The document discusses how cloud solutions are impacting the HR function. It describes cloud computing based on Forrester Research's definition and outlines the key characteristics of cloud including dynamic computing infrastructure, IT service-centric approach, self-service usage mode, minimal management, and consumption-based billing. It then discusses how these cloud characteristics apply to HR systems and software. Finally, it summarizes recent trends in HRIS, including a shift to SaaS solutions, increased adoption of analytics, and the need for HR to focus more on workforce engagement and strategy.

1. HILANGO
The impact of Cloud solutions
on the HR Function
Daniel Gehot – Oct. 2015

2. O tempora o mores
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3. Cloud
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4. Cloud you said?
Forrester Research describes it as
“a pool of abstracted, highly scalable, and
managed compute infrastructure
capable of hosting end-customer applications
and billed by consumption”
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5. Characteristics
1. Dynamic computing infrastructure
2. IT service-centric approach
3. Self-service based usage mode
4. Minimally or self-managed platform
5. Consumption-based billing
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6. Dynamic computing infrastructure
• standardized, scalable, and secure
physical infrastructure
• high levels of availability
• easy to extend as usage growth
demands it, without requiring
architecture rework
• supporting the elastic nature of
service provisioning
• ultimately yielding a very effective
use of capital equipment
• broad network access
• mobile
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7. IT service-centric approach
• This is in stark contrast to more traditional
system- or server- centric models
• ICT don’t want to get bogged down in the
system and network administration of the
environment. They would prefer to quickly
and easily provide access a dedicated
application or service.
• An IT Service Centric approach enables user
adoption and business agility
• reducing costs or driving revenue
• Integration (incl. social networks)
• Resource pooling – multi-tenancy
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8. Self-service based usage mode
• Best of breed self-service provides
users the ability to upload, build,
deploy, schedule, manage, and
report on their business services on
demand. Self-service cloud
offerings must provide easy-to-use,
intuitive user interfaces that equip
users to productively manage the
service delivery lifecycle
• The benefit of self service from the
users’ perspective is a level of
empowerment and independence
that yields significant business agility
• On-demand self-service
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9. Minimally or self-managed platform
• Best-of-breed clouds provide the following
capabilities:
• A provisioning engine for deploying services
• Mechanisms for scheduling resource capacity
• Capabilities for configuring, managing, and
reporting to ensure resources can be allocated
and reallocated to multiple groups of users
• Tools for controlling access to resources and
policies
• This balance of control and delegation
maintains security and uptime, minimizes the
level of IT administrative effort, and keeps
operating expenses low, freeing up resources to
focus on higher value projects
• “Continuum” – minimal business disruption
(upgrades…)
• Rapid elasticity
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10. Consumption-based billing
• cloud computing is usage-driven
• pay only for the resources they use, ultimately
helping them keep their costs down
• Measured service
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11. HR Matters
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12. Developments in the HR field
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Continuing to optimize the efficiency of HR processes remains important &
thus review of Service Delivery models continues
 Self-service
 Centralised HR administration combined with local payroll processing
 Process management and six sigma for the HR function.
 Cloud computing & SaaS (Software as a Service); now also in smaller companies.
 Variable services /variable costing (consumption based vs. FTE based) : Getting the HR
function into a variable service/variable costing model (consumption based vs. FTE
based). (business unit with less complexity In HR pays less per FTE than more complex
business unit with more complexity in HR.

13. Developments in the HR field
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• The unstoppable rise of virtual /
social media & mobile
 create “improved” working
environment “workplace of the future”
projects” is taking place.
 Investment in social business platforms
& mobile solutions to boost morale,
efficiency and effectiveness.
 Accommodate different working
situations and adapts to a more
mobile working environment. BYOD
 Offering content & information that is
important to our jobs.

14. Web blog Oct. 15th, 2015…
I was completely blown away when I first used Namely. It was during my
on-boarding process—at Namely, of course. In a very short time, I had
chosen my benefits, entered my tax information and direct deposit
details, created my profile and posted my first news feed entry—all
through one interface with single sign-on.
I live two blocks from Namely's new NYC office, so I created a map with
all my favourite coffee shops, restaurants, and after-work hangouts to
share with all my new co-workers on my first day, right in our Namely
news feed.
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15. Developments in the HR field
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• Increased importance of (personal) data. Improved data security, master data
management and analytics
• The contingent workforce is on the rise (outsourcing & off shoring & in local labour
market)
 “% contingent” workforce rises with each recession. (consultants, contractors &
temporary staff give flexibility to downsize quickly in times of recession & the necessary
capacity to get the work done in good times
 Companies need to know who is working on which process in what capacity regardless
if the person is an employee or a contractor. HRIS systems only capable to record
employee data are fast becoming irrelevant.
• With systems and data being approached through multiple devices,
authorisation and identity management is also gaining importance.

