Kris Dunn shows us the 7 things to consider when forming an HCM strategy.

1. 8/28/17 © 2017
CareerBuilder
Kris Dunn
How Manual vs. Tech-Driven Is Your
HCM Strategy?

2. About Me
2
• CHRO at Kinetix (RPO,
Recruiting)
• Founder of Fistful of Talent + The
HR Capitalist
• Hoops Junkie
Kris Dunn
Kinetix

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Let’s Warm Up, Shall We?

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1. HCM Strategy Follows the Broader Tech Market

8. Failed Expectations Drive Fear Into Future HCM Selections
8

9. Consumer Tech Drives Interest and Expectations
9
2007 2017
iPhone
FitBit
Facebook
WhatsApp
iPad
Uber
Siri
WeChat
Stitch Fix
Snapchat
Slack
Echo
Model X

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2. Transitioning From Manual to Tech-Driven
HCM Follows a Consistent Path

11. The Path in Moving From Manual to Tech-Driven HCM is Consistent
11
Core HR
Payroll and Benefits
Time
EE Record
Recruiting
Source and Screen
Offer
Onboard
Talent Mgt
Performance and Learning
Comp
Succession

12. Of Course, It’s Never That Simple, Right?
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3. Current vs. Preferred State of HCM
Automation

14. • Portal or entry point to HCM tech is Payroll
and Core HRMS
• Once this base need is realized, these
companies long for:
• Onboarding
• Recruiting/Talent Acquisition
• Benefit Admin
• Performance
• With the exception of Performance, early
stage companies have “hold” status on
Talent Management functionality
Early Life Stage Companies Knock Out Core HR, Long For More

15. • Midsize companies have made purchases in core
HR, Talent Acquisition and even Talent
Management
• Many have issues with data flowing freely
between Best-in-Breed solutions purchased
separately as company grew
• A smaller percentage have functionality issues
with Suite solution that didn’t fully meet their
needs as they grew
• Preferred state is to have HCM tech in different
areas work in a more seamless fashion – this is
why many medium-sized companies consolidate
solutions or make a move to a more integrated
provider
Midsize Companies Have Most of What They Need,
But Have Holes in Integration

16. • Enterprise-level companies generally
have made spend, but gap usually
involves:
• Use of HCM tech to drive strategy
• Workforce planning
• Performance with true learning layer
• Connection of items like wellness to
benefit spend, aka expense lever
• Now to future – automation, AI,
voice, etc.
Enterprise Gap Between “Current” and “Preferred” Usually Relates to
Strategic Tools

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4. The HCM Team Capabilities Problem

18. • As companies automate HCM, manual
transactions go down
• Incumbent HCM teams were hired to do mix
of work with transactions as base
• As investment in tech goes up, companies
must retrain or redeploy HCM teams to
handle value-added activities up food chain
• Companies who don’t retrain or redeploy find
themselves with lost opportunity or dead
investment in tech
Changing Tech Without Changing Mix of FTEs is a Path to Failure

19. • FTEs dedicated to transactions drop
as tech is onboarded
• Adoption of self-service modules is
key
• For high-growth companies, FTE
spend in HCM is first allocated to
Recruiting/TA
• As company enters steady state, FTEs
start to shift to Talent Management
• Specialist vs. Generalist/HRBP models
should be considered; client group
ratios increase for Generalists/HRBPs
As HCM Tech Stack Grows, FTEs Move as Follows

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5. User Adoption Issues with HCM Tech

21. • Users come in two flavors – HCM staff
and line managers/line employees
• Biggest adoption failures among HCM
staff are TA/Recruiting professionals
• Biggest adoption failures among
managers occur in Talent Management
solutions
• Biggest adoption failures among
employees occur in Benefit
Administration
• Solution design should match your
service strategy (example – manager
desktop in recruiting solutions)
Lack of User Adoption is the Biggest Driver of HCM Tech Failure

22. • User satisfaction measures: It’s always nice if
the tech works!
• Need for formal training/education: Training
as a one-time event won’t get you to where
you need to be
• Mobile experience: Why would you buy a
solution that isn’t at least “mobile equal”
• Fun factor: Nice if you can get it
• Time to value/relevance: WIIFM?
• The Stick: Single source of truth
Where to Look to Drive Better Adoption – Inside and Outside
the HCM Team

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6. SMB vs. Enterprise – What We Know

24. • The SaaS model/growth of the HCM industry
means that SMBs have more choice than ever
• SMBs are likely to solve their current pain
only, which leads to B-in-B purchases over
“platforms” or “suites”
• When SMBs grow, they often outgrow the
HCM solutions they first onboarded
• Do modern APIs mean you don’t have to be
concerned about buying multiple B-in-Bs?
• #DATA
SMBs Have Maximum Choice These Days, and Maybe That’s the
Problem

25. • Enterprise HCM has evolved to focus
on***:
• Support of People Strategy
• Data
• Predictive analytics
• Automation
• Decision making
***while accomplishing all
transactions, process, etc.
Enterprise Has a Different Set of Needs Than SMBs

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7. Low Hanging Fruit, aka What To Do Next…

27. If You Don’t Have All the Tech You Want/Need, Onboard HCM Tech in
the Following Order
Core HR
Payroll and Benefits
EE Record
Time and Scheduling
Compliance
ACA
Wellness
Recruiting
Source and Screen
Offer
Onboard
Recruitment Marketing
Content, Social, Video
Talent Mgt
Performance
Learning
Comp
Succession
Feedback/Coaching
Recognition

28. • As you onboard Core HR, focus on reallocating
headcount to non-transactional FTEs
• Focus on the efficiency provided by self-
service
• Reallocation generally hits Recruiting/TA first,
followed by Talent Management FTEs
• Broaden your view of Best-In-Breed vs. Suite
by adding “Platform” considerations
• Consider tech “single source of truth” to
maximize adoption and drive ROI of HCM tech
• Keep eye on evolving need for mobile,
automation, predictive analytics and more
Evolve the Composition of Your HCM Strategy in The Following Ways
Through the Use of Tech

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 Kdunn@kinetixhr.com  205.383.9600  LinkedIn - linkedin.com/in/krisdunn/