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Chapter 6

The Future Of HRIS: Emerging Trends In HRM And IT

Organizational e-Democracy

1

Future Trends in HRM

2006 SHRM survey

Corporate social responsibility

Increased focus on employee health, safety and security

Talent management

Ethics

Diversity management in a global context

Outsourcing

Future Trends in HRM

Accountability in HR – Metrics

Labour relations

Organisation development at individual, group & enterprise level: Knowledge Mgt.

Staffing: Demographics, global pool..

Use of technology in HRM

Total reward management

Workforce diversity

  Future Trends in the Fields of IT/IS and HRIS

Software as a Service (SAAS)

Enterprise Portals

Service-Oriented Architecture (SOA)

Web 2.0

Software as a Service (SaaS) & Enterprise Portals

SaaS: Traditional software development models are being replaced by "on demand" software in which the company/customer pays only for the HR parts and programs of the software that are needed. Great for Small firms

Enterprise Portals: "web based technology that integrates information and applications for different user communities within an organization. A portal can be used for information sharing, collaboration, and operations and is designed to be the single source of interaction with corporate information and the focal point for conducting day-to-day business." Eg., Griffith Portal

What is Service Oriented Architecture (SOA)?

Definition: ‘functionality is decomposed into distinct units (services), which can be distributed over a network and can be combined together and reused to create new business applications’

But what is it?

Next wave of application development

Latest management-driven approach targeting business value instead of technology trends

Flexible architecture suitable for HR technology

Business process orchestration or workflow to link and sequence services

SOA Design

Modular design of logical business units

Coarse-grained building block with business value where each ‘grain’ does a lot of work

Loosely coupled via interfaces so that changes have less effect

Complex services are built with other services through orchestration

May be implemented by Web Services

Stateless where services do not retain state visible to clients

Offers plug and play technology

Information in shareable XML format – text instead of binary

SOA Implementation

How it works

To assemble an HR management system is like assembling Lego blocks, snapping together re-usable information service modules. The software components can be selected and bought through Web portals with online shopping basket

Many kinds of Messaging - TCP/IP, HTTP, MSMQ, MQ-Series, and more

How to implement – done by developers and solution architects

Top down

Bottom up

Middle out – hybrid of top down (strategic vision) and bottom up (business drivers)

SOA Future Use

Future use driven by Web 2.0

Emergence of software brokers and exchanges

Use of massive data centres to host software applications

Google, Amazon, eBay, Microsoft are building huge centres world-wide

Integration of video, animation and graphics

On demand solutions for e-learning

What is Web 2.0?

Web 2.0 is a shift from hard-wired monolithic systems to more open Web Services and SOA. Expected to solve problems of costly application integration

Consists of:

Social networking sites (such as chat rooms, MySpace, Facebook),

wikis (publicly available collaborative web dictionaries enabling users to contribute to online document or discussion)

blogs (short for web logs, i.e., online journals or diaries hosted on a web site, both personal and corporate)

Mash-ups (software composed of two or more composite applications; e.g., pulling up a rental car booking site within a airline booking site )

podcasts (audio or video recordings)

RSS (rich site summary) feeds (such as news items)

Personal web sites

Peer-to-peer networking (P2P: Sharing files, such as text, music and videos)

Collective intelligence (sharing knowledge to tap the expertise of a group) and

Web services

Features of Web 2.0

Web 2.0 hosts Web Services

Features

Refers to the transition of websites from isolated information silos to interlinked computing platforms

Includes a social element where users generate and distribute content, often with freedom to share and re-use

Sets business rules in components to be used at run time rather than at development time

Benefits of Web 2.0

Benefits to HR

More aligned to business needs

Enhanced communication and collaboration

Modular open design

More responsive to change

More flexible

Less costly

More agile

Can be re-used

Challenges

Security (confidentiality, inflammatory material)

Future Trends in Workforce Technologies (Henson, 2005)

The technology of the future will be both collaborative and connected;

Increasingly widespread use of intelligent self-service via employee portal is imminent;

Increased use of HR scorecards coupled with workforce analytics and decision trees: HR analytics & metrics;

Increases in process automation and the use of online analytical processing (OLAP) for processing raw data;

Faster and cheaper access to accurate real-time HR information due to advancements in communication tools;

The worker of the future will be able to work anywhere, any time and on any device that would help work-life balance but also turn the workplace into a 24/7 cycle.

