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The Importance of Using Technology in Human Resource and how it Organizes the Department to be more Efficient and Effective

The Importance of Using Technology in Human Resource and how it Organizes the Department to be more Efficient and Effective

 

By:

 

November 12, 2017

Abstract

            The manual processes undertaken by the City of Detroit HR department caused many problems such as errors in the payroll and hence the need to adopt the Kiosk Machine. A Kiosk Machine is a user interface and system software which offers remote monitoring to enable multiple kiosks to be managed from a single location. Adopting a sophisticated means of a technological system was a critical aspect of resolving some of the issues that decreased the morale amongst the employees and the level efficiency as well as effectiveness within the department. Technology is a vital aspect of addressing security by dissuading users from maliciously attacking the manual systems put by the HR department. The questions investigated in this report are:

1.    What is the relationship of using technology in HR and efficiency of the department?

2.    How important was it for the City of Detroit to adopt the Kiosk Machine (new technology for the payroll system)?

3.    What is the relationship between the adoption of technology in HR and employees acceptance of the new payroll system?

4.     What is the impact of adopting the technology in the HR department on the human resource practices of the City of Detroit?

            To comprehensively address the questions posed, a literature review and detailed definition of human resource management are provided. Moreover, some of the human resource practices are elaborated explicitly in addition to the importance of technology in the human resource department. The literature review also explored challenges facing the City of Detroit. Methodology section contains the information on how data for this research project was collected. The study findings have been presented in addition to the conclusion and recommendations to be considered by the City of Detroit. The findings of this study depict that technology in the human resource department is critical for achieving efficiency and effectiveness. Some of the recommendations to the City’s HR department include automating other elements such as selection and recruitment as well as holding training and development seminars for all employees.

 

Table of Contents

ABSTRACT. 2

CHAPTER ONE: DEFINITION OF THE PROBLEM... 7

Introduction and Rationale. 7

Background of Study. 9

Research Problem.. 10

Statement of Purpose. 13

Research Audience and Rationale. 13

Research Questions. 14

Scope of the Study. 14

CHAPTER TWO: LITERATURE REVIEW... 15

Definition of HRM... 15

Features of Human Resource. 16

Objectives of Human Resource Management 16

Human Resource Practices. 17

Performance appraisal. 17

Career management. 18

Reward system. 19

Training. 20

Importance of Using Technology in Human Resource. 23

Technological Tools Used By Human Resource Professionals. 26

Procurement. 26

Employee development. 27

Compensation. 27

Employee relations, communication and work environment. 27

Decision making. 28

Human resource information system (HRIS) 28

Human Resource Related Problems Facing the City of Detroit 28

The revenue problem. 29

CHAPTER THREE: METHODOLOGY.. 31

Research Approach. 31

Data Collection Approach. 31

Data Collection Procedures. 32

Data Analysis and Synthesis. 33

Methodological Limitations. 33

CHAPTER FOUR: DATA ANALYSIS. 33

Introduction. 33

Research Findings. 34

CHAPTER FIVE: SUMMARY, CONCLUSIONS, RECOMMENDATIONS. 39

Overview.. 39

Summary. 40

Conclusion. 41

Recommendations. 41

REFERENCES. 43

 

Figure 1 Overview of the HR roles. 36

Figure 2 Objectives of HRMIS. 37

 

Table 1 Payroll System Frequency Distribution. 38

Table 2 Compensation. 39

 

The Importance of Using Technology in HR and how it organizes the Department to be more efficient and effective

Chapter One: Definition of the Problem

Introduction and Rationale

            According to Woodford (2001), the City of Detroit was the best commercial center in America during the 18th century, although it later developed into a manufacturing city in the 19th century making it a target for starting business ventures.

            The City of Detroit has a problem in satisfying its employees, due to the human resource management problems that it faces. The problems arise due to the inadequate payment system that hinders the growth of companies and, at the same time, many employees in Detroit dislike it. Therefore, the administration has worked on solving this problem by introducing the Kiosk system that satisfies both the organization's management and the employees, while at the same time provides room for secure communication and controlling any payment errors that were prone in the previous system. Through the implementation of this Kiosk system, the City of Detroit ensured that it caters for the needs of employees who do not have computer knowledge or have minimal access to the computers (Harrison &Sheena, 2007).

            The human resource department at Detroit believes that every employee in the City should uphold the following duties to ensure a rise in the economy. First, an employee has to understand and embrace any new ideas set by the organization. The employee should implement the concept without questioning its origin since it is critical for the wellbeing of the team. Additionally, all employees should adapt to new business approaches adopted by the organization. A good example is the changing of the old payroll to the Kiosk Machine system where Detroit encouraged that all employees understand the importance of the system by educating them on its importance (Woodford, 2001). A Kiosk Machine ensures that there is no misuse of the features that are present. Compared to the manual system, the Kiosk machine makes services in the HR more secure.

Background of Study

            In the 1950s, Detroit was one of the most populated cities with over 1.8 million people and had globally recognized industries, the result of successful industrialization. However, in 2013 Detroit City was declared bankrupt due to various reasons, the major one being that the City’s outflow exceeded its income. Part of this problem came about from generous pension promises made through the years that were not matched by the city allocating enough money (BBC News, 2013). However, the City introduced new investment and payroll systems that ensured that most City employees got the share they deserved for their work. Detroit attracted many investors and mainly focused on improving the lives of young people who would later come to make the City one of the best investment areas. Education is one of the most significant challenges in the City of Detroit (Woodford, 2001).

            Detroit has the vision to strengthen the financial capability of the City by reducing unnecessary costs, thus, introducing human resource systems to motivate employees such as the Kiosk Machine. However, due to the high rate of the computer illiteracy, the City is unable to fully implement the system, since there is resistance from employees who are not familiar with the usage of modern technology in human resource management. Detroit’s bankruptcy is also one of the main reasons why the City has devoted itself to advanced technology to improve the financial status of the people (BBC News, 2013).Recently, Detroit has changed economically and socially due to the negative forces within the government that lead to poor leadership and mismanagement of public funds, and this has resulted in a minimum income generation during the past years. Detroit City had to find a way to curb these problems to ensure the growth of the City, and one of the ways was to minimize corruption by introducing the Kiosk System that would assure employees of their full pay (Woodford, 2001).

