Human resource management system
A human resources management system (HRMS), also human resources information system (HRIS) or human capital management (HCM) system, is a form of human resources (HR) software that combines a number of systems and processes to ensure the easy management of human resources, business processes and data. Human resources software is used by businesses to combine a number of necessary HR functions, such as storing employee data, managing payroll, recruitment, benefits administration (total rewards), time and attendance, employee performance management, and tracking competency and training records.
A human resources management system (HRMS) streamlines and centralizes daily HR processes, making them more efficient and accessible. It combines the principles of human resources—particularly core HR activities and processes—with the capabilities of information technology. This type of software developed much like data processing systems, which eventually evolved into the standardized routines and packages of enterprise resource planning (ERP) software. ERP systems originated from software designed to integrate information from multiple applications into a single, unified database. The integration of financial and human resource modules within one database is what distinguishes an HRMS, HRIS, or HCM system from a generic ERP solution.