Session Number 100 Caveat Emptor – Raising Your HR Technology Market IQ

1. Session Number 100 Caveat Emptor – Raising Your HR Technology Market IQ Freddye Silverman , HRIP Vice President, Eastern Region Jeitosa Group International

2. Freddye Silverman, HRIP • Former VP of HR Technology Solutions at Cendant, independent consultant for five years, now VP, Eastern Region at Jeitosa Group International • In the HRIS field since 1986, with responsibility for HR technology strategic planning and oversight of global HR systems and the U.S. payroll system • Active IHRIM member since 1988 and past president of the Association, certified HRIP • Jeitosa Group International provides global, strategic and functional human resources information technology support to Global Fortune 1000 organizations.

3. Level Setting • Source credit is given • No recommended products – vendor neutral and not all products or providers in any category may be mentioned • Not a case study • As always, find the best fit for your requirements, environment and culture

4. We’re here because…

5. Agenda • Movement in the Market • Talent Management, eLearning, Compensation • Workforce Analytics and Workforce Planning • Enterprise 2.0 • Deployment options • Product evaluation and selection

6. Recent Merger/Acquisition Activity A volatile marketplace makes decisions more difficult

7. Recent Merger/Acquisition Activity • Clients looking for a ‘holistic solution’ • Organizations looking to round out offerings and improve market penetrations • Undervalued companies are good deals for cash-flush acquirers Continuing speculation about consolidation, PE buys, gorilla gobbles (e.g. ADP, Kronos)

8. Why should I care?Beware the fairy tales of consolidation • We will continue to support all product lines fully • We are delighted with our new colleagues and expect to retain all of them • Our customers will see only improvements in support, product roadmaps and overall happiness • We will have ‘out of the box’ integration soon • We have complimentary architecture • This acquisition now gives us the deepest features and we are the only vendor with a complete solution Source: Naomi Bloom, Jason Corsello

9. Leaders and Innovative Players by Segment Source: Forrester Research 2010

10. What is a Talent Management Suite?

11. Creates ‘passive candidate database’ also – people who have given references and checked box to ‘Keep in touch’

12. Manager Dashboard – Review Your Metrics

13. SkillSurvey Goes Mobile SkillSurvey Mobile • On-the-go access anytime, anywhere • Use your iPhone, BlackBerry, Droid, or Windows-enabled Smartphone • No hassle for recruiters, candidates, or references Integrated with Taleo now; talking to ADP/Virtual Edge and Kenexa/BrassRing

14. e-Recruiting The age-old question: Is technology really the problem or are vendors taking the blame for broken processes and poor change management during and after implementation? • April 2011 Bersin and Associates study of talent acquisition market • Almost 50% of surveyed organizations are looking to switch their TA vendor • Why such market churn? • SaaS – advantage of ‘low barriers to entry’ is a disadvantage when it becomes ‘low barriers to exit’ – easy to switch without substantial financial penalty • Saas contracts usually 36 months – many contracts signed in 2008 prior to down market now up for renewal • Akin to churn in mobile phone market where people jump from one carrier to another hoping for better service, phone selection, price, reception once cell number portability was offered Source:Bryon Abramowitz blog, The HR Technologist, 4/7/2011

15. Talent Management Evolution v.2 2011 Update: Very little buzz about the SF or Silk Road ‘core’ modules Employee Central SuccessFactorsBusiness Execution Software (BizX) Oracle eBusiness Suite HCM

16. The increasingly rare bird • Sonar6 – based in New Zealand • “Finally, performance reviews that don’t suck” • Performance Reviews and Succession Planning only • Winner of 2009 PWC High Tech Award • Leads in the user experience area (Bersin) • Performance mgmt should not be about automating performance…but about making, supporting and visualizing decisions…that drive corporate performance. We need more products like Sonar6. (Corsello)

17. draft TM matrix You must dig and define the functionality There is often a disconnect between how the TM system sees the organization of labor in a company and how the job structure is maintained in the core HR system. This will hijack any efforts at integration. Evaluate the data structure and quality of your core HR system fully! Source: Bryon Abramowitz, Random Thoughts blog

