Monday, June 20, 2011

Customization Matters in Hiring Software Tools

Although many businesses within a given industry have similar requirements for hiring and onboarding software, there’s something to be said for having the ability to fine tune an application to precisely meet your company’s needs. Workforce.com has an interesting article available about a major manufacturing and retail firm that discovered every cent spent on customized hiring tools more than paid off in profits. Luxottica Retail (the company that runs eyewear stores such as Pearle, LensCrafters, and Sunglass Hut) found that prehire assessment tests that are aligned with business objectives spell big bucks.


The cost to administer the prehire test is about $10 per candidate, so that’s not a big financial drain. The resources the company invested over the last ten years tweaking and perfecting the test are where the real expense came in. But this employer has found that stores staffed by high-scoring new hires consistently outperform those staffed by run of the mill candidates. On average, each employee in the top quartile brings in an extra $18,000 in sales per year.

Customization Isn’t a One-Time Effort

Luxottica constantly gathers performance information and feeds it back into the test optimization process. This doesn’t just perfect the test and make it a more accurate predictor of future performance; it also accommodates evolution as the marketplace continues to shift. Each Luxottica brand has its own customized pre-hire test to match associates with store cultures and customer demographics. The employer is careful to consult with legal counsel annually to ensure that changes to the assessment tests don’t restrict the hiring process in a way that could be viewed as discriminatory.

Onboarding Can be Tailored Too

Prehire testing isn’t the only type of hiring software tool that can benefit from customization. Acculturation onboarding is another area where constant improvement based on workforce analytics can yield benefits. Since an employee’s experience during the first 60 days on the job often have a significant impact on everything from productivity to retention, having the ability to update and refine an acculturation module could be very beneficial. For example, you might want to have an onboarding process that features different components based on job position. A manager would have additional training and development to complete while an entry level employee might be inducted into a mentoring program. To find out how our Acculturation Portal can help you customize the new hire experience at your company, contact Emerald Software Group today at 770-569-5122.

Friday, June 17, 2011

New Trends in Social Learning & Development Part 5

This is the final post we’ll spend looking at the SkillSoft “The Eight Truths of Social Learning. Now.” white paper. To wrap things up, let’s take a peek at the final 2 “truths” and think about how they work from an onboarding standpoint.


Truth #7 – Don’t Forget Knowledge Preservation

Letting years of experience and knowledge walk out the door with retiring employees is a huge waste of irreplaceable resources. One of the most valuable opportunities presented by social learning technology is the way it allows you to capture the insights of your best employees to share with new hires. Make a point of reaching out to high-value workers and encouraging them to take a leadership role in developing your social platform.

When employees give notice (on good terms), they often feel a little guilty about leaving their coworkers in the lurch. Use this to your advantage by letting them know there is a simple way they can help ease the transition. The exiting employee can upload resources and advice to the social network where it will be available to the new hire who is replacing them. It’s a nice way for a worker to leave a positive mark. The person who is onboarded to take up that job role will feel especially welcomed by having customized learning materials provided by their predecessor.

Truth #8 – Target Simplicity and Security

In keeping with making social learning accessible to workers of all ages, you should pick a system that is intuitive to use. New hires who have access to Universal Onboarding are lead through a step by step wizard that makes sure everything gets done. A similar approach would work well for setting up a basic profile in the social network. The easier the platform is to use, the more people will get involved without extra prodding.

Finally, make absolutely sure you understand the security features of the social system you choose. This will dictate what types of information you upload. You don’t want competitors mining your social site for “goodies” or your hosting service selling data to marketing groups. At Emerald Software, we always take employee data privacy seriously. Check out Chuck’s blog for lots of great posts on this topic.

Thursday, June 16, 2011

New Trends in Social Learning & Development Part 4

We’re nearing the end of our journey through the SkillSoft “The Eight Truths of Social Learning. Now.” white paper. Today, we’ll investigate yet another “truth” as it relates to onboarding.

Truth #6 – You Need Multi-Generational Appeal

While you may be focusing a lot of recruiting efforts on Generation X and the Millenials, you still hire and onboard people from older generations as well. These workers may have a lot of experience to draw on that helps them get up to speed fast at a new job. However, the whole point of having a social learning and development program is to encourage people to keep on learning.

Older workers are just as likely as younger workers to appreciate the intellectual challenge of continual workplace education. It keeps things from getting boring. Picking up new information and honing skills also makes them feel that they are being given the same opportunities as young employees – an important factor in minimizing age-related discrimination claims. Any acculturation, orientation, learning, development, and socialization tools you offer in the workplace should take this into account.

Multi-media learning and development software has broad appeal since it lets workers choose their own style and pace for education. For example, someone who grew up in the age before YouTube and podcasts may feel that reading is the fastest way to learn. A 55 year old employee might feel they can absorb 5 times as much information by reading for 20 minutes versus watching a 20 minute video. In contrast, a 25 year old might find an all-text approach to learning too mind numbing to “stick”.

On the other hand, social contact is something pretty much everyone enjoys. It’s just a matter of letting employees have some control over the speed and frequency of interaction. One worker might enjoy a chat forum with instant responses while another prefers private messaging that gives them time to think.

In the final analysis, making sure new hires of every age get the help they need to make the most out of your social learning and development platform is the most important thing. The Emerald Software Acculturation Portal can play a role in helping new employees learn to use your intranet and social networking tools effectively.

Wednesday, June 15, 2011

New Trends in Social Learning & Development Part 3

This week, we’ll continue our perusal of the SkillSoft “The Eight Truths of Social Learning. Now.” white paper with numbers 4 and 5. How can these “truths” make it easier for you to onboard and develop your new hires?


Truth #4 – Existing Employees are a Great Resource

Formal mentoring programs are a definite benefit to the workplace; but a lot of training happens when coworkers spontaneously step in to help others out. A social networking and learning platform gives these “helpers” an easy way to reach out and connect with new hires (and vice versa). People who are natural teachers enjoy the process of distributing knowledge. When they have an opportunity to do this at work, they tend to become very engaged. At the same time, new hires will feel less cautious about asking questions when they can readily identify coworkers who like being informal mentors.

Truth #5 - Searchability is Key

The downside of having an expansive resource library, an active forum, and lots of internal experts is that it can become difficult for new hires to find exactly what they need without wading through a lot of info. Indexing content and profiles so they can be searched by keywords/topics is essential for efficient use. Fortunately, today’s social platforms are designed to support keyword searching. This means you may just need to train/encourage users to tag their profiles and discussions to make them easy to find when a new user starts poking around to find useful information.

Our Acculturation Portal can be used to introduce your new hires to your team and show basic examples of how to use your company’s social network for a variety of self-led learning activities.

