Sierra-Cedar 2019 2020 HR Systems Survey Findings€¦ · Oversee the Annual HR and Finance Systems...
Transcript of Sierra-Cedar 2019 2020 HR Systems Survey Findings€¦ · Oversee the Annual HR and Finance Systems...
#SCHRSurvey19 @StaceyHarrisHR
Sierra-Cedar 2019–2020 HR Systems Survey Findings
The Future of HR Technology
#SCHRSurvey19 @StaceyHarrisHR
Stacey HarrisVice President Research and Analytics, Sierra-Cedar
Background:
● Oversee the Annual HR and Finance Systems Research, safekeeping the process for the Industry
● HR and OE Practitioner for over 10 years in finance, retail, and franchised businesses.
● Director of Research at Bersin & Associates, Launched the HR research practice
● VP of Research at Brandon Hall Group
● Co-Host of the Popular HR Tech Weekly Podcast at HR Examiner.com
● Feel free to connect at: www.linkedin.com/in/staceyharris
● @StaceyHarrisHR
Widow
#SCHRSurvey19 @StaceyHarrisHR
EmployeesService & Solution Areas
Application Services
Business Intelligence
Host & Managed Services
Infrastructure Services
Integration & Cloud Solutions
Research
Strategy
Training
Delivering industry-focused client success by providing consulting, technical, and managed services
for the deployment, management and optimization of next-generation applications and technology.
Industry FocusCommercial
Healthcare
Higher Education
Public Sector
Justice & Public Safety
Sierra-Cedar Fast Facts
Years of Leading
HR Systems Survey &
Thought Leadership
7 22 950+
5
3
Consulting
Projects
1,500+
#SCHRSurvey19 @StaceyHarrisHR
Sierra-Cedar 2019–2020 HR Systems Survey
4
Over 22 years of continuous data gathering
The most comprehensive survey in the industry:
● Strategy, Process, and Structure
● Administrative and Service Delivery Applications
● Workforce Management Applications
● Talent Management Applications
● BI/Analytics/Workforce Planning Applications
● Integration and Implementation
● Emerging Technologies and Innovations
● Vendor Landscape
● Workforce and HR Expenditures
● Workforce Usage and Perception
BE COUNTED in the 23rd Annual Survey Download the 22nd Annual White Paper
https://www.sierra-cedar.com/hr-systems-survey/
#SCHRSurvey19 @StaceyHarrisHR
DemographicsAll Respondents
Associations, Vendors & Media Outlets, Podcasts &
Webinars, Radio Shows, Social Outreach,
Clients, Prior Respondents,
Prospects & Contacts
3,032 Entries
Manu-facturing
Healthcare FinancialServices
Business/Prof Services
Education Retail/Hosp/Whsl
High Tech Non-profit Trans./Comm. Utilities
Govt. Ag. Mining.Const.
Other
10,000+2,5000<
1,892 OrganizationsTotal Workforce = 22.2 Million Employees & Contingent Workers
Cultural Trends
6
• Shift from Process to Outcomes
• Know the Culture of Your Organization
• Realize the Value of HR
#SCHRSurvey19 @StaceyHarrisHR
Are HR Organizations Still Transforming?
