Management Information System to Manage HR in Small and Medium Scale Enterprises in the UK - Research Paper Example

Proposal: Strategic leadership and implementing of management information system to manage human resource Topic: Challenges associated with the implementation of management information system to manage human resource in small and medium scale enterprises (SMEs) in the United Kingdom. Background Strategic leadership can be described as a tactical approach to leadership that focuses on providing vision and direction geared towards the realisation of organisational goals. It can also be viewed as the ability to define the vision and strategic goals of an organisation and effectively translate them into action. Strategic leaders envision, anticipate, maintain flexibility and empower employees to create positive changes within the organisation (Davies 2011; Hitt & Ireland 2008). The success of any organisation is highly dependent on employee performance thus employees are the most important resource in an organisation. The realisation that employees are the most important resource in an organisation has over the years had a significant impact on the human resource practices used in organisations. Many organisations have invested heavily in employing strategies that would bring about effective management of human resources (Sims 2002). The use of information systems in human resource management (HRM) is a good example of how modern day organisations seek to improve their HRM practices in order to enhance organisational performance. An information system is basically a system that uses different information technologies to acquire, organise, analyse, manipulate, disseminate, store and retrieve information for different processes in the organisation (Khosrowpour 2001). An information system can also be described as a collection of different hardware devices, software applications, personnel and infrastructure organised so as to facilitate effective planning, decision making, coordination and implementation of organisational processes (Leonard & Valacich 2008). When it comes to HRM, information systems are used to create, process and store data relating to the needs of human resource in an organisation. For instance, HRM information systems can be used to track applications, manage and analyse information relating to employee payrolls, attendance, performance, training, personal details , succession plans or any displinary action taken. Moreover, HRM information systems enable organisation to store valuable resource or information that employees can retrieve in order to improve their knowledge and skills (Bagdi 2012). Over the years, a considerable number of organisations and companies in the United Kingdom have adopted HRM management systems in a bid to improve their human resource management practices (Hussain, Wallace & Cornelius 2007; Ngai & Wat 2006). As a result, human resource processes in a number of organisations have become automated. The use of systems provides numerous benefits for employees, human resource managers and the organisation in general (Beadles, Lowery & Johns 2005; Hendrickson 2003). Through HRM information systems organisations have been able to improve their efficiency by using automated systems. Organisations that use HRM information systems are also able to implement effective internal controls and monitoring over various HR functions that are important. HRM information systems provide assurance regarding the reliability of HR information thus easening or enhancing the decision making process. It also efficiently supports other business operations within the organisations such as recruitment, salary forecasts, financial planning and budgeting. (ANAO 2013; Shibly 2011).Furthermore, HRM information systems enable HR managers to create programs and resources that aid in developing employee knowledge and skills. It also helps HR managers to identify manpower requirements so as to realise the long term strategic goals of the organisation. Through HRM information systems they can effectively monitor the recruitment and placement of employees to their suitable work roles (Keim & Weitzel 2009; Parry 2009). Although HRM information systems provide numerous benefits to employees, human resource managers and the organisation in general, there are various challenges associated with the implementation of HR information systems. HRM information systems have the potential of transforming HR processes into more effective and strategic functions by enabling HRM managers to move beyond simple mundane administrative tasks to strategic functions nevertheless, the implementation of HRM information systems in many organisations is marred with a myriad of challenges. According to Kornkaew (2012) and Beaumaster (1999) some of the key challenges associated with the implementation of HRM information systems revolve around leadership issues, management issues, technical system issues, organisational environment issues and personal issues. Kontakos (2010) observes that, the lack of proficient IT skills among HR professional is one of the key pitfalls that hinder the effective implementation of HRM information systems. Similarly Lucey (2005) notes that, some of the challenges associated with the implementation of HRM information systems include; poor management in the design phase, improper emphasisi of computer system, low level data processing programs, lack of IT skills among professionals in the organisation, lack of appreciation for the need of information systems and the lack of support from top management (Lucey 2005). Problem statement Based on the literature reviewed in the section above, it is apparent that the implementation of HRM information systems in many