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[12] HRO TODAY MAGAZINE | MAY 2017
Cover Story
It has been 10 years since SharedXpertise took over the reigns of HRO Today magazine, and I don’t think anyone could have
ever possibly predicted how much the industry would change. This field has been transformed by many things—multi-
process HRO, best-in-breed solutions, on-premise to SaaS, the Great Recession, the never-ending war for talent, the rise of
RPO, the ACA and consumer-driven healthcare, social media’s growth, the impact of contingent labor, and so much more!
I have pulled together a timeline to show how the industry—and our magazine—has
evolved over the years. I am so happy I landed here nine years ago—here’s to the next 10!
We celebrate our anniversary by looking back and
looking forward.
By Debbie Bolla
A Decade in the Making
2007
• The HRO market was all about multi-process,multi-year, multi-million-dollar deals. Butchallenges arose: Organizations had bigexpectations and providers often overpromisedand under-delivered.
• First-time adopters navigated sharedservices as an offering to help the transitionto HRO.
• The Superstars of HRO are named.
• RPO is predicted as the fastest growingsegment for 2008.
• Notable deals:J&J $1 billion deal with ConvergysGlaxoSmithKline $171 million with ACSAmerican Airlines $217 million with IBM
• Social media is recognized as a possiblerecruitment strategy.
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20
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• The Superstars of HRO are named.
2017
• The Superstars of HRO are named.
2017
RPO is predicted as the fastest growing
2017
RPO is predicted as the fastest growingsegment for 2008.
2017
segment for 2008.
Notable deals:2017
Notable deals:
HRO HRO HRO HRO HRO HRO HRO
• The Superstars of HRO are named.HRO • The Superstars of HRO are named.HRO
HRO Today
Today
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azinemagazine, and I don’t think anyone could have
Magaz
inemagazine, and I don’t think anyone could have
ever possibly predicted how much the industry would change. This field has been transformed by many things—multi-
Magaz
ineever possibly predicted how much the industry would change. This field has been transformed by many things—multi-
process HRO, best-in-breed solutions, on-premise to SaaS, the Great Recession, the never-ending war for talent, the rise of
Magaz
ineprocess HRO, best-in-breed solutions, on-premise to SaaS, the Great Recession, the never-ending war for talent, the rise of
RPO, the ACA and consumer-driven healthcare, social media’s growth, the impact of contingent labor, and so much more!
Magaz
ineRPO, the ACA and consumer-driven healthcare, social media’s growth, the impact of contingent labor, and so much more!
I have pulled together a timeline to show how the industry—and our magazine—has
Magaz
ineI have pulled together a timeline to show how the industry—and our magazine—has
evolved over the years. I am so happy I landed here nine years ago—here’s to the next 10!
Magaz
ine
evolved over the years. I am so happy I landed here nine years ago—here’s to the next 10!
Magaz
ine
Magaz
ine
[13]MAY 2017 | www.hrotoday.com
Cover Story
2008
• Deals are up for renewal, and the second-generation of contracts brings a clearer picture of expectations and deliverables. A shift begins: More informed buyers lead to shorter contracts with fewer services.
• The market begins to consider SaaS systems over on-premise HRM systems.
• Point solutions became an offering; NelsonHall research shows a decline of MPHRO mid year.
• HR transformation meant cost savings, operating efficiencies, retention of key talent, and improved productivity.
• The launch of our survey- based ratings for our Baker’s Dozen lists in relocation, MPHRO, RPO, recognition, and screening.
• In 2008, 70% of enterprise buyers were satisfied with outsourced services.
• The growth of midmarket deals.
2009
• The economy puts a spotlight on HRO’s scalability.
• HRO’s predicted growth came in at 23.5% for the year.
• Global payroll starts to become a sought-after solution.
• Big market shift to best-of-breed solutions.
• Organizations look to save money while training the workforce through virtual and e-learning techniques.
• Social networking becomes a platform for brand enhancement and candidate attraction.
• RPO shows value in cost saving, scalability, global reach, and value-add services.
Baker’s DozenMANAGED SERVICE PROGRAMS
Customer Satisfaction Ratings
2010 Winner
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Global payroll starts to
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Global payroll starts tobecome a sought-after
2017
become a sought-after
• 2017
• Organizations look to save money while 20
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Organizations look to save money while training the workforce through virtual and 20
17
training the workforce through virtual and e-learning techniques.20
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e-learning techniques.
