, policies, and practices inorganizations through the conscious and direct support of and/or with the full use of channels based on web-technologies. An umbrella term covering all possible integration mechanisms and contents between HRM and Information Technologies aiming at creating value within and across organizations for targeted employees and management. The mix of HRM, Internet and HRIS (Human Resource Information Systems) which helps in delivering Human resource services using technology.
Elements of E-HRM:
From the above discussion, it is evident that e-HRM has several crucial elements. It utilizes information technology in a twofold manner.
First, technology is necessary to connect usually spatially segregated actors and enable interactions between them irrespective of their working in the same room or on different continents, i.e. technology serves as a medium with the aim of connecting and integration.
Second, technology supports actors by partially – and sometimes even completely – substituting for them in executing HR activities. Hence, information technology serves additionally as a tool for task fulfilment.
The consideration of individual and collective actors takes into account that e-HRM is a multilevel phenomenon; besides individual actors, there are collective actors like groups, organizational units, and even whole organizations that interact in order to perform HR activities.
Besides, e-HRM, there are some further concepts which obviously refer to the same phenomenon. Widely accepted are such terms as virtual HRM, web-based HRM, or business- to-employee.
“Virtual HRM” refers to technological mediated networks of different internal and external actors providing the firm with the HR services needed without the further existence of a conventional HR department which therefore becomes virtual.
Types of E-HRM
There are three types of E-HRM.
E-Recruitment/Applicant Tracking:
Organisations advertise the job vacancies through the World Wide Web (www) or send the information directly to the most competent people through e-mail. The job seekers send their applications through e-mail using the internet. Alternatively, job seekers place their CVs in the World Wide Web through various sites like hot jobs.com and jobs.com, which can be drawn by the prospective employers depending upon their requirements.
E-recruitment manages job descriptions and job vacancies, search for candidates and the interview process. It is also referred to as an applicant-tracking system; this is a web-based application that enables the electronic handling of organizational employment needs. These activities include posting job advertisement on web sites to stimulate and attract candidates, known as job boards.
Job boards allow candidates to apply on-line and the candidates’ data are stored on a database that allows searching, screening and filtering of applications. The application tracking system shortlists the candidates and arranges for interview and recruitment related activities.
E-recruitment maintains profiles, searches for and refers jobs to colleagues and follows the recruitment process. It integrates resume extraction capabilities using the Magnaware/Mohomine extraction engine to search for potential candidates. It uses event- driven applicant tracking and manages positions on multiple external websites. E- recruitment/applicant tracking systems reduce administrative tasks, cost and time required to perform recruitment activities.
Thus, e-recruitment carry out:
In view of these advantages, a number of employers around the world recruit the people using Internet.
E-selection has become popular with the conduct of various tests through on-line, contacting the candidates through e-mail and conducting the preliminary interviews and final interview through audio-conferencing and video-conferencing. Further, the employers get the reference letters/ opinions from the referees through e-mail.
Several software packages are developed to measure employee performance and offer suggestions for improvement of employee performance. Many employers tend towards using these software packages and computerize the employee performance appraisal systems.
The software on employee performance appraisal provides a number of statements and sub- statements on each of the performance categories. The appraiser selects and clicks the appropriate rating for each statement. The system generates a detailed report, by the time the appraiser has moved all the performance categories and sub-factors. This report can be modified, comments can be added or deleted by the appraiser and a final report can be prepared by the manager.
Further, organisations use computer networks, sophisticated telephone systems, and video equipment to monitor and record the employee work activities.
An online performance appraisal system is a software program that facilitates the completion of performance evaluations online. It may be integrated with an employee position description module, allowing managers to pull data from the employee’s position description and insert this information into the evaluation.
Further, it can act as a historical archive, storing past evaluations and permitting comparisons between evaluations over time. The primary advantage of these systems is the accessibility of
the data any time from any computer with internet access, as well as the ease and speed with which they can generate accurate HR-related reports.
An effective e- performance management system can play a very crucial role in managing the performance in an organization by:
An effectively implemented e- performance management system can benefit the organization, managers, and employees in several ways as depicted below:
Organization’s Benefits: It improves organizational performance, employee retention, and loyalty, improved productivity, overcoming the barriers to communication, clear accountabilities.
Manager’s benefits: Managers receive instant feedback on performance with drill down to individual employee performance. With this, there is no need to rewrite performance contracts each year. Simply they could upload and edit from a previous period and then, development the needs emanating from performance discussions would be automatically fed into the individual development plan.
Almost all the organisations started using computers for salary fixation, salary payment, salary calculations, fixation and calculation of various allowances, fixation and calculation of various employee benefits, welfare measures and fringe benefits.
E-Compensation represents a web-enabled approach to an array of compensation tools that enable an organization to “gather, store, manipulate, analyze, utilize, and distribute compensation data and information”. Unlike previous compensation software, the e- compensation tools are web-based, rather than a client-server-based or stand-alone PC-based. This allows the individual’s access electronically distributed compensation software, databases, and analytic tools by using an internet browser from literally anywhere on the earth. E-Compensation tools can provide HR managers with the ability to effectively adapt compensation systems to meet the current challenges, manage and maintain all aspects of equity in pay plan design, and to align the compensation systems with the strategic management of the organization.
Overtime payment is one of the overheads under the compensation management of the human resource Department. Introduction of electronic technology in the human resource task results in better controlling and cost-saving.
Biometrics is the latest electronic technology design for accurate attendance maintenance of human beings with zero errors or frauds. Biometrics scan finger of human and stores permanently as his identity and proof that he is present. Many companies are entrusting attendance management to biometrics that gives accurate attendance dates with an in and exit time of employment. The time employee remained in office at work can be monitored exactly and hence paid appropriate remuneration for his total working hours. Biometrics are playing a very crucial role in the employee work time management that is linked with compensation management and also in a cost saving by measuring employee work time contributed to organizing.
Organizations need to to-invest more on training and development before adopting e- HRM