Cloud watch on HRMS solutions Q1 2014 final - preread

Copyright © 2014 Capgemini Consulting. All rights reserved.
Cloud Watch on HCM
Summary Version
CC India, Research
March 2014

Contents
Objective and approach
Sneak Peek at HCM Cloud
Market
HCM Cloud Solution
Footprint
Contact Details
2

Objectives, Approach and Context
 Provide a single source of information on leading HR
solution providers across the globe
 Identify leading players across HRM SaaS functionalities
 The study uses publicly available information sources:
– Company websites
– Text line searches
– Industry reports
– Analysts reports
 Cloud computing is the availability of hardware, software and
data via the internet and it represents the network of
connected computers
 Software as a service (SaaS) is one of the service models
offered in cloud computing along with Infrastructure as a
service (IaaS), Platform as a service (PaaS) and Network as a
service (NaaS)
 SaaS is a growing phenomenon in the market and has made a
successful penetration into mainstream Enterprise IT
 Earlier, licensed on-premise software was the dominant
deployment model in production, but with time, on premise
vendors have also begun to offer SaaS based solutions
 Coupled with the buy side objective of reducing the cost of
ownership, the SaaS revolution is bound for exclusive growth
across all forms of a business
 Globally, Capgemini Consulting helps many of its clients on
the use of Software as a Service solutions, and this document
intends to provide a single source of truth about HR SaaS
solutions currently available in the market, with a focus on
the European market
3
Version Status
Final
Authors
CC India,
Research services
Delivered in
Q1, 2014
Objectives and Approach Context

Contents
Market
HCM Cloud Solution
Footprint
Contact Details
4

A sneak peek at HCM Cloud Market(1/2)
5
March, Q1, 2014
 Successfactors has introduced ‘SuccessFactors Presentations’, a tool which use presentations to automate and improve the quality of talent
review process >> Read More on Pg 34
 Workday introduced latest update, Workday 21, which includes more than
240 new HR and finance features >> Read More on Pg 37
 Peoplefluent introduced Talent Management Suite with performance analytics and pervasive video
>> Read More on Pg 41
 Kronos introduced Workforce Task Management to its Workforce Tablet which delivers real-time,
location-specific store execution information to retailers >> Read More on Pg 46
VENDOR CORNER
 Cornerstone Learning Cloud connects directly with Workday HCM through a Workday Cloud Connect >> Read More on Pg 49
 Lumesse and HireVue entered into a global partnership to expand the talent acquisition
reach and functionality of Lumesse TalentLink >> Read More on Pg 55
 NGA Human Resources and Securex, a HR services provider are collaborating in Belgium, Luxembourg
and France and have now extended their partnership to the Netherlands >> Read More on Pg 67
PARTNERSHIPS, ALLIANCES AND M&A’S

A sneak peek at HCM Cloud Market(2/2)
6
March, Q1, 2014
 Peoplefluent was recognized as a leader for vendor management systems (VMS) in both the
‘VMS SOW/Project Capabilities’ and ‘VMS Contingent Capabilities’, by Forrester >> Read More on Pg 40
 Sumtotal’s ElixHR Platform was awarded a Gold Brandon Hall Group Excellence Award
for ‘Best Advance in Creating a Fully Integrated Talent Management Platform’ >> Read More on Pg 43
 Ventana Research named Kronos the top “Hot” vendor in workforce management in its
Value Index for Workforce Management >> Read More on Pg 46
ANALYSTS SPEAK
 HR Technology, a Conference and exposition on HR technology to be held on 7th-10th October, 2014 in Las Vegas >> Read More
 Human Resource Summit 2014 will be held from 8th-10th October, 2014 in Barcelona >> Read More
 HR Tech Europe 2014 to be held on 23rd-22th October, 2014 in Amsterdam >> Read More
EVENTS

Contents
Market
HCM Cloud Solution
Footprint
Contact Details
7

HCM SaaS solutions can be categorised into Core
HR, Workforce, Talent, Learning, Recruitment Management and Compensation & Benefits
8
HCM Cloud Solution Footprint
Learning
Management
HCM
Solutions
(Cloud &
Mobile)
Core HR
Workforce
Management
Talent
Management
Compensation
& Benefits
Recruitment
management
Employee Records Payroll
Benefit
Administration and
Enrolment
Salary and wage
structure
Jobs and positions
Employee
Engagement
Compliance
Organisational
structures
Time reporting
Workforce
scheduling and
assignments
Attendance Productivity Analysis
Paid Time Off
Labor Cost
Distribution
Absence
Management
Employee
Performance
Goal Management
Career Planning
Competency
Management
Succession Planning
Talent Review
Retention
Management
Leadership
Development
Learning Course
Administration
Content
Management
Mobile Learning
Mentoring Collaboration
Social and Informal
Learning
Professional
Certification
Bonus Programs
Commissions
Stock and Long Term
Incentives
Employee
Recognition
Base Salary
Administration
Wellness
Retirement and
Savings
Market Pricing and
Equity
(Strategic) Workforce
Planning
Requisitions
Sourcing and Social
Recruitment
Candidate
Engagement
Applicant Evaluation
Diversity & Compliance
Onboarding
Source: Embrace Future Trends To Deliver HRM Business Impact, Forrester 2012; CC India Analysis

