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HR missing out on full potential of IT, says survey

A new survey into the impact of technology on people management from the Chartered Institute of Personnel and Development (CIPD), suggests organisations are failing to make the most of the technology available.

The People Management and Technology Survey 2005 finds less than one fifth (16%) of human resource information systems (HRIS) were integrated with an organisation-wide IT system and more than a quarter of respondents (28%) say their systems are difficult for the HR department to use.

The survey, to be launched at the CIPD’s Human Resource Software Show on 22 June, reveals that 77% of respondents have a HRIS and one of the main reasons for introducing it is to reduce the administrative burden. However a third of employers believe the reduction in administrative burden is less than they expected.

Martyn Sloman, CIPD Training, Learning and Development Adviser, said, "HR professionals who fail to realise the potential of their HRIS will not be able to play their full role in the organisation. They will not be able to provide line managers with the information they need to manage labour costs and develop their staff. Nor will they be able to report on human capital. HR could be much more ambitious in its requirements and join forces with IT in order to make full use of the systems.

"The survey also suggests employers will experience fewer problems during implementation, and reap benefits right at the start by involving HR staff in the development and introduction of new technology within the organisation as a whole."

The survey found that human resource information systems are most likely to be used to monitor absence management (85%), training and development (75%) and reward (75%); they were also the three most likely to be run as an integrated system.

The survey, undertaken by the Institute of Work Psychology at the University of Sheffield, also looks at how HR uses IT as a form of internal communication. Over two-thirds of employers (71%) have an intranet and one of its main purposes is to provide HR information to staff and enable them to download forms. But less than half of them (48%) are using it to get feedback from staff.

"This is an area where there is more potential than progress. HR should work with communications and IT to develop an intranet system that will help to reduce administrative burdens, improve internal communication and meet business objectives. Involving employees should improve staff feedback, communication and can offer rewards in terms of employee motivation and engagement," said Sloman.

The CIPD Human Resource Software Show 2005 takes place on 22-23 June 2005, at Olympia, London. It is co-located with the CIPD Annual Recruitment and Retention Conference.

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