HRO HRO HRO s scalability.
HRO s scalability.
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[14] HRO TODAY MAGAZINE | MAY 2017
Cover Story
2010
• Single-process deals continue to grow.
• Healthcare reform is a hot topic, and healthcare benefits start to shift as costs begin to grow for organizations.
• Wellness programs become a popular perk.
• More organizations leverage contingent labor, and managed service programs (MSPs) are part of the Baker’s Dozen.
• M&A activity hits the HR services market with almost three dozen mergers during the year.
• RPO is a top sector.
2011
• The value of contingent labor continues to grow.
• The relocation market responds to the recession with new offerings.
• Metrics for measuring HR evolve.
• Talent management is a main HR priority.
• Research shows a major gap in the delivery of tech services with major room for improvement.
• HR focuses on engagement and culture.
• The use of talent management suites are on the rise.
• Tech pushes the market to expand with mobile solutions, video interviewing, and easier ways to manage virtual workers.
• The market shows post-recession job growth.
• 71% of organizations have plans to invest in technology.
Plus: Clark on the “Occupation”
And: Olin on Apple JobsBeygelman on Jobless Suits
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HRO
HRO HRO HRO • The market shows
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HRO post-recession job growth.
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HRO Today
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ech pushes the market to expand with mobile Tech pushes the market to expand with mobile T
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[15]MAY 2017 | www.hrotoday.com
Cover Story 2012
• Onboarding employees improves with technology.
• Talent management technology hits the Baker’s Dozen.
• Workforce analytics and big data emerge as the next big possibilities for HR.
• Culture becomes critical for organizations to stay competitive.
• Veteran hiring programs are embraced by RPO and organizations.
2013• Innovations spike in
social, mobile, and video, with 59% of organizations using mobile devices for talent acquisition.
• RPO becomes RPO 2.0, with a big focus on quality of hire, talent pools, and innovative sourcing techniques.
• Obamacare causes administrative concerns.
• Multigenerational workforce exhibits varied work preferences.
• Gallup shocks by reporting just 13% of employees are engaged at work.
lark on P ’s RiseBeygelman on Face ook’s Fall
The orality o Outsourcing
Plus:lark on P ’s Rise
Beygelman on Face ook’s Fall
n :The orality o Outsourcing
• As buyers become more confi dent with SaaS, 84% of organizations plan to transform HR processes through tech.
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Plus: The RPO ichotomyATS 2.0E ecs onfront B O
n :The es and o of Social Media Screening
P C The time to switch outsourcing from tactical to strategic is now.By ill Goldstein
Plus: New Women in eadershi eriesOur clusi e nnual Resource Guide
n :lark on Re utation and Recruitment
Plus: New Women in eadershi eriesOur clusi e nnual Resource Guide
n :lark on Re utation and Recruitment
Talent ana e ent in ocus:The Technology Baker’s DozenHandheld HandholdingWhy the RPO Beat Goes On
Plus:News From the HRO Today Institute
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O
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Talent Connectivity How HR technology is transforming the workforce.
TekTober:Top Social Media Recruiting ToolsThe Virtues of VideoTraining Through Game Play
Plus:Our 2014 Annual Resource Guide: Better Than Ever
• Tech is changing the industry, with investments in the cloud, gamifi cation, and employee self-service.
• HR continues to shift from tactical to strategic.
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RO HRO HRO talent acquisition.
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[16] HRO TODAY MAGAZINE | MAY 2017
Cover Story
2014
• Consumer-driven healthcare is offered by more organizations.
• Social, mobile, and gamifi cation shape training offerings.
• Tech integration creates challenges, with only 26% of organizations able to execute on big data.
• Candidate experience improves in order to bring in top performers.
2015• Talent becomes a
mainstream issue, with 60% of CEOs concerned about their workforce.
• New recognition strategies (social and peer-to-peer) drive retention and productivity.
• 78% of business leaders rate engagement as an urgent concern.
• A main challenge for organizations is competing for resources.
December 2014www.hrotoday.com
HR’s 2015 Agenda:
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2015 Fo
recastD
ecemb
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Talent Management
Company Culture
Retention
Employee Engagement
Big Data Analysis
See more in our annual predictions piece on page 10.