            After the introduction of the Kiosk Machine, a system which seeks to automate manual HR practices and make them more secure, the City of Detroit had a vision for the system. The aim was to provide credible data for all employees, assist with the human resource management matters whether tiny or huge and also assist with the payroll of all employees. The Kiosk system was built with an aim to provide high professionalism among the employees of Detroit City and reward individual efforts to the employees who worked extra hard for the success of an organization (Reppert, 2007). The Kiosk system would also provide physical and technical knowledge on how to run organizations, which would help the employees plan their work and ensure they complete their daily assignments for the organization (Reppert, 2007).

Research Problem

The research was carried out to examine the importance of the new Kiosk Machine and how it would solve the human resource and management problems. The poor state of Detroit City was one of the primary reasons leading to the research in an attempt to find solutions and to make the City successful in business ventures as the Kiosk Machine ensures efficient payment of taxes (BBC News, 2013). Reports from various organizations in Detroit City suggest that, as a City, Detroit is not living up to its expectations, and that there is a rising need to improve the communication and payroll system to increase the City’s production. Introduction of a Kiosk Machine and clock system proved to be a critical factor for the future of business in Detroit (BBC News, 2013).

One of the significant problems in the City of Detroit is the cost of human resource and management support. However, through the introduction of the Kiosk Machine, this issue has highly been controlled since the system can connect to the City’s workforce automating the human resource access and the payroll systems (Woodford, 2001). Moreover, the Kiosk system looks into the employees pay rate and pays for any overtime job. Some employees in Detroit are unable to manage their profiles that may be due to computer illiteracy or even lack of extra time to perform such tasks. However, by the use of the Kiosk system, such problems are curbed since the system can manage the employees profile automatically, thus giving the employees ample time to do their jobs without any inconveniences.

Through the Kiosk payroll system, the employees can access various work categories. First, employees can check and manage the progress of their payment, which is an excellent improvement to the old payroll system where a customer had to confirm with their managers on a specific amount. Additionally, some organizations have employee motivation benefits, and through the Kiosk system, an employee can monitor all the business sales, while at the same time viewing their benefits or compensations for the sales (Reppert, 2007). The Kiosk Machine will also record any losses incurred by the employee when working, and this will be reflected in the final payments to the employee. Moreover, this method ensures that the City of Detroit maintains transparency to its employees, which helps a relationship based on trust. Secondly, an employee can update and change their data in the payment system instead of going through the organization’s administration system, which is a time-consuming process. The system can keep employees up-to-date with the payment changes by sending data to the employees’ e-mail. Additionally, Detroit City prefers this method since the administration can directly communicate with its employees through it. Thirdly, the human resource management of Detroit City updates job availabilities and the City information, thereby providing opportunities to the jobless, focusing mainly on the young people (Harrison & Sheena, 2007).

Some of the reasons that influenced Detroit to introduce the Kiosk system are the following. Formerly, the employees in the human resource department had to issue papers to show the work they had done on a working day, but by using the Kiosk Machine, the employees can merely print pay stubs, which is much easier than checking all employees’ papers. Regular transactions from the organizations to the employees did not provide the necessary transparency and, therefore, the need to create a more transparent way of payment and communication came up. According to Woodford (2001), the Kiosk Machine system minimizes any inconveniences since it provides all the details of a payment explaining the deductions or compensations involved. In the payroll system, the employees had many issues with their salaries; these problems consumed time, which could be used to make Detroit a more productive nation. The payroll system used in Detroit did not provide a chance for an employee to communicate with the human resource department or the administration. However, the Kiosk Machine enables employees to exchange e-mails with any members of the organization when the need arises. Moreover, using e-mails, the organization can communicate to all members in one message informing them of any developments in the business to (Woodford, 2001).

The City of Detroit strives to ensure that all the employees get a good-working environment where they can work to their best to improve the economy of the City. Some of the beliefs associated with the human resource department in Detroit City to enhance excellent services using the payroll system are the following. First, Detroit City ensures that their employees have good ethics in their organizations and are confident in what they do (Harrison & Sheena, 2007). The City of Detroit provides that all employees get genuine payments, which are timely and accurate. Moreover, the human resource and management department ensures that the employees respect each other and maintain job ethics such as integrity, courtesy, and honesty among others.

Statement of Purpose

            The City of Detroit came up with three explanations as to why they needed to replace the payroll’s manual system with the Kiosk Machine. One of the reasons was to make sure that they came up with a method that would improve the human resource services by interacting with all the employees in the City (Harrison &Sheena, 2007). The system would not just be used for employee payments but also for transmission of relevant information such as city news and developments.

            Communication is a crucial tool to keep a close relationship between people in a business and, therefore, by doing this, the City of Detroit would ensure that they have loyal and trusted employees. Another reason for the creation of a more developed payment system was to improve the economy of the city by saving costs (Reppert, 2007). The Kiosk payment system would mainly reduce the errors on the payment mechanism of employees. The reduction in errors saves time which increases production in the organizations. Finally, Detroit saw the need to advance the level of technology utilized by the employees in the various companies and corporations and to in turn to improve the efficiency of work in the organizations (Reppert, 2007).

Research Audience and Rationale

The research is intended for organizations in Detroit City that use modern technology in their human resource and management department to work with their employees. The Kiosk system has assisted many employees in improving efficiency in work and minimized the error factor in employees’ payments. Detroit City has taken the right step to reclaim its 1950’s glory after its bankruptcy in 2013 (BBC News, 2013). With technological advancements in place which include the use of Kiosk Machine in payments, it would be easier for Municipalities and City Departments to achieve a high level of efficiency since the most significant part of an organization is the human resource department surcharged with the responsibility of keeping the employees satisfied at all times.