organisations is marred with numerous challenges. In a survey conducted by Ball (2001), it was established that small and medium scale enterprises (SMEs) in the United Kingdom are less likely to implement HRM information systems than large scale enterprises or organisations. Based on the findings of this survey, it is plausible to assume that SMEs in the UK face far more worse challenges or difficulties when it comes to the implementation of HRM information systems than large scale enterprises or organisations. Therefore, this study will aim at investigating the challenges associated with the implementation of management information system to manage human resource in small and medium scale enterprises (SMEs) in the United Kingdom. Research objectives and questions The key aim of this study is to establish the challenges that small and medium scale enterprises (SMEs) in the United Kingdom face when it comes to the implementation of management information system to manage human resource. This study will seek to answer the following research questions; How do different organisational characteristics affect the implementation of HRM information systems? What challenges or difficulties do SMEs in the United Kingdom face when it comes to the implementation of HRM information systems? What strategies or approaches can SMEs in UK employ in order to overcome these challenges? Methodology Research Design In order to realise the research objectives identified, a qualitative research approach will be used. A qualitative research is a form of scientific research approach that investigates social or human issues by employing various data collection and interpretative techniques which focus on decoding and interpreting research issues in their natural settings (Merriam 2009). Moroever, an interpretivism paradigm will be adopted when conducting this study. Generally, interpretivism paradigm is based on the premise that knowledge is subjective. Therefore, knowledge or information about a particular issue can be obtained through exploration and interpretation of perspectives, opinions, views, experiences and actions of the people within the target research settings (Klenke 2008). This study will use a qualitative interpretivist research approach because of its suitability in addressing the identified research questions. The use of this approach makes it possible to acquire information that is contextually specific (Mack & Woodsong 2005). Unlike a quantitative approach to research which mainly accentuates on measurements and the quantification of research variables, this approach also makes it possible to explore the intangible aspects of research or the “human side” of a research issues (Murray 2003). Moreover, a qualitative interpretivist research approach facilitates the collection of detailed data and the exploration of complex research issues in-depth. Using a qualitative approach textual descriptions of views, opinion, experiences and actions can be obtained. This in turn leads to a deeper understanding about a particular research issue (Muijs 2010). Research Settings and Participants This study will focus on 10 small and medium scale enterprises or organisations in Britain with HRM information systems. A total of 50 participants will be involved in this study. In each of the 10 SMEs that this study will focus on, 3 managers and 2 employees will be selected to participate in this study. Generally, a total of 30 managers and 20 employees from 10 different medium scale enterprises or organisations in Britain will take part in this study. Data collection methods This study will involve the use of two qualitative methods of data collection namely; questionnaires and interviews. A questionnaire is a tool for data collection that incorporates a set of questions that seek to elicit responses from research participants about different research issues. A questionnaire can either have an open-ended or close-ended format. In this study, close-ended questionnaires will be carefully constructed based on the identified research objectives (Ader & Hand 2008; Newman & Benz 1998). Subsequently, these questionnaires will be administered to all the 50 participants. Questionnaires administered to the 30 managers will be different from those administered to the 20 employees who will participate in this study. Questionnaires will be used to collect data in this study mainly because they provide a convenient, time saving and cost-effective way of collecting data (Ader & Hand 2008). However, there are several limitations associated with the use of questionnaires to collect data. Data collected using questionnaires is often vague or generalized. The use of questionnaires also leaves room for biasness since some respondents may show biasness or prejudice towards certain issues (Darzi & Athanasiou 2010). In order to obtain more accurate data, interviews will be used so as to supplement data collected through the use of questionnaires. An interview is basically a conversation between an interviewer and an interviewee where the interviewer asks the interviewee a set of questions in order to elicit information regarding a particular research issue. In this study, interviews will be conducted with only 3 managers and 2 employees. One of the benefits associated with the use of interviews is that it enables the collection of in-depth data. An interview makes it possible for the interviewer to seek clarifications and further explanation from the interviewee in case a vague or unclear is provided. Nevertheless, the use of interviews can be time-consuming (Wood & Ross-Kerr 2011). Data Analysis Data analysis can be described as a process that involves organizing and evaluating data collected so as to derive meaning about