‘Human resource management is the strategic and coherent approach to the management of an organization’s most valued assets- the people working there who individually and collectively contribute to the achievement of the objectives of the business’ (Wikipedia, nd). Human resource management is responsible for how people are treated in organizations. It is responsible for bringing people into the organization, helping them perform their work, compensating them for their labors, and solving problems that arise (Cherrington, 1995, p. 5). With the introduction of Information Systems, human resource management has gone beyond the traditional personnel management functions and developed Human Resource Information System (O’ Brien-Marakas, 2007). Several organizations are now using this Human Resource Information Systems in many ways such as online recruiting and intranet HRM to maximize efficiency within the organization. This essay will talk about the significance of Human Resource Information Systems in an organization such as Armaguard. It will give an overview about the organization (Armaguard); discuss the role of information system in the organization’s operations more particularly on recruiting employees, the strategic and/or competitive advantages gained by using information systems and the future prospects of the company in relation to its information system.
Armaguard is an iconic Australian brand established in 1938 and has become the dominant player in the Australian cash logistics, currency management and precious cargo markets (Armaguard, nd). Armaguard provides customers with a variety of cash delivery and collection services combined with accurate electronic processing and reporting, maximum security and customer safety (Onetest, nd). In 2003, Linfox acquired Armaguard, since then the company has developed from leading cash-in-transfer to Australia’s leading Currency Management service provider. Its operational employees are in daily contact with significant amounts of currency and involves in countless of potentially dangerous situations. Hence, it is important for the company to ensure that their employees have the high degree of integrity and professionalism so that it can deliver the highest caliber of security and service for its clients and the general public. Armaguard intensively screens all new recruits to ensure their suitability for the role (Onetest, nd). Armaguard attracts thousands of applicants because of its well known brand, size and continued growth. It recruits a large number of staff each year.
‘Along with rigorous interviewing, background checks and medicals, Armaguard had been using a pen & paper psychometric tool, specifically looking at attitudes towards safety & honesty’ (OneTest, nd). It is crucial that during the screening process they should place a high-level of importance on attitudes towards safety and honesty since these workers will in contact to significant amounts of money and dangerous situations. In this way they can minimize risks in the workplace. Hence, the core objective of the screening process is to subject the candidate into safety and honesty assessments.
Although the conventional method is successful in screening its new recruits, using pen and paper psychometric tool is not efficient. Firstly, pen and paper psychometric tool is costly. Thousands of candidates will be screened and hence thousands of papers will be also produced. The conventional method also posed a logistical challenge since candidates were required to visit Armaguard offices each year to complete the testing. Thousands of papers from applicants is manually scored and processed, consequently, speed is sacrificed. (OneTest, nd)
‘A significant opportunity to streamline recruitment processes existed if an online tool that met Armaguard’s strict validity & quality requirements could be found’ (OneTest, nd)
ROLE OF INFORMATION SYSTEMS
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