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Antecedents and
Antecedents and outcomes of outcomes of
human resource information HRIS use
system (HRIS) use
Normalini Md. Kassim 603
School of Management, Universiti Sains Malaysia, Gelugor, Malaysia
Received 3 July 2011
T. Ramayah Revised 15 August 2011
School of Management, Universiti Sains Malaysia, Gelugor, Malaysia and 4 December 2011
27 January 2012
Department of Information Systems, The University of Melbourne, Accepted 30 January 2012
Carlton, Australia, and
Sherah Kurnia
Department of Information Systems, The University of Melbourne,
Carlton, Australia

Abstract
Purpose – The purpose of this paper is to test some antecedents and outcomes of human resource
information system (HRIS) use in Malaysia.
Design/methodology/approach – A research model based on a questionnaire gleaned from the
literature was used to collect data through a purposive sampling technique, whereby only those
companies in Penang, Malaysia which are using HRIS were targeted. The data collected were analyzed
using structural equation modelling technique with the use of partial least squares approach.
Findings – Results show that four out of the five antecedents are significant predictors of extent of
use and that extent of use is significantly related to all five outcome variables. This paper provides
further evidence on the appropriateness of using Roger’s innovation attributes to measure different
dimensions of attitude towards extent of HRIS use and Remenyi’s and Zuboff’s IT framework to
measure the outcomes from the extent of HRIS use.
Research limitations/implications – First, this study cannot be generalized to all other individuals
as the respondents are confined to HR professional employees in local services companies and
multinational companies. Therefore, the results cannot be generalized to individuals working in other
industries. Second, the study’s is carried out using a particular type of technological innovation, which
is the HRIS system in this case. As such, the research needs to be replicated to examine the robustness
of the findings across a wider range of technologies solution and samples.
Practical implications – The findings suggest that information technology (IT) appears to serve as
an empowering function for HR professionals, providing a medium in which HR professionals can
provide increased value in their work. The paper will help organizations in the implementation or
deployment of new information technology products, systems or processes. Organization can now
ensure a smoother implementation plan by addressing the attributes of the innovation that will most
likely concern its employees.
Originality/value – This paper adds to the existing literature of HRIS antecedents and outcomes in a
developing country setting. Although there has been some research on the same issue, the number is
very small in comparison to the literature appearing from the developed countries.
Keywords Malaysia, Developing countries, Human resource management, Information systems,
Innovation, Performance, Implementation
Paper type Research paper
International Journal of Productivity
and Performance Management
Vol. 61 No. 6, 2012
Introduction pp. 603-623
r Emerald Group Publishing Limited
A human resource information system (HRIS) is a system used to acquire, store, 1741-0401
manipulate, analyze, retrieve and distribute pertinent information about an DOI 10.1108/17410401211249184
IJPPM organization’s human resource (Tannenbaum, 1990). Initially, such a system was used
61,6 in human resource management to support transaction processing and maintain
management control. A good human resource decision is more likely to follow from a
good HRIS. Such a system should therefore be provided to both human resource and
line managers to facilitate decision making. Systems of this type are discussed in the
literature under the heading of decision support systems (DSS). For example,
604 optimization techniques can provide a powerful foundation for the development of
spreadsheet DSS to assist supply chain members to negotiate and make decisions that
are the best for their supply chain (Beheshti, 2010).
A HRIS is made up of various elements and if one element does not function
properly, it could well cause the function of the entire system to fail. When all elements
work correctly and the system works properly it should benefit the organization.
Similarly the HRIS is usually a part of the organization’s larger management
information system, which would include accounting, production and marketing
functions, to name just a few. The special function of HRIS is to gather, collect and help
analyze the data necessary for the human resource department to do its job properly
(Anthony et al., 2002). The HRIS can improve administrative efficiency through faster
information processing, improved employee communications, greater information
accuracy, lower HR costs and overall HR productivity improvements (Dery et al., 2009;
Wiblen et al., 2010). HRIS can facilitate strategic value generation by helping design
and implement internally consistent policies and practices that ensure that human
assets contribute to achieving business objectives (Boateng, 2007).
The most salient factor impacting organizations and employees today is
technological change. This can be seen in areas such as computer-supported work-
at-home, overall changes in labor force skills, and changes in organizational structure
and organization of work. Information technology (IT) has grown substantially in
recent years and driven much of this change. Roach (1991) found that in 1991 American
service sector companies spent more than $100 billion on hardware and in 1996
American banks spent almost $18 billion on IT (The Economist, 1996). One implication
is that the nature of work is likely to shift as IT has the potential to change the roles of
employees within the organization. However, Gardner et al. (2003), found that almost
75 percent of all IS projects are never completed, while between one-third and one-half
of all IS projects never reach the implementation stage. In a survey conducted by Price
Waterhouse, 25 percent of senior executives responsible for IS project implementation
in the financial services sector reported that over 50 percent of IS projects end in failure
(Carr and Lee, 1994). With such bleak percentages, it is clearly important for
management to continually examine their processes and not become complacent or
satisfied. Unfortunately, the operational processes of online companies are difficult to
formulate, as evidenced by their high failure rates (Sameer et al., 2010).
Recent studies have examined determinants of HRIS adoption in Singapore
(Teo et al., 2007) and the degree to which HRIS can enable strategic focus of HR (Dery
et al., 2009; Wiblen et al., 2010). According to Indrit et al. (2011), the adoption of HRIS in
the public sector depends on environmental, organizational and technology context
factors.
In the last decade (1995-2005), concerted efforts have been made by the Malaysian
government to provide a stronger platform for the country’s transition to a knowledge-
based society (Eighth Malaysian Plan, 2000-2005; Ninth Malaysian Plan, 2006-2010).
E-government is variously defined but the common focus is on the application of ICT
to improve the internal management of the government, to offer more flexible and
convenient services to the public and to a limited extent, enhance public participation Antecedents and
and democracy. outcomes of
HRIS has been a part of the improvements suggested and carried out under the
e-government initiatives of the Malaysian government under the ambitious Multimedia HRIS use
Super Corridor. Another initiative introduced is e-procurement which is called
e-Perolehan, which was to streamline the process of government procurement and was
tied closely to the computerization of the administration. Kaliannan et al. (2007) studied 605
the electronic procurement system and highlighted issues inherent within Malaysia’s
e-Perolehan initiative that prevent the government and the service provider from
maximizing the value potential of the e-Perolehan system are cost, infrastructure and
skills, business focus or change management, system constraints and government policy.
The need for efficient and effective performance management systems (PMS) has
increased over the last decade. The use of PMS has improved the performance and
overall quality of an organization (Burgess et al., 2007; Cuthbertson and Piotrowicz,
2011; Waal and Counet, 2009). According to Temple (2000), many smaller companies
already use service providers for HR-related systems such as payroll, and training
departments are rapidly utilizing online classes as well as video technology. With this
growth in IT utilization, practitioners and researchers alike recognize that IT may have
a tremendous impact on the different functions, including HR, and individuals in the
organization (Gardner et al., 2003). Ulrich (1997), for instance, has argued that,
“technology will change how work is done in general and how HR (human resources) is
practiced in particular.” As the human resource management function increases its use
of IT, there are likely to be implications for HR professionals as well (Sparrow and
Daniels, 1999). As more HR professionals are able to be more responsive, answer
queries more quickly, and provide more accurate information, HRIS may enable HR
professionals to increase their responsiveness to their constituencies.
Although companies have spent millions of dollars on implementing various
information systems, usage among end users remains low (Schaupp et al., 2010)
especially in developing countries. This has been highlighted in e-government (Lean
et al., 2009), online stock trading (Ramayah et al., 2009), e-learning (Ramayah, 2010) and
e-HRM (Yusoff et al., 2011). This is not good as the investment is already a sunk cost
and if the system is not used then it is deemed to have failed. Despite the importance of
HRIS for organizations, there is still a limited understanding of what determines the
successful use of HRIS in a developing country like Malaysia.
The next section of this paper discusses the theoretical foundation. This is followed
by an explanation of the research model and the hypotheses. Next, the method used is
described before the findings are covered. This includes an assessment of goodness of
measures, namely, construct validity, convergent validity, discriminant validity and
reliability of the constructs. Subsequent sections deal with discussion, implications,
limitations and conclusion.