18. eLearning Market • Mature technology, long-term vendors • Global market to reach $107 billion by 2015 according to industry analysts • Has proven to: • Reduce operational costs • Centralizes content • Lowers logistics cost • Simplify training programs • Enables uniformity in content delivery • Provides flexibility in learning activities • Anytime anywhere learning • Access to worldwide mentoring resources • Control of training calendar from multiple locations

19. eLearning Market Scan Many offer other TM modules, some are pure play

20. LMS a la Facebook – Feathercap by Xerceo • Sign up as an administrator or training manager – no charge to create a community • Service plans – ongoing maintenance and development • Configurable private secure full featured learning environment • Add team – use template to import learners • Content management • Use template to import from Articulate, Lectora, Presentor, Adobe Captivate • Can build content using their content mgmt system – pull from wikis, blogs, websites • Share courses, set up instructor led events, enroll learners, run reports • Ease of setup and reasonable cost

22. Ventana Value Index • Don’t just look at the graphics – read the research • Always read the ‘vendors not included’ waiver • Salary.com was part of the initial assessment but then was acquired by Kenexa which did not communicate its plans for the application’s future • HRsmart did not respond to inquiries or provide access to its customers and applications • Cornerstone on Demand, Excentive, Ultimate Software and Workday were not part of Ventana’s research coverage in 2010 but are being assessed for coverage in 2011.

23. Workforce Intelligence / Workforce Planning/Workforce Optimization Workforce Intelligence Workforce Planning Getting the right number of people with the right skills, experiences and competencies in the right jobs at the right time – U.S. Dept of Heath and Human Services Office of Human Resources The confluence of talent management and analytics Market players AruspexCAPTure Vemo Aquire (combines aspects of intelligence and planning) Nakisa (workforce visualization) Human Concepts (Org Plus) – visualization and analytics • Using metrics and (predictive) analytics to gain business insight • Market players • Doublestar Workforce Insight • eThority Data Talent • Microstrategy • Embedded third party tools with intelligence, e.g. Ultipro with Cognos, SuccessFactors with InfoHrm • Proprietary point-and-click and native SQL tools, e.g, Nuview • Oracle – BI module, melding Siebel and Hyperion functionality into HCM • SAP – Business Objects

24. “The Best of Human Capital Metrics” DVD • Highlights from seven sessions of a Conference Board meeting • Managing Tomorrow, Today: the Predictive Analytics Model, Jac Fitz-enz • How to Apply Analytics to Business Problems, Jess Harriott and Jeff Quinn (Monster) • A better Way to Account for Human Capital Costs, Stephen Wehrenberg (USCG) • Workforce Analytics that Drive the Bottom Line, Shyam Patel, (People Report) • The New Face of Workforce Planning, Tom Glasscock and Jennifer Murnane • Advancements in Analytics, John Gibbons, David Scarborough • From Reactive to Predictive Analytics, Jac Fitz-enz

26. HR still has trouble telling the story… As in talent management, where many years in we are still just automating performance reviews rather than driving business outcomes… Josh Bersin

27. State of HR Metrics – survey results summary • A range of methodologies and software are in place across (mostly informal) metrics systems • Most HR organizations characterize their HR metrics system as informal and the majority of systems are partially automated. • Among those systems that are automated, a wide variety of vendor and consultant-provided software is used. • HR execs also use a variety of measurement frameworks, although balanced scorecard and custom-built frameworks are most common. • Majority of HR executives are not confident in the effectiveness or impact of their metrics system • Less than 1/3 of respondents agree that their HR metrics approach is effective and few believe their system is as effective as those used by other functions.The majority of HR executives are not confident that HR metrics are useful in prioritizing Hr activities and investments, are linked to corporate strategy, provide line managers with the information they need to make workforce decisions or contribute to improvements in HR or corporate performance.

28. How many think your HR executives would agree with those statements? Corporate Leadership Council Member Survey: Exploring the Measurement Challenge Fall 2001! Not too much has changed in 10 years… Analytics is an ongoing challenge

29. All of your data in one place.Finally. Consolidate all data systems… into one user-obvious interface. DataTalent Workforce performance, empowered.

30. Workforce Analytics Track key metrics and automate HR reporting. Get at-a-glance insight from dashboards. DataTalent Workforce performance, empowered.