Tuesday, June 14, 2011

New Trends in Social Learning & Development Part 2

Today, let’s take a look at some more “truths” from the SkillSoft “The Eight Truths of Social Learning. Now white paper with a focus on how this type of learning impacts new hires.


Truth #2 – Employees are Overloaded with Information

Albert Einstein is often credited as saying: “We can’t solve problems by using the same kind of thinking we used when we created them.” However, the folks at SkillSoft argue that one of the tools that inundates us all with way too much data can actually be used to help solve the problem of information overload. They might have a point. For example, a kind of collaborative sifting happens when a group of coworkers have access to the same library of learning and development content. The process tends to highlight the resources that have the greatest real-world value since those are the ones that people repost, “like”, and comment on. When a new hire is introduced to this system during onboarding, he or she can jumpstart self-directed learning by finding out what current employees find most useful.

Truth #3 – Social Learning should be Part of a Blended Approach

Here’s another 3 legged stool analogy that relates to blended learning strategies. Employers may see better results if they use in-person instruction, e-learning, and social learning together. That’s because the sum is greater than the whole of its parts when it comes to how people absorb new information. In-person instruction allows for face to face interaction to provide a sense of connection. E-learning offers participants the leeway to move at their own pace. Social learning presents a great environment for give and take both in real-time and as a follow on to initial instruction.

New hires who enter a work culture knowing that they will have ongoing mentor support from a whole group of coworkers via a social network may feel less stress during initial training. Our Acculturation Portal can play a role in introducing new employees into the social network. It interfaces with Microsoft SharePoint and other intranet platforms to provide a seamless transition into full interactivity.

Friday, June 10, 2011

New Trends in Social Learning & Development

What’s going on with social learning right this very minute? SkillSoft offers some answers to this question in a recent white paper “The Eight Truths of Social Learning. Now.” It explores what the company has found in developing and implementing its own InGenius® platform along with practical suggestions for making any system function more effectively. Let’s look at the first of 8 “Truths” and how it might apply to a social platform used as part of acculturation onboarding.


Truth #1 – Social Learning Requires 3 Elements

According to SkillSoft, you need a solid platform, great content, and a thriving community to make this type of initiative work. This combination of infrastructure, information, and individuals is the three legged stool upon which social learning rests.

Infrastructure

The platform is the foundation. If your application isn’t easy to use, no one will want to spend time engaging with it. You may want to use a module that meshes with your current HR suite, or one that relies on an established, external social network. Cost and ease of implementation aren’t the only factors to consider. Your decision might depend on how much inside information might be revealed in the discussions that take place between coworkers. For a social platform that meshes with an advanced learning and development system, you might even go with a custom application.

Information

Content is the next stage – and this is where you have to look within your company to find talent. An outside vendor can set up your software, but only those who are embedded in your organizational culture can provide the “wetware” to make your site interesting. Don’t expect your employees to grow the network on their own. You have to lead the way. HR and managers may well have to generate 75% or more of the content during the initial phases. This is an ideal time to set the tone by focusing on business and employee development related topics rather than social chit-chat.

Individuals

A great deal of the community building happens organically once you have the first two legs of the “stool” in place. However, HR should also ensure that new hires are given an extra incentive toward participating. This can be done as part of acculturation onboarding by assigning social learning tasks. Virtual meet and greets are also a great way to generate content and discussion. If you have relevant educational information hosted on your platform, new hires will quickly learn that this is the place to go to learn how to fit in with your organization.

Tuesday, May 24, 2011

Is Core HR Changing?

Workforce.com has an article available exploring how the perception of core HR software is changing as new players enter the market. It raises some very interesting questions about how HR processes and functions are evolving. Applications and features that might not have been considered “core” are now viewed as essential by many organizations. At the same time, traditional ways of delivering core HR applications are losing ground. Employers are getting used to the idea of hosting even the most basic aspects of personnel data on an HRMS in the cloud or on a server operated by an SaaS provider.


The most obvious difference between the HRIS of today and 15 years ago is advanced reporting capability. Companies aren’t content to simply use HR to administer a workforce anymore. True human capital management is coming into its own – and the decision-making process is driven by data, data, and more data. A core HR suite that doesn’t provide business insights is missing fundamental functionality.

SaaS Vendors Rely on Affordability to Build Market Share

For large businesses with an established on-premise HRMS, letting go of that substantial investment to go with an admittedly more cost-effective SaaS solution can sometimes be a tough call. There has to be a clear reason to switch based on if the suggested SaaS replacement actually improves HR processes and if it has a good ROI. However, for small businesses just starting up, the choice is a little easier. They can get affordable access to a greater variety of core HR products without having to worry about the IT side of things. Also, they may have fewer concerns about building interfaces with backend systems since their overall IT picture is typically simpler.

Greater Core HR Compliance Is Needed

One area where neither large enterprises nor small businesses can afford to skimp is HR compliance. This aspect of core HR software should be considered just as important as fancy reporting functions. However, many vendors are still lagging behind in building rules enforcement for things like records retention, E-Sign Act compliance, audit trails, and so forth into their applications.

At Emerald Software Group, we’re actually at the leading edge of HR software that focuses on increasing compliance. That’s one reason we consider our Universal Onboarding software a component that should be part of every core HR system. After all, new hire forms are where your HRMS data comes from in the first place. Eliminating errors and omissions in this part of the data collection process should be foundational – not an afterthought.

Monday, May 9, 2011

Why HR Analytics Matter Part 2

This week, let’s continue perusing the Oracle/CedarCrestone whitepaper on HR Analytics. We’ll pay special attention to the ways onboarding practices and software relate to workforce data analysis. At the most basic level, analytics help organizations make better decisions. Information alone doesn’t provide this benefit. The data has to be packaged and presented in a way that makes sense. Otherwise, it’s just numbers.

Efficient Reporting is Essential

That’s why reporting functions play an important role in analysis. With a tool like Universal Onboarding, identifying bottlenecks in the forms completion process is possible because the amount of time new hires spend on each screen is documented. HR can view this information in aggregate and drill down for details to identify places where forms may require additional instructions for faster completion. On the acculturation onboarding side, analytics can be used to show everything from the success of orientation and training initiatives to which socialization activities are most popular with new employees.

The Oracle paper points to several areas of workforce management that are impacted by analytics. Here are a couple that matter most in onboarding:

Acquisition: Best practices in recruitment and hiring form the foundation of a strong workforce. Applicant tracking that highlights which recruiting sources consistently deliver quality talent is one example of HR analytics. In onboarding, analytics support decisions that speed new hires to productivity and lower costs. For example, an analysis might show that training and acculturation through the use of e-learning and other web-based tools is the best choice for a large workforce.

