There are a plethora of HR system providers and from what we’re seeing, SaaS is growing significantly faster than the general HR software market and that’s backed up by IDC and Gartner.
Companies consider web-based products because of the benefits they offer, such as no IT overhead, speed of deployment, and being accessible from anywhere. There is a general drive to lower the total cost of ownership (TCO) through cloud HR services, and with a continued rise in an interest for performance management, whilst optimising scarce resources, and also a push to modernise applications for improved usability and workforce collaboration.
For fewer reasons now, there are some companies that won’t consider a SaaS solution, whereas the majority of companies are agnostic with regards to the delivery model, as they just want the best product to meet their needs and at the best price.
Most transactional ‘on-premise’ HR systems are now 10-15 years old. The marketplace is going through a massive re-engineering of how HR is delivered to end users. SAP’s acquisition of Success Factor validates and enhances the image of HR Cloud Computing. This was quickly followed up with salesforce.com acquiring Rypple, the North American SaaS HR provider of the ‘social performance management platform’. These two recent and significant acquisitions clearly highlight a future strategic focus for organisations on Social, Cloud and Mobile expertise in the delivery of HR data processing, employee engagement, collaboration and social business interaction.
In terms of trends generally in the market, there’s a definite push towards ensuring front-line managers and employees are better engaged and are more empowered.
Companies are continuing to recognise, and in greater numbers than previously, that the traditional HR system model, where all information is centralised and accessible by only a few HR users, is largely ineffective and inefficient.
Managers don’t have the information they need to make effective and on-the-spot decisions, and central HR teams are overloaded answering low-level requests for information, which is costly and stops them from getting on with activities that can add real value to their organisations.
So, companies are looking for solutions that are wholly designed and capable of equipping front-line management teams to be properly accountable, while at the same time retaining appropriate levels of visibility and control centrally.
There is also a trend towards systems that inherently combine powerful, flexible workflow capability alongside the delivery of valuable and useful guidance and training content, so that users have everything they need to do their job effectively, and via a single solution.
To deal with many HR issues, a manager or HR professional will need multiple types of information, such as employee data, company policies, legislative guidance, training materials, forms, letter templates and so on. The more difficult and time-consuming it is for a person to get hold of the information they need, the less likely it is they will make the right decisions. Therefore, we’re seeing greater demand and appreciation of HR solutions like Youmanage that combine strong HR software functionality with intelligent delivery of content and an auditable record of who did, and said, what to whom, and when.
Therefore, a heavy development emphasis has always been placed on these important differentiating factors and why Youmanage is positioned as having greater capability than other solutions when providing support for both HR and for any organisation to empower its line managers. We are therefore able to position the solution across a wider spectrum of potential clients in terms of size due to the ‘enterprise’ nature of the standard functionality provided. The Youmanage solution combines People, Policy and Process in one integrated solution, making it a unique concept in the HR Management Software market place.