Research Questions

The following are the research questions that this study seeks to answer:

  1. What is the relationship between use of technology in HR and efficiency of the department?
  2. How important was it for the City of Detroit to adopt the Kiosk Machine (new technology for the payroll system)?
  3. What is the relationship between the adoption of technology in HR and employees acceptance of the new payroll system?
  4. What is the impact of adopting the technology in the HR department on the human resource practices of the City of Detroit?

Scope of the Study

            The scope of this study was explicitly limited to the new technology adoption in the HR department by the City of Detroit, specifically the Kiosk Machine. The study explores how the use of technology improved efficiency and effectiveness within the department. Moreover, it explores the relationship between the new technology and its acceptance by the employees of the City of Detroit.

The findings of the study are intended to inform the stakeholders of the City of Detroit and other organizations of the need and importance of deploying technology in the human resource department. The findings report can be utilized by an organization to form policies and guidelines that seek to have human resource practices automated for the benefit of the employees and the business. The scope of the study was, therefore, guided by the research questions formulated pertaining the importance of technology in the HR department.

Chapter Two: Literature Review

Definition of HRM

            Byars and Rue (2006) explained that human resource management is a style of managing employees with strategies that focus on achieving the organizational goals. According to Byars and Rue (2006), employees are merely the human resources of a company classified as the most critical assets of the organization. There are different definitions of human resource management, but the main point in all definitions is that human resource management aims at employee satisfaction in any company.

            Byars and Rue (2006) stated that for an organization to have an active and capable workforce, the agency should use the human resource management to acquire new employees who have the required skills and knowledge needed. Moreover, the human resource management is used to provide essential plans for the organization and analyze the jobs available. The organization has the challenge to provide its employees with the best working conditions that will improve the morale of the workers (Hendry, 2012). Workers who feel trusted by the organization work with little or no supervision since they have the target of the organization in mind (Hendry, 2012). The human resource management has the power to terminate employees’ contracts when they fail to live up to the expectations of the company. Byars and Rue (2006) noted that, in case of any health issues in the organization, the HRM is responsible for providing solutions and also keeping up with the current trends in healthcare.

            The evolution and development of human resource management began in the 1900s when the European economy was preparing for the First World War (Hendry, 2012). Industrial production at this time required skilled, disciplined, and well-organized labor force. During this time, leadership formed; rewards and punishments became introduced to the workforce, and the leaders assigned responsibilities to the people (Hendry, 2012).

Features of Human Resource

            Hendry (2012) stated that for an organization to be successful, the manager has to be very careful and responsible in choosing the staff who will work under his supervision to ensure the company succeeds. Managers have to select the best team for a specific operation in the organization to ensure efficient accomplishment. In the human resource management, the managers are open to seek help and advice from more experienced people to improve the services they (Hendry, 2012). Additionally, the human resource department is open to interacting with all the functional areas in an organization and, therefore, all managers in every office should cooperate to ensure the successful running of the business. Hendry (2012) explained that human resource management is a continuous process and must be conducted from time to time to ensure that the company’s objectives are all achieved.

Objectives of Human Resource Management

First, the primary aim of human resource management is to achieve the organizational goals set by the company (Byars& Rue, 2006). Secondly, HRM aims at the full utilization of employees in an organization. In this case, the organization employs multifunctional employees, engaging part-timers and subcontractors to ensure the achievement of every target. Human resource management ensures that there is full utilization of available resources in the company, applying the concept of team work among employees and strengthening the organizational culture.

Human Resource Practices

Performance appraisal

            According to Armstrong (2012), performance appraisal is a method in which the organization improves the ability of an employee with the aim of increasing production. Armstrong (2012) noted that there are two forms of performance appraisal namely systematic and non-systematic evaluation. In the regular assessment, which is also known as the formal appraisal, the employee is closely supervised by the employer in an aim to evaluate the work done by the individual or group towards attaining the required target.

            Armstrong (2012) noted that through performance appraisal, the human resource management could indicate the weaknesses of their employees and in this case, there is the need for, training and development planning. Some employees require supervision while doing specific tasks through performance appraisal; the problem is minimized, since the employees are rated from the best performers to the average ones and, finally, to the poor performers. Additionally, this rating enables the organization to know the level of supervision that a specific group of employees requires.

            Through performance appraisal, the organization can provide an analysis of how well an employee has performed in their job. Therefore, the organization can calculate and determine the employee’s compensation based on the work done. Armstrong (2012) acknowledged that a reasonable benefit to the employees motivates them to do a job efficiently, and in most cases, with minimal supervision. Performance appraisal enables the human resource managers to train employees and come up with development plans (Armstrong, 2012). Through the performance appraisal, the organization can know the skills, capability, and expertise of employees and, therefore, they are given tasks according to their abilities (Hendry, 2012).

Career management

According to Cascio andAguinis (2005), career management is a plan of an individual’s activities in a certain job whereby the individual acquires skills and is financially stable to enhance their future career growth. Through career management, an individual is able to embrace various life aspects such as self-awareness, career development, and exploration (Cascio and Aguinis, 2005). Successful career management can be attained through normal life habits such as involvement in career development talks, setting new goals in life, and updating career development plans. Some of the benefits of the career management program to the organization includestaffing inventories, whereby the career management ensures that there is a hope for the future of the company by managing young professionals.

Cascio and Aguinis (2005) observed that career management helps the organization in fighting problems such as women discrimination and favoring some recruits by ensuring that there is equality in the organization. Employees who are driven by passion are motivated to reach their career objectives and thus, they benefit the organization by increasing the rate of production. Career management helps in solving organizational and employee problems since recruiting of the new workers is much easier when the job seekers learn that the company offers career opportunities to its employees (Veneeva, 2014). Organizations need to provide their workers with opportunities to realize their career potentials since the career expectation is high in the modern society (CascioandAguinis, 2005). Therefore, career management helps to satisfy these needs and enable the employees to realize their career expectations.

