Human Capital Management Blog

Strategies for HCM Professionals

Successfully transitioning your HCM to the cloud

By Jayson Saba, VP of Market Research & Industry Relations, Ceridian

Cloud computing has provided businesses with a vast array of technology to improve processes and productivity. One sector where it has gained significant traction is in human capital management (HCM) – the technology leveraged by human resources (HR), offering employers new, innovative strategies for improving a wide range of functions ranging from basic record keeping, advanced workforce planning and everything in between from paying employees on time, to developing them and maintaining overall compliance with the ever-changing regulatory landscape. However, to realize the maximum value and benefits of cloud HCM solutions, organizations need to go about its adoption and implementation in a specific way. KPMG recently released its 2016 Global HR Transformation Survey report, which indicated that while the benefits of cloud HR technology are huge, they are not materializing for some businesses. The research, which surveyed over 850 HR professionals across more than 50 countries, showed that organizations need to successfully integrate people, processes and technology if they truly want to realize all of the benefits of moving to the cloud.

Adding technology to a bad process can often just make it worse.  And failing to take a careful and calculated approach to the adoption of cloud systems, or any new technology for that matter, can quickly waste an organization’s time and resources. The good news is that there are simple strategies they can use when moving their HR processes to the cloud.

Don’t skip the planning processes
The authors of the KPMG report emphasized the importance of avoiding a “plug-and-play” approach and, instead, taking a well-planned and intelligent change management approach to its adoption and implementation.

“Businesses need to overcome the common impulse to simply plug into new technology,” KPMG Global HR Center of Excellence Partner Robert Bolton explained. “What’s missing is a clear vision for the future of HR and strategic change management that brings the vision to life by integrating people, processes and technology.”

As the expression goes, good things take time – and being too eager to deploy a new system can quickly backfire. Employers must ensure they have carefully laid plans for incorporating any innovative technology into existing processes so that the transition will be smooth and seamless. In listening to our own customer case studies a few weeks ago at INSIGHTS, our user conference, change management was the most critical initiative and most common theme that echoed throughout the conference.

Define the end goal
Another necessary ingredient in implementing successful cloud HR systems is clearly defined objectives. Organizations must know what to measure the progress and effectiveness of the new solution against. This requires understanding what goals the software should help achieve. As KPMG pointed out, for businesses to experience all the benefits of cloud HR, an evidence-based approach must be taken that ensures the fully utilized functionality of the system.

The KPMG report highlighted the importance of merging people, processes and technology when switching to a cloud HR system. It is the fusion of these elements that will bring about the real value of the innovative technology and allow businesses to receive the maximum benefits

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