Compliance: Oracle’s focus on compliance deals with diversity and licensing. These are important metrics, but most non-compliance in onboarding is due to incorrect or incomplete forms and missed deadlines for completion/filing. Software such as Universal Onboarding not only allows HR to see that forms are completed fully and on time, it also enforces rules for compliance. This is the logical next step after analyzing current compliance levels. Since adherence to state and federal laws is built into the system, HR can easily compare it with old, paper based practices to see an immediate improvement in administrative processes.

Wednesday, May 4, 2011

Summer Seasonal Hiring is a Hot Topic

Summer is approaching and lots of businesses are taking steps to cope with the influx of customers that is already occurring. Tourist hot spots around the country are definitely getting ready for the peak season. However, closer to home there are also retailers staffing up. Workforce.com points out that warm weather brings out the DIY home improvement crowd in droves. This means industry leaders like Home Depot and Lowe’s are in the market for lots of new talent. These companies have been planning for the big spring and summer hiring push since last fall. The process of hiring tens of thousands of part time workers began in March and is still ongoing.


Quality as Important as Quantity

Customers who go to a home improvement store are usually not there just to browse. They have at least a general idea of what they need – but not necessarily where to find it and which item will work best for their project. New hires in these stores have to learn very quickly how to assist customers. It’s not good enough to have dozens of employees on the floor if only one or two have the knowledge and experience to actually locate products and help customers make smart selections. Home Depot in particular is taking steps to standardize and improve training for new hires. That way, they can fulfill their role without the customer ever realizing they are talking to a “newbie”.

Online Learning Helps

Virtual training tools are making a huge difference in the efficiency and speed of training. Home Depot claims a 90% decrease in the number of training hours required per seasonal employee since implementing its own customized e-learning program. New hires can access their training materials via the web at home or at work and become proficient in basic job skills (like product knowledge and store layout) faster.

Emerald Software Understands Speed

Our Acculturation Portal and Universal Onboarding modules are designed to achieve greater speed to productivity for new hires. These tools make HR’s job easier – especially during peak hiring seasons when getting part time employees up to speed is critical for capturing seasonal revenue. Fortunately, our products are easily adaptable to any business large or small with pricing that makes it affordable for every client.

Monday, May 2, 2011

Why HR Analytics Matter Part 1

At mid-sized to large companies, extensive HR software use is the norm. However, not all programs are created with the same capabilities; and even the best software doesn’t act as an effective business tool if it isn’t being used to its full capacity. Oracle and CedarCrestone have published a whitepaper about HR technology and processes as they relate to driving return on an organization’s human capital investment. The paper naturally focuses on the ways Oracle’s products support the effective use of HR analytics. However, the principles discussed can be used to evaluate your use of any current HR application and help you explore the value of new products.

The Paper’s Conclusions

• Businesses may experience significant losses of talent as the job market improves and employees leave to look for more satisfying work experiences or better compensation.

• Today’s businesses have access to software tools that can identify high value employees and factors that drive satisfaction. Employers need to start leveraging this information to retain talent.

• Businesses can make wiser human capital investments in areas like employee development with the use of more accurate HR analytics.

Survey Results

One part of this paper that you will definitely want to read is the section that offers information about performance for businesses that leverage existing and emerging HR technologies properly. This is the kind of data HR can bring into discussions with C-suite executives to make the case for investing in relevant HR technology. For example, the combination of ESS, MSS, and an automated HR help desk is linked to higher operating income growth compared to businesses that don’t implement these applications. Universal Onboarding is another self-service application that would dovetail well with the trend toward relieving the burden on HR and increasing worker satisfaction.

Next week, we’ll look at the ways HR analytics support best practices and how onboarding fits into the picture.

Tuesday, April 26, 2011

HR Software Selection Myths Part 2

In the second part of this series, we’ll look at some more of People-Trak’s Software Myths and Legends (based on this informational article) from an onboarding perspective.


HR Department Job Loss

It’s understandable for HR staff members to feel threatened by the implementation of automation products. After all, there’s a long history in this culture of replacing people with machines that can do the job better, faster, and cheaper. But many organizations have a woefully understaffed, chronically overworked HR department to start with. Employers typically want greater efficiency and strategic improvement more than they want to cut their HR headcount. Automating a process like onboarding simply frees up HR to start using its own human resources more effectively. For example, HR staff can spend more time with each new hire making them feel welcome and comfortable instead of plowing through a stack of forms.

Implementation and Consultation Worries

As the folks at People-Trak mention, a small to mid-sized business shouldn’t have an excessively lengthy implementation for HR software. At Emerald Software Group, our onboarding software clients are typically medium to large sized businesses. However, there’s still a fairly modest time commitment involved for implementing the basics of Universal Onboarding (forms automation, policy acknowledgements, Payroll integration). Further interfaces can be phased in at a pace that is convenient for the client so that everything goes smoothly.

We do recommend collaborating with an HRIS analyst to speed things up. If you have an analyst on staff, that’s perfect. He or she will have a full understanding of your business, HR, and IT processes. If not, we can still work with HR and IT to make sure everyone is on the same page about things like system requirements and functionality. We’ve structured our onboarding products with ease of customization (such as look and feel) in mind. We also have a long list of interface solutions prepared for commonly used HRIS and Payroll applications. If you have non-standard back end systems, that’s fine too. We are always looking for more opportunities to expand our experience interfacing with new products.

Monday, April 25, 2011

HR Technology and Worker Privacy

Workforce Magazine has a somewhat disturbing article online this week about the applications available to HR for monitoring employee activity on the web. These new tools go far beyond simply documenting worker use of company computers. Keyword recording software and firewalls that block access to certain sites are commonplace enough that they no longer raise eyebrows.

The latest generation of monitoring software takes surveillance to the next level. Besides taking screenshots of every web page an employee visits at work, it can also scour the web in general to dig up information about workers that might raise a red flag. It doesn’t matter if the employee (or someone else) posted questionable content at home on their personal time. If the employer can sniff it out, they may use it to make disciplinary decisions.

Examples of images and content posted on social networking sites that have resulted in suspension or termination recently include:

• Photos of a female employee at a bachelorette party (with live entertainment) posted to the internet without her consent

• Negative comments about working conditions including criticism of a particular supervisor posted by an employee on her own time

The employees in the widely publicized cases above ended up on the winning side of court cases against their employers. However, the battle over free speech and privacy vs. corporate interests is just getting started. Read the full article to get a feel for the arguments made on each side of this tense issue.

HR Tech Doesn’t Have to be Invasive to Provide Benefits

There’s no consensus, but the middle ground seems to be that encouraging employees to behave responsibly online is the safest, least invasive action employers can take. One way to do this is through acculturation onboarding that provides clear information about employer expectations. Assisting employees in participating on the company’s own internal networking platform could also give them a place to socialize during work hours without breaking any rules. Our Acculturation Portal supports both of these initiatives to help employers set healthy boundaries and communicate about appropriate behavior.

