Human Resources is another widely implemented ERP module. ERP HR module streamlines the management of human resources and human capital.

ERP HR Module

ERP HR modules routinely maintain a complete employee database including contact information, salary details, attendance, performance evaluation, and promotion of all employees.

The advanced ERP HR module is integrated with knowledge management systems to optimally utilize the expertise of all employees.

A knowledge management system is an information technology system. It stores and retrieves the knowledge to improve understanding, collaboration, and process alignment.

Knowledge management systems can exist within organizations or teams. And they can also be used to center the knowledge base for clients.

ERP HR modules refer to the systems and processes at the intersection between human resource management (HRM) and information technology.

On the whole, these ERP systems have their origin in software that integrates information from different applications into one universal database.

The linkage of ERP financial and ERP HR modules through one database is the most important distinction to the individually and proprietary developed predecessors. That makes this software application both rigid and flexible.

Submodules of ERP HR module

Submodules of ERP HR module
  1. Organizational Management: It helps with personnel planning and application development. It enables analyzing the complete organizational structure. This allows planning and developing personnel summaries.
  2. E-Recruitment: submodule for hiring both internal employees and external candidates. That includes access to talents regardless of geography.
  3. Time Management: it enables functionality to record attendance and absence for employees. It also helps in the evaluation of attendance, absences, overtime, bonus, wages.
  4. Personnel Administration: it manages many individual pieces of information. This information is stored, updated, and managed for each employee. To manage personnel data related to tasks you need it.
  5. Payroll: it manages the payroll of employees in an organization. Payroll can be integrated with other modules like accounting and time management. It consists of payments for each employee and deductions made. In the transactions of the payroll module, the user is allowed to enter the daily attendance data of all the employees of the company on the payroll. The user can mark the entire employee’s data as present or absent. Also if the operator of the company has done any overtime then the user of the software can enter the data relating to the operators over time.
  6. Reporting: it provides reports of individual employees and consolidated reports across departments, demographics.

HRMS major functionalities

HRMS major functionalities

The ERP HR module is a component covering many other HR aspects from application to retirement. that includes

  • Recording basic demographic and address data.
  • Selection, interviewing, and complete the hiring process.
  • Training and development of employees.
  • Capabilities and skills management.
  • Compensation planning record.
  • Other related activities.

Leading-edge systems provide the ability to “read” applications and enter relevant data to applicable database fields, notify employers, and provide position management and position control.

Human resource management involves many functionalities. That includes recruitment, placement, evaluation, compensation, and employee development.

Initially, businesses used a computer-based information system for,

  • produce paychecks and payroll reports;
  • maintain personnel records;
  • pursue talent management.

Also, the processing of the payroll and the attendance can be done in this module. The reports will correctly specify the leaves and the attendance is taken of the employee after the processing of the attendance has been done.

WorkTime gathers standardized time and work-related efforts. The most advanced modules provide,

  • Broad flexibility in data collection methods.
  • Labor distribution capabilities.
  • Data analysis features.
  • Cost analysis.
  • Efficiency metrics.

The benefits-administration module provides a system for organizations to administer and track employee participation in benefits programs. This typically includes,

  • insurance
  • compensation
  • profit sharing
  • and retirement.

Submodules and functionalities names may vary based on vendor to vendor. By and large, all human resource systems will have the above set of functionalities.

ERP HR module features

Features of ERP HR module
  • It is a section to control the company process: Human resource management is purely related to the managing process of the company. This system brings out the management principles, concepts, techniques, and utilization of these things during the management of human resources of any business.
  • Applicable for all types of business: No matter the organization is small, medium, or big, the concepts and applications of the system are the same even though the scope and purpose of the organization are different.
  • Apprehensive about persons: This system connects to the people. That means it connects to the human capital and the management of an organization. It manages the people of all levels like common employees, supervisors, managers, and also top management of the organization.
  • Focused on the action: It mainly focuses on action instead of generating reports and all.
  • Objective-oriented: The system absolutely concentrates on achieving the objectives of the organization by providing the necessary tools and methods.
  • Enhances development: The system makes sure of the complete utilization of human skills and capabilities. It also conducts training programs to upgrade the employees.

Benefits of ERP HR module

HR module integrated with ERP gives you more advantages

  • It helps to automate the process.
  • It reduces the time consuming while taking the report.
  • It helps to store the data in a centralized location so, it allows the business to share the information across the organization faster and easily.
  • It allows the team members to coordinate with each other while working by providing the right data.
  • It enhances the business.
  • It allows the management to have a short-term picture of the company’s employee resources ( eg: employee who comes late, who takes more holidays, etc).
  • Helps to speed up the decision-making by avoiding the duplication of information.
  • Helps to reduce the cost of licensing. Without the ERP hr module, you required more computers and licenses to track all the information about employees, leading to an increase in the cost.

Best vendors for HR software

Below is the list of vendors who provides HR software.

  • SAP
  • Workday
  • Oracle
  • ADP
  • Zenefits
  • Namely

What is the importance of HR software?

The importance of HR software is it allows human resource professionals to concentrate on recruitment, company culture, branding, the performance of the employees, etc by reducing their administrative time for payroll and all.

What are the qualities do HR software or HR tool should have?

HR software should have the following qualities
* It should be easy to use
* It should be easy to implement
* It should access multi-channels
* It should provide reports that are ready to use
* It should absolutely integrate with other tools
* It should be customizable as per your requirements
* It should provide an employee self-service portal

Get more information about the ERP HR module and related ERP software information.


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