31. “We live in a society bloated with data but starved for wisdom.” Elizabeth Lindsey Ethnographer and National Geographic Fellow

32. Enterprise 2.0

33. Enterprise 2.0 – Using Web 2.0 tools to connect and collaborate Web 2.0 • Community • Architecture of participation • Collective intelligence • User-created content • Technology • Web platforms • Rich Internet Applications • Mobile platforms Social Applications • Social Networking • Locating interesting people and content • Social profiles • Social network analysis • Social Collaboration • Working with interesting people and content • Wikis and blogs • Instant messaging • Virtual worlds • Collaborative office • Social Publishing • Sharing interesting content • Social tagging • Social validation • Social Sourcing • Using social sites such as LinkedIn, Facebook, etc to source employment candidates • Social Learning • Combining traditional LMS features with social networking tools like Facebook for collaborative learning

34. Social Software Applications • Checkster – online reference checking • Candidate provides behavioral self-assessment • Reference sources complete same assessment for the candidate • Comparison report of both assessments generated • Rypple – collaboration software • “Work better, together” • Web-based software used by teams to stay on track • Set goals, get feedback, coaching and thanks • Supercharges communication, gives people control of their own performance and development

35. And the word is … App • Word of the year for 2010 • Apple announced its 10 billionth download at the beginning of March 2011 • Uses of cellphones: • 1 – email/texting • 2 – apps • 3 – talking • Mobile World Congress, February 2011, Barcelona

36. Mobile Apps are expanding • Buck Consultants • Benefits Genie Lite and Benefits Genie – to keep track of health benefits and store key health info that can be shared with a PIN for privacy • CareerBuilder.com • iPhone and iPod touch to search for job listings ‘on the go’ • Kenexa 2x Mobile • access to Kenexa Recruitment, Onboarding and Performance Mgmt solutions on iPhone and Blackberry. Approve reqs, job seekers can view and apply for positions • HRSentry • Two mobil apps for iPad geared to small business owners and HR pros • Access to glossary of HR terms and definitions, federal law info and updates, guide to creating an employee handbook • Cybershift Workforce Management 3G • Lets managers and employees view and manage time and attendance data via Blackberry • PeopleclickAuthoria Collaborate • Allows managers to approve reqs, view reports and dashboards, candidates can scan openings and apply for jobs via Blackberry, Android and iTouch

37. In the Cloud(a throwback to 70’s-80’s mainframe timesharing) • Public cloud solutions – purest vision • E.g. Amazon Web Services, Google, Salesforce.com • Attempt to become one-stop shop for all of an enterprise’s needs • Centralize all services in a few data centers to deliver global services at acceptable performance • abstracts away all complexity of a physical IT infrastructure • Via thin-provisioning and virtualization, can offer a limitless data center infrastructure at low monthly cost • Private cloud solutions • Take public delivery model and scale it down to deliver computing capacity for the individual enterprise • For very large organizations, could reach same economies of scale as public vendors • Consolidate storage and applications, virtualize infrastructure, provide acceleration to branch offices and mobile workers • Manage services differently via chargeback – ‘sunk’ data center costs are retrievable as a profit center • Will not abandon IT investments but will shift operation models to mimic public cloud Hybrid cloud – combines public and private cloud

38. Portals: Market Movement

39. Why SharePoint? • The most ubiquitous portal platform on earth • Extremely easy to create, maintain and organize content, pages • Provides a highly personalized, customized role-based experience • Powerful search engine • Robust collaboration features • Integrates with all ERPs and HR point solutions • Deployable on-premise or hosted/SaaS • Accessible via browser, smart phones, tablets • Accessible from inside and/or outside the firewall Source: Towers Watson, IHRIM Webinar, Creating a Consumer Grade HR Portal Using MS Sharepoint