HCM
Solutions
(Cloud &
Mobile)
Core HR
Organizations tend to integrate social networking activities to leverage Core HR data
activities to drive best-in-class business results
Core HR Solutions
9
Core HR
“Licensed on-premise software remains the dominant deployment
model in production with SaaS based solutions contributing only 18% of
Core HR segment’s revenues1”
Description Vendor Example
Integrating social
media into core
HR activities
boosts
collaboration
 Using HR software that embeds
social media into daily activities
and processes that encourage
employees in all work locations to
communicate and collaborate in
real-time and via mobile app
 Infor’s HCM app fosters collaboration
by displaying social networking
activities and documents from within
the people tracking software
Focus on full
technology
integration
 Companies need to move away
from information silos to unified
Core HR systems
 Solutions must centralize the HR
management throughout the life
cycle of employees
 SuccessFactors ‘Employee Central’
enables global HR teams to focus on
creating strategic value for the business
by streamlining processes and providing
access to information that supports
faster decision-making
Trends
Employee Records Payroll
Benefit
Administration and
Enrolment
Salary and wage
structure
Jobs and positions
Employee
Engagement
Compliance
Organisational
structures
Note: 1 Includes product revenues (i.e., licenses, maintenance, and subscriptions)
Source: Embrace Future Trends To Deliver HRM Business Impact, Forrester 2012; The Forrester Wave™: Human Resource Management Systems, Q1 2012; CC India Analysis; HRM Solutions: Traditional Models clash With
Next-GenerationProcesses And Technology; Forrester 2012; www.workforce.com; http://successfactors-corehr.com/

WFM consolidation will continue to occur in the vendor/provider market through
partnerships and acquisitions across the industries
Workforce Management Solutions
10
HCM
Solutions
(Cloud &
Mobile)
Workforce
Management
Time reporting
Workforce scheduling
and assignments
Attendance
Productivity Analysis
Paid Time Off
Labor Cost
Distribution
Absence
Management
Workforce
Management
“SaaS adoption has slowly started to evolve, as the leading vendors have
now begun to offer both on-premise and SaaS solutions”
Note: 1 CAGR refers to Compound Annual Growth Rate
Source: Embrace Future Trends To Deliver HRM Business Impact, Forrester 2012; CC India Analysis; Factiva ; Cisco Systems, 2012; Hype Cycle for Human Capital Management Software, Gartner 2013
Adoption of
integrated
WFM
solutions
 Organizations are looking for integrated
WFM solutions due to market consolidation
in industries like healthcare and the
emergence of specialized needs such as
fatigue management in regulated industries
 Kronos workforce central puts
time and attendance, scheduling,
absence management, HR labor
analytics etc. into a single
integrated WFM system
Improvement
of workforce
analytics
reporting and
visualization
 Traditional BI providers like Oracle, SAS,
SAPare improving their analytics reporting
flexibility, usability and visualization options
via acquisitions or organic development
 Large HR/payroll service
providers (e.g., ADP, Ceridian,
Ultimate Software) have
significantly strengthened their
workforce analytics applications
and offerings
Trends

Need to provide integrated talent management solutions and enhanced charting and
visualization are the key trends in talent management
Talent Management Solutions
11
HCM
Solutions
(Cloud &
Mobile) Talent
Management
Employee
Performance
Goal Management Career Planning
Competency
Management
Succession Planning Talent Review
Retention
Management
Talent
Management
“The market for integrated talent management systems will reach nearly
$5 bn in 2014”
Integrated talent
management
systems is the new
focus to solution
providers
 ERP providers like Oracle, SAP and
Workday etc. are focusing on
incorporating analytics platforms, mobile
interfaces in their HR solution offerings
 Offering solutions that enable them to
configure integrations to third party HCM
systems of record through the use of
standards-based tools
 Oracle Talent Management Cloud
delivers end-to-end talent
management with a single,
integrated solution that enables
organizations to recruit, nurture,
and retain top talent
Enhancing charts
and visualization
capabilities
 Talent management vendors will
continue to enhance charting and
visualization capabilities in their product
 Workday's faceted search
integration with n-Box and
‘active’ organization charts in
multiple vendor offerings
Trends
Source: Global Human Capital Trends 2014,Deloitte University Press 2013; Recruitment Aligns With Talent Management, Forrester, 2011; HRM Solutions: Traditional Models clash With
Next-GenerationProcesses And Technology; Forrester; Hype cycle for HCM software, Jul 2013; Forbes.com; CC India Analysis;