Tuesday, April 19, 2011

What’s Up With IaaS?

Cloud services are typically grouped into 3 categories. Software as a Service is the best known option since hundreds of vendors in HR software and related business spheres provide their services via this model. Our Universal Onboarding program is an example of an application that can now be accessed in a cloud-based format for clients who want to get on board with this technology. Platform as a Service is becoming popular with both vendors and end users who need an affordable and readily scalable base on which to construct custom applications. Infrastructure as a Service (IaaS) is the third category. This sector is poised for exponential growth as organizations migrate from legacy server systems to virtual servers.


More Companies are Switching

According to CIO.IN, 25% of organizations are currently planning to take advantage of IaaS through third party providers like Amazon and Google. These companies use virtual servers to shift loads around the cloud and make the most of available resources minute by minute. This is in stark contrast to traditional data centers that typically have a great deal of infrastructure available at all times but rarely operate anywhere near peak capacity. Legacy data centers have to be constructed to factor in plenty of capacity for those times when demand increases, and customers pay for the assurance of this availability even when they aren’t using it.

The Cloud IaaS Difference

With cloud infrastructure, usage is metered. Customers pay for what they use and can scale up or back at any time. This is particularly useful for IT in the development and testing of new applications that may require additional server space on a temporary basis. The organization doesn’t have to invest in permanent infrastructure upgrades to avoid interfering with other processes on their existing servers. For inward facing applications such as HR, IaaS could offer an organization the ability to explore new training and development programs cheaply and effectively.

The corporations running the cloud infrastructure have access to such a massive quantity of server resources that available capacity for their entire customer base is more than adequate even when demand is high. At the same time, it costs a fraction of the expense of running a legacy server system in terms of energy. This means customers often pay much less than they would when running their own servers in-house or outsourcing to a non-virtual infrastructure provider.

Monday, April 11, 2011

HR Software Selection Myths Part 1

People-Trak has an educational pdf available about HR software myths and legends. It offers a look into the mindset of the inexperienced software buyer. It’s definitely a thought provoking piece and worth a read. Here are some of the highlights along with how they apply in the field of onboarding software.


HR Software as the Unlimited Problem Solver

Just as HRIS won’t make all your blues go away, an onboarding system isn’t guaranteed to eliminate snafus. Not every software product for new hire onboarding is created equal. You need one (like Universal Onboarding) that will enforce rules regarding how each data panel is completed. Otherwise, HR will still spend hours dealing with exceptions in new hire forms. You also need to take a close look at all the policies you have new hires sign off on during onboarding. Your software can support you in collecting acknowledgements, but it won’t protect you from litigation if your policies are not compliant with labor laws.

HR Software Complexity and Expense

It is possible to overspend on HR software – if you don’t understand what you need. You should review both the actual functions of an application and how each function dovetails with your organization’s business strategy to determine whether a product is worth its price tag. For example, onboarding that enhances compliance and automates processes has a high value for any business. With SaaS options and a fee based on a “per new hire” schedule, the costs are minimized without sacrificing quality.

Extensive HR Training Requirements

People-Trak suggests that HRIS software should be designed to simply automate tasks and therefore should require little training. We agree that a well-designed system should be easy and intuitive to use. But it’s not true that automation is all an application should offer. If a software product does not actually improve the way you carry out HR processes, it’s probably not a Best of Breed solution.

Wednesday, April 6, 2011

HR Software Implementation – Who’s On First?

Compare HRIS has a great article available about setup order for employers who are looking to implement multiple HR applications. The short answer to the question about which one goes first is “It depends”. As Clay Scroggin points out, typically you want to start with what’s most important. For a company that is making the switch from a paper based system to a paperless one, the obvious first step is a basic HRMS database. That’s because any data collected with other applications (such as ATS) will probably feed into this system. Plus, it provides the foundation from which other applications (such as Payroll) will draw their information.


Choose What Will Provide the Greatest Benefit Right Now

Assuming you’ve already got your basic employee database covered, you can branch out based on your business priorities. Your goals might include relieving some of HR’s administrative burden and increasing employee satisfaction by implementing an ESS. For some businesses, better performance management and employee development are the logical next steps. Or, you could automate onboarding to increase compliance and protect against audits, fines, and litigation.

Consider the Complexity of Implementation

Another thing to bear in mind is the amount of time and effort required for user adoption. For example, an MSS portal requires your organization to spend time training every manager on how to use the system and following up to make sure they use it consistently. With a module like Universal Onboarding, new hire end users don’t require any training – it’s a wizard based application that walks them through everything step by step. HR’s side is also straightforward since it uses tools like Adobe that most people already have some familiarity with.

Finally, there’s the issue of IT involvement. The more complex the implementation, the more time and effort it will take to complete. Employers may wish to begin with something simple to start the software project off on the right foot. At Emerald Software Group, we recommend a phased implementation for clients who want to interface onboarding with multiple back end systems. This approach gives HR tools like error and omission free new hire data collection and payroll integration they can use right away. These features capture most of the value and functionality of the application. The second phase allows completion of the remaining interfaces with excellent attention to detail and without the type of rushing that could lead to a poor outcome.

Thursday, March 24, 2011

Making The Case For ESS And Onboarding

Hagel and Company have put together an excellent article on how to build a business case for buying HR software. The arguments they make are designed to convince executives to invest in HR technology such as ESS even when the economy is taking a beating. Here are their arguments and some thoughts about how implementing an ESS and Onboarding at the same time might be an even smarter move.


HR Software Must Align With Business Goals

Pretty much all businesses want to increase productivity while lowering costs, so that’s a good goal to align your HR software purchase with. Reducing or eliminating paper forms is one way an ESS can help achieve this goal. It also means each employee is responsible for making updates to his/her own data directly in the database, saving HR the trouble of rekeying data into the HRMS.

Sound familiar? Yes, Universal Onboarding does the same thing from day one when most employee paperwork is typically generated. When you use automated onboarding, new hires will naturally adopt use of the ESS as well. It promotes a DIY culture that can minimize routine employee queries to HR. Interfacing onboarding directly with an ESS portal means no extra work for HR in setting the new employee up in the system.

Stop Wasting Time

Hagel and Company point out that 80% of HR’s time is spent on low value, routine processes. They don’t mention where they got that statistic, but even if your organization only spends 50% of HR’s labor hours on repetitive admin, that’s too much. Automating the transfer of ESS and onboarding data into an HRMS or other back end systems saves HR time and reduces errors. The time saved can be used to mine data from these applications to be used in developing better HCM strategies.