40. Full-Time Part Time SharePoint HR Portal Managers New Hires Retirees HR/Field HR HR Service Center HR Portal Single Sign On HR4HR Collaboration On Boarding SPDs / Compliance Career Framework SharePoint Functionality Content Management Design, Layout Navigation Search Data Integration Content Workflow Web 2.0 Features Automated Alerts HRIS Portal Administration Authentication & ID Mgmt Content Storage (SQL) Case Mgmt BenefitConnect Talent | Reward Payroll Training Towers Watson SaaS Apps Client on-prem Apps Pension Reward Stmt HCM eLearning Time/attendance Third-Party Content, Data, Apps 401k Health care PBM’s Vision Dental Phone PC Browser Source: Towers Watson, IHRIM Webinar, Creating a Consumer Grade HR Portal Using MS Sharepoint

41. How A Pre-Configured SharePoint Portal Works • Personalized and targeted content • Pre-configured information architecture • Pre-configured page templates • Pre-written “work events” and “life events” • Pre-configured forms library • News, announcements publishing and automated publishing (RSS) • Built-in content management & workflow (for editing, reviewing, approving and publishing) • Quick Links to key content and apps • Links to providers & 3rd party apps • Unlimited depth of content (layers, subsites) • Integrated “Ask HR” Issues and inquiry tracking • Single sign-on • Document Library • Social networking • Audit and archive of compliance content • On-premise or Hosted – identical features and deployment time Source: Towers Watson, IHRIM Webinar, Creating a Consumer Grade HR Portal Using MS Sharepoint

42. Personalized content is targeted and filtered Pre-Configured SharePoint HR Portal Access to personal info myPortal Powerful search delivers tailored results that can include other related sites in the search scope Intuitive navigation, mega menus, get use to most common content in 1 click. Live chat or email for additional information and assistance Quick Links exposes important content typically only found deeper in the site Single-sign on to essential data and apps creates a seamless online experience Interactive content, such as videos and online polls, engage users Special call-outs draw attention to important information – even when content resides underneath the home-page level. Rate or share interesting articles News is targeted based on location, role or any other available data element. Featured stories appear on home page, all past stories easily accessible in archives. Content on topics like Wellness or financial planning, can be RSS feeds from external sources. Source: Towers Watson, IHRIM Webinar, Creating a Consumer Grade HR Portal Using MS Sharepoint

43. Deployment Options Build and maintain internal infrastructure Buy and maintain internal infrastructure SAAS Software as a service, “right to use” vs license, vendor-hosted Subscription model – multitenancy Web-based software Not ASP – limited to configuration not customization Single code base deployed across all customers Hosted License Outsource the infrastructure without giving up ownership Personalization of application Example: Oracle on Demand Outsource – specific functions or CHRO

44. SaaS – be aware • What it is: leased and hosted configurable web-delivered multi-tenant applications • No infrastructure responsibilities but you still have to pay attention to the maintenance and upgrades since your application is changing • What it’s not: open your browser, key in the URL and bam! you’ve got a system • Great delivery model, implementation still a challenging project • Significant time/dollar/resource effort, although typically shorter in duration than in-house • Client must understand and define their business processes to select and configure correctly - “otherwise you pave the cow paths” (Kutik) • Must convert historical data - cleansed, normalized, mapped • Service and integration with internal systems must be addressed • Biggest concern at many companies is loss of control and data exposure • New acronyms – Plateau Talent Gateway • PaaS – platform as a service • CaaS – content as a service • XaaS – anything as a service

46. Product Evaluation and Selection

47. Does this sound familiar?

49. Software Vendor Information • Capterra.com • Filter by platform, number of users, features, number of employees, location, budget • List produced displays paid advertisers first, followed by complete list of all vendors in smaller print • Comparehris.com • Complete tool, view scored list of products closely matching listed needs • Learn the capabilities of listed systems • Determine needs by weighting importance of each feature or option • View Detailed Comparison Screens • View pre-recorded Demos • Research and advisory firms • Gartner ‘magic quadrant’ • Forrester • Aberdeen • IDC • Ventana

50. Items to consider for planning • Staffing • Without an appropriately staffed HRIS group to deploy, own and continuously market the applications, the effort will die on the vine • Hybrid skill set – high tech, high touch • If you depend on an internal IT group, what is their skill set? What type of technologies can they support? • Define your key drivers • Determine organizational direction • Global expansion? • Emphasis on talent management? • Economics • Funding availability • Timing • The world moves quickly; if process and technology rollouts don’t keep up you’ll set yourself up to fail • Short term planning (up to 1 year) should be your target