Over time, there have been rising need for customization in learning management to
adapt to the end users’ preferences
Learning Management Solutions
12
Learning
Management
HCM
Solutions
(Cloud &
Mobile)
Leadership
Development
Learning Course
Administration
Content
Management
Collaboration
Social and Informal
Learning
Professional
Certification
Mobile Learning
Mentoring
Learning
Management
“In Learning Management, the SaaS model currently accounts for 45% of its
product revenues”
Advancement of
Social learning
platforms
 Most of the corporate learning
vendor offerings incorporate social
software features or integrate
with enterprise social tools to
provide employees and other
stakeholders with an engaging
learning environment
 IBM’s Kenexa provides Social Learning
Management System contains learning
management functionality to
administrate, document, track, report
and deliver content and courses in
support of classroom, online, mobile
and social learning
Gamification in
Workplace
Learning
 Global game-based learning
market reached $1.2 billion in
2011. and is estimated to more
than double to $2.5 billion by 2015
 Peoplefluent released its Workforce
Explorer iPad app which includes a first
of its kind gamification functionality,
called “Workforce Explorer Challenge
Trends
Source: Embrace Future Trends To Deliver HRM Business Impact, Gartner 2012; Peoplefluent website; Hype Cycle for Human Capital Management Software, Gartner 2013;
http://www.upsidelearning.com/blog/index.php/2012/09/18/4-key-emerging-trends-in-lms/; CC India Analysis

Recruiting technology is now gravitating toward customer relationship marketing focusing
on candidate experience and identifying the right candidate from the entire pool
Recruitment Management Solutions
13
HCM
Solutions
(Cloud &
Mobile)Recruitment
management
(Strategic) Workforce
Planning
Requisitions
Sourcing and Social
Recruitment
Candidate
Engagement
Applicant Evaluation Diversity & Compliance OnboardingTalent Pools
Recruitment
management
“83% of the product revenues of recruitment solutions market was
contributed by SaaS based solutions”
Source: Embrace Future Trends To Deliver HRM Business Impact, Gartner 2012; http://www.hrtechnews.com; Kenexa website; Hype Cycle for Human Capital Management Software, Gartner 2013; CC India analysis
Social
recruitment and
ATS(Application
tracking system)
 Although the ATS market is mature,
social recruitment is dynamic and
growing rapidly
 Tools to manage the interactions and
optimize the candidate experience
have grown
 Oracle Taleo Social Sourcing Cloud
Service is a referral recruiting tool
integrated with leading social
networks such as Facebook,
LinkedIn, and Twitter
Video, Bigdata
and Analytics on
the rise
 Video interviews and video resumes
will be on the forefront
 Help parse applicant information and
predict those who are likely to be
stellar performers
 Workday provides mobile analytics
feature in its ‘Workday Recruiting’
that allow recruiters to conduct
headcount planning and job
requisition analytics on the go
Trends

Compensation & Benefits tools have become a component of broader Talent Management
suites and there have been significant mergers & acquisitions in the market
Compensation & Benefits Solutions
14
HCM
Solutions
(Cloud &
Mobile)
Compensation
& Benefits
Bonus Programs Commissions
Stock and Long Term
Incentives
Employee Recognition
Base Salary
Administration
Wellness
Retirement and
Savings
Market Pricing and
Equity
Compensation &
Benefits
“SaaS penetration in the Compensation and benefits function has gained
momentum and contributes 52% of this segment’s product revenues
Note: 1 Includes product revenues (i.e., licenses, maintenance, and subscriptions
Source: Embrace Future Trends To Deliver HRM Business Impact, Gartner 2012; HRM Solutions: Traditional Models clash With Next-Generation Processes And Technology; Forrester 2012; CC India Analysis
Compensation
vendors leverage
pay-for-
performance
 Compensation specialists leverage
the link between rewards and
performance
 Workscape added performance to its
Compensation & Benefits capabilities
Mergers &
Acquisitions
 There have been significant
mergers and acquisitions in the
compensation market during the
past few years
 Kenexa acquired Salary.com, a provider
of on-demand talent management,
payroll, and compensation solutions
and ADP’s acquired Workscape,
provider of integrated benefits and
talent management solutions and
services
Trends

Contents
Market
HCM Solutions application
footprint
Contact Details
15

Please get in touch with:
Want to know more?
16
Ronald van den Berg
Principal Consultant People & Performance
Mob: +31 (0)6 – 15030294
Secretary: +31 (0)30-6898844
Mail to: ronberg@capgemini.com
Tim van der Wal
Managing Consultant People & Performance
Mob: +31 6 1503 0286
Secretary: +31 (0)30-6898844
Mail to: Tim.vander.wal@capgemini.com
Lysette Kampman
Managing Consultant People & Performance
Mob: +31 6 29560779
Secretary: +31 (0)30-6898844
Mail to: Lysette.Kampman@capgemini.com
Peter Speleers
Practice Manager HCM Technology
Transformation Services
Mob: +3227081666
Mail to: peter.speleers@capgemini.com
Hannele Koskenmäki
Managing Applications Consultant
Mob: +358405108973
Mail to:
hannele.koskenmaki@capgemini.com
Andreas Stålbäck
Consultant
Mob: + 46703395607
Mail to: andreas.stalback@capgemini.com
Hugo Ruiz
Managing Consultant
Mob: 0034-647746053
Mail to: hruizlop@capgemini.com
Ronan How
UK HR Cloud Lead
Mob: +447891158643
Mail to: ronan.how@capgemini.com
Agra Fernando
HCM Consultant
Mob: +49151402504 60
Mail to: agra.fernando@capgemini.com

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Editor's Notes