In this year’s Global Human Capital Trends survey, 74 percent of respondents rated HR technology as important or very important, and 21 percent called it one of the three most urgent topics their organizations faced moving into 2019. While billions have been invested in integrated cloud-based systems, many organizations tell us they are still not satisfied, and research shows that the average satisfaction with these systems is only 3.3 out of 5—a drop of 3 percent over last year [i]. In fact, after investing more than US$20 billion in HR technology over the last five years [ii], 65 percent of our survey respondents still report that their technology is inadequate or only fair at achieving its overall objectives.

Subscription-based cloud systems is one of the biggest HR trends of the last few years, however the quality of the user experience and the level of integration have not reached the levels often promised by HCM cloud vendors. This is partly because many organizations still have a mixed set of HR systems in place. Only 5 percent of this year’s survey respondents told us they have a fully integrated HR cloud platform. Many of the others have some combination of cloud and on-premise software, while 29 percent have no systems at all. Additionally, cloud vendors have not been keeping up with rapid business innovation and technological advancements and often oversell their systems’ capabilities, with organizations initially expecting more from the system than they actually receive.

While HR has blazed new trails through its early adoption of cloud platform solutions, it is imperative to automate and enhance HR with advanced digital solutions that reshape how work gets done. This will enable organizations to rewire their people operations, creating new connections that can yield many benefits: a better workforce experience; a stronger connection between performance, learning and development, and rewards; and greater insights from using analytics across the enterprise. Luckily, a new category of unified engagement platforms has emerged, focused on giving workers a single interface to find and access information in the heterogeneous HR market. These platforms are offering more than an improved worker experience; they are helping to create new connections that improve other aspects of HR service delivery. Technologies like these promise to reinvent HR’s relationship with the workforce, enabling HR to not only deliver a positive human experience, but also redirect its own time and attention to other emerging needs of the social enterprise.

While many of the challenges with HR technology remain, the pace of development has quickened, giving organizations a tremendous range of options in their plans for the future. The idea of a single, integrated cloud platform has not solved everything—but it has given organizations a solid foundation on which to build. Organizations are now deploying new architectural teams to identify and integrate new tools, and a new world of talent management software is emerging.

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Should you wish to have more information on HR cloud, you can read the full article at: https://www2.deloitte.com/insights/us/en/focus/human-capital-trends/2019/hr-cloud.html or contact Karine Pontet, Director Operations Excellence and Human Capital Advisory (kpontet@deloitte.lu).

To access the full 2019 Human Capital Trends report, please download it here: https://www2.deloitte.com/lu/en/pages/human-capital/articles/human-capital-trends-2019.html#1

 

Look out for our next article “Looking ahead” to understand how organizations can identify potential initiatives within the workforce, the organization, and HR to accelerate their path towards their envisioned state 10 years from now.

 

Article by Deloitte Luxembourg

 

[i] Sierra-Cedar, Sierra-Cedar 2018–2019 HR systems survey white paper: 21st annual edition, September 12, 2018

[ii] Josh Bersin, HR technology market 2019: Disruption ahead, accessed February 19, 2019


Publié le 15 juillet 2019