FINANCIAL AND HUMAN RESOURCES SYSTEMS (FHRS)
What is FHRS? Issues Solutions
An FHRS is a computer software system that manages finance, human resources and procurement. Using an FHRS in a strategic capacity (e.g., tracking asset costs from conception through retirement) requires that system functionality, processes and data integrations align with the organization’s unique business requirements. An FHRS will:
- Collect and process financial data related to budget, fixed assets, general ledger, inventory, job cost and payroll
- Provide information to guide decision making, financial planning, CIP control and budget monitoring
- Generate financial reports for both internal and external stakeholders
- Collect and manage employee status, benefits, qualifications and certifications, training and electronic timekeeping
- Manage purchasing, disbursement, revenue and receipts
Issues
Many legacy FHRS systems lack integration capabilities necessary to
manage business. On the other hand, some newer FHRS systems lack robust
capabilities for encumbrances, modified accrual, budgeting and fund
accounting. While these functional areas may be provided by an Enterprise
Resource Planning (ERP) system, implementing an ERP can quickly exceed
the financial resources of many organizations. In these instances, an
FHRS may be appropriate. Making the wrong choice can mean paying for
more capabilities than the organization really needs or living with
a system that lacks functionality necessary to conduct your strategies.
Selecting the best-fit system requires that you know your options and
work from clearly defined and prioritized business requirements.
Improper configuration and poor data conversion are typical problems encountered during implementation. For example, the degree of accuracy and the amount of history required in migration directly affect project costs. Agencies should understand the trade-offs between “perfection at any cost" and an implementation that meets their specific business needs.
Solutions
Selecting the proper solution for your organization requires a clear
understanding of strengths and limitations of FHRS and ERP systems,
how either one fits the organization’s unique business environment
and insight into functionality available in candidate systems.
Westin applies our proven SILC™ methodology to assist you in selecting the “best-fit” system for your specific business and process requirements related to finance, human resource and procurement. Westin applies our experience with many FHRS and ERP system vendors to help you quickly narrow the field to candidate systems that are most appropriate. Because we do not have marketing agreements with vendors, we act as your trusted advisor and provide impartial perspective based on your needs and interests.
From the very beginning of the project, Westin works with you to determine and plan how you can leverage the application’s strengths to address your highest priorities. This includes implementing functionality and integrations required to provide full asset life cycle costing from budget to job costing, from maintenance to retirement.
Westin can help you develop the appropriate system integrations to capture data from CMMS and CIS. For example, utilizing FHRS to support asset management strategies may require integration with CMMS. This can automate business processes that ensure accurate and timely information for GASB 34 reporting and decisions on repair vs. replace. Your FHRS should also support customer service strategies by integrating with CIS.
Simply put, Westin helps you select the optimum FHRS
system and implement it as required to conduct your business strategies.