Human resource planning involves the collection and use of personnel data, so that it can be used as input into the strategic HR function. Poor data coming in means poor conclusions. The problem is that there are huge amounts of data one can use in the process.

An HRMS, or Human Resources Management System is a computerized system that accomplishes two very important purposes. First, it allows the keeping of personnel data in a form that can be easily accessed and analysed. In that respect it functions as a means of collecting and organizing data about one's staff that can be used as input into the HR planning function.

Second, it allows to the use of that data to fulfil the various functions usually associated with a human resources department. The human resources management software typically will help administer and record personnel functions through the use of various software modules. A major strength of HRMS is that it is comprehensive and can handle information and HR processes for almost every possible organizational function, and that it's integrated and accessible through a common computer interface. Integration allows exceedingly sophisticated data management and reporting.

HRMS will include the following modules :
  • Payroll module
  • Recruitment, selection and applicant database module
  • Benefits administration module
  • Training and staff development module
  • Performance Management, appraisal and performance planning
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