Term Paper: Human Resources Technology Castle's Family

Pages: 10 (2877 words)  ·  Bibliography Sources: 10  ·  Level: College Senior  ·  Topic: Business  ·  Buy This Paper

SAMPLE EXCERPT:

[. . .] ULTIPRO however does appear to have a considerable operating cost structure that is higher than PeopleSoft. More IT support is expected by running ULTIPRO rather PeopleSoft. The added flexibility with PeopleSoft is also an added benefit that ULTIPRO seems to lack.

Mr. Morgan alternatively is the only individual needed to operate the PeopleSoft HRIS. The goal of turning HRM into a part-time affair is the goal of incorporating the HRM system into the integration of operations of the eight restaurants. By using PeopleSoft, achieving the goal of delineating the HRM support into a part-time affair becomes possible whilst the ability to focus on more critical aspects of management becomes ever present.

HRIS Type/Comparison

The decision to use either PeopleSoft or ULTIPRO is a decision that would have a multi-pronged impact on the ability of Castle to manage their operations via a remote capacity. These two major competitors are the choices put forth by the management of Castle restaurants and comprise the selection of available choices. The decision is ostensibly not a very difficult one, as the primary area driving the decision is cost to service as the cost of the system against the level of services provided for the business will drive the decision.

PeopleSoft is a product developed by Oracle, a financial software solutions company that is well respected in the industry. Given the level of responsibility of the part-time staff and the expected low competency skill set with regard to computers and its use, the limited knowledge of computer literacy to engage the software effectively and properly is a critical component driving the decision with regard to which software to purchase. PeopleSoft is easy to learn and can easily manage all of the specific HRM requirements within the daily operations of Castle.

PeopleSoft is also described as an Internet-based software integrated solution that can enable the uploading of database information from the computer onto the Internet-based application. Additionally, the software is user friendly as it can effectively transfer data such as benefit information with regard to worker status. Managing the employee data and tracking the employee employment becomes seamless with the software and web integration ability. Benefits transferred can be more readily tracked as well as accumulated time on the job based on leaving and returning within a given time frame.

PeopleSoft differs tremendously from ULTIPRO in that it is the only pure Internet architecture that is not based on coded input from the client. Companies are able to directly engage the employees via the software without needing to use management to engage employees, which equates to a waste of time and resources on the part of labor and management. PeopleSoft in comparison is of a lower cost in terms of upfront cost and the carry cost of using the software. PeopleSoft is also the second-largest application provider and is widely used in many industries as the primary HRIS.

The customer service and user support service offered by PeopleSoft is superior as the resources behind PeopleSoft is greater as the company is an industry leader over its competitors. PeopleSoft as an industry leader has afforded the company a number of advantages in terms of streamlining costs, cloud computing, and the superior client services post purchase. The support for learning applications on the software is a tremendous supplement to the relatively self-explanatory process of using the software.

ULTIPRO is somewhat of a copy of PeopleSoft, yet is effectively more expensive and is second to the cloud computing market that PeopleSoft has engaged primarily and is the industry leader. The increased need for IT support and hardware also makes the ULTIPRO a more costly choice where the value of using the HRIS is obfuscated by the cost, the greater hardware requirements, and the lack in providing superior service over PeopleSoft.

The company contingency plan is to rely upon ULTIPRO should PeopleSoft need replacement due to an unexpected reliability issue. We do not expect this to be a problem however a contingency plan is in effect due to unexpected problems that arise. Contract negotiation and switching is a requisite course of action should the need to switch arises.

HRIS Vendor Recommendation

The decision to recommend a specific vendor is a function of the cost of the software, the service quality of the vendor post purchase, the quality, ease of use, and reliability of the software are all critical in driving the decision of which to purchase. The decision in the case of Castle is relatively simple given the very thin profit margins associated with its collective operations. The decision to purchase and integrate a HRIS HRM tool is indeed an expense and may not be necessary should the price of gasoline dip below a specific threshold.

However, the price to where gasoline has to fall below given the travel of the HR manager is a macro economic market and OPEC driven dynamic that cannot be accurately predicted over any long course of time. The trend of rising gas prices is likely to continue and therefore the selection of a software solution becomes the answer as it is likely to be a long-term solution.

Since the HRIS is a long-term solution, the notion of using ULTIPRO, which is expected to have higher long-term cost does become an ineffective and cost-prohibitive managerial decision. IT hardware and systems cost increasing as a function of time is a bad decision for the company. Added long-term costs of using the software creates a liability that extends from being a current liability to a long-term liability.

The use of PeopleSoft is a short-term liability that counts as an operational expense as well as an IT expense. IT is considered to be a liability on the balance sheet as the ability of IT infrastructure to provide any direct benefit attributable to revenue growth is speculative and opaque in many cases. IT may drive revenue by providing the infrastructure necessary to engage in business practices in a cost effective and profitable manner. However, IT still is a cost and therefore remains a cost that Castle wishes to keep low when considering the razor thin operating margins.

PeopleSoft alternatively, offers a cost-effective and comprehensive solution package for HRIS needs whilst providing an easy to understand and use software interface that is also compliant with laws governing human resource and benefits management in each state as well as federal compliance to wage and labor laws. The software is integrative such that databases on the computer are linked to the website enabling remote access to payroll and scheduling information. This compatibility and the relative ease in the transition of scheduling information does enable management to keep up with the changing labor variables at each location.

PeopleSoft is user friendly by providing post purchase client service management that keeps the user engaged in all applications that provide the organization value. The HRM applications are comprehensive yet do not require the company to engage all applications nor does the quality between applications differ.

The cost of PeopleSoft when comparing the quality of the service, quality of the software, the industry respectability as the industry standard, and the comprehensive HRIS management integration provided by the system is the overriding variable that drives the decision to pursue the PeopleSoft solution.

Conclusion

The solution of choice is PeopleSoft. This decision is collectively based on a number of critical factors. However, the overriding variable when concluding with the decision to pursue the PeopleSoft solution is the low cost. PeopleSoft is understood to be the industry standard and is thus a quality product that is recognized throughout the industry for its reliability. Castle's razor thin margins at its eight locations does force the notion of rendering cost effective solutions to enable Castle to effectively manage its operations at each location.

The choice of selecting PeopleSoft is the best choice for the company, not only due to the low cost structure, including the lowest cost base and lowest carrying cost, but also due to the comprehensive HRIS ability to manage all of Castle's requisite HRIS functions and streamline the HRIS operation across all restaurants. The ability to accomplish this feat using the best in business software along with the lowest cost structure does make PeopleSoft… [END OF PREVIEW]

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