7
73%58%
42%33%
Plans for Transforming HR Tech Environments
2016 2017 2018 2019
#SCHRSurvey19 @StaceyHarrisHR8
The New Sierra-Cedar HCM Application Blueprint
The HR Systems
Strategy
shifting from
Process Focused to
Outcome Focused
#SCHRSurvey19 @StaceyHarrisHR
Process Focused Experience Focused Outcome Focused
Shifting to Outcome Focused HR
9
Recruit
Onboard
Train
Perform
Assess
Pay/Reward
Develop
TransitionPersonnel
Department
Hiring
Pay/
BenefitsCompliance
Performing
Training Assessing
Exiting
Employee Relations
Compliance
Employee
Lifecycle
Efficiency/Cost Skills/Readiness Agility/Change
OutcomesCulture/
Behaviors
Business Model
Available
Workforce
Leadership
Approach
Vision/ Goals
#SCHRSurvey19 @StaceyHarrisHR
Effective Processes Tailored Experiences Defined Outcomes
Outcome-Focused HR, An HR Leadership Model
10
Efficiency/Cost Skills/Readiness Insights/Agility
OutcomesCulture/
Behaviors
Business Model
Available
Workforce
Leadership
Approach
Vision/ Goals
#SCHRSurvey19 @StaceyHarrisHR
Decisions based on
Talent
• Mature Career Planning
• Succession Management
• Metric Outcomes
⁃ Employee Engagement
⁃ Retention Risks
⁃ Top Talent
Decisions based on
Data
• Mature Workforce
Analytics
• 3+ Metrics
• 20%+ Managers/BI
• 3+ Data Sources
Talent Driven Data Driven
The Important Questions: Outcomes and Impact Talent-Driven, Data-Driven, Socially Responsible Organizations, and Emerging Tech
11
Decisions based on
Social Responsibility
• Diversity
• Family Leave
• Flexible Schedules
• Wellness
• Engagement
Socially Responsible
Decisions based on
Innovation
• Mobile Enabled HR
• Socially Enabled HR
• Use of Intelligent
Technologies
Emerging Tech
#SCHRSurvey19 @StaceyHarrisHR
Outcome Focused Organizations
12
Average Talent Average HR Average Business
Aggregate Talent Driven Data Driven Socially Responsible Emerging Technology
Talent Outcomes HR Outcomes Business Outcomes
Imp
rov
ed
Neu
tral
Declin
ed
#SCHRSurvey19 @StaceyHarrisHR
Benchmarking
Platform as a Service
Predictive Analytics
Sentiment Analysis
Machine Learning
Robotic Process
Blockchain 14%
41%
38%
32%
50%
32%
72%
7%
11%
16%
9%
28%
13%
12%
15%
20%
22%
14%
16%
19%
6%
4%
9%
9%
9%
17%
20%
29%
2%
7%
7%
3%
14%
4%
6%
11%
15%
18%
13%
22%
17%
16%
What Emerging Tech is Used in Your HR Tech?
13
What Emerging Tech Applications are In Use?
Today 12 Months Evaluating
Emerging TechAggregate
#SCHRSurvey19 @StaceyHarrisHR
69% 67% 67% 70%
41% 41% 43% 40%
Talent Driven Emerging Tech Data Driven Socially Responsible
Perception of Human Resources Strategic Value
Outcome Focused Organizations Are Partners
14
Δ63%Δ68% Δ56%
Everyone Else
Δ75%
#SCHRSurvey19 @StaceyHarrisHR
Five Years of Technical TransformationThe View of HR has Improved by 20%
38% 41% 43% 44% 45% 46%
2014 2015 2016 2017 2018 2019
HR Viewed as Contributing Strategic Value
15
#SCHRSurvey19 @StaceyHarrisHR
We Must Realize the Value in Human Resources
54%
43%
18%
38%
24%15%
Perception of HR
Viewed as a Strategic Partner
Contributing Some Value
Compliance Focused
16
Executives Directors/Managers
Buying Trends
17
• Addressing a Commoditized HR Tech Environment
• Shift from Transformation to Adoption
• Focus on Measurements that Matter
#SCHRSurvey19 @StaceyHarrisHR
Ve
nd
or
Sa
tis
fac
tio
n
User Experience
18
Workday
Ceridian DF
UltiPro
SF EC
Oracle HCM
Kronos WFC
Oracle PS
ADP WN
Infor/Lawson
SAP HCM
Oracle EBS
Paycom
ADP GV
PaycorSumTotal
Good Excellent
Dis
sati
sfi
ed
Very
Sati
sfi
ed
Poor
PayChex
Cost and
Functionality
Infor Cloud
ADP E
Administrative
HRMS
Average VS
Score
3.1
Average UX
Score
3.1
#SCHRSurvey19 @StaceyHarrisHR
UX Is No Longer The Biggest Differentiator
19
Average User Experience, By Deployment Model
SaaS/Cloud Hybrid Licensed
WFM 3.24 3.02 3.23
HRMS 3.50 3.04 3.10
TM 3.30 3.08 3.11
#SCHRSurvey19 @StaceyHarrisHR
High and Low Vendor Satisfaction Drivers
20
19%
25%28% 30% 32%
FunctionalityNot Specificfor Industry
Inability toCustomize
PoorService &Support
Poor UserExperience
High Costs
Top Challenges
29% 30% 30% 31%
39%
BestPractice
Functionality
IntegratedSolution
Ability toCustomize
GoodVendor
Relationship
GoodService &Support
Top Benefits
#SCHRSurvey19 @StaceyHarrisHR
Total HR Technology Costs per Employees by Size
21
Costs Per Employee
$274$319
$196$148
Average # of Applications
8.04 7.06
9.70 10.62
#SCHRSurvey19 @StaceyHarrisHR
6.12
6.91
8.58
8.85
Total HR Technology Costs per Deployment
22
Average Costs By Deployment Model
All Cloud
Deployments
Cost More
But Also
include
45% More
applications
Avg. # of Applications
$277
$236
$213
$195
All On Premise Other Hybrid All Cloud
#SCHRSurvey19 @StaceyHarrisHR
“We recently rediscovered the recruiting and onboarding features
within the application after previous employees left.”
