N.
Venkateswaran
Asst. Professor
Department of Management Studies
Panimalar Engineering College
Chennai
Technological optimistic voices assume that, from a technical perspective, the IT possibilities
for HRM are endless: in principal all HR processes can be supported by IT. E-HRM is the
relatively new term for this IT supported HRM, especially through the use of web technology.
This paper aims at demystifying e-HRM by answering the following questions: what actually is
e-HRM? What are the goals of starting with e-HRM? What types can be distinguished? What
are the outcomes of e- HRM? Based upon the literature, an e-HRM research model is
developed and, guided by this model, various organizations have been studied that have
already been on the 'e-HR road' for a number of years. The major goals of e-HRM are mainly
to improve HR's administrative efficiency/to achieve cost reduction. Next to these goals,
international companies seem to use the introduction of e-HRM to Standardize/harmonize HR
policies and processes.
Finally, e- HRM hardly helped to improve employee competences, but resulted in cost
reduction and a reduction of the administrative burden.
Wright and Dyer (2000) present a similar line of reasoning: e-business is emerging, and
therefore HR and HR professionals are faced with the challenge of performing in ways that are
in line with the business. In their view 'HR functions [can] become critical partners in driving
success, but to do so requires that HR changes its focus, its role, and its delivery systems'
(Wright and Dyer, p. 52). According to them, in e-business, the application of intranet
technology for HR is inevitable.
Before starting to define e-HRM, it is important to identify terms that possibly carry similar
meanings to the term e-HRM. There is a fundamental difference between HRIS and e-HR in
that basically HRIS are directed towards the HR department itself. Users of these systems are
mainly HR staff. These types of systems aim to improve the processes within the HR
departments itself, albeit in order to improve the service towards the business. With e-HR,
the target group is not the HR staff but people outside this department: the employees and
management. HRM services are being offered through an intranet for use by employees. The
difference between HRIS and e-HR can be identified as the switch from the automation of HR
services towards technological support of information on HR services.
In our view it concerns the following: e-HRM is a way of implementing HR strategies, policies,
and practices in organizations through a conscious and directed support of and/or with the full
use of web-technology-based channels. The word 'implementing' in this context has a broad
meaning, such as making something work, putting something into practice, or having
something realized. E-HRM, therefore, is a concept - a way of 'doing' HRM.
The e-HRM business solution is designed for human resources professionals and executive
managers who need support to manage the work force, monitor changes and gather the
information needed in decision-making. At the same time it enables all employees to
participate in the process and keep track of relevant information.
The e-HRM business solution excels in:
modularity
the solution can be accessed and used in a web browser
security of data, protected levels of access to individual modules, records documents
and their component parts
parametric and customizability
access to archived records and documents
user-friendly interface
connectivity with the client's existing information system (payroll accounting, ERP,
attendance registration, document systems…)
multi-language support
Advantages of the e-HRM business solution:
gradual implementation
adaptability to any client
collection of information as the basis for strategic decision-making
integral support for the management of human resources and all other basic and
support processes within the company
prompt insight into reporting and analysis
a more dynamic workflow in the business process, productivity and employee
satisfaction
a decisive step towards a paperless office
lower business costs
e-HRM Model:
Companies already implemented e-HR Strategy:
Dow Chemicals
ABN-AMRO
Ford Motor Company
IBM
