HR technology is hot. In fact, according to a 2015 report from marketing agency The Starr Conspiracy Intelligence Unit, 53 percent of companies with more than 1,000 employees plan to invest in HR technology this year. That number jumps to 60 percent for smaller firms. So, what’s driving the trend?
Some point towards cloud technology as the primary accelerator. Not so long ago, smaller firms didn’t have access to the technology the big players use, but things have changed with the availability of the cloud. So now that anyone can purchase the same technology, what should you look for when choosing the right HR technology for yours? Here are a few questions to ask:
1. Is it worth it? Will this purchase positively affect your ROI?
2. Is it easy to use? The right technology must work well for the company and be easy for both the HR department and employees to use.
3. Does it provide the solutions to our specific challenges? Do you need to give your onboarding a boost? Are you concerned about your talent acquisition success? You need to know what you want to get from a new HR technology platform before making a selection. This can also help you to avoid signing up for more capabilities than you need. Customization is key.
4. Is it predictive in how it works? Predicting turnover and assessing flight risks is one of the key areas where predictive analytics can be applied, according to Rishi Agarwal, national leader for workforce analytics at PricewaterhouseCoopers. Others include assessing the quality of hires, and forecasting the benefits and ROI of training programs.
5. Does it help with compliance? Labor laws change all the time. Your new technology should help you comply.
6. What type of support is available? Your relationship with your vendor should be a strong one. Learning new technology takes time and patience. It’s important to ask what kind of support the vendor offers during and after implementation.
While this may sound obvious, make sure you do your research. It’s surprising how many companies don’t take the time to apply due diligence to the process of researching options. Find some demos and put them to use in the real world.
Taking the time to ask the appropriate questions will benefit your entire organization in the long run. Choose carefully, but do make a choice. Companies that continue to enhance their tools will continue to outshine those that don’t.