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Human Resource Information

Systems (HRIS) : Not Just a Tool,


Its a Strategic Weapon!

RIRI SATRIA
CEO Value Alignment Advisory

My name is

RIRI SATRIA

President Director / CEO Value Alignment Advisory (VA2) since 20


Consultant strategic management and organization development Education background in computer science (UI), strategy (PPM) and
Lecturer Master of Information Technology University of Indonesia
Lecturer Master of Management PPM School of Management sin
Chairman Alumni Association, Faculty of Computer Science, Univ. In
Previously worked at KPMG Indonesia and PPM Management.
Literature and arts enthusiast Active blogger and social media e
http://about.me/ririsatria
http://strategy4management.wordpress.com
http://www.facebook.com/ririsatria.va2
http://twitter.com/ririsatria
http://www.linkedin.com/in/ririsatria
ririsatria@va2indonesia.com or
ririsatria@gmail.com
http://www.facebook.com/ValueAlignment

The Loyalty Effect


(Fred Reichheld)

Customer Loyalty
Employee Loyalty
Investor Loyalty

Why Financial Management is


Strategic to Organizations?

because it gives
strategic
information to the
CEO to make
strategic
decisions ..

What Makes HR Management


become
Strategic to Organizations?
if it could give
strategic
information to
the CEO to make
strategic
decisions ..
but what
strategic

Human Resource is the


Highest Critical Success Factor
for Business Performance
CREATIVITY
AND
BUSINESS
INNOVATIONS
BRILLIANT
BUSINESS
STRATEGIST
AND RISK
ANALYST

UNUSUAL
SERVICE
EXCELLENCE

UNUSUAL
HIGH QUALITY
PRODUCES

SPECIAL
SKILLS

HIGH
PRODUCTIVIT
Y

The Shifting of Human Resource


Management Model in
Organizations or Corporations

Personnel
Management
Model.
- end of
1970s.
Only for
administrative
things in personnel
management.

Human Resource
Development (HRD)
Model.
1980s mid 1990s.
People is not just a
production
component. We
should develop the
capacity /
competency of the

Human Capital (HC)


Model.
Mid 1990s now.
People is the
strategic asset. So
any expense on
people is not a cost,
its an investment.
People is the heart
of organizations /

The Shifting of HR
Management Model

Technology and business changes drive need


for HR Management change.

The Roles of Human Resource


Management Professionals (Dave
Ulrich)

The Shifting of Information


Systems Model
in Organizations or Corporations

Electronic Data
Processing (EDP)
Model.
1940s mid 1970s.
Only for data
processing, not more
than that.

Management
Information Systems
(MIS) Model.
Mid 1970s mid
1990s.
The role of
information
technology is to
support managerial
activities such as
decision making
process.

Strategic Information
Systems (SIS) Model.
Mid 1990s now.
The role of
information
technology is develop
competitive
advantages of the
organizations or
corporations.
Big data and business
analytics.

The Shifting of HRIS Model

First Generation HRIS


Model, known as
personnel
administration and
data processing
(example : payroll
applications)
1970s 1980s.

Second HRIS Model for


managerial decision
making (specially in HR
management).
Mostly not integrated to
business strategy
systems.
Mid 1970s mid 2000s.

Third HRIS Model,


Enterprise (Strategic)
HRIS, also named Human
Capital Information
Systems (HCIS)
Integrated systems for
all HR management
activities and business
strategy systems. It is
also empowering people
to develop their capacity
and social capital. Use
big data and business

Big Data and Business


Analytics

Business Analytics (SAP


Model)

The Strategic Human Resource


Information Systems Model
COMPETITIVE
ADVANTAGES OF THE
ORGANIZATION /
CORPORATION
STRATEGIC HUMAN
RESOURCE
MANAGEMENT (S-HRM)
or HUMAN CAPITAL
(HC)
STRATEGIC HUMAN
RESOURCE
INFORMATION SYSTEMS
(S-HRIS) or HUMAN
CAPITAL INFORMATION
SYSTEMS (HCIS)

STRATEGIC
INFORMATION
SYSTEMS (SIS)

Example
Business strategy :
Leading in innovative products with short time to
market.
Human Resource Management Strategy :
Create a leading creative team with high competence
in creativity and product simulation.
Information Systems Strategy :
Main strategic information systems in-house and
outsource the support applications.
HRIS Roles :
Provide information about the competency and
product of creative team.
Provide the learning management systems for

Second Generation HRIS Core


Modules

Personnel Information Systems.


Organization Structure Management.
Recruitment Management.
Training and Development Management.
Personnel Posting and Career Managem
Performance Management.
Leave Management.
Companies in
Report Management.
Indonesia mostly
using this second
generation HRIS ..

Example : Netis HRIS


Architecture

Third Generation HRIS /


Enterprise-HRIS
or HCIS Core Modules

All old HRIS core modules.

Learning Management Systems (not just training and


development). We are talking about Knowledge
Management and Learning Organization.
Performance Management (that linked to business
strategy and activities, competency management, not
just an ordinary key performance indicators
management).
Investment Analysis of HRM activities (that linked to
financial and accounting information systems).
Social Capital Development (empowering employee and
enggagement satisfaction management to gain
competitive advantage)

Closing Remarks
Now, we have the Third HRIS Model, the Strategic or
Enterprise-HRIS that also named as Human Capital
Information Systems (HCIS) is not just a tool for managing
people. It is a strategic weapon to develop competitive
advantages and improve business improvements.
The Third HRIS Model combined the concepts of Strategic
HR Management or Human Capital with Strategic
Information Systems (SAS).
The Third HRIS Model has strategic modules : Learning
Management Systems, Performance Management,
Investment Analysis, and Social Capital Development. The
modules are integrated to business strategy and activity
modules.
The Third HRIS Model also adopt big data and business
analytics model.

http://about.me/ririsatria
http://strategy4management.wordpress.co
m
http://www.facebook.com/ririsatria.va2
http://twitter.com/ririsatria
http://www.linkedin.com/in/ririsatria
ririsatria@va2indonesia.com or
ririsatria@gmail.com
http://www.facebook.com/ValueAlignment
PT. Solusi
Inovasi Dayaguna
Menara Rajawali level 7-1, Jl. DR. Ide Anak Agung
Gde Agung
Kawasan Mega Kuningan, Jakarta Selatan 12950,

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