This document discusses getting strategic with HR technology. It provides an overview of current trends in HR technology including web 2.0, workforce mobility, employee self-service, talent management, and HR analytics. These trends present opportunities for HR to become more strategic and influence the business by creating analytics, improving company performance, and reducing costs. The document advocates leveraging HR technology to reduce administrative tasks and better serve business goals in order to position HR as a strategic partner.

1. Getting Strategic with HR Technology Dresser & Associates, Inc.
Getting Strategic
with HR Technology
Objectives
1. Current Trends in HR Technology
2. Getting Strategic with Technology
3. Building a Business Case for Technology
Who Is This Guy?
HR Strategist
HR/Payroll Systems Expert
Trusted Advisor
Social Media Advocate
Self-Professed Geek
Early Adopter
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2. Getting Strategic with HR Technology Dresser & Associates, Inc.
Terminology – HR Technology
• Acronym Soup
• SHRM
– Core Discipline
• David Ulrich, University of Michigan
– Primary HR Competency Domain
Terminology
• Long-Term
• Big Picture Thinking
• Holistic View
• Company Goals/Objectives
• Value/Outcome Focused
“HR must give value, or give notice.”
– David Ulrich
HR Technology Efficiencies
Reduce Administrative Burden
Better Reports/Distribution
Efficiency
Better Compliance
Better Talent Management
Improved Labor Relations
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3. Getting Strategic with HR Technology Dresser & Associates, Inc.
Strategic HR Technology
• Key Economic Data
Create • HR Decision-Making
Analytics • Business Impacts
• Start with End in Mind
• Improve Company Performance
Influence
• Reduce Costs
“C”-Suite • Budgeting/Planning
• Manage Change
Trends in HR Technology
1. Web 2.0
2. Workforce Mobility
3. Employee Self Service
4. Talent Management
5. HR Analytics
Trend #1 – Web 2.0
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4. Getting Strategic with HR Technology Dresser & Associates, Inc.
What Was Web 1.0?
Information
PUSH
Consumption
Trend #1 – Web 2.0
Collective Intelligence
User Content
Trend #1 – Web 2.0
Blogs & Wikis
RSS Feeds
Aggregate Sites
Social Networking
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5. Getting Strategic with HR Technology Dresser & Associates, Inc.
Social Media in Business
Business Human Resources
• Branding • Recruiting
• Marketing • Onboarding
• Public Relations • Sourcing
• Customer Service • Scheduling
• Loyalty Building • Learning
• Customer Acquisition • Thought Leadership
• Networking • Employee Engagement
• Internal Communication
Social Media – HR Opportunities
• Many-to-Many Dialogue
• Qualitative Contact
• Hunters Now The Hunted
• Passive Job Seekers
• Mitigate Risk
Social
Recruiting
Social Media – HR Opportunities
• Enhance Collaboration
• Unlock Tacit Knowledge
• Immersion
• Innovative Approaches
• Reduced Cost
Social
Learning
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6. Getting Strategic with HR Technology Dresser & Associates, Inc.
World Class Examples
YouTube – ‘The Company as Wiki’
Trend #2 – Mobility
• Statistics
– 70% - Mobile phones for work
– 50% - Check work email on weekend
– 89% - U.S. companies offer telecommuting
– 51% - American workforce is mobile
Sources: Socialcast
Telework Coalition
Mobility – HR Opportunities
HR Leadership
Alerts/Triggers
Social Media
Work/Life Balance
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7. Getting Strategic with HR Technology Dresser & Associates, Inc.
Trend #3 – Self Service
Self Service – HR Opportunities
Recruitment Time Off Requests
Open Enrollment Personal Info Updates
Onboarding Training
Time Reporting Talent Management
Pay Statements Performance Appraisals
W-2’s Succession Planning
Electronic Forms Manager Dashboards
Trends #4 – Talent Management
• Learning Tech Spending Up
• Talent Challenges
– Performance-driven Culture
– Filling Leadership Pipeline
– Developing Skills to Address Business Challenges
War For Talent 2.0
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8. Getting Strategic with HR Technology Dresser & Associates, Inc.
Talent Mgmt – HR Opportunities
• Acquiring Talent
– Sourcing
– Selection
• Developing Talent
– Succession Planning
– Social Learning
• Assessing Talent
– Performance Appraisal
– Goals Measurement
Trends #5 – HR Analytics
• Data  Decisions
• Metrics/Key Performance Indicators
– Analytical Tools
– Dashboards Knowledge
Abstraction
Level of
Information
Data
Analytics – HR Opportunities
Organizational Bottom Line Impact of
Strategic Planning HR Best Practices
Be More
Strategic!
Empower Managers to Align HR Strategy with
Make Better Decisions Corporate
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9. Getting Strategic with HR Technology Dresser & Associates, Inc.
Strategic HR with Technology
- Professor Jon Boudreau,
USC’s Marshall School of Business
Strategic HR with Technology
• Why Aren’t We?
– HR Administrivia
• Transactional duties
• ‘Social work’ activities
• Comfort zone
– HR Skill Set
– Data Accuracy
Strategic HR with Technology
Why don’t we?
1. Social workers and not interested in business
2. HR pursues efficiency in lieu of value
3. HR isn’t working for ‘you’
4. The corner office doesn’t get HR
- Keith Hammonds – editor, Fast Company magazine
“Why We Hate HR”, 2005
khammonds@fastcompany.com
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10. Getting Strategic with HR Technology Dresser & Associates, Inc.