Theoretical foundation
The adoption and diffusion of innovation is a subject that has been widely studied
across a broad spectrum of disciplines, including social science, marketing,
engineering and management. Diffusion of innovation literature has been developed
across a number of disciplines to explain the flow of information, ideas, practices,
products and services within and across cultures and subcultures or market segments.
For example, Rogers (1983) in his diffusion of innovation theory identified
compatibility, relative advantage, complexity, trialability and observability as
IJPPM characteristics of an innovation that influence its adoption. Subsequent research
61,6 provided empirical support for compatibility, relative advantage and complexity
(Tornatzky and Klein, 1982). On the other hand, in the IT literature, one of the most
prominent frameworks of IT (technological innovation) impact includes three stages of
use: automation, information and transformation (Remenyi et al., 1991; Zuboff, 1988).
This framework of IT impact is developmental in that each stage but must be
606 developed for the technology to be accessed or exploited. For the purpose of this study,
we have combined both theoretical perspectives to better understand the influence of
various perceived attributes of innovations on the extent of use of HRIS system and the
impacts of this HRIS system usage.
There have been numerous studies on innovation, spanning many disciplines and
focussing on both organizational and individual levels. In his innovation diffusion
theory, Rogers (1983) proposes that innovation adoption is a process of uncertainty
reduction and information gathering. Information about the existence of the innovation
as well as about its characteristics and features flows through the social system within
which adopters are situated. Potential adopters engage in information-seeking
behaviors to learn about the expected consequences of using the innovation; and an
assessment and evaluation of this information determines adoption behavior. Thus,
communication channels and information processing by potential adopters play a
central role in Roger’s theory. In his innovation diffusion theory, an individual’s
decision to adopt or not adopt a particular innovation is influenced by five key
perceptions about the characteristics of the innovation: relative advantage,
compatibility, complexity, trialability and observability. A short description of each
of the constructs is presented below.

Relative advantage
Rogers (2003) defines relative advantage as the degree to which an innovation is
perceived to be better than the idea it supersedes. It can also be viewed as the degree to
which an innovation is perceived to bring added benefits to the user. Hence, it is often
measured in terms of economic profitability, productivity improvement and other
benefits. The nature of the innovation determines which specific types of relative
advantage it brings to the end user. The adoption of an innovation depends on whether
the expected benefits of an innovation matches the demand of potential adopters. In the
technology acceptance model (TAM) by Davis (1989), this particular attribute is
referred to as perceived usefulness. In general, the relative advantage of an innovation
as perceived by members of a social system is positively related to its rate of adoption.

