Management Information System Project - Term Paper Example

INTRODUCTION: Owing to the changing dynamics of business and increased competition, the organizations are looking for different ways and methods for improving the overall performance and productivity. One of the important tools used in this regard is the Information System for different activities of the organization. Technological advancements for efficiency and adaptability with technology in every activity, from very small job of transaction recording to top management strategic decision making, has become the survival factors for business. (Laudon and Laudon, 35) In this report the information system for the human resource activities have been discussed and analyzed. Organizations are looking forward to improve the human resource management as human resources are perceived to be an important asset for the organizations. At the same time, organizations using human resource as a source of competitive edge over other organizations in the industry. PHASE ONE: Information System for Human Resource Activities and Its Importance: Human resource information systems play significant role in Human resource development of an organization. Overall role that human resource information system plays is summarized in fig 2. (NMA) To implement human resource management system, Employee Record Keeping System has been selected to meet company requirements. Employee Record-Keeping System is an extension of information system which can be technically defined as a set of interrelated components that collect (retrieve), process, store, and distribute information to support decision making and control in an organization (Laudon and Laudon, 45). Employee Record-Keeping System can be regarded as a HR related component for Human Resource Information System (HRIS). HRIS can be defined in similar ways as of MIS as being an integration of information system for human resource management purpose (Fowler, 10). Thus, Employee Record-Keeping System is an extensive system that in addition to provision of information for decision making and coordination helps people at enterprise to analyze problem, visualize complex subjects and finally with the information available one can also develop suitable mechanism for increasing employee performance, reduce turnover and keep the HR cost of an organization controlled. Organizations ability to extract insight from information given can take it to lengths of success (O’Brien, 5). Employee Record-Keeping System being part of management level information system hence has interrelationship with other management systems such as Decision Support System (DSS), Executive Support System (ESS) etc that are used in overall business conduct and with this interrelated relationships business can transform itself from an ordinary organization into digitally successful firm such as Dell Computers, Cisco etc. (Laudon and Laudon) Working of Employee Record Keeping System and its People, Organization, and Technology Components: Employee Record-Keeping System is maintained by HR section of an organization. It is managerial level information system that keeps records of employees all over organization and from top to bottom level. Technologically it is software based system that does not require any specific hardware than a simple intra-net connected computer that has capacity to retain data with accessibility defined from different defined places (Oz, 235). Activities of Employee Record Keeping System: (Laudon and Laudon) With the software developed, for input the record of all employees is required to be fed in. Employee Record-Keeping System keeps the all records for all employees related to it demographics, salary, medical, work experience (past and current) etc. Output from this system is performing various HR concerned functions such regular payroll, support to performance management and other HR queries. This way the system also gets updated regularly and benefits organization with more of detailed record about its personnel. Four Step Method for Business Problem Solving in Relation to Employee Record Keeping System: Apart from regular HR function it provides support system to in decision making, For instance, Employee Record-Keeping System also keeps the details of potential replacement of every employee. In case of any employee resigns on immediate effective basis, the process will can be easily called up with tracking details and calling up potential replacement of the leaving employee and hence not leaving department understaffed. Similarly, with the details in the track record the firm can easily conduct interviews to keep and upgrade data bank the details of potential candidate for every position. (Fisher) Hence, in simple four steps with Employee Record-Keeping System firm has been able to actively come up with solution. Managerial Level and Enterprise Application: Employee Record-Keeping System is used at middle management level that carries decision making regarding employees par roll etc. Alike most of HR program, Employee Record-Keeping System is an enterprise application that provides different levels in HR department access to information and enable them to explore the based on their authority. For instance, for clerical level in HR department an interface of the system would only give access to certain level information like every personnel in HR department may not have information available in its interface regarding medical history or national identity card number etc. This way, organizational successfully retains