16. Developments in the HR field
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• Measurement and control is important in a world where efficiency is key.
 Key Performance Indicators and balanced scorecards are omnipresent
 In the era of “big data” it is unthinkable to operate without all data mining data extraction, data
warehousing.
• Reporting complexity is increasing. From quantitative and payroll driven to combined data
(HR administrative data & payroll). Now move towards big data & also towards “smarter
data” (HR data combined with other internal (manufacturing & sales data) and sometimes
with external data
 to better predict and plan activities
 to improve tracking of individual and company performance.
• Now and for the next three to five years, data analysis and workforce analytics will become
more than ever a core competency of HR departments.

17. 2015 HRIS Trends
• 43% of organizations have a major HR
Systems Strategy initiative
• over 50% of purchased Core HRMSs are
SaaS solutions. The new conversation is
about the Enterprise HR Cloud, including
Payroll and Workforce Management.
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Source: Sierra-Cedar_2015-2016_HRSystemsSurveyWhitePaper

18. 2015 HRIS Trends
• HR is transforming the service delivery model with Shared Service centers, HR portals
and help-desks solutions, along with mobile access. Organizations leveraging all of
these technologies on average service 51% more employees per HR Administrative
headcount
• 39% of organizations are now doing some level of HR analytics
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Source: Sierra-Cedar_2015-2016_HRSystemsSurveyWhitePaper

19. 2015 HRIS Trends – brands
HRIS adoption outlook 12 months ahead…
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Source: Sierra-Cedar_2015-2016_HRSystemsSurveyWhitePaper

20. HR matters: new way of working
The world in which we work is changing.
Information and communication
technologies transform the work
environment, providing the flexibility of
when and where to work. The New Way
of Working (NWOW) consists of three
distinct pillars that are referred to as
Bricks, Bytes and Behaviour.
de Kok, A.; Koop, J.; Helms, R.W. (2014)
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21. HR matters: new way of working
• Within 5 to 10 years, 75 mio. people will retire and 45 mio. will
enter the market.
• From employee to workforce (contingent, interim, outsourcing,
consultants,…)
• The HR professional will need to change
 increasingly clear trend of diversification of activities,
 increasingly present in the processes of outsourcing
 Increasing speed of agile businesses
• Simplistic and mechanical “hire and fire” is losing ground to the
modern HR management, where value of people comes first
• HR needs to focus on strategy and development: efficiency AND
value creation
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22. Shaping the future of HR
Common strategy, policy, talent, reward &
performance mgt. approaches
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FROM TO
Corporate common framework allowing
diversity in strategy, policy, talent, reward &
performance approaches
Global service portfolio with solutions to fit
the needs of market variances
Service portfolio:
“one size fits all”
Service delivery model built for :
• Transaction processing
• Efficiency
Workforce Engagement Value (efficiency &
effectiveness) focus
Focus :
HR function
Focus:
Workforce community + HR Function
HR systems & applications :
Mainly ERP based
Effective Intuitive, integrated & individual
digital work environments that can fast be
adapted to new business realities

23. Engagement & diversity
TWO PREDOMINANT THOUGHTS
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1. As HR function of a Global Business there is a need to support the different business &
support functions in their different & diverging strategies & realities.
2. The overall corporate strategic HR approach is one of employee engagement.
Loyal & Satisfied
clients,
Loyal & engaged
employees,
People Managers
Common strategy, policy, talent, reward &
performance mgt. approaches
Corporate common framework allowing
diversity in strategy, policy, talent, reward &
performance approaches
Global service portfolio with solutions to fit
the needs of market variances
Service portfolio:
“one size fits all”

24. Organisation & Service Delivery
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Click Call Face Case
66% 28% 1%5%
 Shared Service Centre Centric
 Transactional & Efficiency focus
 Channel management & technology driven
 Harmonized and standardized HR services
External Market
Space
HR Space
Think Co
Supplier
Space
Serve & Alliance Co
Business Unit
Space
Touch Co
Employee
Space
 The Entire HR function
 HR Community focused
 Efficiency & Effectiveness integration
 Change leadership driven & technology supported
 Differentiated and adaptive HR services
Service delivery model built for :
• Transaction processing
• Efficiency
Workforce Engagement Value (efficiency &
effectiveness) focus
Focus :
HR function
Focus:
Workforce community + HR Function