Reward system

According to Delery and Doty (1996), the reward system aims at the motivation of employees based on their value to the company. The reward system has various objectives such as training the current employees by making them feel appreciated for their services to the company. The system also provides financial sustainability to the company and ensures that all employees comply with the demands of the organization (Delery& Doty, 1996). One of the main reasons for the system is to motivate the employees and strengthen the organizational culture in a company. Delery and Doty (1996) explained that there are different types of individual and corporate rewards, namely, intrinsic rewards, esteem and development rewards, extrinsic and security rewards among others. However, some organizations chose to offer only team rewards, namely the team bonus or the group cooperation rewards.

            Organizations should create an environment where all employees feel appreciated for their participation towards the company (Hendry, 2012).Corporations use rewards to show gratitude to their employees, especially after accomplishments of specific tasks. When some organizations reward employees when they have not attained the required target, it affects them negatively since other employees may not take it lightly making them less committed to the tasks assigned with (Hendry, 2012). Rewarding employees reasonably help in the following ways: according to Delery and Doty (1996), the system acquires flexibility such that all employees are accountable for the rewards they get. Secondly, organizational objectives are achievable and more comfortable job evaluation is carried out. The workers are satisfied, and in this way, the morale of an organization remains high, enhancing more cooperation and efficiency (Hendry, 2012).

Training

        According to Patrick and Bruce (2000), training has grown into a fundamental part of Human Resource M. Training is anexercise in the human resource management used to improve the skills of the employees as well as increase their knowledge on various issues concerning the job to increase production in the organization. Training involves practice on the employment, education, and development.

            There are various methods used for training employees. First, there is the technical training that involves teaching the employee on how to use modern technology to improve speed and efficiency while doing a job. In some cases, and especially in the sales department, training can be used to show employees how to use the customer relationship management system or to find new selling methods and customers. Secondly, there is the quality training which involves teaching the employee how to conserve valuable items in an organization and also how and when to use specific elements to enable the aspect of conservation. Thirdly, there is the skills training which teaches the employees various methods that can be used to do a particular job. Byars and Rue (2006) explained that skill training is the necessary things that every employee needs to know.

One of the most critical skills is the team training, where the employees are taught on how to relate and cooperate with other workers to obtain the primary objective of the company. Team training enables employees to know each other, interact, and motivate each other, identifying each other’s strength and weaknesses and, most importantly, improving the organization's productivity (Hendry, 2012).

Recruitment

            Recruitment as a human resource practice helps to give an organization suitable employees with the skills needed for the job. For recruitments to take place, agencies use a process explained as follows (Veneeva, 2014). In the first step, the organization identifies the vacant position in the company. The company evaluates the skills needed for that department and starts looking for an individual with similar attributes or abilities to fill the position. The company should develop the position description in the second step of recruitment, whereby the human resource professionals come up with interview questions. In the development of the job description, the human resource manager should consider certain aspects such as the minimum requirements for the job, the required qualifications, and the primary purpose of the vacant position.

            In the third step, human resource professionals develop the recruitment plan. Veneeva (2014) outlined the elements required in the recruitment plan that included the posting period that gave dates on when interested job seekers should enquire for the job as well as for placement goals. The list also includes additional advertising resources, diversity agencies, and the resume blanks. In the fourth step, the company should select a search committee, which is well conversant with the field, and set up a panel that will decide the suitable candidate for the position. Veneeva (2014) acknowledged that the organization should post the position in the fifth step and review the job seekers who have applied for the job in the sixth step while developing a list of the people to be interviewed in step seven .The selected job seeker should be hired and shown the working department. In the ninth and final stage, the organization can close the recruitment process as the employee is now ready to perform any task given.

            Recruitment as a human resource practice helps to give an organization suitable employees with the skills needed for the job. For recruitments to take place, agencies use a process explained as follows (Veneeva, 2014). In the first step, the organization identifies the vacant position in the company. The company evaluates the skills needed for that department and starts looking for an individual with similar attributes or abilities to fill the position. The company should develop the position description in the second step of recruitment, whereby the human resource professionals come up with interview questions. In the development of the job description, the human resource manager should consider certain aspects such as the minimum requirements for the job, the required qualifications, and the primary purpose of the vacant position.

            In the third step, human resource professionals develop the recruitment plan. Veneeva (2014) outlined the elements required in the recruitment plan that included the posting period that gave dates on when interested job seekers should enquire for the job as well as for placement goals. The list also includes additional advertising resources, diversity agencies, and the resume blanks. In the fourth step, the company should select a search committee, which is well conversant with the field, and set up a panel that will decide the suitable candidate for the position. Veneeva (2014) acknowledged that the organization should post the position in the fifth step and review the job seekers who have applied for the job in the sixth step while developing a list of the people to be interviewed in step seven .The selected job seeker should be hired and shown the working department. In the ninth and final stage, the organization can close the recruitment process as the employee is now ready to perform any task given.

Importance of Using Technology in Human Resource

            According to Tafti et al. (2009), 70% of managers in organizations use the internet to improve employment services and planning the sustainability of the electronic human resource. To achieve results with internet recruiting, Tansley and Watson (2000) stated some of the advantages that come with the usage of technology in human resource. Some of these benefits include lowering the cost of training, sending invitations, and postal charges of new members. Data processing and getting to know about new members is also undemanding, since, by use of technology, the company creates employees’ profiles, which contain all their details. According to the research, the duration needed by an employee in a particular organization and the point in which the new employer begins to work in the company is cut by 12 days, therefore, showing the effectiveness of technology in the recruitment process.

            Through the internet, organizations can acquire better and more qualified personnel for the job. According to Lindstrom (1997) et al., since the introduction of new technology, companies are provided with a significant advantage for working. Technology has brought new ways in which organizations can work in human resource. One of the ways mentioned was by teleworking. Through teleworking, agencies can use computer and telecommunication services to simplify the employees work and make it fast and efficient. The use of teleworks, technology brings work to the employees instead of the employees moving towards the work.  Teleworking has three advantages to the human resource categorized in the following ways. First, telecommunication decreases absenteeism of employees in a big way. Secondly, there is an enormous improvement in the work done in the company since most of it is eased by the use of teleworks and finally, telecommunication brings a special relationship between the owners and the employees. The utilization of teleworks improves the morale of employees and makes them satisfied with the job they do, and therefore they do it to the best of their ability. In addition to employee satisfaction, the teleworks are also helpful to human resource since through their usage, there are flexible working hours, which is the twenty-four-hour concept, and this helps to improve the customer services (Lindstrom, Moberg& Rapp, 1997).

