In case you enter the market looking for a software to automate your HR tasks, you will find many acronyms as solutions, like HCM, HRIS, HMIS and terms like applicant tracking solutions, payroll solutions etc.
This might cause you much confusion as what software for human resource management system you must select and what are the differences among their functioning. The following are some of the leading and popular human resource management system software with all their relevant aspects:
HCM Or Human Capital Management
Like the name of this software implies, the HCM is a Human Resource Software which concentrates on the management of human capital in an organization. Thus, the HCM is designed to help the HR monitor performance and growth of employees. The HCM enables managers to set goals of performance of employees and track their progress. Hence, HCM is more oriented towards employees, and its functionalities are focused around helping employees boost their skills.
HRIS OR Human Resource Information System
The HRIS is a term used for software for employee management which is designed for total management and meticulous tracking of data on employees. The HRIS can be used to store professional and personal details about employees.
The software enables the possibility of the HR department to gain easy access to total employee information without the issues of manual maintenance of folders. Some versions of HRIS showcase additional features that help the HR department like:
- Benefits management
- Training and development of skills
- Attendance & Time
ATS (Applicant Tracking Software)
While HRIS focuses on information management and HCM has been created for human capital management, the ATS is an HR software made for the team of recruitment in an organization. The ATS has built-in algorithms which filter out the most relevant resumes for a specific position and can be highly useful for recruiters to scan through the resumes of thousands of applicants.
Management System for Payroll
Like the terms suggest, the payroll software is created for managing employee salary, incentives and reimbursements. This management system for payroll may be integrated with leave management and attendance systems, for calculating the salary of employees. The payroll software automates the complete process of salary calculation that includes standard deductions for taxes, such that salary is credited on time, and there are no discrepancies.
HRMS OR Human Resource Management System
This system is the best human resource management software which is designed for automation of every task in human resource management. Thus, HRMS software is a combined package of all individual HR software, previously mentioned, and also with numerous other extra features. Examples of such features include:
- Attendance & Time management
- Rights of administrators
- Gateway of recruitment
- Leave management
- Training and development
- Administration of benefits
- Automated reports
- Self-service of employees.
In sum, apart from such kinds of HR software discussed above, you may find HR software that caters to other individual modules of HRM. Prior to proceeding to choose a software, it is advised that you consider the utility of the software to cater to the needs of your organization.