Limpact concret des nouvelles technologies pour la GRH

HILANGO

The impact of Cloud solutions

on the HR Function

Daniel Gehot – Oct. 2015

O tempora o mores

27/10/2015 © Hilango 2015 – Cloud HR Transformation 2

Cloud


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”


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


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


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


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


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


Consumption-based billing

• cloud computing is usage-driven

• pay only for the resources they use, ultimately helping them keep their costs down

• Measured service


HR Matters


Developments in the HR field


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.



• 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.

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.




• 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.



• 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.

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.


Source: Sierra-Cedar_2015-2016_HRSystemsSurveyWhitePaper

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



2015 HRIS Trends – brands

HRIS adoption outlook 12 months ahead…



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)


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


Shaping the future of HR

Common strategy, policy, talent, reward & performance mgt. approaches


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 functionFocus: 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

Engagement & diversity

TWO PREDOMINANT THOUGHTS


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”

Organisation & Service Delivery


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

EmployeeSpace

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 functionFocus: Workforce community + HR Function

What could HR for the future look like


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

HRIT for the Future – building blocks


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

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?


Cloud HRIS project


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)


Testimonials


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


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


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


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



Recruiting & HR

Limpact concret des nouvelles technologies pour la GRH