all information along with maintaining the confidentiality. Tools and Technologies used by Employee Record Keeping System to Support Collaboration and Teamwork: Information available from Employee Record-Keeping System can also be used with various performance measurement techniques for performance appraisals etc. Consequently, the entire team as well as the organization is benefitted. Employee Record-Keeping System performs large number of functions other than simple meaning as the name implies. With the detailed information, firms are able to keep its HR asset at its best position to perform and allow enterprise to establish strategies that increase its competencies to with respect to human resource. PHASE TWO: Porter’s Competitive Force Model with Reference to the Human Resource Information System: The five forces competitive model determines the type and kind of workforce enterprise needs. In a highly competitive environment, firm is more concerned with retaining its competitive work force that has experience in the field. Further in recession, workforces with high compensation requirement are traded with new supply of professionals etc. Information system’s personnel performance report generated after fixed period of time provide net worth of every personnel and provides firm with insight to develop plan about resource which are critical organization. Similarly with employee record, firm can also develop plan to promote and invest in employees whose performance has been appreciable. Human Resource Information System and Competitive Advantage for the Organization: Human resource is non-imitable competency of any organization. Complete information about employees and insight built with its reports generated at various intervals provide firm with more developed ability to explore and exploit its position in market against its competitors with workforce that is capable to fight in every economics cycle. For instance, diverse work-force fosters innovation process in organization (Forbes, 5). This helps company to compete successfully not only in domestic market but also in foreign market. (Forbes, 5) Competing on Global Scale: Information about employees availability for out-station postings or their linguistic expertise on certain language where firm plans to explore business success opportunities reduces firms cost and risk of hiring new work force. Such internal hiring also increases employees’ motivation and loyalty to organization and loyal and competent work force provide firm with opportunity to achieve competitive advantage by synergizing it with its technological, manufacturing, administrative competencies. IT Infrastructure: Success of business is highly dependent not only on its physical infrastructure but with the growing importance of information technology in business, IT infrastructure has taken very important position and IT strategy of business is given planned structure along with other strategies such as marketing etc. to mention, investment in IT infrastructure accounts for 50 percent of information technology expenditure in large firms in U.S (Weil, Subramani, and Broadbent, 3). (Rizky, 3) Employee Record-Keeping System provides firm with an information system that requires infra-structure which is not very sophisticated in nature but very critical to the success of business. Usually three level based infrastructure is designed which involves information from public, enterprise and business unit. Since it is internal software, therefore it doesn’t include public category but high inter-connectivity is mainly required as right infrastructure of IT can optimize the business efficiency with minimum cost and enabling an organization to quickly adapt to changing industry needs. Infra-structure required for this information system has also needs based more from hardware to service based (Laudon and Laudon. 218). With minimum infra-structure in physical forms to more ones connected via internet and integration of computing and telecommunications platforms. Infra-structure has headed to edge-computing to take in high benefit in cost and increased benefits (Laudon and Laudon, 240). Database Management System: Growingly businesses are moving to contemporary software platforms such as Linux and open source software, Java, web- service and service – oriented architecture and software outsourcing. Advancement has taken data management from physical devices to enterprise data servers and similar server has been made part of the company’s resources. Though, it improves business efficiency by reduced hardware cost but cost of software has been compensating the benefit. PHASE THREE: Role of E-Commerce, E-Business, and E-Government: E-commerce has changed the dynamics of business from business taken move from bricks and mortar to clicks based enterprise (Rayport and Jaworski, 10). Human resource information system’s component of Employee Record-Keeping System also receives impact, though not extensive but to a considerable extend. Most of the firms have made e-commerce part of their human resource systems that advertises the required man-power in detail, gather information in designed format and keeps the track record all individuals applying to respective firm. Such additions of e-commerce also benefits firm in way of saving cost to advertise for new vacancies as any new vacancy is announced and posted on website, information system sends an automatic email invite to all those who tag themselves as an interested candidate for that particular field (Lucey, 20). E-government also get