Compatibility
Rogers (2003) states that compatibility is the degree to which an innovation is
perceived as consistent with the existing values, past experiences and needs of
potential adopters. An idea that is more compatible with the existing values and norms
is less uncertain to the potential adopters and hence fits more closely to an innovation
that can be easily accepted by potential adopters into part of their lifestyle. An
innovation can be compatible or incompatible with socio-cultural values and beliefs;
previously introduced ideas; or client needs for the innovation.

Complexity
Rogers (2003) defines complexity as the degree to which an innovation is perceived as
relatively difficult to understand and use. Any new idea may be classified on the
complexity simplicity continuum. Some innovations are clear in their meaning to Antecedents and
potential adopters whereas others are not. In the TAM model, this attribute is referred outcomes of
to as perceived ease of use.
HRIS use
Trialability
According to Rogers (1983), trialability is the degree to which an innovation may be
experimented with on a limited basis. New ideas that can be tried on an installment 607
plan are generally adopted more rapidly than innovations that are not divisible. Some
innovations are more difficult to divide for trial than others. The personal trying out of
innovation is a way to give meaning to innovation, to find out how it works under one’s
own interpretation. This trial is a means to dispel uncertainty about adopting an
innovation.

Observability or visibility
Visibility or observability is defined by Rogers (2003) as the degree to which the results
of an innovation are visible to others. The results of some ideas are easily observed and
communicated to others, whereas some innovations are difficult to observe or to
describe to others. Rogers (1962) argues that the more visible an innovation (and its
benefits), the greater the likelihood of adoption, simply because the gains from
adoption will be more easily recognized.

The impact of the innovation

Extensive use of IT impacts the HR professional job role through influencing
information demands on these employees. In terms of impact, according to Remenyi
et al. (1991) and Zuboff (1988), IT includes three stages of use which are automation,
information and transformation. In the automation stage, IT is used primarily to
automate manual systems and reduce the need of personnel to perform routine
activities. According to Zuboff (1988), IT automation often reduces the amount of
routine work that must be done, potentially providing more opportunities for
individuals to think and use their full cognitive capacities. A short description of these
opportunities is presented below.

Enable information responsiveness

As HR professionals are able to be more responsive, answer queries more quickly, and
provide more accurate information, HRIS may enable these professionals to increase
their responsiveness to their constituencies. Thus, with more extensive use of HRIS,
HR professionals are able to provide increased information responsiveness.

Enable information autonomy

According to Remenyi et al. (1991) and Zuboff (1988), increased autonomy may result
from HR employees using sites such as kiosk and web applications that come from
increased HRIS usage. Thus, more extensive use of HRIS will enable HR professionals
to be more autonomous in handling HR information.

Enable external professional links

An IT system may connect an organization to the internet, and thus allow HR
professionals to access other organizations and points of reference to gather
information that they need to remain current in their industry (Remenyi et al., 1991;
Zuboff, 1988). By having increased information connectivity, HR professionals can
IJPPM demonstrate flexibility in the event of unanticipated change. Thus, more extensive
61,6 use of HRIS will enable HR professionals to increase their links to external
professionals.

Time required on transformation activities

With more extensive use of HRIS, there will likely be more time available for HR
608 professionals to allot to other activities as they transform current activities and
focus on business operations and practices (Remenyi et al., 1991; Zuboff, 1988). HR
professionals will be expected to spend more time attending to organization-wide
issues, strategy development issues and organizational change efforts. Thus, more
extensive use of HRIS will enable HR professionals to spend more time on broader and
more transformational issues.

Time required on IT support activities

IT influences the work that HR professionals perform by focussing more time on
activities related to IT support, such as maintaining and developing IT-based HR
applications. Thus, more extensive use of HRIS will enable HR professionals to spend
more time on IT support activities.

Research model
This study is to understand the influence of various perceived attributes of innovations
on the extent of HRIS system usage and the outcomes of HRIS system usage. The
research model in Figure 1 was developed based on the Rogers (1983) innovation
diffusion model, the IT framework model of Remenyi et al. (1991) and the work of
Zuboff (1988).

Hypotheses development
According to Gan (2003), if a personal digital assistant (PDA) allows user to perform
both their personal and business tasks more effectively, it provides tremendous
advantage to users.
Thus, it would be expected that individuals who perceive PDA as advantageous
would also be likely to adopt the device. Tornatzky and Klein (1982) found relative
advantage to be an important factor in determining adoption of new innovations.
Previous researches (Adams et al., 1992; Lean et al., 2009; Ndubisi and Jantan,
2003; Sang et al., 2010; Schaupp et al., 2010; Teo, 2001; Van Slyke et al., 2010) have

Information
Information
Relative responsiveness
advantage (RA) responsiveness(IR)
(IR)

Compatibility Information
(CP) autonomy (IA)

Extent of use External

Complexity ExternalProfessional
professional
(USE) link
(CX) link(EPL)
(EPL)

Visibility Transformational
(VIS) activities (TA)
Figure 1.
Research framework Trialability IT Support
(TR) activities (SA)
indicated that perceived usefulness/relative advantage is positively related to system Antecedents and
usage. This leads to the following hypothesis: outcomes of
H1. Perceived relative advantage is positively related to extent of HRIS use. HRIS use
In Tornatzky and Klein’s (1982) meta-analysis of innovation adoption, they find that an
innovation is more likely to be adopted when it is compatible with an individual’s 609
job responsibilities and value system. Previous empirical studies found positive
relationship between compatibility and intention to use (Gan, 2003; Karahana et al.,
1999; Ojha et al., 2009; Tan and Teo, 2000; Tornatzky and Klein, 1982; Van Slyke et al.,
2010). Thus, the next hypothesis is stated as:

H2. Perceived compatibility is positively related to extent of HRIS use.