a particular research issue (OIRA 2013). In this study, data collected through the use of questionnaires and interviews will be subjected to a data analysis process. Data collected in this study will be analysed based on the grounded theory. Grounded theory is a data analysis paradigm often used to analyse data that is qualitative in nature. When using this paradigm to analyse data collected no underlying hypothesis or theory is taken into account. Rather, the data collected in categorised into similar categories. Afterwards, each category is assessed and interpreted separately so as to form a hypothesis about a particular research issues (Allan 2003). Ethical Issues In the course of this study, various ethical issues are bound to arise. As a result, several measures will be taken into account in order to adhere to the ethical guidelines of conducting research. Prior to the actual study, consent to conduct the study will be obtained from relevant authorities in the University. Consent to administer questionnaires and carryout the interviews will also be obtained from the management of the ten SME’s prior to the study. Moreover, before the questionnaires are administered or the interviews are conducted each participant will be informed about the nature and purpose of this study and what is expected from them (BERA 2011). Participant’s right to privacy and confidentiality will also be upheld in the course of this study. When filling in the questionnaires, participants will be urged not to indicate their name or any personal details. They will also be urged not to divulge any confidential information pertaining to the company that they work for. Participation in this study will only be on a voluntary basis. (BERA 2011). Following the data collection process, data will be analysed and interpreted objectively without any biasness or taking into account any preconceived theory. In order to ensure that the process of data analysis will free from any biases, a third party, either the course supervisor or a collegue from the same field will review the approach used in this process and provide recommendation in case of any oversight. References Ader H & Hand, D 2008, Advising on research methods: A consultant’s companion, Johannes van Kessel Publishing, The Netherlands. Allan, G 2003, “A critique of using grounded theory as a research method”, Electronic Journal of Business Research Methods, vol. 2, no. 1, pp. 1-10. Australian National Audit Office (ANAO) 2013, Human Resource Management Information Systems: Risk and Control, viewed on 26 July 2013 Bagdi S 2012,Practical Human Resource Information Systems, PHI Learning, New York. Ball, K.S 2001, "The use of human resource information systems: a survey", Personnel Review, Vol. 30, Iss 6, pp.677 – 693. Beadles A, Lowery M & Johns K 2005, “The impact of human resource information systems: An exploratory study in the public sector”, Communication of the IIMA vol 5, no 4, pp. 39–46 British Educational Research Association (BERA) 2011, Ethical guidelines for educational research, viewed July 26 2013 Darzi A. & Athanasiou T 2010, Key topics in surgical research and methodology, Springer, New York. Davies B 2011, Leading the strategically focused school: success and sustainability, SAGE, London. Hendrickson A. R. 2003, “Human resource information systems: Backbone technology of contemporary human resources”, Journal of Labour Research vol 24, no 3, pp. 381–394. Hitt M & Ireland D 2008, Competing for advantage, Cengage Learning, Mason, Ohio. Hussain Z, Wallace J & Cornelius N. E. 2007, “The use and impact of human resource information systems on human resource management professionals”, Information & Management, vol 44, no 1, pp. 74-89. Keim T & Weitzel T 2009, An adoption and diffusion perspective on HRIS usage, In T. Coronas & M. Oliva (Ed.), Encyclopedia of Human Resources Information Systems: Challenges in E-HRM (pp. 18–23) IGI Global, Hershey, PA. Khosrowpour M 2001, Managing Information Technology in a Global Environment, Idea Group Inc, Hershey, London. Klenke K 2008, Qualitative Research in the study of leadership, Emerald Publishing, Bradford. Kontakos A 2010, Global HR information systems, viewed on 26 July 2013 Leonard J & Valacich J 2008, Information Systems Today, 3rd ed, Pearson Publishing, New York. Lucey T 2005, Management information system, 9th ed, Thomson Learning, London. Mack N & Woodsong C 2005, Qualitative research methods: a data collector's field guide, Family Health International, North Carolina. Merriam S 2009, Qualitative Research: A Guide to Design and Implementation, John Wiley & Sons, New York. Mujis D 2010, Doing quantitative research in education, SAGE, London Murray T 2003, Blending qualitative and quantitative research methods in Theses and Dissertations, Corwin Press, Thousand Oaks, CA. Ngai E. W & Wat F. K. 2006, “Human resource information systems: a review and empirical analysis”, Personnel Review vol 35, no 3, pp. 297-314. Office of Institutional Research and Assessment (OIRA) 2013, Analysing and Interpreting Data, viewed July 26 2013 Parry E 2009, The benefits of using technology in human resources management, In T. Coronas & M. Oliva (Ed.), Encyclopedia of human resources information systems: Challenges in E-HRM (pp. 110–116), IGI Global Hershey, PA. Sims R 2002, Organizational success through effective human resources management, Greenwood Publishing, New York. Shibly H 2011, “Human resources information systems success assessment: An integrative model”, Australian Journal of Basic and Applied Sciences vol 5, no. 5, pp. 157–169. Wood M & Ross-Kerr J 2011, Basic steps in planning nursing research, Jones and Bartlett Publishers, London. -Data analysis- 200words -Ethical Considerations- 200 words Read More