Positive Framing is Essential

Check out the full article for how the author suggests framing your business proposal. It involves steps like identifying the functional requirements for the system, explaining the shortcomings of your current system, and more. One step that differs is the ROI calculation. The author mentions the costs being loaded at the front end. That’s true for traditionally licensed software. With SaaS, the costs remain constant (and affordable) over time.

Combine Your Efforts

With either approach, there will be a time investment with IT and HR to implement the onboarding software. The time commitment varies depending on the number of integrations required. Assessing onboarding and ESS at the same time makes it possible to ensure the systems are compatible (Universal Onboarding is compatible with most ESS portals). Plus, rolling the two projects into one might make it easier to get IT to collaborate.

Tuesday, March 22, 2011

HR Software Metrics

Now more than ever, HR is looking at hard numbers to make decisions about HCM strategies. This is becoming easier since HR software vendors are incorporating better tools for analysis and reporting into their products. These days it’s possible to measure in detail how a wide spectrum of workforce related decisions impact business outcomes. But evaluating the past in light of the present is just one way to look at the data. It can also be used for predictive purposes. Workforce.com has put together an article outlining how some companies are using workforce metrics for forecasting and planning – the latest strategic implementation of HR technology for employers who want an edge on the competition.


Adequate Staffing Requires Foresight

Predicting the need for and availability of labor is the most obvious type of HR analysis. Recruiters need to understand how a combination of factors such as future growth and potential attrition of key existing employees will impact staffing requirements and capabilities. This makes it possible to create retention and succession strategies targeting positions that are at the highest risk. Appropriate use of predictive HR metrics could also lead to better choices during recessions. Too many employers have found out the hard way that they laid off the wrong people over the last few years. Now, there’s a critical shortage in areas like development and middle management where employees are not easily replaced.

What Could Change for HR?

The emphasis on forecasting may lead to a greater demand for HR statisticians. The ideal candidate would be someone who understands software (like an HRIS analyst) so the best tools are implemented for capturing the right kind of data. This statistician would also have to understand how concepts like employee engagement intersect with hard numbers.

Onboarding is Ripe for Further Analysis

One area that is being studied for its ability to predict turnover is onboarding. According to information compiled by the Aberdeen Group, companies that have a well developed acculturation onboarding strategy fare better than their counterparts in retention of talent. Onboarding software plays an important role in ensuring new hires are fully equipped and engaged. Applications such as our Universal Onboarding and Acculturation Portal provide analytic tools to help HR measure outcomes and identify ways to increase efficiency in onboarding.

Tuesday, March 8, 2011

Oracle Brings Fusion To HR Software

In the field of HR software, Oracle is one of the most readily recognized names. As a market leader, it’s long been the company employers watch to see which way the wind is blowing with advancements in HR technology. However, for a number of years Oracle’s response to the development of SaaS as a delivery model has lagged behind smaller, more agile contenders.


Perhaps the software giant didn’t want to acknowledge any advantages of SaaS because it would make their own licensing model look less desirable. Here’s an example of an article lambasting Oracle president Charles Phillips for spreading what the author describes as misconceptions about SaaS. These include several erroneous beliefs about what customers supposedly “want”. As the past few years have demonstrated pretty conclusively, Phillips was wrong on several counts. Customers want flexibility, cost efficiency, and vendor accountability – three features that are often lacking with traditional licensing but that are a core part of SaaS.

Oracle Announces Fusion Solution

Now, Oracle is finally catching up with the competition. The company is preparing to roll out a whole suite of HCM applications that will be available via SaaS as well as on-premise licensing. The Fusion elements will include 15 HR modules ranging from existing products like payroll management to brand new talent management apps. Some of the Fusion features were gained through acquisition of smaller HR software companies; others have been custom built specifically for the Fusion line. One primary focus is on promoting a user-friendly, highly visual experience for HR administrators and managers.

A possible effect of having a SaaS version of Oracle HR software available may be a shift in the customer base. If the pricing is right, smaller businesses that could not previously afford Oracle’s license fees might be able to try these web-delivered services at a lower cost. It remains to be seen whether Oracle will be able to evolve its software at the pace seen with other HR vendors who have been using the SaaS model for many years. Typically, the philosophy and strategy behind agile application development is something that the largest HR software companies struggle to grasp.

While these companies often have a comprehensive product base, they don’t necessarily have the Best of Breed solution in many areas. That’s certainly true of onboarding. Right now, there’s still no solution that even comes close to Emerald Software’s Universal Onboarding for speeding new hires to productivity while ensuring full HR compliance.

Thursday, February 24, 2011

What Are The Benefits Of HRMS?

Why is it that a company that is willing to spend big bucks on Enterprise Resource Planning software is sometimes reluctant to make a significant investment in a Human Resource Management System? There are usually several reasons:


• HR processes often receive serious attention only when things go wrong. Executives are used to taking a reactive approach rather than a proactive approach for handling needs and requirements in this department.

• Historically, HR has been given only limited access to the “strategy table” where long term business goals are discussed. Many HR professionals lack experience gathering objective data on HR processes, developing a strategy for improvement, and communicating this information to executives in a compelling way.

• Employers are well versed in outside market factors that can influence profitability but unaware of internal compliance issues that greatly increase financial risk.

A business that wouldn’t dream of using outdated technology to track customer orders or inventory may still be using a legacy system for HR. If an employer believes that HR needs only a database to store information on employees, this mindset makes a certain amount of sense. However, the functionality necessary to retain, distribute, analyze, audit, and leverage data to effectively manage a workforce is only available in an actual HRMS. A Human Resources department cannot reach its full potential without this tool.

HRMS Components & Benefits

Payroll, benefits administration, workforce management, and time/attendance are the four basic components Clay Scroggin lists in his excellent article on HRMS. Each one of these plays a role in allowing an employer to track and control costs. More sophisticated workforce management systems that incorporate applicant tracking, employee development, and succession planning features offer much more. They can be used to fully realize the potential of each worker and of the employee base as a whole. These programs may also include ESS and MSS portals that further reduce HR labor while increasing end user satisfaction.

The fact that more processes can be automated using an HRMS is one thing that makes it attractive to executive decision makers. This is an area that HR should focus on when making a business case to acquire an HRMS. Another important characteristic of a well designed system is that it increases compliance. For example, few employers know all the rules for retention of various types of workplace documents. At Emerald Software, compliance is our #1 focus. Our Universal Onboarding application is an example of a module that can be added to any existing HRMS system to decrease the risk of fines, penalties, and litigation.

Monday, February 21, 2011

More HR Tech Best Practices

Last week we looked at a couple of items from Workforce Management’s latest technology whitepaper (go here to get your free copy). This time, let’s explore a few more concepts from the paper’s contributors and how they relate to onboarding practices and HR software.