Past research has indicated that innovation with substantial complexity requires more
technical skills and needs greater implementation and operational effort to increase its
chances of adoption (Cooper and Zmud, 1990). As with any other new computing system
introduced to the market, HRIS is expected to be easy to use. It is therefore expected that
the less complex to use HRIS is perceived to be, the more likely it is for an individual to
adopt it. There is extensive empirical evidence that perceived ease of use, which is the
opposite of perceived complexity, is significant and positively related to usage intentions
(Davis et al., 1989; Ojha et al., 2009; Ramayah et al., 2003; Ramayah and Ignatius, 2005;
Van Slyke et al., 2010; Venkatesh, 1999). This leads to the next hypothesis:

H3. Perceived complexity is negatively related to extent of HRIS use.

Rogers (1995) argues that potential adopters who are allowed to experiment with an
innovation will feel more comfortable with the innovation and are more likely to adopt
it. Agarwal and Prasad (1997) stated that the more adopters experiment with a new
technology and explore its ramifications, the greater the likelihood that the innovation
will be used during early stages of adoption. Any uncertainties about the innovation
will also be reduced when trials are allowed. Thus, this becomes the basis of
hypothesis four in this study which is stated as:

H4. Perceived trialability is positively related to extent of HRIS use.

Visibility measures the degree to which an innovation is visible to individuals in a

social system. Gan (2003) argue that when an innovation is perceived to be more visible
to members of a social system, it is more likely to be adopted. This is because visibility
creates a visual impact similar to what advertising media does. The visual impact in
turn creates awareness of the product and hence increases its likelihood to be further
evaluated. It is therefore expected that if HRIS is more visible to individuals, the more
likely it is to be adopted. Visibility/observability of an innovation has been found to be
positively related to intention to use (Gan, 2003; Karahana et al., 1999; Venkatesh and
Brown, 2001). If a positive result of an innovation can be observed and is likely to be
communicated by others, the intention to use will be greater (Karahana et al., 1999;
Kolodinsky et al., 2004; Xia and Lee, 2000). Thus, it is hypothesized that:

H5. Perceived visibility is positively related to extent of HRIS use.

IJPPM The automation of HR activities may impact the role of HR professionals by absorbing
61,6 information-intensive tasks (Snell et al., 1995; Zuboff, 1988). As IT is used more
extensively, it might enable HR professionals to access more information, allow them to
answer queries from employees and managers in a timely fashion, and enable them to
be more efficient at handling complex information as repetitive job tasks are
automated. As more HR professionals are able to be more responsive, answer queries
610 more quickly and provide more accurate information, IT may enable HR professionals
to increase their responsiveness to their constituencies (Gardner et al., 2003). Thus, it is
hypothesized that:

H6. More extensive use of HRIS enables increased information responsiveness by

HR professionals.

Managers perceived IT as improving their confidence in decision making, removing

uncertainty from decisions, and overall increasing their role in the organization
(Buchanan and McCalman, 1988). Snell et al. (1995) suggest that increased HR
autonomy may result from employees using sites such as kiosks and web applications
that are a result of increased IT usage. Thus, it is hypothesized that:

H7. More extensive use of HRIS enables greater information autonomy for HR
professionals.

As the extent of HRIS use increases, HR professionals are more likely to have
increased opportunity to make connections to information from external sources.
An IT system may connect an organization to the internet, and thus allow HR
professionals to access other organizations and points of reference to gather
information that they need to remain current in their industry (Gardner et al., 2003).
Thus, it is hypothesized that:

H8. More extensive use of HRIS enables HR professionals to make greater use of
external professional links.

IT absorbs the information intensive, but low value-added tasks and this provide
the user more time to focus on strategic issues and customized activities (Lepak
and Snell, 1998). With more extensive use of HRIS, there will likely be more time
available for HR professionals to allot to other activities as they transform
current activities and focus on business operations and practices. HR professionals
will be expected to spend more time attending to organization-wide issues, strategy
development issues and organizational change efforts. Thus, it is hypothesized
that:

H9. More extensive use of HRIS requires HR professionals to spend more time on
transformational activities.

Extensive use of HRIS that requires more time spent on implementation of new
information technologies may also require HR professionals to spend more time on
IT-related support activities to guide the users of the systems (Bhattacherjee and
Hirschheim, 1997; Halachmi, 1992). IT influences the focus of work that HR
professionals perform by focussing more time on activities related to IT support,
such as maintaining and developing IT-based HR applications. Thus, it is hypothesized Antecedents and
that: outcomes of
H10. More extensive use of HRIS requires HR professionals to spend more time on HRIS use
IT support activities.

