Are there Industry Specific HR Information Systems?
A question that seems to pop up from time to time with users of CompareHRIS.com is, “Are there industry specific HR Information Systems?” Someone, for example, may be looking for a HR information system that is specially created for banking, manufacturing, or health care. In many business software industries, systems tend to be highly focused toward particular industries. That is not really the case with HR information systems.
In General, Most HR Information Systems are designed to work for a wide range of industries.
The companies do so because it’s obviously more profitable to create a HR Management Software system that works for a large number of industries as opposed to a single industry. They make the systems very universal by offering custom fields, screens, tables or reports. With my prior HR information system reseller business, I worked with an application that we sold to everyone from accounting firms to banking, government offices, health care and manufacturing. Each of these industries has industry specific HR system needs but they also share many needs as well. We found that a single system was able to meet the needs of a large number of industries because of the degree of customization the customer was provided. I did a lot of work within the health care industry which has extremely extensive needs regarding training details that must be tracked for their personnel. We were able to meet this need with a product that was not designed for that industry but still provided the capabilities the client needed. The same was true for a large number of other industries.
If you feel you work in an industry that demands very specific capabilities from a HR Management Software, don’t assume that every product will meet that need. As you demo the products and do some research, make sure the product will meet your company’s or your industry’s specific need. In most cases, I think the products on the market today are customizable enough to meet most end users needs but never assume that this is the case.
If you are not sure, when you ask for references from the HR Software information system vendor, ask for references of organizations specific to your industry niche. Ask the reference if there is anything the product would need to do for your industry that it does not. Ask them about how, or if, they were able to customize the product to meet this need.
Industry Experience, however, may still matter for the HR information system you select.
Even though the HR information system software may meet your basic needs, this may not be enough. Having someone implement the software that has done so with the same package for your specific industry may prove very helpful. If challenges arise during the implementation, prior direct industry knowledge may prove very beneficial.
What if you find an industry specific HR information system?
Should you buy it? It all depends if the product meets your needs. In the past, I’ve seen a few accounting systems that were specifically created for governmental offices. One of these systems had a HR information system component but the product was very light on substance and capabilities. Even though the product was “specifically created” for government organizations, the add-on HR information system was not nearly as comprehensive as other systems created for a wide range of industries.
I guess the best advice I can offer is to make sure you ask specific information from HR Software Vendors like ADP Workforce Now, Ultipro or Ceridian to see if they can support your specific industry.
About the Author
Clay Scroggin has worked in the Human Resource and Payroll Software Industry for more than fifteen years. During that time, Clay and those who have worked for him, have assisted hundreds of HR professionals with their HR software needs. In 2007, Clay began working on CompareHRIS.com, a site dedicated to assisting HR professionals with their search, selection, implementation and use of HR systems. The site contains several tools to assist HR professionals with their HR software research including: a HRIS and HRMS Software Selection Tool and a HR software technology forum.
