Asurvey of the Use of Human Resources Information Systems in Human Resources Management in the Banking Sector in Nairobi, Kenya

Abstract

This study was carried out in the banks operating in Nairobi, Kenya. The study was about the use of use of human resources information systems in human resources management in the banking sector. The objectives of the study were: to identify the human resource information systems used by banks operating in Nairobi, Kenya; to establish the perceived benefits of using human resources information systems in human resources management; and to determine the challenges and problems faced by banks in the use of human resource information systems. The data collection for this study was carried out using a questionnaire. The data collected was analyzed using descriptive statistics, frequencies and cross tabulations. Chi-square was used to test for the significance of the relationships between the use of information system and the benefits, challenges and problems. From the findings, it was established that majority of the banks do not have automated teller banking systems but have HR system, clearing system, Reuters system, cheque book ordering system and a Society for Worldwide Interbank Financial Telecommunication system. For foreign owned banks information systems is applied in most of the human resource functions. Most of the respondents indicated .that there are advantages in using information system in the banking systems such as the payroll system, human resources system, clearing system, and Society for Worldwide Interbank Financial Telecommunication. Majority of the private sector banks, and all the public sector banks use information systems in human resources management. All the-banks indicated that they use information system in payroll administration. Majority of the locally owned banks, all the foreign and mixed banks also use information systems in addition to human resources management in clearing systems, Reuter's and even in telephone management. The study concluded that a human resources information system is a very significant component of the human resources management in the banking sector. Recommendations are made to the banks and future researchers.