PLUS:The Industry’s Brightest: 2014 HR Superstars
2014 Superstars WINNERS
HROT_December_master.v11.indd 1 12/4/14 2:03 PM
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2014 C
HR
O o
f the Y
ear Win
ners
June 2014www.hrotoday.com
ui in s Trans or ation
The winners of the 2014 HRO Today Awards are innovating their way to strategic partnerships.
Plus: How to Screen for Better Hires
Recognition s A ility to Engage and Retain
resh Approaches to Video
uto esk s an ecker ort ore s ose Cabral s ic elle iTon o vaya s o er aston
Jun
e 2014
• Emphasizing employer brand helps companies differentiate themselves.
• The on-demand workforce—freelancers and independent contractors—is slated to grow 18.5% over next fi ve years.
• 87% of organizations report culture as a top challenge.
• Talent remains a big concern for HR.
• We present our inaugural CHRO of the Year awards.
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A
pril 2014
2014 HR
O To
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reiew
April 2014www.hrotoday.com
P :This ear s Top Providers
everage Big ata and Generate More Revenue Per Employee
:
Approaches That ork Social Mo ile and Gaming
10 ays to Boost Productivity
• Wearables help increase wellness program participation.
September 2015www.hrotoday.com
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2015 R
PO B
aker’s Do
zenSep
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INSIDE THE ISSUE:• Recruit Like a Marketer• Contain Costs and Develop Skills With Flexible Relocation• Leverage Video’s Powerful New Applications
2015 RPO Baker’s
Dozen LeadersDozen Leaders• Enterprise
• Emerging Leaders
• Healthcare
HROT_Sept_master.v3.indd 1 8/30/15 1:57 PM
December 2015www.hrotoday.com
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2016 Fo
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2015 Superstars: We Honor the Top Leaders in HR
PLUS
Sense of Purpose
Transparent Feedback
Collaborative CultureMeaningful
Employee
Experience
2015 Superstars WINNERS
HROT_December_master.v9.indd 1 12/6/15 8:49 PM
March 2015www.hrotoday.com
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2015 B
aker’s Do
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elocatio
nM
arch 2015
HRO Today Forum Speaker Beverly Kaye literally wrote the book on
employee productivity and retention. Her exclusive advice on page 10.
PLUS: 2015 Relocation Baker’s Dozen Rankings Revealed
Bringing SOW Management to the Next Level
at s our n a e ent trate y
HROT_March_master.v6.indd 1 3/3/15 10:32 AM
• Predictive analytics provide a competitive edge, with 56% of HR leaders leveraging talent analytics to shape workforce planning.
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• 78% of business
2017
• 78% of business
2017
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Forum Speaker
2017
Forum Speaker
Beverly Kaye literally wrote the book on
2017
Beverly Kaye literally wrote the book on
employee productivity and retention. Her
2017
employee productivity and retention. Her
exclusive advice on page 10.
2017
exclusive advice on page 10.
2017
PLUS:
2017
PLUS: 2015 Relocation Baker’s Dozen
2017
2015 Relocation Baker’s Dozen Rankings Revealed
2017
Rankings Revealed
Bringing SOW Management 2017
Bringing SOW Management to the Next Level20
17
to the Next Level2017
20
17 n a e ent trate y
2017
n a e ent trate y
HRO HRO HRO HRO HRO HRO HRO
Sense of
HRO Sense of Purpose
HRO Purpose
Transparent
HRO Transparent Feedback
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HRO Collaborative Culture
HRO Culture
Meaningful
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2015Tod
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:
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Today
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Today
Social Mo ile and Gaming
10 ays to Boost Productivity
Today
10 ays to Boost Productivity
• Wearables help increase wellness
Today
• Wearables help increase wellness
program participation.
Today
program participation.
Today
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www.hrotoday.com
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HR’s 2015 Agenda:
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[17]MAY 2017 | www.hrotoday.com
2016
• RPO shows its value in the midmarket segment.
• Learning and development encourages retention.
2017• HR leaders are
looking to get in front of technology instead of lagging behind.
• Relocation is viewed as a perk by millennials.
• HR looks to manage all talent under one umbrella through total workforce solutions.
• Employees continue to seek organizations that offer a good work-life balance.