Future Trends in Workforce Technologies (CedarCrestone Survey)

Organizations using more HRIS software applications experienced more operating income growth than organizations with fewer applications.

One of the key objectives of HRIS software applications is to help the organization in meeting its strategic objectives.

Survey respondents were least satisfied with analytics (reporting and decision tools), employee development, and recruiting services.

Quantitative benefits from HR technologies were realized in reduced time to hire (recruiting), headcount reductions, and lower transactional and compliance costs—mainly through the use of self-service portals.

Future Trends in Workforce Technologies (CedarCrestone Survey)

Organizations with HRIS service centers had the largest number of employees served per HR staff.

The market for applications for administrative and self-service transactions is developed, while the market for strategic HCM and measure/plan software applications is in an early adopter stage.

There is an increasing use of HR metrics in terms of cost justification for HR activities and programs.

Organizations are moving away from solutions, away from third-party vendors, and toward Web self-service.

Oracle’s PeopleSoft Enterprise Capital Management Applications are the most frequently used solutions for all HRIS applications.

Future Trends in Workforce Technologies (CedarCrestone Survey)

In-house HRIS solutions use employee productivity and ease of integrating new services as their key drivers. The key drivers for outsourced HRIS solutions are avoidance of new IT/capital expenditures and reduction in software implementation times.

In terms of in-house versus outsourced choices for automating HR processes, selective outsourcing is growing.

survey respondents are spending more for outsourced solutions than for in-house HRIS solutions.

Business process improvement continues as the number one initiative for organizations.

The survey results indicate that change management is the most important and continuing success factor for the adoption of workforce technologies.

Six Level of HRIS Technology

Level 1 Paper Based Legacy Systems

Initially all HR systems were paper based. They lacked logic and were linear in scope. They did not integrate well with other paper based systems.

Six Level of HRIS Technology

Level 2 Early PC Technology

Independent PC base or LAN were based on paper based systems. Accessible only to HR specialists. Integrated with payroll applicant tracking. ABRA, HR2000, and Greentree programs are from this era.

Six Level of HRIS Technology

Level 3 Most HR paper systems are transferred to electronic databases

HR systems began to HR-department wide impact and integrate with enterprise-wide systems. Software initially mirrored paper based. Peoplsoft, Restrac, Resumix, and SAP started in this era.

Six Level of HRIS Technology

Level 4 HR systems started to automate and became strategic

Doing is right the first time was the byword. Call center came into focus as low-tech option then shifted to kiosks and self-service. Report writing still primary role of HRIS. Peoplesoft and SAP become common.

Six Level of HRIS Technology

THE BEGINNING OF THE HRIS REVOLUTION ---THE SHIFT AWAY FROM “INFORMATION”

Six Level of HRIS Technology

GLOBALIZATION

AND “THE WEB” FORCE

THE END TO MOST

“FACE-TO-FACE” HR

Six Level of HRIS Technology

Old Paradigm: Person/Phone/Desk

When you had a problem you tracked down the HR Rep and got the answer. If you could not find them you called them. If all else failed you looked it up in the HR manual.

Six Level of HRIS Technology

New Paradigm: Desk/Phone/Person

Now they use web based means to solve the problem first. If that does not work they call HR. If they need more personalized information they go see an HR rep.

Six Level of HRIS Technology

New Paradigm: Desk/Phone/Person

Now they use web based means to solve the problem first. If that does not work they call HR. If they need more personalized information they go see an HR rep.