25. What could HR for the future look like
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The Value driven approach
Effectiveness in People Performance
(entire workforce)
The Efficiency driven approach:
Efficiency of HR Service Delivery
• Focus on entire workforce
characteristics & behaviours resulting
in growth, better service and
innovation
• Strategic HR solution areas :
developing talent, reward
performance approaches
• Build business success by getting ‘the
right people in the right place at the
right time at the right costs with the
right behaviours and attitudes”
• Focus on the HR Function itself
(improving service levels and lowering
the cost of the HR Function)
• Process standardisation & automation
& channel management
• Create and manage an HR function
that builds delivers & serves @ a cost
level that the business is willing to fund
If the HR function is not perceived as adding real value it
will always be considered to be too expensive

26. HRIT for the Future – building blocks
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As a service
From single cloud tools
to the virtual IT
department
SaaS :
• User experience
• Costs
• Implementation
speed
• Innovation pace
Intelligence
From basic HR reports
to multisource BI for all
(managers)
Analytics & BI
• True Insight (multi-
dimensional)
• Decision support
• Information
democracy
Mobile
From incidental (pay, time
expense) to planning &
talent apps for managers
& EE
Wireless
• Location
independent
(everywhere)
Mobile
• Really Portable
• Touchable & Direct
Social
From Allowing social
tools to creating
Corporate Social
Networks
Social
• Chat, WebEx etc.
• Communication
• Communities
• Support networks
• “non hierarchical”
& direct

27. So…
Given that everything will become cloud
• Cheaper
• More accessible for smaller organizations
• Enabler for virtualization (Virtual HR - SSC - …)
• Supports agility and scalability
• Attention points – opportunities?
 Security – Data Privacy
 Big data
 Extend to Cloud Payroll?
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28. Cloud HRIS project
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29. Success strategies in a nutshell
1. Build on a real cloud strategy
2. Pursue both efficiency and value
3. Include customer satisfaction criteria
4. Plan for a different kind of project
5. Get behind standard processes
6. Prepare for new ways of working
7. Play the long game
8. Manage the update roadmap
9. Manage the integration (technical, functional and organizational)
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30. Testimonials
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31. Global Leader in Animal Health
• 10.000 employees globally
• 62 countries
• Shifted from highly developed PeopleSoft platform to Workday HCM
• Implemented new HR SDM model incl. Global Payroll Outsourcing
Main benefits:
 Virtualization of HR
 High level of empowerment
 HR focusses on strategy and growth
 Agile HR
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32. Sanofi
• More than 110,000 employees, present in more than 100 countries
• Workday Human Capital Management // Absence Management //
Compensation Management // Performance Management // Talent
Management
• Summary of Business Benefits
• A single system for one HR function
• A single system-of-record for employees around the world
• Improved ability to leverage company talent
• More informed and motivated employees
• Analytics for better planning and decision-making
• Ability to use company-wide data for strategic planning
• Easy access to information from any mobile device
• Rationalized and simplified HR systems landscape
• Reduced administrative burden for HR
• Elimination of multiple legacy systems
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33. Sanofi (2)
• “We actually want to empower employees and
managers more than we were able to do in the
past,” Roberto Pucci says. “We want them to
take full control of their personal data and be a
lot more responsible for the management of
their own careers”.
• A Software-as-a-Service model reduces up-
front investment, lowers overall costs and
delivers continuously innovative technology.
• “Workday will enable our managers, our
leaders, to have 24/7 access to qualitative data
regarding people in this company,” says Pucci.
• Workday will substantially increase the
effectiveness of our leaders to do everything
they have to do with respect to their people
management practices
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34. PSA France
PSA @ “HRSpeaks2015”:
• RH de proximité vs RH d’efficacité, qualité  deshumanisation?
• Communication de machine à café replacée par virtuelle
• “oublier” la RH pour mieux l’intégrer dans le business
• Ancienne action était sur les systèmes  actuellement focus sur
l’usage (la RH met à disposition un outil…)
• Notre nouveau monde est fait de moyens de communication et moyens
d’actions
• Exemples dans le privé: systèmes bancaires, réservation d’hôtels, de taxis,
achats en ligne (ex. 3 suisses)
• Responsabiliser l’utilisateur mais aussi le manager
Jean-Marc Barféty – Directeur SIRH
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