            Lindstrom et al. (1997) named project orienting work with subcontracting as the other way in which organizations can improve their work through the human resource. Based on the economic theory, the main reasons for having the human resource department in a company is to achieve work partitioning which results to cost reduction and flexible management of work among the employees. Technology plays a significant role in uniting people with the same interests, ambitions, and skills together to create a long-term or short-term project depending on their will. Some of the main advantages involving the project orienting work with subcontracting include the introduction of new ideas and an improved workforce (Lindstrom, Moberg, & Rapp, 1997).

             Human resource technology has grown by more than 50% in the last five years due to the increasing demand for organizational efficiencies (Taft et al. 2009). Moreover, the workforce has highly increased in many organizations since the human resource platforms provide systems with data analytics. With the use of technology, human resource managers can now manage their businesses with value-added solutions. Additionally, they can participate in the long-term growth of the company and also discard the employee management process which they had adopted before the invention of technology in organizations (Tansley& Watson, 2000).

            Ashbaugh and Miranda (2002) compared the traditional human resource and the modern human resource that uses technology and noted five different trends. First, the usage of technology in human resource has reduced the costs and time for many activities carried out in the human resource department in an organization. Some of the areas where costs and time have significantly decreased in a company include the training of employees, supervision of employees and career management (Ashbaugh& Miranda, 2002).Secondly, technology has given the employees administrative powers in the human resource department such that they know what should be done without any supervision. Through this trend, the employees can focus on the more important tasks for the company and therefore make them more strategic. The use of paperwork has reduced due to the utilization of technology.

            The third trend involves familiarizing the employees with more information about an organization, which helps them improve their speed and efficiency while performing certain tasks. In the traditional human resource, salaries and benefit options were the primary domains of the human resource department, but through technology, the internet has made this information available to the employees.In the fourth trend, technology has helped the human resource department to integrate with other sectors in the organization such as the information system (Ashbaugh and Miranda (2002). The human resource department operated as a standalone unit in the company and only interacted with other sectors when there was a problem, but through technology, the other areas now cooperate with other departments in the organization to ensure the success of the company as a whole.

 The most precious assets in a company are its people, and therefore technology helps to coordinate them through information sharing and also to recruit others in times of need by the use of emails and the internet. Finally, in the fifth trend, technology had improved the speed in which a company recruits new employees and maintains the talented employees in the human resource department (Ashbaugh and Miranda 2002).

            The use of technology has many benefits to human resource. Some of these benefits include: increase in efficiency, whereby the human resource professionals concentrates less on administrative functions and concentrate more on the way the information from their customers should be interpreted (Tafti et al. 2009). Therefore, the human resource managers and employees can respond to questions asked by their clients about certain products or the services they offer. Through technology, the human resource department can collaborate and communicate to the organization's customers and other workers or partners through the use of e-mails, video conferencing teleworking, and electronic workgroups. This technology enables the smooth running of the business even if some partners or the owner is not physically available to discuss matters concerning the organization.

            Information technology improves the skills of employees in decision making and also retrieving information from the internet. Competent management is also one of the benefits provided by the use of technology in human resource. The human resource managers can gain knowledge, synthesize, learn and most necessarily be good decision makers. Human resource managers use information technology tools such as the virtual collaborations, data storage, intranet, and data obtaining to gather knowledge as well as empower various sections within the organization (Tafti et al. 2009).

Technological Tools Used By Human Resource Professionals

Procurement

Procurement is the most significant characteristic of human resource management that includes recruitment, selection, and placement of employees. Through procurement, the human resource department can get information about job seekers, and in the process, they can hire employees with the best qualities(Shrivatsava& Shaw, 2003).The technology tools used in procurement include social media sites such Facebook and LinkedIn, human resource planning and forecasting, induction packages and e-recruitment web portals. The human resource managers or the organization post their vacant positions in these sites, and the job seekers with the required qualifications apply online.

Employee development

Organizations have the objective to improve their employee’s skills to increase their work efficiency. Additionally, the most significant advantage is that technological advancements are aiding the organizations to achieve the set goal. Technological tools used in this department include e-learning, the online appraisal system and the training need analysis (Shrivatsava& Shaw, 2003). Using these tools, the employees are given a boost in development of their abilities using e-learning and feedback concerning their level of career growth.

Compensation

According to Shrivatsava and Shaw (2003), the compensation function enables the employer to motivate the employee to work. Technological tools used in this method include the compensation settlements, benefits administration, flex-reward packages and facilities (Shrivatsava& Shaw, 2003). In many cases, the employee discusses with the employer on the compensation plans whereby the organization calculates and determines a cost that satisfies both parties (Shrivatsava& Shaw, 2003).

Employee relations, communication and work environment

The organization should ensure that they provide the best working conditions for their employees. Having a good relationship with the employees makes them feel appreciated for their efforts. Shrivatsava and Shaw (2003) observed that the company should have suitable data collection and sharing tools for them to maintain effective communication. Some of the technological tools used in this function include the knowledge management intranet, team development and organizational development and communication data sharing. The development exercises help in building a better employer-employee relationship.

Decision-making

Technology has played an essential role in this department since some prominent organizations have massive loads of data which makes it difficult for some human resource managers to make right decisions. Therefore, through the use of technological tools such as the decision support system, groupware, online analytical process and the data warehouse the organization can take the necessary measures for specific situations (Shrivatsava& Shaw, 2003). Human resource managers make summaries of the data provided and through technology, they can obtain the required results.