Six Level of HRIS Technology

Level 5 System were designed to increase individual manager and worker productivity.

Internal databases link to ERP

Early “smoke detectors” evolve to ID problems

Early “sprinkler systems” evolve to mitigate any possible damage occurring

“Push” email tech automate specific responses

All tools became web-based and available 24/7

The internet became the primary way of communicating and “self-service” through portals evolved

Six Level of HRIS Technology

THE FINAL FRONTIER

EXPERT SYSTEMS THAT

PREDICT AND “LEARN”

Six Level of HRIS Technology

Level 6 Smart systems that “Learn” arrive and allow automated predictive/forecasting capabilities

The paper-based legacy is broken

Logic is incorporated into systems management

Expert Systems allow lower level decision making

Mass personalized/customized delivery occurs

Systems are learning an automatically changing to accommodate users

Predictor “algorithms” bring forecasts to lower levels

“Sprinkler systems” automate dealing with sexual harassment, strikes…

HR Effectiveness is measured through indices, models, and output

“What if” scenarios allows for deeper strategic focus

Online simulations allow for training based on forecasted needs

Study Questions for PHRIC

Study Question for PHRIC

3 A) What are the five (5) processes of project management?

Answer

3 A) What are the five (5) processes of project management?

√ Initiation

√ Planning

√ Executing

√ Controlling

√ Closing

Study Question for PHRIC

3 B) What is the difference between the role of Project Sponsor and Project Steering Committee?

Answer

3 B) What is the difference between the role of Project Sponsor and Project Steering Committee?

√ The role of a project sponsor is to communicate how the project relates to the overall vision strategy and mission of the organization. Model commitment in providing motivation to change current state operations, build support for the project and reinforce commitment by obtaining the resources necessary to achieve the objectives of the project.

√ The Steering Committee collectively decides the major project objectives, schedules, and priorities and is responsible for the overall success of the project and for ensuring needed resources. Other responsibilities include resolving escalated project issues, approving and monitoring project and budget status, assessing the organizational impact of the proposed changes and to facilitate obtaining commitment of necessary resources.

Study Question for PHRIC

3 C) List the three (3) types of project organization methods and the advantages of each.

Answer

3 C) List the three (3) types of project organization methods and the advantages of each.

√ Function-Based advantages are clear authority and the team members’ business knowledge expertise.

√ Matrix-Based advantages are efficient allocation of all resources and flexibility when dealing with changing business needs and priorities.

√ Project-Based advantages include clear authority and a clear focus.

Study Question for PHRIC

3 D) List six (6) components of a Project Charter. (All are listed below)

Answer

3 D) List six (6) components of a Project Charter. (All are listed below)

√ Project Objectives

√ Project Scope

√ Project Assumptions

√ Budget & Funding

√ Risks

√ Organization, Staffing, Roles & Responsibilities

√ Expected Benefits

√ High Level Project Plan / Timeline

√ Critical Success Factors

√ Project Reporting

√ Change Management

√ Issues Management

Study Question for PHRIC

3 E) What are the four (4) actions that you can take in response to an identified risk?

Answer

3 E) What are the four (4) actions that you can take in response to an identified risk?

√ You can avoid the risk.

√ Transfer the risk.

√ Mitigate the risk.

√ Accept the risk.

Study Question for PHRIC

3 F) What is performed in the Cost Control process of Project Cost Management?

Answer

3 F) What is performed in the Cost Control process of Project Cost Management?

√ Performance is monitored to detect and understand variances from the plan.

Study Question for PHRIC

3 G) What is the difference between the Project Team Status meeting and the Client Team Status meeting?

Answer

3 G) What is the difference between the Project Team Status meeting and the Client Team Status meeting?

√ The Project Team Status Meeting is a meeting of Core Project Team Members whose purpose is to inform the team of overall project status.

√ The Client Status Meeting is a meeting with the project sponsor and possibly some key Stakeholders to update the clients with the current status of the project.

