What Is Human Resource Database?
Human resource databases refer to data related to organization, employees etc which is stored in one place.
Data stored in the HR database includes employees details like personal information, training, salary details, reimbursement, worksheet, time chart etc.
Secondly, data related to recruitment, transportation, expenses, clients, customer relationship management, finance, production etc.
Human resource databases include any form of data that is needed for the smooth functioning of human resource management.
Sources Of HR Data
Since the HR database is so vast, there are multiple sources for collecting the data. These data collection sources vary on the type and need of data. Also, categorising and clearing the source of data helps in data analysing.
Here are the three broad and their subcategories in which sources of human resource databases can be divided.
- HR Information System
- Business Data
- Other HR Data
HR Information System
The human resource information system (HRIS) contains basic human resource information related to employees. Although the branches of HRIS will differ from firm to firm in general some branches will be the same.
However, information related to recruitment, employees personal, training, job-related data are the core of HRIS
Here are the different sources for the human resource databases from HR information system:
Recruiting
As one of the biggest source and the vast data which a company gathers in its hiring process. This includes the data gathered from the applicant information system, i:e information of different applicants from different sources, applicants CVs, number of candidates. Consequently, these data can be used for future hiring.
Demographic data
Demographic data in human resource databases include the employee ID, name, date of birth, gender, position, residence, cost centre specifications, department, termination date, and so on.
This type of HR database is essential to know about the employees valid and basic information. Plus, according to the labour laws, it is mandatory to maintain such an HR database.
Performance management
Performance management is one of the HR databases which includes the performance records of employees. It refers to the feedbacks, rating, achievements of employees.
Learning management
Learning management in human resource databases is referred to as training and development. Also, this type of data includes the data of employees required in training & development and their progress from these programs.
Job architecture
As the name suggests architecture, includes the data related to the designing and structure of a job in an organization. Plus, it includes the roles and responsibilities included in every job role.
Compensation & benefits
To keep employees motivated, organizations provide the benefits and for their services, they are compensated. So, human resource databases and organizations need to create data to include each employee’s salary structure and other benefits.
Succession planning
Succession planning is mostly included in big cooperation. Because data in this branch of HR includes future and future leaders.
For example executive leadership, managerial bench, employees who will fill future line.
Exit interview
Exit interviews are those which are conducted when employees are leaving. This interview provides data like feedback, improvements required. Such data is used to improve employee retention, improving organization etc.
Business Data
Business data includes multiple branches depending upon the number of departments and the size of the organization. This data is required for business analytics. Here the different sources for business data which is included in human resource databases.
CRM Data
CRM stands for customer relationship management. Such management includes the score points, point of contact, target customers and so on. Most importantly CRM holds the biggest data. And, it is used for creating and analysing policies suitable to customers.
Sales Data
Another source of measuring organization performance is sales management. Plus it helps in analysing the performance of individual stores or points. Sales data mostly includes the sale of each store, product sales. Thus sales data is used to create policies, developing production plans, supply chain management.
Financial Data
Data from the finance or accounting department is included from this source in the human resource database. This data is used to create an analysis of plans and investment.
Production Data
Production management data has information related to product production, product line, track, and manage data including schedules, number of service calls, delivery rate, speed of delivery, and much more. Helps, in forming plans for production, delivery,
Other Data
Other data are from internal and external sources of business. Like, market data, but also flu rates, weather data, and all other factors that can impact people and productivity.
Other Data
Other data is referred to the sources like surveys or some measurements, events etc. Sources that are different from day to day working of an organization. Here the different sources for human resource databases.
Learning
Learning is referred to the training and development programs which are offered by the organization. So, these programs provide data about different programs, institutes, their fees, skills to focus on other than the employee’s development data.
Travel
Travel in an organization occurs when someone goes to some other place form training, field job etc. So, the organization needs to keep the data of people who went on trips, their expenses, places etc.
Employee Survey Data
The organization conducts different surveys like employee feedbacks, organization feedbacks, suggestion surveys etc. These surveys are conducted to analyse and improve the work environment, maintaining peace among employees etc.
Wellbeing & Wellness Data
Some organizations maintain the records of their employees’ health. Since these organizations conduct the health programs and some organization conduct the programs for their families as well.
Absence Data
Another important data required in human resources databases is the employee’s absence data. Which includes the reasons for the employees leave. As a result, it helps in analysing the reasons and period for leaves.
These are the different sources for human resource databases
Objectives Of Database In Human Resource Management
Human resource databases are becoming an essential part of an organization. Plus maintaining an HR database is necessary by the law. Besides, getting a mandatory organization also has multiple objectives of the database in human resource management. Here are the different objectives of an organization to build and maintain human resource databases:
Decision making
So the very basic reason for an organization to build a database to keep all the data and information store. So, in case of any decision-making management will have all the data ready.
