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Talent Management on Cloud (Part - 1)

Guest post by
Somdatta Roy, Principal Consultant, Infosys

 

I want to move to a paperless performance management system that can be easily adopted by my workforce. I want to do more analytics to know my best talents and I want to reward my talent more quickly than my competitors so that I do not lose them. I want all the above in next 3 months at the lowest cost.

That has been the demand of many CHOs and CXOs for some time now. But the question to ask is, can traditional ERP or other back office systems offer such a quick turnaround? Left to ponder, most CXOs realised that this was not easy! The procurement cycle for hardware, software as well as implementation were far too long. The dichotomy of these situations have led HR Management in most organisations to shop for alternative models. 

And here stepped in the cloud solution providers, with their basket of talent solutions. They had, over time, offered the whole nine yards of talent solutions from recruiting to learning, from performance to rewards, from development to succession. Vendors like Successfactors, Taleo, Kronos, ADP and CornerStone, cornered this market segment effectively with a similar business model, and were termed as niche providers in the Cloud space. However, the end of last decade saw the rise of new world solutions like Workday and Oracle Fusion, who brought in more than just Talent-on-Cloud. They extended it to Core HR as well. To keep up with competition, Sucessfactors hitched itself with SAP, Taleo with Oracle and others too rambled to extend their services in this area.

However, the question remains - why Talent on cloud has gained more popularity than HR on cloud, despite ERP giants coming up with truly end-to-end services? Historically, HR has been a team of more traditional users than their front office counterparts, like CRM users, or their other back office counterparts like procurement. A large part of this bearing came from the fact that core HR dealt with data which was sensitive, needed protection and therefore always came under far greater audit compliance than Talent data. This led to HR community in most organisations taking a more wary and strict view of putting core HR data on cloud compared to Talent data.  Though the new generation cloud providers with end-to-end HR solutions have tried their best to dispel this fear, but the feeling of insecurity remained, leading to slower adaptability to cloud than Talent. The fact that a user putting data on cloud is never aware of the location of the data in itself, causes lack of trust and comfort. This is evidently observed in the European geography where data protection regulations of European Union, coupled with stringent monitoring by 'Works Councils' has made it a very slow adaption to HR on Cloud as against Talent on Cloud.

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