Enterprise Resource Planning Software was initially built for planning and scheduling materials. But today, the ERP has surpassed its initial objective and has turned themselves to be the most complex and largest enterprise framework offering enhanced business management and business development.
Today the ERP comes with the capacity to manage human assets of the organization. The role of ERP in human resource management is much greater than the imagination of human minds. Like the way an ERP integrates several business departments together, an ERP in HRM integrates together with the several functions coming under the employee management.
There are four beneficial assets for a business- Land, Labor, Capital and Enterprise to produce or sell products and offer services. All the while accomplishing business errands, the focus must be given to the employees or the people who work on it. Human Resources Management or Human Asset Management thus revolves around the activities framed to recruit best candidates suitable for the respective job position and consistently improve their skills and abilities via providing them good and proper support called Human Resource Management (HRM). An ERP thus for HRM comes pivotal and indispensable if your company size is large.
One of the prime benefits of ERP in HRM is the centralized database. A unified database helps the management to elicit the information at its earlier without any chaos. An HR software in workplace helps the business organization to retrieve every employee data such as his name and employee code, employee attendance, leaves, work history, performance review, different employee benefits that are accrued from the database itself. It thus helps the management to take timely decisions and assure everything is streamlined and organized.
The second and most advantageous benefit that an ERP offers is talent acquisition. Implementation of ERP for HRM assures that the right and skilled individuals are hired for specified job positions. ERP helps in specifying the skills needed for specific job descriptions, monitoring the employee onboarding training, recording employee performances and much. In short, an ERP in the workplace helps in managing the skills and training of the employees in the most significant manner.
The five gears of HRM system are:
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Originally published at https://www.openhrms.com.