Human resource information system (HRIS)

Human Resource Related Problems Facing the City of Detroit

            Following the successful completion of the research project based on the findings, three recommendations are drawn.  First, the City of Detroit should seek to have all the other human resource management practices such as recruitment and employee appraisal automated. Having the entire function of the HR automated can double the productivity time and at the same time record tremendous improvement of the efficiency and effectiveness. The City should seek to adopt the most recent applications applicable in the HR department for the benefit of the employees and other stakeholders. Secondly, employees should be trained in the need to have the HR department automated. It should be made clear to them that adopting technology in the HR function is beneficial as this would help in minimizing the resistance to change. Finally, other organizations should consider the findings of this research project to be significant and invest in equipping their HR departments with appropriate technologies.

The revenue problem

            The worst problem facing Detroit is that the City has become financially unstable and is running out of income. The amount of money collected from various business ventures in Detroit and government services such as tax payment provide revenue that can only be used to run the City without any significant developments. Over the past years, Detroit leaders have tried to curb the problem by borrowing from other nations and cutting some services used by the people, but the situation never changes, or if there is a change, it is minimal. Detroit has tried to improve this situation by introducing technology that is related to the business such as the payment of employees through the kiosk system, but this advancement is dragged down due to the lack of income in the City. Some of the causes that led to this problem include; first, the administration overestimated the revenue it generates from business entrepreneurs and the various businesses it is involved.

            The human resource department in many organizations in the City of Detroit record very minimal production that is not enough to stabilize the economy of the City. According to a study done in Detroit City, there was an observation that the City spends more than it earns. Due to the poor economic status of the City, any amount collected from the City’s revenue is utilized to improve other areas of the City. Therefore, there is no balance between the input and output of the City’s tax which makes it difficult for the City to implement the usage of the kiosk machine in the human resource department since the income for employee payment is not readily available. Thirdly, the money borrowed from other nations or neighboring cities is used to pay off other debts that means the City has a huge challenge to balance the revenue they get from abroad. The significant reduction of people in the past century is one of the leading problems that has faced the economy Detroit. Based on human resource and management, the decline of the population merely shows that businesses fail to thrive due to lack of labor.  However, many people working as a team with the purpose of regaining the glory of the City achieve their objectives easily and faster than a low population as witnessed in Detroit today. The low population results in decline in the City services increased depression among employees due to overworking and the City is unable to reach its target. The employees also have problems receiving payments from their superiors due to the state of the economy. In this situation, the Kiosk Machine payment system is also dormant since there are few workers to be paid. The human resource department ends up employing people with poor skills due to the lack of the required workforce in other sectors.

            The education problem is also affecting the City of Detroit since many people are unable to get a post-secondary education that is important in preparing people with the required skills to use in business ventures. Moreover, due to illiteracy people are unable to engage in small business ventures such as self-employment that could improve the economy of the City of Detroit. The usage of the kiosk payment system is also complicated since very few people have computer knowledge. However, the City of Detroit has tried to curb this problem recently by providing scholarships to join post-secondary institutions to try creating more job opportunities for its citizens. The human resource management department chooses the best workers suitable to improve the economy of the City, and through the free education offered in the City, more young entrepreneurs are discovered, which a positive development for the City of Detroit is.

Chapter Three: Methodology

Research Approach

            The approach that this researcher selected to collect the data for analysis was the secondary analysis which means that the researcher conducted a relevant literature review to answer the formulated research questions. Specifically, the obtained literature aimed at addressing the various human resource problems facing the City of Detroit and the implementation of the Kiosk Machine. Majorly, the approach was to assess the importance of technology in improving the usefulness and efficacy of the human resource department at the City of Detroit. For a smooth understanding of the issues that the research addressed, the information was organized into some sub-sections similar to the research questions formulated pertaining the problems that the City of Detroit faces.

            Provision of an extensive and detailed definition of human resource management, the impact of technology on human management as well as some of the essential HR practices helped in creating a background to explain the relationship between the new technology and the efficiency and effectiveness of the department. The research also showed the connection of the Kiosk Machine with the acceptance by the employees as well as the impact of technology on the HR practices at the City of Detroit.The literature review utilized a qualitative and quantitative approach in addressing and analyzing the primary aim of the study that was examining the importance of using technology in HR and how it organizes the department to be more efficient and effective.

Data Collection Approach

            The analysis done by this project was to find out the importance of having technology in the human resource department in the City of Detroit, in particular, the Kiosk Machine. Data for this study was collected using a secondary approach where previous data and information was utilized in answering the central research questions. Secondary data collection involves utilizing relevant data from journal articles, government reports, internet as well as past reports that provide insight into the importance of adopting technology in an HR department. The secondary data collected was explicit to answer the research questions:

•    What is the relationship of using technology in HR and efficiency of the department?

•    How important was it for the City of Detroit to adopt the Kiosk Machine (new technology for the payroll system)?

•    What is the relationship between the adoption of technology in HR and employees acceptance of the new payroll system?

•    What is the impact of adopting the technology in the HR department on the human resource practices of the City of Detroit?

•    In general, what is the importance of using technology in HR?

            To ensure that appropriate information was collected, a thorough examination of previous works relating to the adoption of technology in the City of Detroit was done because of the problems faced. This resulted in some articles and reports that the researcher relied on presenting the findings of the study pertaining the above research questions. Additionally, to ensure that adequate and accurate information was obtained for analysis, data from government websites and reputable media companies were utilized.A combination of these sources and references enabled the research to understand the issue at hand and provide the most up-to-date analysis that reflects the importance of having technology in the human resource department.

Data Collection Procedures

When beginning to do this research work, an application for review was submitted to the appropriate department. The department approved and this provided an opportunity to commence the study. The study is a non-human subject research, and hence the department required no forms such as consent forms or ethical forms before commencement or approval of the capstone project topic. The outcome of this study will be used entirely to serve the academic purpose of the research as guided by the program study. Having that this is a non-human subject research, the critical ethical consideration was citing the information used by various authors and researchers. In other words, acknowledging any information from the secondary sources was a priority that the researcher sought to achieve. Moreover, all the sources such as books and publications used in this research project have been listed under the list of references. It was essential to ensure zero plagiarism that is an act of infringing on the copyrights of other researchers or authors. There was plenty of information and data concerning the City of Detroit a well as the importance of the HR department adopting the technology. Thus, there was the need to conduct surveys either through interviews or questionnaires’ having that time was limited and secondary approach offered another option to do the research project.