Research methodology 611

The study population comprises HR executives and HR professionals who are
working in the companies around Penang, Malaysia. The selected site for this
study is Bayan Lepas Free Industrial Zone, Prai Industrial Zone and services
organizations in Penang. A purposive sampling technique was employed. The reason
for choosing this site is the relevance of its working population to this study.
Many of the companies operating are related to semiconductor or personal computer
industry in general. The employees of these companies are largely familiar with
IT products due to the nature of their jobs. As HRIS is relatively new, selecting
a site with respondents having access to this system is important. Primary
participants were HR professionals working in companies. Data were obtained about
HRIS usage from the HR executives and multiple respondents selected in each
organization to diminish concerns with single informant bias. To obtain the study data,
50 individuals were selected to participate in the survey. The initial questionnaire was
mailed to all the potential respondents and included was a request that the respondent
ask two further HR professionals to complete questionnaires that were enclosed with
the HR executive survey. To ensure meaningful data are collected, each respondent was
required to acknowledge that he or she knew what HRIS was before completing the
questionnaire.
Although 88 responses were received, 18 of these were rejected due to errors in
completing sections of the questionnaire. Therefore, only a sample size of N ¼ 70 was
used for this study giving a high response rate of 47 percent. Data were collected using
a questionnaire which used a five-point Likert scale response format. Survey items
were developed from a review of the literature and pilot tested with HR executives from
12 organizations. Very minimal changes were made to the final version of the
questionnaires. The innovation characteristics measurement was adapted from
Moore and Benbasat (1991) which was previously used in the Malaysian context by
Gan (2003).

Findings
The demographic profile of respondents is presented in Table I. There was an equal
representation from male and female, with a majority having tertiary education. Most
were in the age group of between 26 and 35 years old and income level of RM2,000 to
RM3,999 per month (US$1 ¼ RM3).
To assess the model, we used SmartPLS M3 2.0 (Ringle et al., 2005) to estimate the
parameters in the outer and inner model. PLS tries to maximize the variance explained
of the dependent variables. It offers many benefits with respect to distribution
requirements, type of variables, sample size and the complexity of the model to be
tested. We applied PLS path modeling with a path-weighting scheme for the inside
approximation (Chin, 1998; Tenenhaus et al., 2005; Wetzels et al., 2009). Then, we
applied the nonparametric bootstrapping approximation (Chin, 1998; Tenenhaus et al.,
2005; Wetzels et al., 2009) with 200 resampling to obtain the standard errors of the
estimates.
IJPPM Variables Category Frequency %
61,6
Gender Male 35 50
Female 35 50

Education Certificate/diploma 5 7.1

612 Bachelor degree 42 60
Master degree 19 27.1
PhD 4 5.7

Age (in years) Under 20 0 0

20-25 1 1.4
26-30 22 31.4
31-35 24 34.3
36-40 11 15.7
40 and above 12 17.1

Job Manager 23 24.3

Executive 46 65.7
Others 7 10.0

Income oRM2,000 7 10.6

RM2,000-RM2,999 19 28.8
RM3,000-RM3,999 26 39.4
RM4,000-RM4,999 6 9.1
RM5,000-RM5,999 7 10.6
RM6,000 or more 1 1.5

HRIS utilization Less than a year 2 2.9

Table I. Between one and three years 14 20
Demographic profile More than three years 50 71.4
of respondents Others 4 5.7

Assessment of the measurement model

First we tested convergent validity which is the degree to which multiple items
measuring the same concept are in agreement. As suggested by Hair et al. (2010) we
used the factor loadings, composite reliability and average variance extracted to assess
convergence validity. The loadings for all items exceeded the recommended value of 0.5
(Hair et al., 2010). Composite reliability values (see Table II), which depict the degree to
which the construct indicators indicate the latent construct ranged from 0.801 to 0.954
which exceeded the recommended value of 0.7 (Hair et al., 2010). The average variance
extracted, which reflects the overall amount of variance in the indicators accounted for
by the latent construct, were in the range of 0.557 and 0.901 which exceeded the
recommended value of 0.5 (Hair et al., 2010).

Discriminant validity of constructs

Next we proceeded to test the discriminant validity. Discriminant validity is the extent
to which the measures is not a reflection of some other variables and is indicated by the
low correlations between the measure of interest and the measures of other constructs
(Cheung and Lee, 2010). Discriminant validity can be examined by comparing the
squared correlations between constructs and the average variance extracted for a
Construct Code Loadings a CR AVE
Antecedents and
outcomes of
Compatibility CP1 0.885 0.834 0.901 0.751 HRIS use
CP2 0.833
CP3 0.881
Complexity CX1 0.885 0.753 0.859 0.671
CX2 0.782 613
CX4 0.786
Enable external Professional link EPL1 0.944 0.797 0.905 0.826
EPL2 0.872
Enable information autonomy IA1 0.847 0.932 0.952 0.831
IA2 0.919
IA3 0.954
IA4 0.924
Enable information responsiveness IR1 0.876 0.889 0.931 0.818
IR2 0.925
IR3 0.911
Relative advantage RA1 0.786 0.867 0.909 0.714
RA2 0.820
RA3 0.896
RA4 0.873
Time required on SA1 0.711 0.831 0.897 0.747
IT support activities SA2 0.941
SA3 0.921
Time required on transformational TA1 0.850 0.936 0.954 0.839
Activities TA2 0.949
TA3 0.949
TA4 0.913
Trialability TR2 0.883 0.629 0.801 0.577
TR3 0.747
TR4 0.627
Extent of use USE1 0.949 0.890 0.948 0.901
USE2 0.950
Visibility VS1 0.817 0.775 0.868 0.687
VS2 0.800
VS3 0.868
Table II.
Notes: CR, composite reliability; a, Cronbach’s alpha; AVE, average variance extracted; CX3 and TR1 Result of the
were deleted due to low loadings measurement model

construct (Fornell and Larcker, 1981). As shown in Table III, the squared correlations
for each construct is less than the average variance extracted by the indicators
measuring that construct indicating adequate discriminant validity. In total, the
measurement model demonstrated adequate convergent validity and discriminant
validity.

