Category Archives: Technology Implementation

Are HR And Finance Finally Going To Be Friends?

How on earth can it be August 1st? For that matter, how on earth can it be 2017? After taking off three weeks for vacation and business travel commitments, it’s time to be back considering new research and data of interest to the HR community. And here’s an interesting report from Oracle and MIT Technology Review.

My friends at Oracle sent it to me, and I’m glad they did. The report might signal the start of a new era of respect, cooperation, and, dare we say, organizational friendship between HR and Finance. Finance and HR: The Cloud’s New Power Partnership is a recent publication providing interesting data, analysis, and commentary about the Cloud’s opportunity to drive greater partnership, cost savings and actionable data through a strong HR and Finance relationship. It’s a quick read at 14 pages, and it’s based on survey data collected from 700 respondents that included senior managers and their mid-level management counterparts from Finance, HR, and IT, as well as more holistically inclined C-level executives. Organizations participating were from the Americas, Europe, the Middle East and Africa, and Asia. About 75% of the participating companies generate annual revenue between $250 million and $1 billion from a range or industries. So a global sample of large employers. Just the segment that would be wrestling with the Cloud opportunities. And just the segment that would see value in a closer relationship between HR and Finance.

Among businesses that participated in the survey, 35% plan to create a shared finance and HR function within a year… 42% of respondents say they are motivated by improvements in productivity and performance. Respondents view closer finance and HR collaboration in the cloud as a strategic necessity, promoting operation excellence and accelerating innovation.

Wait a minute. I think I felt the ground move! Shared Finance and HR function? Within a year? That’s an eye popper right there. Not because it doesn’t make sense:  it really does. HR is becoming more data driven every day. And Finance has been data driven for years. Getting them together to analyze people data’s impact on the business and its growth plans is critical. And getting HR and Finance together through a technology bridge makes sense. Both HR and Finance need more and more data to manage the business. More and more analytics capabilities. More and more ability to predict the future based on today’s data. It’s fascinating to me that technology may be the puzzle piece that finally brings HR and Finance together. And the results – so far – look substantial:

These outcomes, though pretty generic, show an enormous upside opportunity for HR and Finance to migrate jointly to the Cloud. When do we ever get these kinds of outcome ratings on large-scale organization change initiatives? Or just on HR projects? Or just on Finance projects? It seems as if organizations are succeeding in generating real benefits from moving to the Cloud by creating teams from natural adversaries. And how interesting it is that the IT team is the attractor beam bringing HR and Finance together.

The report shares a few short case studies – from the education, energy, and financial services sectors – that underscore the benefits of integrated ERP-HCM Cloud systems deployments. (Note: this is a white paper. Underwritten by Oracle.) There are a number of interesting graphs in the report all underscoring these benefits. And they’re interesting to think about.

This is a quick read and it could help inform your thoughts about moving more HR functions to the Cloud. And to get you thinking about the inevitability of working more closely with your colleagues over in Finance. Better to have some informed opinions before your CEO, CHRO, CFO, or CTO starts asking questions…

 

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Filed under Analytics, Big Data and HR, China Gorman, Cloud Migration, Data Point Tuesday, HR Data, HR Technology, MIT Technology Review, Oracle, Technology Implementation, Workforce Management

HR Tech Implementations or Business Tech Implementations?

data point tuesday_500Last month I wrote about the inaugural report issued by the analysts at KeyInterval Research. (You know them as John Sumser and William Tincup.) They have an ambitious research publication agenda – one report a month. And here’s why I like what John and William are doing:

KeyInterval is an experiment. It is our goal to stay experimental for the life of the company. With each new report, we’re experimenting with survey methodology, data sourcing, data screening, the mix of qualitative and quantitative information, and the edges of HR Technology practice. It is a search for standard practices. We are more interested in what practitioners do than what some self-appointed guru thinks they should do. Our goal is to understand the actual experience of the people who use HR Technology.”

There is little independent information about what actually works in the HR tech space outside of vendor sponsored information, that I find their approach refreshing and really useful. Their second report has just been released and it’s another really interesting look, this time at how organizations successfully implement HR technology. The report, Successful Implementations, reveals exactly how successful HR technology implementations happen. If you’ve got an implementation in your future, these findings would be a wise investment.

As with their previous report, Successful Implementations is organized in a way that makes the findings practical and easy to consume. It defines what an implementation is, gives an overview of the important insights and major findings, analyzes qualitative conversations with HR leaders, picks the right data points to share, exposes commonly held myths, identifies notable vendors and shares the study’s methodology. The piece de resistance is the quick Pocket Guide: Successful Implementation Checklist.

Here’s a quick overview of one of the data sets that might be interesting to you:

KeyInterval May 12 2015

I’m interested in all these points, but the first really speaks volumes to me. HR leaders who have sponsored successful HR technology implementations prioritize the fundamental aspects of the projects as:

  1. Quality (user satisfaction)
  2. Cost
  3. Speed

I like the order of these priorities. Putting the user (employee) experience first is just where I’d want HR to be. Putting cost second, means that fiscal responsibility is critical. Ranking time to completion third shows an operational understanding that I like. Together these show enormous business acumen. Perhaps one of the reasons their HR tech implementations have been successful is that the HR leaders on point are really business leaders first and HR leaders second. Perhaps these were more Business Tech than HR Tech. I wonder if John and William could shed light on that hypothesis…

Again, Successful Implementations contains great data, analysis and insight that would be valuable to any organization contemplating an HR technology implementation. Here’s where you can buy a copy.

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Filed under China Gorman, Data Point Tuesday, HR Technology, John Sumser, KeyInterval, Technology Implementation