The effect of human resource information systems (HRIS) on staff retention: a study of recruitment and selection in a UK based hospitality organisation

Abstract

There is limited empirical research on the application of Human Resource Information Systems (HRIS) in staff retention and management. This study aims to examine and analyse the impact of quality human resource information systems (e.g. recruitment information, personnel information, and audit of training sessions) on staff turnover factors at the recruitment and selection stage (e.g. remuneration, human resource planning, quality of training programmes, and lack of promotion opportunities), and consequently the impact of HIRS in managing staff retention. This research is conducted in the context of the hospitality sector. The research aim is achieved through satisfying the objectives and the development of a relevant and a novel framework. A conceptual framework is developed to address the use of HRIS with regard to the recruitment and selection process and in aiding managers in staff retention within the context of the hospitality sector. The framework consists of three phases: recruitment and selection process including human resource management (HRM) and information technology systems (ITS) in the recruitment and selection stage; human resource information systems (HRIS) application areas; and staff turnover factors (external and internal). This framework developed by using two theories, the institutional theory and job characteristics theory, as the theoretical underpinning of this study. A single case study with multiple subcases strategy is employed to evaluate, extend and theorise the effect of HRIS on staff retention. The data for this research is collected by using in-depth semi-structured interviews. Qualitative data are collected from four branches of the UK based hospitality organisation. 27 employees completed in-depth narrative interviews (13 managers and 14 non-managers), which the results were used to confirm and validate the developed framework. The findings are triangulated by the adoption of a series of techniques, including focus group discussion, and document analysis. This study has made use the qualitative analysis computer software NVivo V.10.This research study contributes to the literature of both HRM and IT/IS by developing a comprehensive theoretical framework that considers the relationship between staff retention and HRIS functions at the recruitment and selection stage. The research findings support and showed that, not all the factors affected staff turnover can be monitored by HRIS, and some staff turnover factors may require other strategies with respect to monitoring. The framework will benefit scholars and managers in understanding the impact of a quality HRIS on staff retention, and extends the knowledge in this regard. The framework is extended for usage by different hospitality organisations with similar business nature to the one understudy. Also, the findings show that relevant retention strategies could be applicable during the entire employment period, e.g. before, during and after recruitment. These strategies enable the organisation to be stable and improve managing retention at the very beginning period of employment and avoid the costs of staff turnover. The empirical findings also advance our understanding of the various HRM activities that are linked to retention at the recruitment and selection stage. More importantly, the research findings identify the immediate activities after recruitment which is linked to improving retention. The study aims at providing a valid framework that integrates both HRM, ITS, and identifies the role of HRIS with regard to improving retention, by identifying staff turnover factors and put in place retention strategies to deal with them, for new jobs’ applications at the recruitment and selection stage. The originality of this study is that provide fresh insights on the subjective of retention in the hospitality sector in the UK. This research complements and advances the current literature on having a quality IT/IS which provides vital information to help managers to make the right decisions on retention of members of staff. In addition, this research could prove beneficial to practitioner’s (managers) who involve in the decision making in the recruitment process, thus better retention in the hospitality sector.