Report: Well-Implemented IT Systems Enable HR to Drive Business Performance

Research shows integrated IT systems enable HR professionals to show true contribution to business and allow them more time to focus on strategic business issues.

London — Feb. 9
Research shows integrated IT systems enable HR professionals to show true contribution to business and allow them more time to focus on strategic business issues.

A new report, “HR and Technology: Impact and Advantages” by the Chartered Institute of Personnel and Development (CIPD) and Cranfield School of Management, gives practical advice on how employers successfully can develop an integrated information technology system that will add value to business.

“Pressures to meet customer and stakeholder requirements have made accurate measurement a necessity in order to demonstrate value,” said Rebecca Clake, CIPD organization and resourcing adviser. “HR Information Systems (HRIS) can do the basics brilliantly in terms of improving the efficiency of HR processes, but well-implemented systems have the potential to drive business performance, as well as providing effective means of employee engagement and communication.

“They can provide accurate statistics, enabling HR professionals to identify areas that managers can work on to improve performance and productivity of teams. But failing to invest the resources required and cutting corners or costs early on will leave businesses losing out in the long term.”

Research shows 91 percent of organizations introduce an HRIS to improve the quality of information available, but the majority fail to integrate systems across the organization.

“HR must work with IT professionals to draw on the skills required to develop an information system that will meet the needs of HR, other users across the organization and help achieve the wider business objectives,” Clake said.

The report investigates the use of technology to implement HR systems such as an intranet, e-recruitment systems, employee self-service systems and talent management systems.

It includes the following 10 case studies:

  • BOC Gases
  • British Sky Broadcasting
  • Cancer Research UK
  • Crown Prosecution Service
  • IBM
  • Marks & Spencer
  • NHS
  • Nortel
  • Norwich Union
  • Transport for London

“There are many different HR information systems and reporting needs to be tailored to the needs and objectives of each organization, but the same principle applies,” said Dr. Emma Parry, research fellow in the Human Resource Research Centre, Cranfield School of Management and co-author of the report. “Good communication and an open channel for feedback is essential in order to gain and maintain buy in from key stakeholders.