HRMIS Data Analysis and Recommendations
Running Head: COURSE PROJECT 2
Table of Contents
Introduction and Task...........................................................................................................................3
Analysis and Recommendation............................................................................................................4
Zenefits................................................................................................................................................4
Paycor..................................................................................................................................................8
ROI Analysis......................................................................................................................................10
Conclusion..........................................................................................................................................11
References..........................................................................................................................................12
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Introduction
Introduction and Task
The organization is currently utilizing ADP payroll service which is also paper based model in all
of their HR administrative processes. I was tasked as a consultant by the VP of Human
Resources to find two to three an HRIS and Payroll integrated systems and make my
recommendations as to what the findings were. Based on my recommendations the VP of HR
would be able to hopefully decide on one of those options for the company to utilize and select
HRIS system that best fits the organizational needs. “There will be certain features we need the
systems to have and some of those are: Automation of HR Administrative processes, Benefits
Processing module, a Compensation Administration, time and attendance module, a Performance
Management processing module, Applicant Tracking module, Training and Development
Administration module, Payroll Processing with an HR integration interface, along with a
custom and standard reporting system.” (Kavanagh, M. J., & Johnson R. D. 2018) The new
HRIS system must meet the payroll needs along with HR administrative processes. When
selecting HRIS system for the organization, we must first investigate the current number of
employees this tool would support, track, and etc. As of now there are total of 817 employees,
which are broken down to: 30 Executive and Senior Managers. There are 265 Professional and
Technical Personnel, 152 Professional and Administrative Personnel. We also have 20 Scientist.
Lastly, there are 275 Manufacturing Personnel and 75 Non-manufacturing personnel of whom
are all non-exempt.
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Analysis and Recommendations
The solutions I have selected for this project and recommend to the VP of HR are the following:
Paycore and Zenefits. I have listed details of my findings, recommendations, and next steps
below. Utilizing these two systems my finding were that both of them are very competitive in the
market, cost friendly, and provide all of the needed HR functions for this size of the organization.
Zenefits
Zenefits is an HRIS system which is very friendly for the mid-sized company. It offers integrated
solutions and it can easily fit to the current process being utilized within the organization. The
other features being offered by Zenefits are performance management; payroll, benefits, HR,
time keeping, mobile, compliance, and application connect.
Payroll
I have utilized Zenefits' payroll function in my past job and found it very effective and easy to
use. I was able to manage payroll error free and pay stubs self-populated as changes are made.
Besides pay stubs self-populating and along multiple other functions, this tool also offers
employees to change their tax withholdings and other payroll info on their own. This will save
HR employees great amount of time and it will help employees to have access to their past
checks, W2s, and etc at their fingertips. “Zenefits is efficient and easy to use payroll wise which
will increase efficiency in all other fields of HR, along with employees self-services as well.”
(Shi, J., 2016).
Recruiting and Onboarding
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Zenefits would automatically add value by having the integrated system for all applications,
requisitions, and overall applicant tracking system within. We would be able to run reports on
current requisitions, hires, and onboard all new employees via Zenefits system. Onboarding
system is automatically integrated and as information is filled out by the new employee, it
automatically populates fields for payroll, benefits, and etc. This is one system taking care of
multiple functions which will automatically bring in time saving and efficiency within the
current HR functions. This system will also allow us to store all past hires, contacts of all
applicants, which automatically brings us a huge benefit as an organization to possibly utilize
this tool for sourcing purposes as well of the future needs and pipelining.
Benefits
“Zenefits allows employees to select and enter their data virtually vs manually having one HR
personal doing it all physically.” (Shi, J., 2016). This system also provides all employees with
summary of what they signed up for and it allows them to make any needed changes to their
files, benefits, tax withholding directly from the comfort of their home. This provides employees
more freedom to change, add, drop, and etc their benefits at any point they would be eligible for.
By using the benefits function employees can use their pre-tax dollars towards these benefits,
which can save the organization in the long run on payroll taxes as well.
Compliance
Compliance is one my personal favorite of Zenefits. Being compliant is the law in many ways
and it will assure all candidates and employees are not only treated fairly, but up to date on
everything. Zenefits offers ACA tool. There is a setting option that is predetermined within this
tool which makes it easy for employers not to have to memorize everything. It is very easy to
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keep track of employees’ benefits, coverage, and eligibility of all kinds with employee
dashboard. With Zenefits, not only HR has access to it, but there are certain areas even managers
can be accountable to assure their direct reports are up to date on certain training needs and etc.