Study Question for PHRIC

3 H) What are the two (2) graphical representations of the project?

Answer

3 H) What are the two (2) graphical representations of the project?

√ Gantt chart

√ PERT Chart

Study Question for PHRIC

4 A) What is the difference between hard and soft dollar costs when building a business case?

Answer

4 A) What is the difference between hard and soft dollar costs when building a business case?

√ “Hard Dollar” savings are those that can be accounted for as savings in the budget. It represents an actual amount of money that will be saved due to implementation of this solution.

√ “Soft Dollar” savings are those that cannot be directly accounted for in the budget, but have an indirect positive impact to the organization.

Study Question for PHRIC

4 B) Why is the method of software acquisition important when building a business case?

Answer

4 B) Why is the method of software acquisition important when building a business case?

√ When licensing the software from the vendor (hosted or on-premise), licenses, any infrastructure purchases and the implementation costs can be capitalized and the actual expense will be realized over time. Thus the cost of initial purchase will need to be spread out (depreciated) in the business case over a number of years, and not fully realized in the year that the software is purchased.

√ When purchasing the Software-as-a-Service (ASP or SaaS), the fees and implementation will be treated as an expense item, not capital, and accounted for in full within the fiscal year they are spent.

Study Question for PHRIC

4 C) When gathering business requirements, who within an organization needs to be included in the process?

Answer

4 C) When gathering business requirements, who within an organization needs to be included in the process?

√ HR Process owners

√ Subject matter experts

√ End users

√ Management team

Study Question for PHRIC

4 D) What are the differences in the technical requirements of licensed software that is on-premise, licensed software that is hosted and software offered in the ASP and SaaS model?

Answer

4 D) What are the differences in the technical requirements of licensed software that is on-premise, licensed software that is hosted and software offered in the ASP and SaaS model?

√ Licensed Software On-Premise will need a technical requirements specification sheet that includes information on required database, operating system, and hardware based on internal IT department standards.

√ Licensed Software that is hosted requires that the technical requirements meet those of the hosting provider.

√ The ASP and SaaS model will need a “SAS 70” report and a copy of backup and recovery procedures.

Study Question for PHRIC

4 E) Why are decision drivers important?

Answer

4 E) Why are decision drivers important?

√ They will provide a fact-based objective and systematic method for technology selection.

Study Question for PHRIC

4 F) Name five (5) decision drivers and describe the criterion they address.

Answer Part 1

4 F) Name five (5) decision drivers and describe the criterion they address.

(All are listed below)

√ Vendor Viability looks at the vendor as a company and their ability to be in business to service the organization.

√ Services and Support looks at the types of support offered during and after implementation and skill sets of the resources available.

√ Functionality is used to determine if the most important and unique processes and business function requirements are met. .

Answer Part 2

4 F) Name five (5) decision drivers and describe the criterion they address.

√ Configurability covers the ability to change look, feel and operation of system using administration tools not customizing product code.

√ Scalability looks at the ability of the vendor to scale up or down as business needs change.

√ Usability refers to the system ease of use; the look, feel and intuitiveness of the user interface.

Answer Part 3

4 F) Name five (5) decision drivers and describe the criterion they address.

√ Operational Effectiveness addresses the ability of the product to streamline processes and provide reporting for strategic decision-making.

√ Technology looks at the fit of the vendor product to the companies IT Strategy.

√ Ease of Integration considers the ease of integrating the vendor product into existing applications and with third parties.

Answer Part 4

4 F) Name five (5) decision drivers and describe the criterion they address.

√ Business Segmentation considers the ability of the product to support multi-company or multi-divisional configuration.

√ Global Capabilities address the globalization of the product and its ability to provide multi-language, multi-currency and support country-specific regulations.

√ Cost and Return on Investment (ROI) looks at the total cost of ownership and any return on the software investment.

Study Question for PHRIC

4 G) What are the key differences between an RFP and an RFI?

Answer

4 G) What are the key differences between an RFP and an RFI?

√ The RFI is designed to gather information about the vendor and the software they offer to determine if they would be a viable candidate for a full evaluation.