Data Analysis and Synthesis

            Content analysis formed a crucial tool in data analysis. The data analysis employed a systematic description approach of content analysis by first outlying the problem of the lack of technology in HR department to developing the need for Technology in the same setting. The study then formed a directed approach which involves starting from a theoretical background to the developing of research questions which limited the study to a more specific direction since the scope was extensive. The research questions were based on the significance of the introduction of technology in an HR setting and by taking a case study of the Kiosk Machine in the City of Detroit a better picture is created to the directed audience. Synthesis of data was also done to ensure that the most useful articles and reports were used in presenting the study findings. Finally, the analysis is concluded with a summative approach outlining the specific importance of technology in HR and the positive implications of the Kiosk machine to the residence of Detroit.

Methodological Limitations

The research was limited by the lack of adequate information which can be stated to be directly connected to the problem that the City of Detroit faces in particular the one regarding payroll. Having that the researcher did not conduct the study using a primary method, much of what has been presented can be referred to as speculative. Nevertheless, the study has provided interesting views on the City of Detroit and the importance of using technology in the HR department.

Chapter Four: Data Analysis

Introduction

            The research was limited by the lack of adequate information which can be stated to be directly connected to the problem that the City of Detroit faces, in particular, the one regarding payroll. Having that the researcher did not conduct the study using a primary method, much of what has been presented can be referred to as speculative. Nevertheless, the study has provided exciting views on the City of Detroit and the importance of using technology in the HR department. In this chapter, the findings from the data collected have presented using tables and charts. The study examined how technology was a critical tool to the human resource department of the City of Detroit owing to the current problems that it faces. The research questions under investigation were:

  • What is the relationship of using technology in HR and efficiency of the department?
  • How important was it for the City of Detroit to adopt the Kiosk Machine (new technology for the payroll system)?
  • What is the relationship between the adoption of technology in HR and employees acceptance of the new payroll system?
  • What is the impact of adopting the technology in the HR department on the human resource practices of the City of Detroit?
  • In general, what is the importance of using technology in HR?

Research Findings

As previously stated in the methodology part, this research employed content analysis in each of the study questions. The research findings have been presented below in the most accurate possible manner.

Question #1. What is the relationship of using technology in HR and efficiency of the department?

            There exists a positive relationship between the use of technology in HR and efficiency of the department. In the last decade, the function of the human resource can be said to have come a long way to replace what was considered to be its primary role which was fire and hire employees, keep the union issues at bay as well as administering the benefits and payment plans for all the employees. Today, HR as a critical function of the organization has significantly evolved mainly because of the challenges that it continues to face such as the need for restructuring and competitiveness of workforce which is more mobile and global expansion. In the case of Detroit City, the organization is faced with numerous problems with lack of enough funds being amongst them due to the small collection of taxes. Moreover, the City is faced with complaints from employees who often report their payroll did not reflect what they ought to be earning. The introduction of the Kiosk Machine was an idea that could not have been implemented later. This technology would go on to solve many of the challenges that the HR department regularly faced the critical one being employee dissatisfaction. The Kiosk Machine deployed helped in improving the efficiency and effectiveness of not only the HR department but the entire organization. Through this technology, effectiveness was achieved by the reduction of time and effort spent in some of the routine tasks. Efficiency was improved through accuracy in the collection of revenue and allocation to the various services within the City.

            According to a study by Long (2009), organizations which incorporate information technology applications within the human resource practices achieve reduction in the routine work and better autonomy and information communication which eventually leads to effectiveness and efficiency. Long (2009) observed through a diagram presented below of the changing role of the HR.

 

Figure 1 Overview of the HR roles

Source: Long, 2009

Question #2 How important was it for the City of Detroit to adopt the Kiosk Machine (new technology for the payroll system)?

            Adopting the Kiosk Machine for the City of Detroit would not have come at the best time considering the problems that the City was facing. The adoption of this technology was informed by the regular issues that faced the employees of the City. For instance, these Kiosks enable fast collection of taxes which means that the City can perform its services with interruption because of lack of funds. Moreover, for the employees, they would get their payrolls within the timelines stipulated and in cases of any errors they would notify the HR using the system and have the issue resolved as soon as possible. The introduction of the Kiosks would pave the way for the adoption of other technological applications to help in the streamlining the delivery of services in the City. According to Dunn (2017), today’s Detroit City is different having that technology has been adopted in almost all the aspects. Today, both Detroiters and employees of the City Department are more confident and have the morale to participate in the growth of the City. The installation of the Kiosk machines ensured an improvement in the employee user experience. The HR department can have a fast and straightforward way to engage all employees fairly a move that boosts their productivity. According to Karikari et al.  (2015), the primary objectives of incorporating information systems in human resource management is as shown in the figure below.

 

Figure 2 Objectives of HRMIS

Source: Karikari, Boateng, andOcansey, 2015.

Question #3. What is the relationship between the adoption of technology in HR and employees acceptance of the new payroll system?

            There is a positive relationship between adopting technology in the HR department that is the Kiosk system and the acceptance by the employees. According to Steven (2004), there are numerous advantages of having a payroll system. First, it helps in reducing the manual work that the human resource department would typically be involved in when producing the payroll. Additionally, the adoption of the Kiosk system reduced both downtime and processing times and further, it is a technology which is easy to use which means that it improves the efficiency of the employees. Importantly, adoption of the new technology helps in reducing many of the errors associated with manual payroll system. Briefly, employees are more satisfied with the Kiosk system and hence the positive relationship. According to the results of a study done by Abdulah et al. (2013), as shown in the table below computerized payroll systems are easily accepted within organizations because of their benefits.

Table 1 Payroll System Frequency Distribution

Source: Abdulah, Wahab, Shamsuddin, and Abdul Hamid, 2013.

Question #4. What is the impact of adopting the technology in the HR department on the human resource practices of the City of Detroit?

