Cloud HR solutions and the challenge of systems integration
Many organisations are faced with the challenge of assembling the jigsaw of systems they use for different HR functions. Deloitte reports that less than 2 out of 10 companies have a single integrated HR solution, and the majority of companies run at least 3 different systems. This lack of integration creates inefficiency and means that companies are limiting the return on their technology investment.HR technology can assist in the deliver of strategic services (e.g. reporting and planning) as well as at a transactional level (leave, compensation etc.). However, to deliver strategic services based on transactional data, your HR department is at a significant disadvantage if the systems used for either class of activity are not integrated. Problems can arise from data duplication and inaccuracies, difficulties with accessing information, and a lack of real-time analysis. This can create an information gap between HR and senior management when it comes to modelling workforce needs.To ensure the optimum performance of your HR department, a fully integrated HR management system is a vital tool.When reviewing your strategy for HR technology integration, key questions need to be considered such as:
- Is it an effective use of resources to upgrade our existing legacy systems?
- Should we consider Software as a Service (SaaS) and the deployment of a cloud HR solution?
- What do we risk by continuing with our existing disparate systems and what is the cost/benefit analysis of making a change?
- How can we best integrate and standardise HR service delivery across our organisation?
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