Virtual Learning for Leadership

John Ambrose from Skillsoft points to the benefits of using online training to develop new leaders within an organization. The lower cost and higher convenience level of web-based education make this a popular option for many employers. It’s a particularly helpful technology for newly hired managers who need to get up to speed quickly without spending too much time away from the workplace.

From the perspective of social support, virtual interaction can be helpful in mentoring employees at every level to encourage leadership growth. Online training and skills testing implemented during acculturation onboarding can also make it easier for employers to identify high-potential employees early on. Emerald Software’s products support integration with virtual training vendors and internal social networking platforms to help achieve these objectives.

HR and Employees Benefit from Tech Trends

Sumtotal Systems offers a roundup of 6 trends that can dramatically increase strategic performance for HR. The move toward software that captures information for analysis is one of the most interesting. HR needs solid business intelligence data to boost productivity and decrease operation costs. In onboarding, this type of data can be collected and used to measure the average time to productivity for new hires and areas for HR process improvement.

Another trend is the implementation of employee self service portals. Putting an onboarding module in place is the logical first step for organizations that want to make workers more self-sufficient and ease the burden on HR. A well designed onboarding application can be set up to automatically distribute error and omission free new hire data to an ESS platform. From there, it can be updated by the worker as changes occur over time.

Monday, February 14, 2011

HR Tech Best Practices

Workforce.com has a new whitepaper available on Best Practices in HR Technology. It’s free (registration required), so make sure to request a copy. The paper covers different aspects of technology selection and implementation with contributions from major players like SAP, Ultimate Software and Workday. The first segment is about questions HR should ask potential vendors. Not surprisingly, 2 of the 7 questions are about SaaS. Customers expect 24/7 accessibility and selecting a web-based application is one of the easiest ways to ensure this.

Ultimate Software also talks about the latest HR technology buzzword “unified”. So, you can expect to see more discussions comparing pros and cons of unification vs. integration – just like the current discussions about integrating vs. interfacing. Of course, as a suite software provider Ultimate Software has a vested interest in highlighting any problems with integrating applications from multiple vendors. There’s a balance to be struck between the ease of using a unified system and the strategic benefits of selecting and integrating Best of Breed modules. Chuck Ros talks about precisely this topic in his ere.net article here.

A Payroll Provide Weighs In

Perquest offers some interesting insights about the complexity of HR. According to a recent research study, human capital management at many mid-sized companies is as complex as it is for large organizations. The belief that the challenges faced by HR are directly tied to the size of the workforce is widespread but just doesn’t hold true. So, mid-sized employers may be allocating less money than they should to strategic technology initiatives for HR. This can have serious repercussions.

The fact is that a mid-sized company must meet the same standards as a large company for labor law compliance. The actual risks associated with non-compliance in HR may actually be higher for mid-sized businesses than for large businesses. A single costly incident can disproportionately impact an organization with less capital and fewer high-priced lawyers on speed dial.

Perquest noted that the complexity of compliance is one reason employers often outsource various HR and Payroll functions. However, there are some processes such as onboarding that can’t be effectively outsourced (since using a PEO doesn’t necessarily protect against non-compliance penalties). So, HR may want to use a blend of outsourcing and internal process improvements to achieve their compliance objectives. Implementing Universal Onboarding is a good place to start for mid-sized businesses since the costs are low, ROI is swift, and the benefits are easy to communicate to upper management.

Wednesday, February 9, 2011

What Is Your HRIS Input?

HR software expert Clay Scroggin has an interesting perspective on one aspect of HRIS that some clients don’t think about until after they’ve bought a product – how much input will be required? He breaks down the topic into several different categories. First, there’s the data you will have to transfer as a one-time effort. This could include importing from other existing programs such as from a simple employee database into a full service suite. He points out that benefits data is often not directly transferrable and has to be typed in painstakingly by hand (although this is changing in the age of SaaS applications which often have a high level of built-in interoperability).


Then, there’s the data that needs to be updated on a regular basis. An interface can allow this to happen electronically; but there’s often still some human action required to set the process off. Even if it’s as simple as pushing a button to run the importing function once a week, that’s still something that HR has to remember to do - or IT has to set up a script to run the transfer of data automatically. There will always be differences in content between HRIS and other systems (such as Payroll) in terms of real time data unless they are actually fully integrated with one another. There’s a third type of input, but you’ll have to read Scroggin’s article to find out what it is.

What’s the Input for Universal Onboarding Software?

An onboarding module requires input just like any other aspect of HRIS. The first set of data is input by the new hire. Some of this information may actually be imported from a recruiting module if one is interfaced with the onboarding system – but either way that part of data entry is done by the job candidate or new hire rather than by HR staff. Once the new hire’s part is done, the forms are forwarded to the hiring manager and/or I9 administrator for review and final signatures. Input of information into e-Verify may be required at this time. The distribution of data to other back end systems can be carried out automatically based on internally determined rules. HR may also need to add new forms or update old ones from time to time (e.g. company policies). However, all government forms are kept current in the Universal Onboarding library by Emerald Software Group so HR doesn’t have to worry about that particular input.

Tuesday, February 8, 2011

How Can Onboarding Software Be Leveraged To Save Money?

Over the last few weeks, we’ve looked at the ways HR software delivered via SaaS and cloud computing is attractive to business owners; but what about onboarding software in particular? Where does it fit in the strategic picture for IT, HR, and business leaders looking to cut costs? Are there any compelling reasons to add an onboarding module to a suite of advanced SaaS HR software that already has recruiting, training, benefits management, ESS, and succession planning functions?


Actually, there are several arguments that can be made for the value of an automated onboarding program no matter how good the rest of your HR software already is. First, the quality of the data in your HRIS database is only as good as the data entry that supports it. New hires often make errors in their paperwork or leave out critical information on electronic forms. If HR notices these mistakes, they may get fixed (requiring extra work). If not, data errors end up going into the system where they may be distributed to other applications.

For example, a W4 with conflicting elections will wind its way to Payroll where it can cause problems with tax deductions on an employee’s paycheck. With an I9, the issues might not become apparent until the ICE auditors show up – and then it’s too late. Automated Universal Onboarding software completely bridges the data collection gap between Recruiting and general HRIS. It eliminates redundant data entry and prevents new hires from making mistakes or leaving required fields blank on their electronic forms.

So, these are 2 of the most obvious ways onboarding software can be used to save money:

1. Eliminating errors and omissions in both initial forms completion and distribution of data to HRIS and other back end systems. This increases compliance with labor laws and with internal company rules.

2. Replacing an inefficient hybrid of paper and electronic systems with a fully automated virtual HR process for onboarding new hires. This cuts administrative costs immediately and supports corporate eco-friendly initiatives.