“We are finally learning the capability of the system and
not all features are enabled.”
“Implementation consultant did not provide
the expertise we needed.”
Just a few Customer Comments….
23
#SCHRSurvey19 @StaceyHarrisHR
What Are Your Biggest HR System Gaps?
24
45%
37%
35%
29%
25%
25%
55%
40%
38%
40%
31%
26%
37%
42%
41%
30%
36%
21%
50%
44%
38%
36%
35%
26%
Functionality Gaps
Config/Cust Limitations
Reporting
Integration Issues
Poor Usability
Internal Knowledge
Buyers View on Current Application Gaps
Payroll HRMS Workforce Management Talent Management
#SCHRSurvey19 @StaceyHarrisHR
`
Do You Know Who is Using your HR Tech?
25
12%9% 10%
26%
Measure HR Technology Use, By Size
Outcome Focused
2Xmore likely to
Assess HR
Technology Usage
#SCHRSurvey19 @StaceyHarrisHR
15%
25%
22%
43%
49%
67%
85%
87%
14%
21%
22%
31%
51%
68%
83%
89%
14%
17%
23%
41%
42%
52%
63%
74%
Productivity
Learning
Performance
Absence
Compensation
Recruiting
Demographics
Turnover
Do You Know What You Are Reporting?
26
Which Metrics are Included in Your Regular HR Reporting?
#SCHRSurvey19 @StaceyHarrisHR
15%
18%
19%
26%
29%
31%
39%
47%
47%
49%
52%
Increased Competitive Advantage
Improved Innovation
Improved Customer Satisfaction
Improved Productivity
Optimal Work Assignments
Workforce Readiness
Acquiring Top Talent
Improved Retention
Improved Engagement
Compliance Risk Mgmt
HR Cost Management
What Are You Achieving With Analytics?
27
What Are You Currently Using HR BI to Accomplish?
Who Owns This?
#SCHRSurvey19 @StaceyHarrisHR
Do You Know Your Employee Data Footprint?
28
12%
12%
76%
Do You Have a Strategy for Aggregating your Employee Data Footprint?
Yes In Development No
42%Did Not Know if
They had a
Strategy
Emerging Tech
Orgs
3X More likely to
have one in
Development
#SCHRSurvey19 @StaceyHarrisHR
Do You Know Where You Capture Your Data?
29
12%
16%
23%
25%
25%
37%
44%
53%
61%
72%
86%
Environmental Sensors
Audio Monitoring
Biometric Sensors
Personal Mobile Devices
Social Media
Internet/Screen Monitor
Pulse Surveys
Video Monitoring
Wearables/Badges/RFID
Employee Surveys
Exit Interviews
Methods of Capturing Employee Data Beyond HR Systems
Who Owns This?
#SCHRSurvey19 @StaceyHarrisHR
Who Owns Configuration Decisions?
