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Human Resources and the Utilization of Information Technology - Literature review Example

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"Human Resources and the Utilization of Information Technology" paper examines how organizations today are impacted by IT in regards to HRM. First, hindrances as to why companies may be reluctant in expanding the use of Human Resource Information Systems (HRIS) are examined…
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Human Resources and the Utilization of Information Technology
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Download file to see previous pages The challenges companies encounter while expanding the use of IT functions in HRM are examined. I take the position that HRIS can assist companies to gain strategic competitive advantages.

Many companies do not yet see the full potential of HRIS. Broderick and Boudreau (as cited in Foster, 2008) found that companies often invest in HRIS to cover a small range of HR administrative functions. Additionally, Ball (as cited in Foster, 2008) states how HR systems are used more for traditional HR administrative functions than for strategic purposes.

Foster (2008) states that a desirable goal for HRIS is to go beyond simple automation and focus more on employee management by being a strategic partner in the organization. The author conducted 38 interviews with both HR and line managers to determine what issues might stand in the way of traditional companies to switch over to the more advantageous use of information technology in providing strategic HRM. The most overriding theme was that public sector HR is under pressure to do ‘more with less’ and that HR tends to be ‘risk adverse.’ A second issue that Foster (2008) found in the surveys was that line managers see an employee or people management as not of critical importance, as compared to budget management and operational demands of the company (Foster, 2008).

Other research into why companies hesitate to use HRIS for strategic HRM was performed by Dery, Grant, & Wiblen (2006). Their findings included three key reasons for a lack of the full use of HRIS. These items were: (1) difficulties in getting management’s attention; (2) HRIS’s complex functions being underestimated; and (3) failure to realize the importance of change management.

One small but important scenario that often happens from organization to organization is mentioned by Dery, Grant, & Wiblen (2006) when they performed research at a newly acquired company called TechOrg. ...Download file to see next pagesRead More
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