Assessment of the structural model

We then evaluated the structural model to test the hypotheses. As shown in Figure 2
and Table IV, nine out of the ten hypotheses were supported. Compatibility (b ¼ 0.264,
po0.01), complexity (b ¼ 0.203, po0.01), trialability (b ¼ 0.184, po0.01) and visibility
(b ¼ 0.111, po0.05) were all positively related to extent of HRIS use. Thus H2, H3, H4
and H5 were supported while H1 was not supported. The extent of HRIS use was
IJPPM 1 2 3 4 5 6 7 8 9 10 11
61,6
1 Compatibility 0.751
2 Complexity 0.605 0.671
3 EPL 0.179 0.108 0.826
4 Extent 0.433 0.426 0.116 0.901
614 5 IA 0.449 0.332 0.420 0.318 0.831
6 IR 0.508 0.440 0.455 0.362 0.593 0.818
7 RA 0.683 0.557 0.060 0.377 0.320 0.385 0.714
8 SA 0.144 0.185 0.311 0.155 0.312 0.406 0.124 0.747
9 TA 0.118 0.071 0.663 0.115 0.445 0.426 0.045 0.378 0.839
10 Trialability 0.623 0.584 0.074 0.413 0.283 0.327 0.565 0.114 0.039 0.760
Table III. 11 Visibility 0.384 0.575 0.010 0.328 0.187 0.231 0.517 0.076 0.013 0.462 0.687
Discriminant validity
of constructs Note: Diagonals are the AVE while the off-diagonals are the squared correlations

 = 0.027  = 0.601** Information

Relative
responsiveness (IR)
advantage (RA) 2
R = 0.362

 = 0.264**  = 0.564** Information

Compatibility
(CP) autonomy (IA)
R 2 = 0.318
Extent of use  = 0.341**
Complexity  = –0.203** External professional
(USE)
(CX) R 2 = 0.504 link (EPL)
2
R = 0.116
 = 0.184**
Visibility  = 0.339**
Transformational
(VIS)
activities (TA)
2
R = 0.115
 = 0.111*
Trialability  = 0.393**
(TR) IT support
Figure 2. activities (SA)
2
R = 0.155
Structural model
Notes: **P < 0.01; *P <0.05

positively related to information responsiveness (b ¼ 0.601, po0.01), information

autonomy (b ¼ 0.564, po0.01), external professional link (b ¼ 0.341, po0.01),
transformational activities (b ¼ 0.339, po0.01) and IT support (b ¼ 0.393, po0.01).
These give support for H6, H7, H8, H9 and H10 of this study. The variance explained
for each model is given in Figure 2.

Discussion, implications, limitations and conclusion

Relative advantage was hypothesized to be positively related to extent of use of HRIS.
This study found that the hypothesis was not supported. It can be argued that while
HRIS may seem to be useful to a certain age level of professional, the older generation
might find it hard to adapt to the new technology. They may prefer the manual way of
doing things. This finding contradicts (Choi et al., 2003; Gan, 2003; Lean et al., 2009;
Sang et al., 2010; Schaupp et al., 2010; Tan and Teo, 2000; Tornatzky and Klein, 1982;
Van Slyke et al., 2010) with those who have consistently found relative advantage and
compatibility to be very important factors. Our inconsistent result may be attributable
to the profile of the respondents where a majority of them have used HRIS for more
than three years. The substantial experience, with most respondents holding
 Path Standard t-statistics Decision
Antecedents and
outcomes of
H1 RA-extent 0.027 0.452 Not supported HRIS use
H2 Compatibility-extent 0.264 3.658** Supported
H3 Complexity-extent 0.203 3.295** Supported
H4 Trialability-extent 0.184 2.876** Supported
H5 Visibility-extent 0.111 2.028* Supported 615
H6 Extent-IR 0.601 16.27** Supported
H7 Extent-IA 0.564 16.174** Supported
H8 Extent-EPL 0.341 7.849** Supported Table IV.
H9 Extent-TA 0.339 6.79** Supported Path coefficients and
H10 Extent-SA 0.393 10.785** Supported hypothesis testing