Adopting technology in the HR department has a significant impact on the human resource practices in the City of Detroit. Technology impacts the human resource practices such as procurement, employee development, compensation, employee relations as well as decision making. For instance, according to Jain (2014), a good compensation system motivates staff as the HR department is assisted in the effective management of the compensation packages as shown in the table below.

Table 2 Compensation

Source: Jain, 2014

Question #5.  In general, what is the importance of using technology in HR?

Generally, due to the changes witnessed in the world of business, the HR function has become a critical aspect that contributes to the success of the organization. Thus, adoption of new techniques, which can enhance the roles of HR, is vital which means that technology is an integral part of the human resource department because it enables achievement of effectiveness and efficiency.

Chapter Five: Summary, Conclusions, Recommendations

Overview

            Over the last decade, the human resource function in all organizations across the world has experienced immense changes. Today, organizations treat the human resource function as one of the critical components that contribute to the success of the company. Thus, it is not a surprise that with the growth of technology in many sectors of the industry, the human resource has found itself in a position which is hard not to use technology. Technology in the human resource department enables activities to be carried efficiently and efficiently a critical component for all stakeholders. The City of Detroit faced with many problems some related to human resource developing the need to adopt a technology that would solve some of these issues and help in increasing employee job satisfaction and motivation. The administration of the City decided to adopt a Kiosk machine which would among other roles process the payrolls of employees and at the same time enable efficient collection of taxes and payment of bills by the City residents. Before the adoption of the Kiosk machine, the manual payrolls processed contained many errors which made employees occasionally complain because they would often be charged for expenses which were not related to them. Under this background, this research project sought to examine the importance of technology in human resource management and how it helps in organizing the department to be more efficient and effective.

Summary

            In Summary, this research project has been organized into five distinct chapters. The first chapter is the problem definition that presents the introduction and rationale of the study, the background to the research, the research problem, the statement of purpose, the research audience and rationale, research questions and the scope of the study. The first chapter lays the foundation for this research project. The second chapter is the literature review that provides an analysis of related data and information on the importance of technology for the human resource management. This chapter has been subdivided into numerous sub-sections including a detailed definition of human resource management and some of its practices, the importance of technology in the HR department as well as the challenges that face the City of Detroit. The third chapter of the study provides for the research methodology. In this chapter, the researchers approach the data collection approach and techniques have been discussed as well as how the collected data was analyzed and the methodological limitations. The fourth chapter contains the analysis of data and results obtained. Finally, the fifth chapter is on conclusion and recommendations for the City of Detroit.

Conclusion

            In conclusion, there exists a positive relationship between the use of technology in HR and efficiency of the department since there exists a reduction of time and effort spent in some of the various services within the City. There also lies a positive relationship between adoption of technology in the HR department that is the Kiosk system and the acceptance by the employees since the Kiosk helps in reducing the manual work that the human resource department would typically be involved in when producing the payroll. Additionally, the Kiosk system reduces both downtime and processing times being a technology which is easy to use which in effect replicates to an improvement in the efficiency of the employees. Adoption of the new technology helps in reducing many of the errors associated with manual payroll system. Technology also impacts the human resource practices such as procurement, employee development, compensation, employee relations as well as decision making. Nevertheless, the Kiosks enable fast collection of taxes which means that the City can perform its services with interruption because of lack of funds. Moreover, for the employees, they would get their payrolls within the timelines stipulated and in cases of any errors they would notify the HR using the system and have the issue resolved as soon as possible.

            Finally, today while the City of Detroit still has some problems, they cannot be compared to the time when they lacked the Kiosks. Therefore, it is evident that the adoption of technology in the HRM department can positively influence the morale and motivation of the employees as well as streamlining the normal operations and functions of the department.

 

Recommendations

            Following the successful completion of the research project based on the findings, several recommendations can be drawn.  First, the City of Detroit should seek to have all the other human resource management practices such as recruitment and employee appraisal automated. Having the entire function of the HR automated can double the productivity time and at the same time record tremendous improvement of the efficiency and effectiveness. The City should seek to adopt the most recent applications applicable in the HR department for the benefit of the employees and other stakeholders. Secondly, employees should be trained in the need to have the HR department automated. It should be made clear to them that adopting technology in the HR function is beneficial as this would help in minimizing the resistance to change. Thirdly, other organizations should consider the findings of this research project to be significant and invest in equipping their HR departments with appropriate technologies. Also, a thorough research should be conducted on the importance of introducing technology in specific organizations using the results from this findings as a stepping stone since it has been noticed that several positive implications are realized to the negative outcomes that may present itself. Finally, a proper research should be conducted to understand why some people still resist the introduction of technology such as the Kiosk machine and the result from the study be used to create a strategic awareness and education plan to make the individuals understand the implication of the introduction of the technology. The results of the study can also be used to create better alternatives for those who disagree with the utilization of technology in their companies, and suitable alternatives can be implemented to suit their needs.

References

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Armstrong, M. (2012). Armstrong´s Handbook of Human Resource Management Practice. London: Kogan Page.

Ashbaugh, S. & Miranda, R. (2002). “Technology for Human Resource Management: Seven questions and answers”, Public Personnel Management, Sage Publication, 31(1).

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Harrison, Sheena (2007). DEGA enlists help to spur Detroit retail. Crain's Detroit Business. "New downtown residents are largely young professionals according to Social Compact."

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Karikari, A. F., Boateng, P. A., &Ocansey, E. O. (2015). The Role of Human Resource Information System in the Process of Manpower Activities. American Journal of Industrial and Business Management, 5(06), 424.

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Patrick J. Montana & Bruce H. Charnov (2000). "Training and Development". Management. Barron's Educational Series. 225

Reppert, Joe (2007). Detroit Neighborhood Market Drill Down.  Wayback Machine. Social Compact. 

Shrivatsava, S. & Shaw, J. B. (2003). “Liberating HR through technology”, Human Resource Management, John Wiley & Sons Ltd., 42 (3).

Tafti, A., Mithas, S & Krishnan, M.S. (2009). Complementarities Between Information Technology and Human Resource Practices in Knowledge work, WISE 2009.

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