Hello Jennie,
CRM 2011 is based on XRM platform so you can extend it as per your business needs it is already used as HRIS tool in some companies.
E.g.:- Cases can be used to manage a variety of activities beyond trouble tickets. Some organizations deploy Dynamics CRM as a human resources information system (HRIS) and use cases to manage employee requests for support. Others use cases as a method to manage simple projects for their clients. Some professional services firms make use of cases to manage their client engagements.
social.microsoft.com/.../crm-2011-human-ressource-isv-solution