managerial and executive positions, may mean they perceive that the system is useful
and there is not much variation in the data.
Compatibility was hypothesized to be positively related to extent of use of HRIS.
This study found that the hypothesis was supported. It can be argued that the HRIS
system that is compatible to an individual’s lifestyle will lead to a higher level of use.
This finding supports the works of (Gan, 2003; Karahana et al., 1999; Ojha et al., 2009;
Tan and Teo, 2000; Tornatzky and Klein, 1982; Van Slyke et al., 2010) who have
found compatibility to be very important in adoption decisions to use technological
innovations.
Complexity is hypothesized to be negatively related to extent of use of HRIS.
This study found that the hypothesis was supported. This may be because if
the HRIS system is perceived to be very difficult to use then it will not be used
extensively. This observation is similar to the results of many previous studies
based on the TAM model (Davis et al., 1989; Ojha et al., 2009; Ramayah
et al., 2003; Ramayah and Ignatius, 2005; Van Slyke et al., 2010; Venkatesh, 1999)
which have consistently found complexity (ease of use) to be a factor influencing
adoption.
Trialability was also posited to be positively related to extent of use of HRIS. This
study found that the hypothesis was supported. Trialability is perceived as an
important attribute as Agarwal and Prasad (1997) stated that the more the adopters
experiment with a new technology and explore its ramifications, the greater the
likelihood that the innovation will be used during early stages of adoption. This is
reasoned as any uncertainties about the innovation will also be reduced when trials are
allowed to the potential users.
Visibility is hypothesized to be positively related to extent of use of HRIS. This
study found that the hypothesis was supported. This could be that respondents who
have used the system themselves are more likely to develop a positive impression of
the system compared to those that have not. In this case, respondents that have used
the HRIS system in the workplace could have developed an impression that HRIS
system has certain benefits that have influenced the use of it by the people around.
This is consistent with previous studies (Gan, 2003; Karahana et al., 1999; Kolodinsky
et al., 2004; Venkatesh and Brown, 2001; Xia and Lee, 2000) which found visibility to be
a significant predictor of technology usage.
The hypothesized more extensive use of HRIS enables increased information
responsiveness and information autonomy by HR professionals were supported.
IJPPM The results support the works of Zuboff (1988) and Remenyi et al. (1991) which theorize
61,6 that with more extensive use of IT, HR tasks are further automated making HR
professionals more efficient through their responsiveness and autonomy.
The hypothesis that more extensive use of HRIS also enables HR professionals
to make greater use of external professional link was supported. The HR professionals
in this study were able to connect more to external professional links as a result
616 of more extensive use of IT suggesting a potential for them to learn more
innovative ways in which to deliver HR activities. This is consistent with the
previous study of Gardner et al. (2003) which found empirical evidence to support this
finding.
The hypothesis that more extensive use of HRIS requires HR professionals
to spend more time on transformational activities and IT support activities was also
supported. HR professionals spend more time on transformational and IT support
activities, suggesting that more extensive use of IT turned HR professional focusses
them toward more knowledge-based activities as they shift attention to developing
IT-based HR applications. This is consistent with the previous study of Gardner
et al. (2003).

Implications
This study has important implications for both research and marketing of
innovation. In terms of research, this study provides further evidence on the
appropriateness of using Roger’s innovation attributes to measure different
dimensions of attitude toward extent of use of HRIS and Remenyi’s and Zuboff’s IT
frameworks to measure the outcomes from the use of HRIS. There are a number of
reasons that can explain why findings of this study may differ from previous
studies. One of them is that Roger’s innovation diffusion theory applies to a diverse
set of research fields including rural sociology, psychology, marketing and
technology adoption; and applicability of these various attributes could differ from
one research field to the other. As such we can conclude that the combined theoretical
perspectives can be used to better understand the influence of various perceived
attributes of HRIS on the extent of system usage and the impacts on HRIS system
usage.
This study also found that IT appears to serve as an empowering function for HR
professionals, providing a medium in which HR professionals can provide increased
value in their work. IT is a tool that HR professionals can utilize to provide more value
to the organization (Ulrich, 1998).
The findings also hold important practical implications for the marketing strategy
for innovations particularly those that are IT solutions. A marketing strategy for an
innovation solution should consider increased emphasis on bringing the best value in
terms of relative advantage and compatibility of the solutions to its potential market.
These attributes should be given due emphasis during system solution
conceptualization, design, testing as well as manufacturing stage. In addition, when
the system solution is rolled out to the market, it should be positioned as a solution that
truly delivers these attributes which are the most common attributes potential
customers seek in an innovation.
Lastly, the study will also help organizations in the implementation or deployment
of new IT products, systems or processes. Organization can now ensure a smoother
implementation plan by addressing the attributes of the innovation that its employees
will most likely to have concern with.
Contribution to theory Antecedents and
The process of adopting new innovations has been studied for over 30 years, and one of outcomes of
the most popular adoption models is described by Rogers in his book, Diffusion of
Innovations. The objective of this study was to understand the influence of various HRIS use
perceived attributes of innovations on the extent of HRIS usage and the outcomes of
HRIS use. The research framework is based on combining Rogers theory of adoption
and theory related to IT impact. Rogers (1983) proposed that there are five factors that 617
contribute to adoption such as relative advantage, compatibility, complexity,
trialability and visibility. According to Remenyi et al. (1991) and Zuboff (1988),
IT impact includes three stages of use that are automation, information and
transformation. The study relies on the notion that extensive use of IT impacts the HR
professional job role through influencing information demands on these employees
such as demand for providing IT support. Haines and Petit (1997) found that
involvement, training, support, documentation and application development are
among factors contributing to user satisfaction and system usage. There are
similarities between contributing factors to the rate of adoption by Rogers (1983)
and contributing factors to influence user satisfaction and system usage by Haines
and Petit (1997).