September 2016www.hrotoday.com
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2016 R
PO B
aker’s Do
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temb
er 2016 WE’VE GOT TALENT:Hot Hiring TechnologyAI’s Potential ImpactHashtags in Recruiting
THE RESULTS ARE IN!
2016 RPO BAKER’S
DOZEN PROVIDERS:
Midsize DealsEnterpriseHealthcare
See Page 15
HROT_Sept_master.v4.indd 1 8/31/16 5:03 PM
• Purpose becomes an engagement driver, with 83% of employees wanting to find meaning in work
• With job tenures become shorter, organizations offer a selection of rewards and benefits to engage workers.
[47]MARCH 2017 | www.hrotoday.com
Workforce Management
When instituting flexible schedules, best practices dictate that it should be part of a formal policy, and that policy needs to include training for employees on how to be successful working outside normal timetables. Clear communication at the outset about expectations, productivity targets, and hours worked will reduce headaches down the road. And it is not just the employees who will need to adjust. Having a formal policy in place can help managers prepare to effectively plan and set clear expectations.
Remember that any policy that feels unfair can backfire and lead to decreased morale. When writing a policy, use past experiences with onboarding to indicate how quickly people can become proficient with their work and how quickly they engage with company culture. If an organization is just rolling out a new policy, start slowly. For example, test it with a small group or for a specific period of time. To avoid any backfire, be open and honest with employees that this is a test and will probably iterate on the program. This trial period enables organizations to work the kinks out of the system, track productivity, and acquire the right technology to make a successful program. Cloud-based software-as-a-service (SaaS) technology, such as Slack, Asana and file-sharing software such as Google Docs or an enterprise version of Dropbox or Box, is particularly suitable for flexible work arrangements, because it is easy to use, can be used on a mobile device and is location-independent.
Improving Culture
For many companies, their workforce is their greatest asset. With the competition for great talent getting steeper, improving company culture is essential. In fact, according to research from LinkedIn, most job seekers think culture is among one of the most important things to consider when looking for work.
When implementing flexible scheduling, organizations need to understand exactly how the changes will impact company culture. Assessing the situation before making changes allows a company to pinpoint a baseline for culture and engagement. Future data can then be weighed against this to help determine the exact effect of any changes that are introduced. People analytics can provide the results an organization needs in order to evaluate if a new initiative should be tweaked, expanded or scrapped altogether.
Flexing Means Thriving
From attracting and retaining talent to improving company culture, more flexibility means happier employees. In a competitive marketplace where satisfaction with work requires more than higher pay, organizations that get on board will thrive. Until organizations start offering the perks that more workers demand, they will struggle to attract the best and brightest people that are central to growth, progress and success.
Greg Besner is founder and CEO of CultureIQ.
What Determines Employee Engagement?An engaged employee feels like work and life mesh harmoniously, and their motivation in work stems from more than the size of a paycheck. Employees want to feel like their work serves more than the bottom line. A well-defined company culture can help feed and nurture that sense of purpose. This includes what the company says about itself—including its stated mission and values—and how well it follows through on creating that. An organization that encourages open communication and trust, both in the office and through flexible scheduling, can nurture a positive culture and engagement effectively.
of workers in organizations with the least flexibility are planning to leave within two years.
45%Source: Deloitte
HROTMarch_master.v10.indd 47 3/1/17 10:40 AM
[45]APRIL 2017 | www.hrotoday.com
While interest was high around these concepts, fewer than 10 percent of respondents were implementing any of the top metrics.
Two-thirds (66.7 percent) of respondents report the best way to evaluate new technologies is by seeing them in action—and in person. This means attending in-person user group meetings. In-person user group meetings or conferences allow participants to actively engage with potential solution providers and their existing users. The research fi nds that the quality of the interactions, and the resulting takeaways, also depend heavily on the background and capabilities of the event attendee.
Candidate engagement techniques associated with candidate experience was a top area for implementing innovation (See fi gure 2). Simplifi ed applications and automated onboarding were the fi rst and third most frequently cited techniques in terms of interest among respondents.
Looking forward, predictive data and analysis was rated as an innovation area with the greatest potential. Understanding upcoming trends through the use of data correlates with respondents’ interest in innovation in recruiting and retention applications. HR departments that are not looking to embrace predictive analytics are likely going to fall behind their competitors in the coming years.