√ The RFP is designed to get specific answers from the vendor as to how they meet your detailed requirements.

Study Question for PHRIC

4 H) What information about the company needs to be included in an RFP?

Answer

4 H) What information about the company needs to be included in an RFP?

√ Company Information

√ Project Scope

√ Technical Requirements

√ Functional Business Requirements

Study Question for PHRIC

4 I) What information should the vendor provide in an RFP?

Answer

4 I) What information should the vendor provide in an RFP?

√ Company Information

√ Product Information

√ Technical Information

√ Cost Proposal

√ References

Study Question for PHRIC

4 J) What is a vendor demonstration script?

Answer

4 J) What is a vendor demonstration script?

√ The script is a step-by-step processed focus document.

√ It contains functionality the vendor is to show in the demonstrations.

√ It is designed to show how the product meets the company’s needs.

Study Question for PHRIC

4 K) Why is it important to include the RFP in your software contracts?

Answer

4 K) Why is it important to include the RFP in your software contracts?

√ To ensure the software delivered reflects the vendors’ response to your requirements.

Study Question for PHRIC

5 A) How should the core project team be staffed?

Answer

5 A) How should the core project team be staffed?

√ Subject Matter Experts

√ Functional Product Experts

√ Technical Product Experts

√ Network administrators

√ Database administrators

√ Security administrators

√ Data conversion experts.

Study Question for PHRIC

5 B) What are the five (5) generic phases of a systems implementation plan?

Answer

5 B) What are the five (5) generic phases of a systems implementation plan?

√ Design

√ Build

√ Test

√ Go Live

√ Post Production Support

Study Question for PHRIC

5 C) What is the difference between Unit Testing, System Testing and Integration Testing?

Answer

5 C) What is the difference between Unit Testing, System Testing and Integration Testing?

√ Unit Testing tests each program independently.

√ System Testing tests to make sure that each individual program works within the context of the system configuration and a test sampling of data.

√ Integration Testing tests programs and process work when run end-to-end, typically with a larger test sampling of data.

Study Question for PHRIC

5 D) When does training ideally occur for the Core Project Team, End Users and Other Key Stakeholders?

Answer

5 D) When does training ideally occur for the Core Project Team, End Users and Other Key Stakeholders?

√ Core Project Team training should occur before the build phase of the project.

√ End-User Training should occur as close to the go live as possible.

√ Other Key Stakeholder training should occur close to the go live but not at the expense of end user training.

Study Question for PHRIC

5 E) What is the difference between the directly impacted external audience and the indirectly impacted?

Answer

5 E) What is the difference between the directly impacted external audience and the indirectly impacted?

√ Directly impacted audiences include those vendors and systems that currently receive or send information that will change due to the implementation of the new system.

√ Indirectly impacted audiences include those vendors and systems who exchange information, but there are no changes to the data that is being exchanged.

Study Question for PHRIC

5 F) Name the key factors in global implementations.

Answer

5 F) Name the key factors in global implementations.

√ Language

√ Currency

√ Data privacy

√ Country specific data

Study Question for PHRIC

5 G) What happens during data conversion when performing data rationalization?

Answer

5 G) What happens during data conversion when performing data rationalization?

√ The data content is reviewed to make sure that the values, format and use are consistent with what the new system is capable of storing.

Study Question for PHRIC

5 H) How are data loads tested?

Answer

5 H) How are data loads tested?

√ In stages where the first load includes a minimal amount of data and each load increases the amount of data until you achieve a complete data file load.

Study Question for PHRIC

5 I) What are the advantages of role-based security?

Answer

5 I) What are the advantages of role-based security?

√ Management of individual user rights becomes easier.

√ Simplifies the security maintenance within the HR Applications.

Study Question for PHRIC

5 J) What is single sign-on?

Answer

5 J) What is single sign-on?

√ This allows access to a system from the portal without having to log in to that system.

