Strength And Weakness Of Electronic Human Resource Commerce Essay


In our report discusses about strength and weaknesses of electronic Human Resource and discusses some implications for future research. e-HR's software brings a high degree of homogeneity and standardization platform for smooth working in an organization. It helps to bring the control and efficiency required by HR. An initial framework the review analyzes HR professionals at organization introduced a technology based management information system (MIS). This system enabled the employees to be more efficiently administered (in theory) through an impersonal system to bring into conformity with rules for payroll, attendance and punctuality. Hence, e-HR software interface in salary decisions and others linked to people. The e-HR systems are core applications who reduce the over time of Human Resource Management. It has achieved data from an administrative function, which responsible from payroll to help in strategic decision making that can add value to an organization. Companies have now realized. The role e-HR has developed as grow of organization the primarily administrative becomes business partner. At same time e-HR provide the business possess such as stable, reliable which makes high recognition within the organization.

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After implementation e-HR in any organization, company can easily save there cost. Because e-HR use enterprise and internet, efficiently connect people such a way if gives all information they need. It also manages relationship, streamlines processes and improves the se of information to make strategic and operational decisions. e-HR about connecting people - customers, suppliers, employees - with information. It's about making organizations more efficient and more profitable


Due to market development, the manager roles has changed in recent years, and partly also due to new technologies being used by the organization that they are working in. As a result, organization needs to examine their own organizational Human Resource role. (Alleyne et al, 2007)

In today global markets, organizations and companies recognize that in order to compete, are based on the quality and effectiveness of their employees to succeed. Human Resource managers today need a world class Human Resource management system to help them in daily strategic and operational decision.

Over the last recent years, with the advance of Intranet and Internet technologies, Human Resource tools known as electronic Human Resource management (HRM) emerged. (Hooi, 2009)

Recent Development in E HR or HRIS

In the 1990s client/ server systems are the ideal configuration for most companies. But in recent years, companies are beginning the tasks of migrating their legacy systems to new packages designed with more advance structure. And they are usually what we know today as Human Resource Information System (HRIS), which is part of the Enterprise Resource Planning (ERP). ERP are able to offer companies the advantage in term of functionality, storage capacity, performance and an opportunity to reengineer their HR processes.

Due to the fast rapid development of technologies and changes in the fundamental of business, the Human Resource Department today cannot operate like the old days. It is not enough to have a group of people who only need to know all about the benefits plans, salary program, and career opportunity within the organization. The demand for skilled workers, especially "knowledge" workers, also helps to accelerate the need for HRIS to assist in strategic role of HR. (Stone et el, 2006)


E HRM According to a group of Researcher from Singapore Ministry of Manpower, Human Capital Development Division, E-HRM refers as active use of electronic media and participation of employees with technology to helps to lower administration costs, and improve the communication of their employee with quicker access to information, and reduce time needed in processing. (Hooi, 2009)

Human Resource Information System (HRIS) basically is a human resource database system that allows you to keep track of all types of Human Resource information related to the organization and it's human capital. However, not all companies that name their system an HRIS - Human Resource Information System are comprehensive enough. If the human Resource system, are only able to handles one or two functions, example such as benefits like administration or payroll, then we do not consider it as a comprehensive HRIS. (Bondarouk & Ruel, 2009)

Electronic Human Resource (EHR) it refers to conducting business transaction in human resource related using the Internet. (LengnickHall & Moritz 2003) Usually refer usually to Employee Management System that is normally refers to browser based Human Resource web portal. Unlike HRIS, E-HR or Employee Management System can usually handles limited functions or benefits, such as payroll and leave application. The growth of E-HR was due to the rapid development of Internet technologies in the 1990s. With point and click ease of use, E- HR are usually very user friendly and easy to use. Widely used by companies especially small and medium enterprise, who can't afford a comprehensive Human Resource System such as HRIS.

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Human Resource Management (HRM) it refer to a form of support function that services its own internal customers, example employee. (Alleyne et al, 2007)

Critical Analysis of Electronic Human Resources (e-HR)

In recent years, with the advancement of intranet and internet, enable a new wave of human resource (HR) technology to emerge, with the aim to assist human resources administrative functions. With these e-HRM functions, HR service is expected to improve by both the management and employees. (Hooi, 2009)

As more and more Human Resource Departments moving toward Internet or Web-based Technology, we need to evaluate and make comparison between the Online Human Resource Management and Traditional Human Resource Management System. (Payne et al, 2009)

Background Strategic human resources and e-HRM


The major functional roles of E-HR are to support Human Resource processes such as are recruiting, training and performance management. (Stone el, 2006)

The growing trend in E-HR allows the development of tools such as

Employee Self- Service (ESS)

Employee Self Service or ESS gives the employee of the organization the ability to access, maintaining his or her own personal HR Information online. The employee self-service (ESS) capabilities allow and enable the employees to create, view, and modify data anytime and anywhere by themselves, using multiple technologies. With easy or ease of accessing to the information they need to do their jobs, the employees can also manage duties that were previously handled for them by personnel from HR department, with an employee centric portal. ESS also helps to expedite life, and work changes, freeing the HR professionals from mundane HR related administrative tasks and allowing them to dedicate more of their time and resources to a something more strategic initiatives.

Managerial Self-Service (MSS)

Enable the managers to access a variety of HR-related tools and information online. Most manager HR-related tasks can be done via MSS applications example like payroll administration or compensation, staff performance management, hiring, and employee career or training development.

