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Talent Management on Cloud (Part-2)

Guest post by
Somdatta Roy, Principal Consultant, Infosys

 

This blog is in continuation to part 1, which you can access here.

Let us take the example of Germany or France where HR needs to adhere to extremely stringent regulatory and Works Council requirements. In such a scenario, the Core HR system is still largely perceived as a back office system used by HR community whereas the perception of Talent usage has changed with organisations needing to enable their workforce to be able to capture Talent data. Also, the workforce of today is increasingly getting younger and extremely technology savvy. Hence it has become imperative for HR organisation to be able to offer more tech-friendly solutions that will keep the workforce interested in using them. Cloud has always provided solutions which both in terms of technology as well as flexibility including User Interface has provided greater appeal to the workforce. In fact, mobility integration has been an icing on the cake by such Talent-on-Cloud solutions that it is now enabling the advanced workforce to use their mobile devices to complete their performance appraisals and enter feedback on trainings.

Another reason why Talent-on-Cloud is more popular and a quicker win than Core HR-on-Cloud is that, Talent functionalities being non-Core HR, actually causes far less disruption in the regular Core activities than when there is a whole end-to-end HR being transitioned from an age-old ERP system to a Cloud based one. Core HR always has huge dependencies not only in terms of custom requirements for regulatory needs, but also integration to multiple external systems like Payroll, Pensions, Financials, etc. Such dependencies, coupled with data privacy and regulatory requirements, often lead to solutions that cannot be used off-the-shelf, but need to be custom-built. These issues put Core HR in a frame that is not an easy candidate for 'one-size-fits-all'. On the contrary, Talent Management is a very good candidate for this purpose as the standardisation are easier achieved in Cloud and organisations are more open to changing their way of working in the Talent area, which is more evolving and developing, and hence more susceptible to use the standard best practices provided by SaaS products.

Having said that, there are already signs that Core HR-on-Cloud has crossed its infancy and is toddling up in the race as many global organisations are showing interest in considering this as well. As CIO and CFOs continue to look for effective technology spend, it is but obvious that Core HR-on-Cloud would be adopted by HR community sooner than later; however rate of adoption may not be at a fast pace, as it has been observed in Talent space.

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