involved with digitalization of firms’ functions as government can accesses information about the human resource component of firm and collect information about the applicability of tax. Hence, technology has changed the entire world and lacking of capacity or adaptability to these changing dynamics does not only affect the performance but also impact survival (Holsapple and Sena, 37). Approach and Modeling Technique: Human resource management has large number of models available for determining the business strategy. Among many available, information system related to Employee Record-Keeping System has been developed based on the most recent model by McLeod and Schell which is given below: (McLeod and Schell) This human resource management system is with slight modification of resource-flow human resource information system, with transaction processing system being title given to data processing sub-system in resource-flow human resource information system. This model has been considered in developing the Employee Record-Keeping System as it provide details of almost all sub components in human resource information system. Information system devised keeping this model as a guideline will provide management with the valuable information about the people working at their job makes information system a valuable asset of the firm. Extensive input, database and output subsystems covers comprehensive view of the entire human resource application to users and management can develop an insight that can used to enhance the position of firm’s human resource as its most competitive assets (McLeod, Raymond and Gerardine, 8). Technologies and Tools used for Protecting Information Resources: Firm’s information systems are its assets and every firm is required to make considerable efforts to protect these assets. Loss of physical assets, to some extent, is considered easy to rebuild but loss incurred with information system are extensive and hence require extensive guide to protect from hazards and miss-use in terms. Information system has hazards from following things: Data manipulation Fraudulent activity Given to wrong or unauthorized person Viruses etc Lost data may not be available. Data are secured initially by providing each individual with their signing- in identity code and password that also delegates the authority to that particular person. It is also provides selective information to individual pertaining to their needs. Further the entire data is maintained in back up. Apart from these security measures the information is protected with virtual walls that safeguard system from any hazards. Finally, in case of loss happens, software engineers are assigned to reduce the level of loss to its minimum. Firms are provided with detailed guidelines with software as well software houses etc (O’Leary, 65). CONCLUSION: Information systems have growing less taken the place business enterprise and successful businesses are those which have sound information system developed for their every function. Similarly, to stay competitive, ABC Company has taken an initiative to develop its information system for human resource; Employee Record Keeping System has been implemented to keep complete record of employees and information system to provide insight about the human resource position of firm in industry. It has been designed to meet all the standard needs with respect to technology, human resource related matter, firm’s position in local and international market and building its competitive advantage. It has been designed while keeping in consideration all aspects that addresses the connection between human resource information model, data and information with comprehensive system widely protected to ensure the firm’s assets security. Works Cited Fisher, John. The 4-Step Problem Solving Model. 2001. 26 Sep. 2012. http://www.fisherhouse.com/bsu/comm131/4stepmodel.html Forbes. Fostering Innovation Through a Diverse Workforce. New York: Forbes Insights. 26 Sep. 2012. http://www.forbesmedia.com/files/Innovation_Through_Diversity.pdf Fowler, Martin. Patterns of Enterprise Application Architecture. Addison Wesley, 2012. Holsapple, Clyde, and Mark Sena. ‘ERP Plans and Decision Support benefits’, Decision Support Systems, 38.4 (2005): 575-590. Laudon, Kenneth, & Jane Laudon. Management Information System. Upper Saddle River, New Jersey: Pearson Education, 2010. Lucey, Tery. Management Information Systems. Boston, USA: Thomson, 2005. McLeod, Raymond and Gerardine Anctis. ‘A Resource-Flow Model Of The Human Resource Information System.’ Information Technology Management. 6.3 (1995). McLeod, Raymond, and George Schell. Management Information Systems. New Jersey: Prentice Hall, 2007 NMA. What is HR system? 2008. 26 Sep. 2012. http://www.nmatec.com/hrwise/what O’Brien, James. Management Information Systems – Managing Information Technology in the Internetworked Enterprise. Boston: Irwin McGraw-Hill, 1999. O’Leary, Daniel. ‘Enterprise Resource Planning (ERP) Systems: An Empirical Analysis of Benefits’, Journal of Emerging Technologies in Accounting, 1 (2004): 63-72. 26 Sep. 2012 Oz, Effy. Management Information Systems. Boston, USA: Thomson, 2009. Rayport, Jeffery, and Bernard Jaworski. Introduction to E-Commerce. New York: McGraw-Hill, 2002. Rizky, Soetam. MIS – IT Infrastructure (Past 1). Jun. 2009. 26. Sep. 2012. http://www.slideshare.net/soetam/1-mis-it-infrastructure-part-i Weill, Peter, Mani Subramani, and Marianne Broadbent. ‘IT infrastructure for Strategic Agility.’ MIT Sloan Working Paper no. 4235-02 Read More