The SaaS and cloud based versions of Emerald’s onboarding solution also deliver benefits such as vendor-provided maintenance, high levels of data security, constant system availability, pricing based on actual usage, and immediate scalability during peak hiring seasons. Finally, increasing the efficiency of data collection during onboarding permits the implementation of tax credit forms that allow businesses to capture incentives from both state and federal governments.

Monday, January 31, 2011

What Do Employers Want To Know About Buying HRIS?

Compare HRIS.com has an extensive knowledge library on HR and Payroll software topics. Some of their articles are more popular than others. So, they’ve taken a look at the top 10 most frequently read pieces. These offer a sneak peek at what business owners and HR decision makers want to know as they shop for HR software. Most of the topics that get lots of hits fall into 3 basic categories: money, IT, and functionality.

Money

There are two things employers want to know about HR software. First, how much will it cost? Second, how much will it save? Smart vendors generally answer both these questions by answering a third: How much is it worth? Author Chris Scroggin points out that it’s nearly impossible to do an “apples to apples” price comparison for HRIS software with an online search. That’s because companies that offer high value software typically choose to demonstrate that value to a customer before going into detail about price. As time consuming as it may be, it really is necessary for software vendors to consult with HR clients to identify their specific needs. Then, vendors can show how their HRIS software can be leveraged strategically to reduce administrative overhead and speed ROI.

IT

Information about how to work with IT in selecting and implementing HRIS is always a big draw for HR professionals. CEO Shafiq Lokhandwala from NuView HRIS Payroll, Inc. offers a tongue in cheek look at this topic in “IT is from Mars & HR is from Venus”. At Emerald Software, we encourage clients to enlist the aid of an HRIS analyst to help bridge the gap between HR and IT. This does wonders for ensuring successful implementation, integration, and interfacing with minimal conflict.

Functionality

As with any complex buying decision, sometimes you just don’t know what could benefit your organization until you realize what’s available. For example, it’s not unusual for an HR client to look at Universal Onboarding and discover that the application addresses compliance issues they didn’t realize they had. So, HR decision makers are looking for information that educates them about what they need and how to get it. It’s also interesting to look at what is important to other employers when they start shopping for an HRIS system. Check out this breakdown (by company size) of what HR typically views as the most and least critical software features.

Monday, January 24, 2011

Why Buying Specialized HR Software Makes Sense

A recent HR software debacle at Wichita Falls ISD demonstrates that applications that try to do too much can be less useful than a series of well designed niche solution. The school’s CFO (Tim Turner) faced some tough questions recently from school board members about their $1 million investment in software from Prologic Technologies. The suite they bought includes such features as grade tracking, core HR, and paycheck issuance. That’s a pretty diverse range of functions to include in one software package.


Three years into the implementation, the WFISD’s CFO is very displeased with how much time he has to spend every week administering the software. He’s especially tired of dealing with glitches that cause misprints on paychecks. Turner admits that these problems usually crop up when there are errors or omissions in the information entered on the HR side. Since how teachers (especially substitutes) are paid can vary depending on many factors, getting the data right is challenging. The system apparently doesn’t include built in rules to help ensure that information is entered correctly.

Software Doesn’t Offer Full Functionality

One issue that the software vendor definitely should have addressed by now is the fact that Turner can’t generate the reports he really needs. This limits visibility into budget management – a huge concern for pretty much every school district in the country. The WFISD suspended payments to Prologic months ago because of ongoing dissatisfaction with the software’s performance. They want to give the vendor one last chance to get the bugs fixed. If that doesn’t happen, they plan to cancel their contract and review the original bids they received from other vendors in 2006 to find an alternative solution.

Why Looking at Outdated Quotes Isn’t Likely to Help

Given how fast the software landscape evolves, that might not be the best approach. To really get what they need, the board should take a fresh look at their specifications and expectations and clarify their requirements. The valuable lesson WFISD can learn from this experience is that they need to work with a vendor who understands the special challenges of the education industry and can create a tailored solution.

They may not be best served by a single provider either. Instead, they may want to have each function serviced by a separate SaaS vendor (with appropriate interfaces between applications). This could entail a couple of benefits. First, they won’t get so enmeshed with one vendor that they are stuck spending years putting up with less than satisfactory customer service. Second, they can select Best of Breed applications that limit human mistakes. As we’ve demonstrated with our Universal Onboarding software, eliminating errors and omissions is just a matter of making this a priority in the design stage.

Thursday, January 20, 2011

Interesting HR Software Acquisitions

If your organization does business with any of the major players in the HR software industry, you may see some new product offerings in 2011. Last year, a large number of firms made strategic acquisitions of products to add to their portfolio of applications. Here’s a quick look at a few that made the news:


Epicor Acquires Spectrum
This is a significant acquisition for a couple of reasons. It is a blending of separately developed Enterprise Resource Planning and Human Capital Management solutions to be distributed now through a single vendor. Epicor, in choosing to buy Spectrum is showing that web-based HR software is viewed as adding value to the business services software the company makes available to clients. Epicor is leveraging cloud computing and SaaS to make this end-to-end solution highly accessible for a global customer base.

Lawson Absorbs Enwisen
Another SaaS acquisition that hit the news in December is HR software provider Lawson buying Enwisen. Previously, Lawson was reselling Enwisen’s services to its clients. So, they knew the demand was healthy. The addition of this Employee Self Service application rounds out the company’s suite of HR and business solutions.

Administaff Buys OrgPlus
In an example of an HR services firm outside the software field buying up valuable tools, Administaff purchased the OrgPlus line of applications from HumanConcepts. This gives the PEO firm a useful tool to assist clients in planning and modifying their organizational structure. Mid-sized and small businesses may benefit from having access to this application to determine their staffing (or employee leasing) needs on an ongoing basis.

Buying Frenzy Still Ongoing

That’s just brushing the surface of all the deals that went down in 2010. Workforce Management has an overview of additional acquisitions in the talent management field. One aspect of all this buying and selling that may impact customers is the fear of service disruption. Fortunately, with web-based applications the transfer of responsibility from one vendor to another is often easier than it would be with on-premise licensing.

What is clear is that suite HR software vendors know there are still many niche product out there that are better than what they are currently offering their clients. That’s why they are rushing to buy them up. At Emerald Software Group, we take a slightly different approach. We focus on partnering with other firms that are offering their own Best of Breed products that interface with our AllegroHR applications. That way, our clients can choose exactly the services they need for their specific industry without paying for anything they don’t need.

