Difference between HRMS, HRIS and HCM

HRMS, HRIS, and HCM…Confused with these terms? Then you are not alone! Although top HR experts might differ in opinion on definitions of HRMS, HRIS and HCM, in a nutshell, these are all HR related softwares. Although these acronyms are often used together by vendors and analysts, they are not quite the same type of HR and payroll solutions. If you are planning to invest in these systems, it is absolutely essential that you understand each and difference between all.

What is HRMS and HRIS?

HRMS stands for ‘Human Resource Management System’ which is actually an amalgamation of HRIS and HCM. To understand HR management software, let us first try to understand what HRIS and HCM is. HRIS stands for ‘Human Resource Information System’ and its primary role is to manage people, policies and procedures.The primary features of the hsenid business solutions based HRMS include the below:

·         A Recruiting or ATS (Application Tracking System) and it also mazkes Core Human Resources available.

·         Benefit Administration or Open Enrollment (OE).

·         Leave Management System

·         Compensation Management System

·         Training and Development

·         Providing a seamless workflow.

In addition to these critical functions, an HRMS enables self-service for candidates, employees and managers. And finally it also does the work of reporting.

What is HCM?

HCM which is the acronym for Human Capital Management carries out all the functions of the HRIS with the added facility of Talent Management. This facility in HR management software makes the companies grow with lesser operating costs and grater profit margins and hence is something to really look out for. The HCM software usually performs the task of Onboarding, along with Performance and Goal Management.

An HCM is also known to accomplish the job of Position Control or Budgeting. The HR software solutions also does Succession Planning and Salary Planning and handles the working of Global and Analytical sectors. LMS which is Learning Management System is not essentially a component of HCM, but sometimes its use can however be seen.

To sign off

Coming back to HRMS or HR payroll software in India, as stated earlier, it is somewhat the combination of HRIS and HCM; but if its inherent qualities are to be enumerated, it cannot actually be formed without Payroll and Time and Labor Mnagement (TLM) as provided by payroll services for India. All HRMS dealers do not offer Scheduling capabilities.

If your company needs to leverage technology for enhancing your HR systems, then it is worth checking into the competencies offered by Intellika. The user friendly interface of our HRMS software India is coupled with a strong suite of insight generation analytics in the backend. This helps the decision makers to spot trends and patterns in their HR KPIs and take concrete steps to alleviate any diversions.

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