Human Resource Information System for Larson Property Management

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Abstract

Larson Property Management is a California business which is experiencing rapid growth but operating on an outdated HRIS system. It is looking to update to include new features including employee databases, application-tracking system, and flexibility. This paper analyzes various vendors and presents Zenefits as the best choice. A cost-benefit analysis is conducted to justify the transition and a timeline is presented. A change management model is suggested for management to implement to reduce resistance and effective adoption. Finally, maintenance and evaluation is discussed for the new HRIS to ensure future dependability.

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Introduction

Currently, Larson Property Management Company is experiencing a need for a new Human Resource Information System (HRIS) given the company’s rapid growth in recent years and the lack of function and storage capacity that the old system cannot offer anymore. Significant success of company operations and growth depends on the HRIS system, and Larson needs to transition away from the legacy system to one which is highly expansible, flexible, and has the diverse set of features that the company needs. Some of these include quickly locating applicant or employee files in the system with updated information and their status in the system as well as a sophisticated applicant-tracking system which begins with the ability for the company to post job positions online and ends with automated reporting functions and remote system access.

There are also the added benefits of cost reduction and productivity improvements that stem from HRIS adoption (Begum et al., 185). These features of a new HRIS are meant to ensure that Larson can continue to expand effectively while hiring the best talent, essentially future-proofing the company to prevent encountering such issues as it currently experiences with the legacy system.

System Blueprint and Type

At its core, an HRIS provides a centralized core of employee master data that human resource management can use to achieve core HR processes within the company (which typically involve job postings, recruitment and retention, time and labor management, benefits and payroll, and employee data and interface). Depending on the priorities of the organization, different types of data sets will be essential to track in order fulfill HR strategy (Chauhan et al. 59). In the case of Larson, the applicant-tracking system and the general recruitment process are key due to its rapid expansion, so the HRIS system blueprint must encompass capabilities for ease of use for these features especially in order streamline the process for HR.

Based on Larson company needs, it is recommended to use the operational HRIS which is focused on providing data to support managers with routine and repetitive human resource decisions. These types of operational level systems collect and report HR data including information about positions, existing employees, government regulations. Operational HRIS also have the features with a focus on position control and application selection and placement information systems alongside performance management if necessary (Valcik et al. 35). It can be argued that this is the best selection for Larson as it is looking for a direct and straightforward system in managing employee data and applications. There is no evidence suggesting its management is struggling with HR decision-making that would be fitting for tactical HRIS nor is it looking for complex strategic HRIS for workforce planning.

Recommendation for HRIS Vendor

Three HRIS vendors have been selected and compared in the table below.

Vendor Namely(https://www.namely.com/) Zenefits
(https://www.zenefits.com/)
Workday(https://www.workday.com)
Type Operational/Tactical Operational/Tactical Strategic
Employee database Yes Yes Yes
Payroll Yes Yes Yes
ATS present Yes Yes No
Onboarding Yes Yes No
Time & Attendance Yes Yes Yes
UI Design Clean, 4/5 Highly intuitive, 5/5 Professional but slightly confusing 3.5/5

It is recommended that Larson select Zenefits as its primary vendor for an HRIS. It provides the most optimal set of features and contains all the necessary solutions for the business. Zenefits offers a robust system and is highly customizable, which also allows the system to scale with the business and encourage growth. Namely works with medium-to-large businesses at an average cost for the industry while offering

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Project Management Roadmap and Cost Justification

The McKinsey 7s model is the proposed change model that can be used to effectively implement the new HRIS system within the organization. The model is based on the notion that every firm consists of 7 key elements: strategy, structure, system (activities and procedures), shared values, staff (recruitment, training, and motivation), leadership style, and skills. These aspects are intertwined, change in one element will affect the other. Therefore, in the process of transformation, managers should consider how changes will affect other areas of the company, whether they are ready for change, and how to best make the transition in the most efficient manner (Cox et al. 184).

Roadmap.

Prepare organizational structures for change, begin shifting HR operations and functions. 1 month before implementation
Detailed project implementation process in place
Decision communicated to frontline managers
1stmonth
HR should be fully on the new system and adopting systems to it
Employee databases full transferred and the ATS network should be working fully
2ndmonth
Innovation for the organization communicated to employees
Attempt to work out resistances from workforce
3rdmonth
Track progress and make changes as necessary for organization 6thmonth
Evaluate annual results and decide regarding extending the contract 12thmonth

Cost-Benefits Analysis.

Costs and Benefits Value per Unit Unit Overall Value (for the first month) Overall Value (for the second month)
Costs
Purchase of Essentials plan $8 (per employee) 200 $1600 $1600
Purchase of mobile phones $400 (per item) 5 $2000
Hire an IT specialist $2000 (monthly salary) 1 $4500 $4500
Employee training $200 (per employee) 5 $1000
Internet service $15 (per GB) 4 $60 $60
Electricity $39 (per megawatt) 10 $390 $390
Costs Total $9500 $6550
Benefits
Increase in GDP per hour work (HR) $350 increase 5 $1750 $1750
Reduced number of workers in the HR department $3000 (monthly salary) 2 $0 $6000
Reduced number of workers in Finance department $3500 (monthly salary) 1 $0 $3500
Reduced paper usage $5 (per pack) 20 $100 $100
Benefits Total $1850 $11350
Undiscounted Total (Benefits – Cost) -$7650 $4800
Discounted Total (Benefits – Cost) -$7650 $4800 – $4800*10% = $4320

As can be seen in the chart above, the benefits total costs exceed the expenses per month by approximately $5-6 thousand once the system is up and running. It once again highlights the benefits of the HRIS system for the business.

Maintenance and Evaluation

An IT specialist will be hired directly by the company to oversee that the Zenefits software is running smoothly across the company. Meanwhile, Zenefits itself offers 24/7 support. There will be consistent communication and updated software to ensure security and efficiency. Evaluation of the HRIS system can begin after 6 months to a year to determine if promised benefits can be seen and whether adoption within Larson is ongoing effectively. It is critical that the identified features for the HRIS structure are in-place and working effectively for the company’s strategic HR needs.

Conclusion

The proposal presents an HRIS of choice that Larson Property Management can effectively adopt to replace its aging system. The key elements are identified, and vendors are contrasted to determine the best choice. The appropriate justifications are made as to how the HRIS will benefit Larson in the long-term and is fitting with the organizational needs in the long-term.

Works Cited

Begum, Halima, et al. “Cost Reduction and Productivity Improvement through HRIS.” International Journal of Innovation and Sustainable Development, vol. 14, no. 2, 2020, p. 185. Web.

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Chauhan, Akahnsha, et al. “Role of HRIS in improving modern HR organizations. Review of Management, vol. 1, no. 2, 2011, p. 58-70.

Cox, Andrew Martin, et al. “Extending McKinsey’s 7S Model to Understand Strategic Alignment in Academic Libraries.” Library Management, vol. 40, no. 5, 2019, pp. 313-326.

Valcik, Nicolas A., et al. “Existing Research on HRIS in Public Organizations.” Management for Professionals, 2021, pp. 33–45.

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BusinessEssay. (2022, September 9). Human Resource Information System for Larson Property Management. Retrieved from https://business-essay.com/human-resource-information-system-for-larson-property-management/

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