Strategic HR with Technology
• Key Economic Data
Create • HR Decision-Making
Analytics • Business Impacts
• Start with End in Mind
• Improve Company Performance
Influence
• Reduce Costs
“C”-Suite • Budgeting/Planning
• Manage Change
Leverage HR Technology
ONE: Reduce ‘Social Work’
• Utilize Technology
– ESS
– Alerts
– Reporting
Leverage HR Technology
TWO: Serve the Business
• M, V, G, O
• HR Goals Corporate Goals
• HR Metrics Business Decisions
• Data Integration
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11. Getting Strategic with HR Technology Dresser & Associates, Inc.
Leverage HR Technology
THREE: Measure the Right Things
• Baby Steps
• K.I.S.S.
• Few, But Layered
• Start With the End in Mind
Leverage HR Technology
FOUR: Make Value, Not Activity
• Key Performance Indicators
• Scorecards Training
Attendees/Month
Training
Effectiveness
• Analysis
Leverage HR Technology
FIVE: Inquiry, Not Intuition
• Get Answers From Metrics
• Use Standardized Data
• Measure Consistently
“... when HR uses fact-based decision making – instead of intuition or best
guesses – the group becomes a more credible partner to the business it
serves. Fact-based decisions help HR improve HCM practices, recruit and
deploy the right talent, cut costs, contribute to business performance and
provide evidence of those contributions.”
- BusinessWeek Research Services, May 2009
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12. Getting Strategic with HR Technology Dresser & Associates, Inc.
HR Analytics – Examples
Revenue Factor • Total Revenue / Total Headcount
Net Income/FTE • Revenue – Operating Expense / FTE’s
Absence Factor • Absence Hours / Pay Rate
Turnover Ratio • Total Terms / Total Headcount
HR Analytics – Examples
Turnover Ratio
Turnover
20%
18%
16%
14%
12%
10%
Turnover
8%
6%
4%
2%
0%
HR Analytics – Examples
Time to Fill • Number of days to fill position
Cost per Hire • Cost involved with new hire
Benefit Cost/EE • Total cost / # employees
Human Capital
• Salaries / Overall operating expense
Cost
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13. Getting Strategic with HR Technology Dresser & Associates, Inc.
HR Analytics – Examples
• Salaries as a % of Operating Expense
– All Industries – 57%
– Government Agencies – 54%
– Nonprofit Organizations – 56%
– Privately Owned For-Profit – 60%
– Publicly Owned For-Profit – 45%
Source: 2008 SHRM Human Capital Benchmarking Study
Dashboard Metrics
Justifying HR Technology
• Why HR Technology Isn’t Implemented:
– Budget/Funding approval
• Unclear Goals
• No Buy-in
– Resistance to Change
– IT Infrastructure
– “No Decision”
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14. Getting Strategic with HR Technology Dresser & Associates, Inc.
10 Steps to Obtaining Tech
1. Expand Your HR Technology Knowledge
– Webinars
– IHRIM
– Follow HR Tech Experts
10 Steps to Obtaining Tech
2. Determine Your Current Reality
– Technology
– Processes
– Workflow
10 Steps to Obtaining Tech
3. Develop “Needs” and “Wants” List
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15. Getting Strategic with HR Technology Dresser & Associates, Inc.
10 Steps to Obtaining Tech
4. Create a Business Case
– Goals and Objectives
– Costs and Saving Measures
– Define Current HR Issues
– Outline Productivity Increases
– More Strategic Opportunity
• Metrics
• KPI’s
• Business Impact
10 Steps to Obtaining Tech
5. Calculate ROI and Rate of Return
Hard Costs Soft Costs
Employee
Outsourced Ongoing Accuracy of
Transaction
Fee Reduction Maintenance Information
Cycle Time
Reduced Administrative Process
Mailing Costs Work Reduction Standardization
Paper Costs
Improved
Fines / Customer
Compliance Service
10 Steps to Obtaining Tech
5. Calculate ROI and Rate of Return
Tactical Benefits Strategic Benefits
Form Improve FTE Reduce Reduce
Reduction Tracking Hiring Costs Absenteeism
Improve Reduce Improve Improve
Compliance Litigation Retention Budget
Automate Better EE Improve
Reduced Risk
Recruiting Service Productivity
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16. Getting Strategic with HR Technology Dresser & Associates, Inc.
10 Steps to Obtaining Tech
6. Determine Budget
– Use Business Case
– Use ROI
10 Steps to Obtaining Tech
7. Research Software & Companies
8. Evaluate Systems
– Flexibility
– Scalability
10 Steps to Obtaining Tech
9. Set Implementation Expectations
10.Make Purchase Decision
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17. Getting Strategic with HR Technology Dresser & Associates, Inc.
In Summary
• Social Media and Workforce Mobility are
changing the dynamics of HR Technology.
• Popularity of Employee Self Service and Talent
Management systems has increased.
• HR Technology can increase HR effectiveness,
but will ultimately make HR more strategic.
• Utilize technology to create business oriented
analytics and metrics.
• Justify HR Technology by creating an ROI with
clear goals and objectives.
Thank You!
http://www.linkedin.com/in/haroldgfordiii
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