Overall, the main strength that an Electronic Human Resource System allows:

Employees to improve or maintain job performance

Set standards for Human Resources work process

Give recognition to job related accomplishments

Enhance Communication and working relationship between employee and departments

Identify the performance of individual employee

Outline the responsibility of employee and supervisory.

(Payne et el, 2009)

Developing human resources:

With the help of internet and intranet in development and training is the mostly examine element of e-HR and without any doubt the one with the most existing in possibility in terms of cost and benefits. The web-based software can be used for assessment training, and management career of all e-learning activity. For the less paperwork and more benefit including getting more information on training, and assessment it provide e mail and electronic forms of intranet or the restricted web site. Lower administration cost, shorter distribution and response time, and higher response rate (McClelland, 1994).

Changes in the role of the HR function:

They all agreed that the adoption of e-HR will definitely support HR functions. It will help making administrative tasks easier and more productive. Apart from the administrative processes, other HR processes such as innovation, communication, and learning

and career planning will be improved and supported with the use of e-HR. So the result, e-HR use can support not only the traditional HR role but also the alignment of HR functions with the organization's strategic objectives. However, two of the participants commented that HR "has a long way to go before results and benefits of e-HR adoption, especially for HR development, will be tangible "The benefits as show in fig:


The list below summarizes the reasons for adopting and not adopting e-HR for users and non-users respectively.

Companies using e-HR:

facilitation of the recruitment process;

benefits for communication; and

Cost effectiveness.

Companies not using e-HR:

limited usefulness;

security concerns;

inconsistency with practices used; and

Other practical problems.

Their only disadvantage is to loss of confidentiality. E-learning includes the learning activity supported by information technologies. It can take local intranet computers, or full access to internet, drawing upon a full range of multimedia, links to other sites and resources, downloadable streaming videos and communication systems (Sambrook, 2003). E-learning offers a solution to training in remote.

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Nowadays, organization reaches capability of existing to run HR operations more efficiently. For more efficiently work we need to combined together in one hand for this gather the information and communication technology. The main issue is swift development of electronic HR systems (Stanton and Coovert, 2004; Fletcher, 2005).

The E-HR provide the facilitate to more efficient and strategic way of working for HR. since e HR technology runs parallel to the introduction administrative support of the HR. it very difficult to map it. For example Reception and assimilation by employees is considered to be an important factor when implementing E-HRM. The ability to cope with changes in the HR function and The current issue and full text archive of this journal is available at the support that is provided to employees during E-HRM implementation is also deemed essential (Haines and Petit, 1997; Fisher and Howell, 2004; Ruta, 2004; Rue¨let al., 2004). However, there is little empirical knowledge on concurrent employee

Brief Analysis of whether e-hr is contributing towards HR becoming more strategic

Most of us, I believe will be convinced that using E-HR will significantly help the company to improve the delivery of the HR services to the organization. Higher efficiencies, and higher customer satisfaction, no doubt will help to lower costs, due to redesigned processes and eliminate manual work process.

Definitely e-hr has the potential to be able contribute towards HR becoming more strategic. But for E-HR to be able to play a more strategic role, there must be a strong business case. Emerging strategic e-HRM research tend to fit and focus on business strategy. (Marler, 2009)

A business case can be mystifying. For the case of web-based or E-HR business can be used to address all types of questions, for example:

Do we really need a Web-Based solution?

Do we need to implement employee or manager self services?

Can we use our existing intranet for HR transaction?

Are we going to use the existing legacy human resource system as the underlying database for web solution, or a Enterprise Resource Planning (ERP) System?

Can we plan and implement a shared services group as part of the Web initiative?

Should we go for one-vendor HR portal strategy, or should we go with a "best-of-breed" approach?

A business case must always, built around objectives like type of business, financial, functional, operational, or some combination. Meaning we need to provide the business management with cost benefit and return on investment data in hard economic terms.

How can E-HR help the organization in strategic role? To business, the core objective is to make more money. The concern and questions ask by management is how E-HR can help the business to reduce expenses or increase in their revenue strategically?

Questions on the mind of the management like, what can we gain from:

Productivity savings

Improve quality and reduced rework

Sourcing Saving

Make services more cheaply and higher quality

Information System Saving

Reduce the maintenance of existing systems

Other Saving.

Save the cost of material like paper, computer printout.

But the most important aspect and core functions of E-HR strategic benefits can bring to a organization are:

Recruitment - What talent do we need?

Sourcing and attracting - Who is the right talent? Where is the right talent? How to attract the talent to joins us.

Assessment and evaluation - Identify, evaluate and select the right people we want.

Hire - What is the right offer that we can offer attracts the candidate to join the organization?

Deployment - Move people into the right position in the organization that can utilize their talent.

Retention- How can we keep the talent invested, and engaged in the organization?

In today's globalization competition, the strong demand for skilled workers, especially "knowledge" workers, also helps to accelerate the need for HRIS to assist in strategic role of HR. (Stone et al 2006)


The HR plays a very important role in any Origination, as well as HR builds a bridge between top management and employers. Nowadays there is a big competitive market for any organization. So they want to expand their organization up to certain level to meet their requirements. Once the organization grows the work load for HR will increase and they will be unable to manage all the work manually. So for avoiding this kind of situation in the organization they need a integrated system in their company. That time e-HR comes in the picture, which suits their needs, Such as

Employee Self- Service (ESS)

Managerial Self-Service (MSS)

Management Information system (MIS)

Developing human resources

Changes in the role of the HR function

The future E-HR will become more sophisticated, and more individualized tools for both managers and employees. Improved decision making tools will benefit both the organizations and employee. (LengnickHall & Moritz 2003)