30
1%
3%
3%
9%
31%
48%
All Cloud
Role Primarily Responsible for HR System Configurations
2%
5%
11%
26%
29%
26%
On Premise
HRIS/HRIT
Functional HR
IT Leadership/CIO
IT Role
HR Tech Vendor
Governance
Committee
80%More Likely
to Own
#SCHRSurvey19 @StaceyHarrisHR
4%
10%
13%
13%
52%
8%
On Premise
2%
7%
12%
22%
25%
32%
All Cloud
Who Owns Data Privacy & Content Security?
31
Role Primarily Responsible for HR System Content Security and Data Privacy
HRIS/HRIT
IT
HR Tech Vendor
Functional HR
Risk/Audit
No One/Other
3XMore Likely
to Own
#SCHRSurvey19 @StaceyHarrisHR
What Goes Wrong in Implementations?
32
18%
23%
36%
37%
72%
63%
57%
52%
10%
14%
7%
11%
Budget
Adoption
Timeline
Resourcing
How Would You Rate these Outcomes?
Fell Short of Expectations Met Expectations Exceeded Expectations
#SCHRSurvey19 @StaceyHarrisHR
17%
10%
18%
12%
4%6%
13%11%
Budget Timeline Adoption Resourcing
Exceeded Implementation Outcome Expectations
Certified HR/HRIT Not Certified HR/HRIT
Does Resourcing Certification Matter?
33
Δ66%Δ3X
Δ38%
#SCHRSurvey19 @StaceyHarrisHR
Do You Know What You Achieve with HR Tech?
80%
79%
69%
52%
38%
Replaces HR Paper-BasedProcesses
Employees & Managers Input/Access Information
Monitor and Report Compliance
Influences WorkforceBusiness Decisions
Informs Business Strategy
Level of HR Technology Utilization
Getting the Most From Your HR TechnologyMeasuring What Matters
35
#SCHRSurvey19 @StaceyHarrisHR
What Are Business Outcomes?
36
Market Share
Customer Sat
Profitability
Innovation
Competitive Advantage
#SCHRSurvey19 @StaceyHarrisHR
What Doesn’t Matter in Business Outcomes
● Vendors
● Deployment Models
● Process Maturity
● Outsourcing
● Years of Ownership
● Total Technology in Use
● Resourcing Numbers
37
#SCHRSurvey19 @StaceyHarrisHR
A Regularly Updated HR Systems Strategy
38
● Reviewed every 12 to 18 Months
● Tied to enterprise Outcomes
● Current state analysis
● Phased roadmaps
● Key Performance Indicators
● Governance Models
Regularly Updated
HR Systems
Strategy
10%Higher Business
OutcomesTop Factor Aligned with 2019 Business Outcomes
#SCHRSurvey19 @StaceyHarrisHR
A Regularly Updated Integration Strategy
39
Regularly Updated
HR
SystemsStrategy● Reviewed every 12 to 18 Months
● Enterprise Approach
● Master Data Governance Model
● Data Sharing Map
● Preferred Integration Standards
● Vendor Requirements
Regularly Updated
Integration
Strategy
12%Higher Business
OutcomesTop Factor Aligned with 2019 Business Outcomes
#SCHRSurvey19 @StaceyHarrisHR
Invest in Supporting Human Resources
40
● Not Viewed as a Compliance Function
● Contributing Value to Business Leaders
● Respect at Multiple Management Levels
● Outcome Focused HR: – Vision/Goals
– Business Model
– Culture
– Leadership Approach
– Workforce Planning
HR Viewed as
Adding Strategic
Value
HR Viewed as
Adding Strategic
Value
23%Higher Business
Outcomes Top Factor Aligned with 2019 Business Outcomes
#SCHRSurvey19 @StaceyHarrisHR
Invest in a Culture of Change Management
41
● Shift from Project CM to Culture of CM
● Prepare for Constant Change
● Assess HR Technology Adoption (8%)
● Governance and Role Definition
● Continuous communication tools
● Transparency, Feedback, Iterations
● Transformational Learning Processes
Culture of Change
Management
28%Higher Business
Outcomes Top Factor Aligned with 2019 Business Outcomes
