The Impact of Human Resource Information Systems (HRIS) On Organizational Performance of Apparel Organizations in Sri Lanka Perceptional Analysis

Abstract

People and information are the most important resources in an organization that can significantly impact the organizational performance and the success of the organization. Human resource management is infused with information technology in this global networking era. Hence, over the past decade, the use of human resource information system (HRIS), consisting systematic processes, functions to procure, store, retrieve, analyze, command and broadcast related information concerning the human resource (HR) of the organization, has increased. Today many organizations are transforming their HRM functions from the manual work processes to computerized work processes. The aim of this study is to investigate the impact of Human Resource Information Systems (HRIS)on perceived organizational performance in apparel organizations in Sri Lanka, since apparel industry deals with more employee coverage than other organizations, as well as a significant employee turnover when compared to other organizations. It also tries to find out the current usage of HRIS within the organizations and what the HRIS modules that organizations have excessively used. The target group that answered the questionnaire consists of managers, HR Staff, IT staff, salary department staff, staff assistants in organizations which implement HRIS in apparel organizations Sri Lanka. One hundred and twenty (120) employees were selected as the sample of the study. Correlation and regression results of the survey revealed that the HRIS module has a direct impact on perceived organizational performance, and the organizations have high usage of HRIS over E-recruitment, and E-payroll, other than E-performance-self-service, and E-training functions. Further, it explains that E-recruitment, E-pay management function, and E performance functions are the most effective 9th International Conference on Management and Economics - ISBN 978-955-1507-72-5 185 functions, which predict the organizational performance of apparel organizations. Since the study was based on all the human resource information systems, results can be more generalized to helping managers, decision makers to enhance organizational performance by implementing HRIS to gain competitive advantage.