In the 1970s, larger companies were digitising some of their basic processes, particularly data-heavy and error-prone functions like payroll and accounting, but these early human resources management systems were limited in scope. By the 1990s, more powerful mainframe computing and the rise of the Internet allowed businesses to digitise and automate a wider range of core HR functions like records management, benefits administration, and recruitment workflows.
Today, with the growth of smart technologies and cloud connectivity, HR processes are no longer limited to transactional data. A modern HRMS can gather and integrate data to adjust reporting structures in real-time, based on regional variances in infrastructure, laws, and regulatory compliance. These systems also automate workflow and leverage artificial intelligence (AI) to create smarter and more streamlined processes.