The new HR Director has requested a report that shows a review of the organisation’s approach to collecting, storing, and using HR data. The findings will explain reasons why the organisation needs to collect HR data. The types of data that is collected within the organisation and how each supports HR practices. A description of the methods of storing records and the benefits of each. A statement of two essential items of UK legislation relating to the recording, storage, and accessibility of HR data.
1) Two reasons why the organisation needs to collect HR data
It is essential for organisations to keep up to date and accurate records to ensure efficient forward planning, remain competitive and provide a good service to their employees and customers. There are number of reasons why an organisation needs to collect HR data, these could be to:
Satisfy legal requirements
• provide relevant information in decision making and for consultation requirements, future development/planning
recording contractual arrangements and agreements
keep employee contact details.
• The organisation needs to be able to provide information in the event of a claim being made against the organisation.
• For due diligence in the event of an organisational transfer
Government departments’ including HMRC can demand information from the business on how many people are employed, what they are paid, what they have been paid over a number of years, and how many hours they have worked. The working time regulations and national minimum wage act each require specific records relating to hours of work and pay details.
Employment protection rights demand that we keep records to protect ourselves, as employers, from claims that we have discriminated against or unfairly dismissed employees. Health and safety legislation demands that records are kept of accidents, exposure to hazardous substances, what training has been provided, and much more. Employers must be able to demonstrate responsible management of health and safety issues.
2) Two types of data that is collected within the organisation and how each supports HR practices
1. Organisational Development
CIPD define organisational development as ‘planned and systematic approach to enabling sustained organisation performance through the involvement of its people’.  One of the challenges in the delivery of organisational development work is that it not just what you do, but also the mindset that is brought to bear on the work.
Amongst other areas, in practice the HR teamwork with the business development team to develop a performance management system that properly aligns individual and organisational goals (business aims/objectives and individual key roles and key performance indicators).
The relationship between organisational development and HR
It is the underlying characteristics of organisational development work that helps to see the commonality across the different areas of organisational development and the link to HR.
Organisational development work:
• contributes to the sustained health and effectiveness of the organisation
• is based upon robust diagnosis that uses real data from organisational, behavioral and psychological sources
• is planned and systemic in its focus, that is taking account of the whole organisation
• practitioners help to create alignment between different activities, projects and initiatives
• involves groups of people in the organisation to maximise engagement, ownership and contribution.
2. Measuring and managing Labour turnover
Labour turnover is becoming more important as a measure of organisational effectiveness. Keeping records of labour turnover is almost exclusively the responsibility of personnel and HR managers.
Employers need to collect both qualitative and quantitative data on ‘leavers’ broke down into the number of resignations, dismissals and the reasons. Also including natural retirements, ill-health retirements, and deaths in service. These are broken down by department/unit, length of service and job/role. To establish the organisations findings against the general labour market, it can benchmark its turnover rates with other organisations. The relationship between labour turnover and HR
The most effective ways of controlling and minimising labour turnover is to be able to review, improve, develop, and implement effective changes to: Resourcing and talent planning Pay and Reward management Learning and talent development Absence management • Resources and tools in place to manage workforce engagement and participation
1) A description of two methods of storing records and the benefits of each.
HR records encompass a wide range of data relating to individuals working in an organisation, which may be stored in a variety of media, such as computer database or paper files. There and advantages and disadvantages to both media
1. Paper records:
A risk analysis needs to focus on the secure storage and the prevention of threats such as fire or theft and that files can only be accessed by relevant personnel. There are legal requirements that employees are required to meet in terms of the length of time that specific documents are to be retained, so thought needs to be given to storage space and all files must be easily retrieved and accessed when required.
The business must implement and maintain a good document discipline, i.e. no paper should be left laying around for unauthorised access, and a clean desk at night policy must be mandatory.
However, there are some benefits to collecting and retaining paper files. For legal matters, such document may need to be presented that show authenticity of original documents, i.e. hold original signatures etc. Paper files are not susceptible to computer viruses, they are user friendly, and there are benefits to their portability.
2. Computerised records
A risk analysis needs to focus on not just password protection but also long-term protection of data. To include the potential major threats of computer failure, viruses, fire and the possibilities and potential sabotage. The business provides each user a back-up facility, anti-virus software and firewalls. The business has a dedicated IT department that maintains and supports all IT systems and users. There are strict polices in place for all users to abide to and any users found in breach of the polices will attract disciplinary action being taken by the business.
Computerised records are beneficial because computerised systems allow for greater efficiency in performing specific tasks both more accurately and more rapidly than doing the same task using paper based records. Computerised records are easier to update, compare, analyse and speeding up the provision of information. The system will boost cost benefits through administrative savings.
2) A statement of two essential items of UK legislation relating to the recording, storage, and accessibility of HR data.
The Data Protection Act 1998
Data protection concerns safeguarding data and information about living individuals to maintain their privacy and good information management practice. Data protection covers manual records, including paper and all other media as well as those processed by information technology of any kind, i.e. – email etc. Organisations should be committed to ensuring that all relevant personal data that it holds regarding its employees, customers and any other persons that are part of its operations is processed and protected in accordance with the legislation. The organisation can achieve this by upholding and complying with the 8 Data Protection Principles and any such amendments.