Employees can also have access to their IRS W2s and have the ability to print these at their own
time as well. This will save company a lot of printing, shipping, and overall time to prep all tax
documents to be sent to every employee each year in time. When automated by the system, this
will all automatically prefill and be able to be utilized more effectively.
Time and Performance Management
With Zenefits you will have the ability to enter your time off which will automatically populate
other areas, such as payroll time card and alert your manager of the pending request that was
submitted. Employees and managers would have the ability to see their time off and plan
schedules accordingly as well. As far as time and attendance goes Zenefits allows punch in and
out of each nonexempt employee to be tracked via the system that automatically logs in to time
card and updates the payroll system for manager’s approval. Exempt employees can have same
weekly schedules, so the only time it would be modified by the system automatically would be if
they have taken PTO, sick time, or etc. Employees would self-manage this step via time keeping
portal for employees. Nonexempt employees’ tardiness would be measured by the schedules
department managers’ enter in the system and this would allow them to track any tardiness and in
the system as each employee logs in via PC. If nonexempt employee is working overtime, tool
would automatically count for each minute worked over scheduled time and pay per government
baseline for overtime, normally 1.5 regular rate of pay per hour in many excess of over 40 within
a week. “Just by being able to track time, it ties to performance management itself.” (TSR
Performance Metrics, 2020) If employee is tardy, this information would be available at the
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manager’s fingertips and it can be addressed immediately vs waiting until annual check in. As
employees leave, this can be measure for the turnover rate and allow managers to plan
accordingly. I strongly believe that if employees have direct access to their time portal, it will
allow them to be more self-aware of their time management and assuring unapproved absences
or tardiness doesn’t happen often.
Mobile, App Connect, Training
When implementing any new tool within the organization, it is important to have simple,
accessible, and easy to use process. Every organization is growing in technology field, so by
having mobile application to control all functions mentioned above and mobile friendly process,
it makes it ten times easier for employees and managers to be more involved. With Zenefits, we
are able to sign us for benefits via secure phone application, IPad, and any computer. It is easy
and self-directing. Training new or even existing employees can be done via onboarding portal
when they start. Existing employees can also be sent step by step video that will walk them on
how to connect. Zenefits also offers 24/7 tech service customer center call and provides all of the
live assistance our employees could ask for. HRIS system would add value by implementing
training to be virtually as appropriate, which will lower cost of the overall training as well. Just
knowing that adding this tool will in fact allow as an organization to training our employees with
few clicks of a button and track their compliance with all training needs, makes us ten times
more advanced then where we are now with manual work as an organization.
Paycor
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“Paycor is a great HRIS tool, especially when it comes to virtual the Training and Development
Administration Module, which also corresponds as the Learning Management System for
Paycor. Paycor organizes learning content in one location, provides unlimited access to
eLearning.” (Paycor, 2020). With Paycor it is easy to track performance, progress; it reduces
costs when it comes to learning and development due to ability to track all learning more
effectively.
Payroll
Paycor has the ability to store employee information, calculate payout totals, and it saves the
organization by boosting the time efficiency. Employees’ data such as deposits, storage of past
checks, W2s, ability to help employee of automatically prefill taxes when filled, and employees
have the ability to change any of their data as needed at the touch of their fingertips. The way
process is completed now is all manual and this makes it much harder process for them to submit
paper copy manually with HR personnel, which can easily get lost as well.
Human Resources and Benefits
Human resources functions can all be integrated with this tool processes wise. The HR resources,
templates, guides, and much more can also be stored and accessed as needed by employees at
any time. All changes made by employees, HR will receive it instantly which will already be
prefilled virtually. The 360 reviews are included in this system, which can be sent out by
managers and, this information can also be reviewed by managers easily. It provides employees
with great feedback access via this tool and possible opportunity areas as well.
Additionally, employees do have a function to communicate with one another via this HRIS
system such as; send badges of performance to one another as a compliment, and much more.
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Streamlining, compliance, tax compliance, and overall metrics reporting all come as a great
benefit of this tool. Just thinking how much metrics mean in today’s HR world, you cannot go
wrong with Paycor.
Compliance
I have touched on compliance previously, but Paycor offers great share and sign options. These
options automatically allow HR to send to the entire organization compliance paperwork which
can be filled out via their virtual profiles. At times there is a date and deadline placed in
employees’ personal Paycor profile box and it sends them automatic reminders when to fill out
which part. For example, if company needs employee to sign a specific ethic and diversity
training form, they place a deadline on that form and send it with Paycor system to all
employees. If all employees do not need to see specific forms, then it can also be sent to
individuals as needed. For any reason if form sits in employees profile mailbox and they do not
respond by the deadline, the email gets sent to their manager and workforce relations. This can
place current employee in job jeopardy status until form is signed as requested. This is much
more helpful then manually having to develop trackers which we all can easily cause errors to
happen and make the organization non-compliant.