Tuesday, January 18, 2011

Cloud Computing Primed For Expansion

In 2010, HfS Research and the London School of Economics surveyed over 1000 organizations about their outlook on Cloud Computing in the business software sphere. The results clearly show that top level executives are buying into the concept of the cloud in record numbers. What’s interesting is that CEOs and COOs appear to be even more excited about this technology than CIOs are. They view the benefits of outsourcing portions of their IT infrastructure management and tapping into the Best of Breed applications available as the result of low-cost software development as key for promoting more cost-effective business practices.

This doesn’t mean IT executives are hesitant about adopting cloud-based software. In fact, according the HfS survey results, 1 out of 3 CIOs anticipate using a significant portion of their IT budget on cloud based business services in the coming year. Mid level IT managers are a little less eager to see their organizations make the switch. This might be because the need for employers to keep managers on staff to supervise low level IT personnel will decrease as more day-to-day maintenance functions are outsourced to cloud providers. Organizations may be looking to pare down their IT staff to a few good strategic planners and savvy trouble shooters. This, in turn, may make things easier for HR by reducing the demand for a steady stream of IT hires (a field where demand often outstrips availability of talent).

What Do Leaders Find Attractive about Cloud Services?

Both general business executives and CIOs are attracted to the cloud for many reasons.  However, interest from non-IT executives is particularly high when it comes to the following benefits:

• Faster implementation of mission critical, best in class software applications that would have been unavailable or too difficult to access using a legacy system

• Less reliance on IT to create custom applications that support business goals

• Money spent on IT actually being used to improve business processes throughout the organization

Emerald Software Group has been keeping up with the latest trend by making applications such as Universal Onboarding available on one of the industry’s leading cloud platforms. You can read more about the benefits of the cloud approach to onboarding over at Chuck’s blog.

Friday, January 14, 2011

Is Fast HR Software Right for Your Business?

Workforce Management has an interesting article online about the ways HR gets bogged down when it comes to software development. The piece focuses on a new concept called “Fast HR”. This approach to the development of training materials and other HR applications is based on the idea that it’s better to have something usable in a short time frame than something perfect that takes so long to complete that it is outdated by the time it goes live.


One software expert interviewed for the article noted that it can take almost a year of preparation to create a 1 week instructional course. That’s just too long when an organization’s needs change rapidly. In another example of the snail-pace of some HR processes, survey data collected from employees at large organizations may take months to analyze. By the time the results are turned into a final report, they are no longer representative of the current opinions of the workforce.

Fast HR Requires Clear Thinking

The key to shortening the time required to roll out new processes involving customized HR software is to focus on what’s important. In the software development industry, there’s a project management method called Scrum that offers a peek at how this works. This process includes making a wish list of required items, prioritizing them, and working in short bursts on the most critical pieces. This ensures that no matter when the project ends, it has resulted in the production of a useful solution.

For this approach to work in HR, an organization must be very clear on the goals of its software. That’s because it simply isn’t possible to include everything when using this agile development method. It also isn’t realistic to expect the results to be error free. This means that HR has to have a platform in place for receiving feedback about any issues employees experience in using a particular tool. Then, there has to be a commitment to follow up and fix the problems.

Pros and Cons

The benefit of this continuous approach to software development for HR is that it provides a solution quickly to move an organization toward achieving its objectives. The downside is that it is requires ongoing resources and attention. It will never be truly “finished”. Of course, with a field that keeps changing as fast as HR, no application ever outgrows the need for revision and updating.

Emerald Software Solutions

Both the Universal Onboarding and Acculturation Portal we offer lend themselves to ongoing customization. HR can add panels on an as needed basis – starting with the most important. Typical times to implementation are in line with Fast HR methodology while still promoting a high level of compliance.

Friday, January 7, 2011

Buffet Style Product Selection A Benefit Of Web 3.0 HR Software

Robert Grey at Human Resources Magazine offers an in-depth look at cloud computing and how it will impact both software vendors and purchasers in HR. One area where web 3.0 applications may come out ahead of traditionally licensed suite software is in the way services can easily be split up and sold separately. The big names in HR software still focus on providing entire suites of applications. That’s a selling point for some employers. They want one-stop shopping for all their HR software and believe having it all sourced from a single vendor will make it easier to maintain. The up side for these vendors is that they capture all of an HR customer’s business and can sell them a bundled package that includes all (or most) of their applications.


Why Pay for What You Won’t Use?

The downside (from Grey’s perspective), is that many HR departments don’t really need all the modules they are being sold. So, they may end up paying for stuff they really won’t use. This doesn’t line up well with the drive toward lean and streamlined processes in other areas of business. As HR begins to rethink its software budget in light of which precise products it really requires, the perceived wisdom of purchasing a whole system may change dramatically.

Some traditional HR software suppliers are catching on to this by permitting HR clients to pick and choose from among their product offerings. However, this has only made it more apparent that the individual components of some of these suites lack the type of functionality HR is looking for. This leaves the field open for best of breed web 3.0 HR software providers to serve this growing customer base. Some employers may even choose to invest in their own PaaS platform that permits IT to develop specialized HR applications internally at low cost. Grey doesn’t see cloud base applications as replacing core HR systems. However, the future looks very bright for niche solutions such as new hire onboarding that can be readily interfaced with an HRMS.

Tuesday, January 4, 2011

Microsoft Talks SaaS

Microsoft is a leading force in the cloud computing revolution, so it’s not surprising that they have an interest in educating consumers about Software as a Service. Their knowledge library includes helpful information for IT departments exploring the benefits of SaaS. The material presented is straightforward enough for decision makers outside of IT to grasp easily as well. So, it’s a good resource for HR directors and VPs who want a crash course on the topic.

Risk Reduction

One of the first areas addressed in the MS article on SaaS is on reducing risk for IT in software selection and implementation. Acquisition and deployment is a risky process for IT. Rolling out an enterprise-wide system is complex, time consuming, and costly. With on-premise software acquisition, it is not unusual to get partway into the project and discover that it will be significantly more difficult and expensive than originally assumed. However, it is often too late to turn back at that point because a substantial investment has already been made.

Implementing SaaS isn’t always a walk in the park, but it is much easier to walk away from an SaaS deployment if it isn’t working out. This increases the chances that the final outcome will be satisfactory rather than a compromise that was reached just to put a cap on a project that is turning into a “money pit”.

IT and HR Both Stand to Gain from SaaS

Microsoft makes a good point that SaaS offers IT an opportunity to shift its focus from administrative tasks such as maintaining software to more strategic initiatives. Instead of spending all its resources on supporting the software applications, IT staff can turn its attention to ensuring that the applications in question are actually aligned with the business objectives of their organization.

In the case of Universal Onboarding software, SaaS delivery accomplishes the goal of creating greater efficiency for both IT and HR. With this application delivered via the web to handle new hire processing, IT and HR can spend less time trouble shooting and responding to crises and more time finding ways to increase performance, productivity, and workforce satisfaction.