During the first webinar in this 3-part series, we compared SaaS and BPO in light of design considerations, process ownership, security & risk, and deployment approaches. We were joined by experts from ADP, AonHewitt, ISG, and NorthgateArinso, who provided a real-world perspective on how innovative service delivery models can contribute to HR transformation and deliver long-term enterprise value. To Learn how you can put technology and process innovation to use in HR, listen to the full podcast posted at www.hroa.org/SaaSvsBPO featuring: Panel: • Colin Brennan, SVP of Product Management, Aon Hewitt • Chris Schmidt, Sr. Director of Product Marketing, ADP • Maribeth Sivak, Principal Consultant, Business Advisory Services, ISG Moderator: Michael Custers, VP of Global Alliances & Strategic Marketing, NorthgateArinso

1. BPO vs SaaS
Friends or foes?
www.HROA.org 1 @HROA

2. Welcome & logistics
• Questions
– Via chat
• Join the conversation
– on Twitter
– #hrtechchat
www.HROA.org 2 @HROA

3. About HROA
• Founded in 2003 - Global association
• Open to anyone in the HR Outsourcing and
Transformation industry anywhere in the world:
practitioner, buyer, provider, technology
firm, advisor, consultant, or academic.
• to be the single recognized community for
improving the quality, effectiveness, and
efficiency of outsourcing as part of an overall HR
service delivery strategy.
• www.hroa.org
www.HROA.org 3 @HROA

4. Today’s panel
Colin Brennan Maribeth Sivak
AonHewitt ISG
Chris Schmidt Michael Custers
ADP NGA (NorthgateArinso)
www.HROA.org 4 @HROA

5. Defining SaaS and BPO
www.HROA.org 5 @HROA

6. SaaS vs BPO:
What is the Difference?
The HR SaaS delivery model does not address buyer’s desire to outsource routine transaction processing
and call center support.
Business Process
Traditional ERP Software as a Service (SaaS) Outsourcing (BPO)
Employee Portal Employee Portal Employee Portal
Customer
Managed
Employee Contact Employee Contact Employee Contact
Transactions Transactions Transactions
Configuration Configuration Configuration
Customer
Managed
Application Application Application
Managed
Provider
Middleware Middleware Middleware
Managed
Provider
Database Database Database
Operating System Operating System Operating System
Infrastructure Infrastructure Infrastructure
www.HROA.org 6 @HROA

7. Design Considerations
SaaS versus BPO
www.HROA.org 9 @HROA

8. Design Considerations for Prospective
Buyers
Majority of time spent on SaaS evaluations: feature comparisons, evaluating standard commercial &
security terms, creating business case.
HR SaaS Vision Customers Should Verify
Global payroll capability How many clients are live; is there a global roadmap?
Point solution integration Any pre-built integrations with existing point solutions?
Rapid access to new features Do capabilities exist internally to configure and test?
Mobile support Includes iOS, Android, Blackberry & Windows apps?
Eliminate customizations Can internal organization configure?
Eliminate upgrades Are quarterly/seasonal released turned “off”?
Decrease reliance on internal
Who will design, build and support interfaces?
IT
Faster to implement Can legacy ERP be decommissioned?
Reduce TCO Is the business case long enough to avoid upgrade?
Pay per user How much of the TCV is required up front?
More secure than current Will IT accept reports over 1st person audits?
Employee data is safe Has Article 29 Working Party been considered?
www.HROA.org 10 @HROA

9. Entry points & roll-out
approach
www.HROA.org 12 @HROA

10. Entry Points & Roll-Out
Approach
• Entry Points:
– Internal shared service center or
– Business Process Outsourcing
• Approach:
– Global Blueprint for full functional scope
– Phased rollout to deliver near term benefits
to the business, manage enterprise
risk, leverage project resources and build
upon early phase learnings
www.HROA.org 13 @HROA

11. User adoption &
user experience
www.HROA.org 14 @HROA

12. User Adoption & User
Experience
User Adoption User Experience
• Modern user experience • Usability - Consumer
drives adoption grade experience
• Increased employee and • Agility – Readily
manager self-service configurable
• Productivity and cost • Visibility – Actionable
savings business analytics
• Employee engagement • Innovation – Next
increases Generation Tools
www.HROA.org 15 @HROA

13. Change management
www.HROA.org 16 @HROA

14. www.HROA.org 17 @HROA

15. Questions & comments
www.HROA.org 18 @HROA

16. Upcoming webinars
• Feb 26: operational considerations of SaaS
vs BPO
• On March 12: how to prepare for
implementation.
• www.hroa.org/SaaSvsBPO
www.HROA.org 19 @HROA