Applicant Tracking Module
“In order to track candidates, statuses, metrics of all candidates in the process Paycor is a great
tool as well.” (Paycor, 2020). Paycor is offering automated offer letters and providing great
virtual onboarding, this are just some of the benefits it contains in the applicant tracking module.
We would be able to initiate onboarding directly form candidate’s application portals, which
would send that specific candidate first day info and all paperwork to fill out prior their start
Running Head: COURSE PROJECT 10
date. “This would add tremendous efficiency to the overall recruiting process which would save
a lot of time employees have to take time today to complete this work manually. This would also
boost the speed potentially of the way the organization hires candidates with this system vs
manually.” (Craig, R., 2017) This tool integrates well with most of the systems, so even
advancing it in the future or potentially integrating it with other systems, it still offers great
future potential.
Return on Investment
This portion of the Return on Investment (ROI) along with the above stated benefits of each
HRIS system will help us justify the purchase to the VP of Human Resources, who will then be
able to share this data with the CEO as well. Based on my ROI calculations there are shown
100% return on the investment and I find both of these HRIS systems to bring not only instant
cost savings and time savings, but it will bring a great speed and efficiency on the way HR
processes are done internally now.
I am basing calculation of Zenefits along Paycor's matched pricing. This includes onboarding
and managing HR around $6, per each employee, and $40 base fee per month. The program costs
will add up to $5000.
I will calculate BCR by $9.50 (hr.) x 40 (employees) x 1(hr.) with my calculations BCR equals to
0.76 for one week (Roberts, 1999).
I will calculate ROI for a week's ROI is:
ROI = 380x1 – 5000 x 100 = -4620 x 100 = -92.4% 5000
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Next, I will calculate full twenty six weeks in order to determine the success of the program.
After calculating 26 weeks we can see that the ROI is close to 100% (Roberts, 1999).
The calculation is as follows:
ROI = (380 x 26) – 5000 x 100 = -4620 x 100 = 97.6%
Conclusion
In order to provide HR with more efficiency and make the processes easier, new HRIS system
would bring just that. “The return of investment is definitely there in the positive outcome and
benefits of having these tools will only continue to grow.” (Smolcic, N., Thomas, B., &
Contacos-Sawyer, J., 2014). Training is simple and likely all employees will be more satisfied
with the overall process changes, as it will make it even more user friendly and efficient for all.
“Paycor and Zenefits have very similar score when it comes to customers’ reviews ranging from
8.8% for Paycor and 9% for Zenefits.” (Compare Zenefits vs Paycor, 2018) For the organization
of this size, these two options are the best of HRIS system and it will likely exceed the
expectations on all requirements requested from the VP of HR. Both systems are also adequate
enough to support the organization with current workforce and also any potential future growth
within the organization.
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References
Craig, R. (2017). The importance of applicant tracking systems: an interview with talent tech
labs. Forbes Magazine Online. Retrieved from https://www.forbes.com/sites/ryancraig/
Smolcic, N., Thomas, B., & Contacos-Sawyer, J. (2014). The Advantages and Affordability of
Human Resource Information System’s (Hris) Implementation in the Small Business
Compare Zenefits vs Paycor 2018 | FinancesOnline. (n.d.). Retrieved from
https://comparisons.financesonline.com/zenefits-vs-paycor
Roberts, B. (1999). Calculating Return on Investment for HRIS. HR Magazine, 44(13), 122-126.
TSR Performance Metrics (2020) Retrieved from: https://paycom.com/media/resources-
content/More%20Industries/Top%20Ten.pdf 2020/02/27/the-importance-of-applicant-tracking-
systems-an-interview-with-talent-tech-labs/#53ddcc4b3a81
Paycor. (2020). Retrieved from https://www.paycor.com/
Shi, J. (2016). Introducing the Zenefits Platform: Integrated Apps. Zenefits. Retrieved from
https://www.zenefits.com/blog/introducing-zenefits-platform-integrated-apps/
Kavanagh, M. J., & Johnson R. D. (2018). Human Resource Information Systems. [devry].
Retrieved from https://devry.vitalsource.com/#/books/9781506351476/