Cloud HR: Mistakes – And How To Avoid Them

Great short Digitalist article from Trent Wai-Poi. Cloud HR is definitely the future but as Trent explains it is not always the easiest to get right. 

HR is moving to the cloud. You have no doubt heard this many times, and your leaders and decision makers are hearing it too. The expectations being set by cloud vendors are speed, agility, and visual delights. So why is it so hard to implement cost-effective and agile technology?

Why is it so difficult to get HR technology right?

At most organizations, HR and payroll systems have been in place for some time, and most do what they say they’ll do: Pay and store HR information. However, most were not created using the latest technology, thinking, or ideas. Expert users within the organization often follow the advice and expertise of vendors and other users when it comes to core HR and payroll systems.

What we don’t do is consider what we can learn from the latest systems and technology and apply those concepts to our core HR. By applying some of these tools and techniques, you can provide better systems and processes for your end users.

What are the most common mistakes people make with cloud technology?

Cloud software is the future of HR technology, and it should be the first consideration for your technology needs. I see two common mistakes:

1. Organisations get blinded by what cloud products offer, but they fail to put enough thought into how the products strategically align to existing technology. Often organisations end up with multiple products that provide the same process, and no strategy on how processes and systems should be delivered.                     
2. Organisations do not align the purpose of purchasing new software to organisational goals. I often see alignment of new technology to HR or “people” goals, but not to the organization’s business drivers. If technology is to be taken seriously, it needs to solve real business issues.

What are the top 3 pieces of advice about implementing HR technology?

1. It will be uncomfortable at times. Don’t ignore the challenges; they will need focus and attention.
2. Don’t start by thinking about the benefits the new tech will bring to HR. Instead, focus on the benefits it will bring the business and how it will help fulfill business goals.
3. Act and deliver quickly. The quicker you can respond to needs, the more you will build credibility and reduce long-term costs.