While making decisions organizations moulds already store data in the human resource database into information to make accurate decisions.
As a result, management has ease while making decisions as the hardest part of decision making(collecting data) is already ready.
Cost-effectiveness
Another thing that the organization tries to achieve from the HR database is cost-efficiency. If there will be no database to help an organization in decision making, management has to collect the same data again and again. And this will create a huge cost.
Time Efficiency
Another important objective of a human resource database is time efficiency in an organization. As a database reduces the number of times management have to collect the data. So it improves the efficiency of employees as well.
Note: Database in an organization creates the ease of working for employees which improve the overall efficiency and effectiveness and ease in achieving the goals and objective.
Ease In Data Sharing
Data sharing is a very big part of the corporation these days. Plus with these emerging enterprise network applications, data sharing has become super easy. Data sharing will only be easy when data is already stored with the organization.
These were the basic objectives which any company is trying to achieve with maintaining and building the human resource databases.
Reasons For Human Resource Database
Database in human resource management has become an essential part of each type of company. But the reason for building such databases is very different. Here the few basic and common reasons for every company to build human resource databases:
Business Budget Control
As we discussed earlier in the objectives of the HR database a company wants to achieve cost-efficiency by reducing the number of data collection time. So, it also becomes companies reason to build a strong database. So that company can control the money spent upon the data.
Employee Performance Improvement
One of the most important reasons for any organization to build human resource databases to improve their employee’s performance. As strong and well-distributed database reduces the employees work.
For example: If a manager wants to award their subordinate who has the maximum sales or minimum absence in a month or quarter or a year. A manager does not have to focus on collecting the data. As data is stored in the database with employees performance. Plus the manager can monitor the performance during the period.
Sustaining Business Success
A business always keeps on working for its growth and development. So, an HR database helps in analysing companies position in different sectors. Not only analysing of companies position with HR database software companies can take decisions which are accurate for constant growth and success.
Improving Corporate Image
A strong and big database has become essential for a big corporation. So the companies with human resource database improve the image in the industry for their customers, employees, even for competitions.
For example, Amazon has invested big bucks to develop the AWS (amazon web services) which includes the data across the globe of its employees, sellers, customers etc.
Advantages of HR database to business
After knowing about the sources and types of data. Let’s understand the advantages of a company when they create a database in human resource management. Moreover, these advantages are not restricted to the company they are equally beneficial to employees as well. Here are the advantages of human resource databases
One-stop For Data
Management or employees all have to go to one place for any kind of data. It gest real simple for the entire company can access data. As there will be only one place to go. Similarly, in the case of updating or changing the data, there will be only one place.
Integration of data
As all the database in human resource management is at one place, its get will be well linked. For instance, top management wants to know about the return of investment in new machinery on production and sales. As the data in one server helps the management to analyse the production effectiveness and efficiency from the investment value and customers feedback or sales volume.
Plus, it makes the analysing and creating strategies part of the management super easy.
Automated reminders
It is another important thing which is provided by the human resource database is the reminders. These reminders do not let any delays of work in the organization. Plus, it helps managers to evaluate there subordinates performance.
Moreover, it gives reminders like the best performer of the year of least absence of the employee.
Benefits administration
As we discussed earlier human resource databases are a great help for analysing and creating plans and future strategies. In addition to these, it helps in monitoring the employee’s performance and there growth and development.
Accuracy
Database software collects data from different sources and helps in analysing and creating strategies. The bright side in this process is the accuracy of results from data comparing and analysing.
Softwares In HR Database Examples
There are many HR database examples in real life. But here are the list of a few software for human resource databases.
My SQL
MySQL is an open-source relational database management system. It is one of the most commonly used database software, it stand-alone clients that allow users to interact directly with a MySQL database using SQL, but more often MySQL is used with other programs to implement applications.
PostgreSQL
It is one of the most advance examples of human resource databases. Postgre SQL is a free and open-source data management system. Plus it can store a variety of data type and define the different data types.
Oracle Database
It is a multi-model database management system. Oracle is one of the most portable databases, it can port the data to many different platforms. Likewise, Oracle has the feature of backup and recovery of data make it unique from the competition. Moreover, Oracle brings changes in each version which makes more updated.
Microsoft SQL Server
Microsoft SQL Server is a relational database management system developed by Microsoft. Increases data security, ease of configuration, optimized data storage, cost and every other same benefit from every Microsoft product. There is no doubt Microsoft provides reliability easiness and security to the work.
These were the HR database example that organizations use in their companies. And, there is everything to know about human resource databases in organizations.