Study Question for PHRIC

5 K) What are the application risks of a project and how can they be mitigated?

Answer

5 K) What are the application risks of a project and how can they be mitigated?

Risks:

√ That the software is not working as it should.

√ The introduction of new releases of the software during the implementation.

Mitigation:

√ Creating a project plan that includes accommodation for fixing “bugs.”

√ Obtain from the vendor their release strategy and any documentation on what is being changed in the release.

Study Question for PHRIC

6 A) Why is it important to establish a Steering Committee?

Answer

6 A) Why is it important to establish a Steering Committee?

√ To prioritize projects that are requested.

Study Question for PHRIC

6 B) What is the difference between Application Documentation and Process Documentation?

Answer

6 B) What is the difference between Application Documentation and Process Documentation?

√ Application Documentation is the documents that describe how the specific HR software application have been configured and are supported.

√ Process Documentation is the documents that describe the HR processes in use. They may reference the systems that are accessed within a process.

Study Question for PHRIC

6 C) What are the components of a Data Management Program?

Answer

6 C) What are the components of a Data Management Program?

√ A Data Management Program contains information about Data Definitions and Business Rules

√ Data definitions should include the attributes of the data, such as size (number of characters), format (text, numeric, date) and the valid values for the data.

√ Business rules should state how the data is to be used, if it is required or not, and the retention period (how long the data is to be kept).

Study Question for PHRIC

6 D) What is data profiling?

Answer

6 D) What is data profiling?

√ Examines individual record fields or columns of data to determine whether these fields conform to their assumed content.

√ Checks for intra-record dependencies

√ Checks for inter-file dependencies.

Study Question for PHRIC

6 E) What are the five (5) components of a records management program?

Answer

6 E) What are the five (5) components of a records management program?

√ Record Ownership

√ Record Identification

√ Record Storage

√ Record Retention

√ Archiving

Study Question for PHRIC

6 F) What are the three (3) environments of a change management strategy and what are they used for?

Answer

6 F) What are the three (3) environments of a change management strategy and what are they used for?

√ Development environment refers to the instance of the application where the changes are made and unit tested.

√ Test environment refers to the instance of the application where the changes are system and integration tested.

√ Production environment is the live system where the changes are applied after testing has been completed.

Study Question for PHRIC

6 G) What is the difference between a technical and a functional upgrade?

Answer

6 G) What is the difference between a technical and a functional upgrade?

√ Technical upgrade is an upgrade done purely to bring the application up to the most current release.

√ Functional upgrade is done to bring the system up to current release and add new functionality.

Study Question for PHRIC

6 H) What are the two (2) major pieces of legislation related to HR Data Privacy? Who do they apply to?

Answer

6 H) What are the two (2) major pieces of legislation related to HR Data Privacy? Who do they apply to?

√ The European Union (EU) Data Protection Directive is applicable to all EU member states.

√ U.S. Department of Commerce Safe Harbor act applies to all personal information transferred from the EU.

Study Question for PHRIC

6 I) What is the difference between application-level and data-level security?

Answer

6 I) What is the difference between application-level and data-level security?

√ Application-level security defines what information one can see in the application.

√ Data-level security defines whose information can be seen in the application.

Study Question for PHRIC

6 F) What is the difference between change and update permissions?

Answer

6 F) What is the difference between change and update permissions?

√ Update refers to the ability to create a new row of data in an existing record.

√ Change refers to the over-writing of information that already exists without creating a new row of data. This can also be referred to as “correction” access.

Study Question for PHRIC

6 G) What is the difference between metrics and analytics?

Answer

6 G) What is the difference between metrics and analytics?

√ A metric refers to a measure based on one or more data elements that provides a number that has meaning when placed in a relevant context.

√ Analytics refers to methods of manipulating and combining metrics in order to gain insights necessary to aid problem solving and decision making.

Wrap Up!

Questons?