The world of business is full of acronyms, especially in human resources (HR). At times, the use of acronyms can feel a bit overwhelming, but you can gain a lot of clarity with just a bit of research and some time spent immersed in the world of HR.

For example, human capital management (HCM) and human resource information systems (HRISs) are equally important in HR, but they have two different purposes despite being closely related. If you’re having trouble keeping up, below are the differences between HCM and HRIS:

HCM

HCM concerns itself with managing employees, also known as human capital. Within the definition of human capital are all the skills, experience, and knowledge that each employee brings to the table. Using HCM software, HR professionals look for ways to maximize the potential of each employee based on the unique elements each brings to an organization.

HCM software can also help to manage recruiting and hiring practices. This software helps HR professionals to identify where an organization may be lacking in certain strengths or skills, allowing recruiting efforts to be tailored to fit the needs of the business. This can also assist in planning training initiatives that can focus on specific areas that need work in a company. Find the best HCM software by visiting this website.

HRIS

An HRIS is a system used to manage human capital. This is the centralized system where things like scheduling, payroll, and compliance take place. An HR department will usually use an HRIS to stay on top of all the incidental elements of managing human capital as well.

For example, scheduling and tracking for employee time off can be done in an HRIS. Likewise, HRIS software can manage deductions for employee-selected benefits without the need for a human resources employee to manually make changes to a paycheck.

Working Together

Both HCM and HRIS are complementary to one another, and successful HR teams need both to efficiently carry out tasks. Although the acronyms may be a little confusing at first, they become easier to remember in time. With some research, practice, and immersion, you’ll be comfortable with HR acronyms before you know it.

Author Resource:-

Emily Clarke writes about employee management, benefits and payroll service. You can find her thoughts at HR software blog.