Limitations
As with all research, this study also has certain limitations. First, this study cannot be
generalized to all other individuals as the respondents are confined to HR professional
employees in the IT sector in local services companies and multinational companies.
Therefore, the results cannot be generalized to individuals working in other industries.
As such, there is still room for further investigation into the adoption of innovation by
a more general population. Extending the study to include individuals working in
other industries or sectors or divisions may add further support to the findings.
Second, the study was carried out using a particular type of technological
innovation which is HRIS system in this case. As such, the research needs to be
replicated to examine the robustness of the findings across a wider range of
technological solutions and samples.
Finally, there are some possibilities of measurement errors. The study focussed on
perception of the respondents and the instrument relied on self-reports and perceptions
of the respondents alone. This could have resulted in some degree of perceptual
inflation of self-assessment scores. Those who enjoyed great satisfaction with the
innovation may have inflated their response with respect to their intention to continue
to use the innovation. Additionally, the instrument was also self-administered and
there could be situations where respondents may need further clarification, which was
not available.

Conclusion
This study has shown the attitude-system usage relationship in the context of HRIS
technology adoption. It has shown that perceived innovation characteristics influence
extent of use of the HRIS systems and also determine the outcomes from the use of
HRIS systems by HR professionals. Gardner et al. (2003) found that HR professionals
were able to provide increased information responsiveness to the clients that they
served as well as to act autonomously when handling information. The results support
the theorized impact suggesting that with more extensive use of IT, HR tasks are
further automated making HR professionals more efficient through their
IJPPM responsiveness and autonomy. According to Gardner et al. (2003), although there were
61,6 significant results that indicate that higher levels of extent of use of IT do lead to
changes in the HR professional’s job, they suggest that there is also considerably more
variance to be explained. Thus it is likely that additional factors may influence the
relationship between IT use and the jobs of HR professionals.
Finally, this study has provided some additional insights into the relationship
618 between individual’s attitude and extent use of HRIS in the Malaysian context.
It does suggest that individual’s attitude as measured by perceived innovation
characteristics in this study are relevant and valid, and they influence extent
use of HRIS. In short, it does suggest that IT can lead to profound changes in the nature
of professional work through such mechanisms as reducing routine work while
also allowing greater information responsiveness to clients and affording greater
autonomy with respect to information handling. For instance, the HR professionals
in the study were already connecting to more external professional links as a result
of greater use of IT, enabling greater exposure to innovative ideas. The fact that
they were also spending more time on IT support activities suggests that they are
acquiring an increased capacity to develop additional IT-based HR applications,
thereby potentially furthering the transformational impact predicted by Zuboff’s
theory. Thus, the findings have important implications not only for theory, but for
practice as well.

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Appendix

Constructs Items Source

Relative advantage RA1: using HRIS has improved the quality of the Moore and Benbasat
work I do (1991); Han et al.
RA2: using a HRIS makes it easier to do my work (2006)
RA3: using a HRIS has enhanced the effectiveness of my
work
RA4: overall, I find using a HRIS to be advantageous in
my work
Compatibility CP1: using a HRIS fits my work style Moore and Benbasat
CP2: using the HRIS is compatible with all aspects of my (1991); Han et al.
work (2006)
CP3:I think that using a HRIS fits well with the way I
like to work
Visibility VIS1: I have seen what others do using the HRIS Moore and Benbasat
VIS2: it is easy for me to observe others using the HRIS (1991); Han et al.
VIS3: I can see many individuals using the HRIS (2006)
Complexity CX1: overall, I believe that a HRIS is difficult to use Moore and Benbasat
CX2: learning to operate the HRIS was difficult for me (1991); Han et al.
CX3: using the HRIS requires a lot of mental effort (2006)
CX4: it was difficult to get the HRIS to do what I want
Trialability TR1: I want to be able to use a HRIS on a trial basis long Moore and Benbasat
enough to see what it can do (1991); Han et al.
TR2: was able to satisfactorily try out various uses of (2006)
HRIS
TR3: I have had opportunities to try out various HRIS
applications
TR4: before deciding whether to use any HRIS
applications, I would want to be able to properly try
them out
Extent of use USE1: frequency of use (week) Tan and Teo (2000)
USE2: hours used (week)
Enable information IR1: enables you to provide more timely information to Gardner et al. (2003)
responsiveness line managers
IR2: enables you to be more efficient at handling
complex information as repetitive job tasks are
automated
IR3: enables you to be more responsive and provide more
accurate information
Table AI.
Questionnaire items (continued)
Constructs Items Source Antecedents and
outcomes of
Enable information
autonomy
IA1: enables you to make fewer request to line managers
for routine information
Gardner et al. (2003) HRIS use
IA2: enables you to access information and evaluate
what was not previously accessible
IA3: enables you to be more independent from clients
IA4: enables you to make decision and removing
623
uncertainty from decisions
Enable external EPL1: enables you to be more connected to professional Gardner et al. (2003)
professional link associations
EPL2: enables you to connect to the internet and allow to
access other organizations
Time required on TA1: requires you to spend more time planning Gardner et al. (2003)
transformational organizational change efforts
activities TA2: requires you to spend more time attending to
organization wide issues
TA3: requires you to spend more time attending to
strategy development issues
TA4: requires you to spend more time toward efforts to
improve the organization
Time required on SA1: requires you to spend more time dealing with Gardner et al. (2003)
IT support glitches in IT-based HR systems
activities SA2: requires you to spend more time deskills
professional and managerial work as it displaces
humans and their know-how
SA3: requires you to spend more time alter the required
skill set by requiring new knowledge and skills in order
for workers to utilize the new systems Table AI.

Corresponding author
T. Ramayah can be contacted at: ramayah@usm.my

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