It’s never been easier for candidates to get information about a potential employer, and HR departments plan to try to manage that information by enhancing their employer brand with signifi cant investment over the
next 12 to 18 months. Other areas with the most planned
investment are strategic workforce planning and analytics
(see Figure 3). These are the kinds of areas that lead to
quantifi able return on investment (ROI) metrics—the
kinds that can help HR department leaders in their quest
for resources so that they can become truly innovative.
Overwhelmingly, study respondents report that ROI is the
most important factor that infl uences degree to which
senior leadership is willing to invest in innovation.
The full report is available at http://www.hrotoday.com/market-intelligence/research/hr-innovation-look-ahead-2017-part-ii/
8© 2017 SharedXpertise
But despite great interest in many of the concepts listed, few are already implementing any of them. Not one of the engagement techniques examined is currently being used by more than 16% of respondents. Thus, the barrier to
innovation here is moving from great interest to application of the concepts, many of which are not high tech at all, such as the value of hand written welcome notes. It’s a matter of prioritization.
Why are candidate engagement techniques important? According to one respondent: “There is also a realization that the current processes and practices have dragged along the paper process into and online world and that just does not cut it with more savvy people. They see the hiring process as an indication of the organization — slow and plodding. Those who are motivated see that as a total turn-o�.”
Interested (Net)
Already implementing
One-click applications, integrated with online resumes/profiles 88.6% 4.5%
Social referral programs 74.4% 4.7%
Automated on-boarding 72.1% 14.0%
Automated sourcing via ‘mining’ social networking 70.5% 9.1%
The handwritten welcome note for new employees 65.9% 6.8%
Recruiting through virtual calls or texts that can be transferred to an HR representative when appropriate 48.8% 2.3%
Gamification (virtual games, which integrate points, competition and role-playing based on company and role competencies) 47.7% 0.0%
Video job ads 46.3% 4.9%
Interest in Candidate Engagement Techniques
11© 2017 SharedXpertise
ConclusionsThe first part of the study explored the interrelated areas that impede innovation in HR. HR departments tend to isolate themselves, operating in a silo from the rest of the organization, or even service providers. This often leads to not getting the needed internal support from either IT or the C-suite.
The second half of this study ascertained the amount of interest in innovating in TA. There was great interest in several types of metrics and workforce planning concepts, such as predictive analytics, the use of unstructured data and strategic workforce planning.
But as high as interest was in these concepts, fewer than 10% of respondents were already implementing any of the top concepts examined.
Predictive data and analysis was rated as the area that had the greatest potential, though there’s still opportunity to prove its worth the investment. Other areas with the most planned investment are strategic workforce planning and analytics. These are the kinds of areas that lead to quantifi-able ROI metrics—the kind that can help HR department leaders in their quest for resources so that they can become truly innovative.
“Non-ovation” will continue to occur unless HR departments drive new and meaningful change. Those innovation concepts most relevant to talent-acquisition, like incorpo-rating new technologies such as predictive analytics and measuring the impact of strategic workforce planning, are vital if HR is going to overcome barriers to innovation.
0 10 20 30 40 50 60
Employer brand
Strategic worforce planning
Analytics and insight
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HRO Today Research
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March 2017www.hrotoday.com
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The Results Are In: 2017 Relocation Baker’s Dozen
AND:Leverage Automation To Your AdvantageThree New Training Programs To Invest In Now
PLUS
HROTMarch_master.v10.indd 1 3/1/17 10:31 AM
• Artificial intelligence and automation will change how people work.
• Progressive departments consider adding an analytics position to their HR teams.
• Staffing and total workforce solutions are added to our Baker’s Dozen rankings.
Cover Story
• Organizations understand the value of contingent workers and seek to improve their work experiences.
May 2016www.hrotoday.com
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How Candace Osunsade transformed HR from tactical to strategic at the National Aquarium.
Sea of Change
PLUS
2016 MSP Baker’s Dozen Leaders
THE LATEST RESEARCH Attracting Healthcare eaders mproving the andidate E perience ncreasing Employee inancial ell Being
2016-HROT_May_V8mk.indd 1 4/20/16 9:30 AM
• We honor talent execs with our inaugural Talent Acquisition Leader of the Year awards.
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