#SCHRSurvey19 @StaceyHarrisHR
Year-over-Year Impact of Investment in…..Strategy, Integration, Change Management, and Respect,
2014 2015 2016 2017 2018 2019
Average 5-Year Outcome Differences
Strategy, Integration, Culture of Change, and High HR Value
No Strategy, No Integration, Low Change, and Compliance HR
42
Imp
rov
ed
Neu
tral
Declin
ed
15%Higher Outcomes
per Year
#SCHRSurvey19 @StaceyHarrisHR
Year-over-Year Impact of No Investment in…..When HR is Not Viewed as a Strategic Business Partner
2014 2015 2016 2017 2018 2019
5 Year, Average Outcome Differences
Aggregate Yes Aggregate No Compliance
43
19%Lower Outcomes
Imp
rov
ed
Neu
tral
Declin
ed
#SCHRSurvey19 @StaceyHarrisHR
Key Themes 2019–2020 HR Systems Survey
44
Measure Outcomes
that Matter
From Transformation
to Adoption
Realize the
Value of HR
Know Your
Culture
Shift from
Process to
Outcomes
Know Your
Data
Assign
Responsibility
Innovation is
about the Data
Cost & Functionality
are Back
#SCHRSurvey19 @StaceyHarrisHR
HR Technology Adoption Trends by Vendor – See Who’s Acquiring
New Clients.
New Insights Shared Services, Communications, Outsourcing, and
Benefits
Vendor Specific Client Averages and Client Feedback on Vendor
Satisfaction Data
Updates Implementation and Maintenance practices, timelines,
updates, work assignments
Lots of extra Industry, Size, and Organization Type Breakouts of
our traditional data.
What We Couldn’t Fit In Today!
45
46 #SCHRSurvey19 @StaceyHarrisHR
Thank you!
THE HR SYSTEMS SURVEY COMMUNITYTOGETHER, WE CAN BUILD A BETTER HR
https://www.sierra-cedar.com/hr-systems-survey/
#SCHRSurvey19 @StaceyHarrisHR
Questions?
47
#SCHRSurvey19 @StaceyHarrisHR
Why Organizations Participate?
48
● Obtain a personalized benchmarking snapshot filtered by
size, region, or industry
● Value conducting a review of their own enterprise HR
Systems environment annually
● Need data to build their own HR Technology strategy or
business case for change
● Believe it is important to support the broader HR Technology
community
#SCHRSurvey19 @StaceyHarrisHR
Sierra-Cedar 2019–2020 HR Systems SurveyDemographics: International and Global Organizations
82%
5%5%
7%
Average Global organization
has operations in over
26different countries
336Non-U.S. HQ
International
Organizations
(18%)
609Global
Organizations
(33%)
49
1%
#SCHRSurvey19 @StaceyHarrisHR
4.7%24.0%
35.2% 33.5%
2.6%
Greatest Gen1930–1945
Average Generational CompositionsNo Major Differences by Organizational Size
50
4.3%20.4%
36.1% 35.5%
3.7%
5.7%24.4%
33.7% 33.7%
2.5%
Baby Boomer1946–1964
Gen X1965–1980
Millennials1981–2000
Gen Z2001–2010
#SCHRSurvey19 @StaceyHarrisHR
Who Responds to Our Survey?
52%
28%
14%
6%
Participants by Role
Manager/Director
Individual contributor
Executive
Other
51
66%
11%
9%
5%2%
7%
Participants by Function
Human Resources
Finance
Information Tech
Line of Business
TM & Learning
Other
50%
17%
19%
9%5%
Organizations Types
Privately Owned
Publicly Traded
Nonprofit
Government Owned
Subsidiary/Other
#SCHRSurvey19 @StaceyHarrisHR
Fun Facts About Survey Participants
50%50%
HR & IT Certifications
No
Yes
52
4%
35%
46%
5%
9%
1%
Doctorate/Professional Degree
Master's/Graduate Degree
Bachelor's/Undergraduate Degree
Associates Degree
Some College
H.S. Graduate/Equivalent
Education Level
19%
18%
20%
30%
13%
>10 Years
5–10 Years
3–5 Years
1–3 Years
<1 Year
Years in Role