How Hybrid HR also means HR Transformation
So what is HR Hybrid and how can it contribute to HR Transformation? Hybrid HR is the reality that many global HR leaders find themselves with today as they have to transform the HR Service Delivery model. In its simplest form, Hybrid HR means successfully building on the legacy systems from yesteryear to establish the cloud-based solutions of today and tomorrow. It also means innovating where required and possible while maintaining and integrating well-functioning components from the past. Simply because they get the job done at the lowest cost possible, or because you want to write off your current investments before you replace them.
So what is HR transformation, and how is it enabled by Hybrid HR? The concept of HR Transformation has been around since the turn of the millennium and is about reducing HR operating costs, enriching the Employee Experience and adding genuine HR value to the business overall. HR technology and enabling services play a critical role in that transformation. The constraints of past HR technology capabilities may affect the pace of today’s HR transformation though.
Genuine HR Transformation must factor in all of these demands and recognise the reality that previous generations of HR transformation have sometimes failed - having never truly delivered upon their full potential and often exceeding both the financial budget and timeline. Today’s cloud-sourced technologies and services however allow us to both leverage our existing HR technology investments, introduce new technologies where required, all while rapidly transforming the global HR Service Delivery model and HR technology toolset. Let’s give you a few examples to consider:
Country Payroll Engines – Are they compliant and do they deliver? Have you implemented a bulletproof payroll engine like SAP HCM Payroll for a country? Don’t automatically discard it as part of the HR Transformation program. . Simply consider one vendor to provide all of the layers of service - the Technology Hosting (ISO - Infrastructure Services Outsourcing), the Application Management (AMO – Application Management Outsourcing) and actual Payroll service (Managed or Comprehensive Payroll Outsourcing). Apply this concept to all countries with stable and mature payroll engines; and then replace just those that are needed at the pace that fits your business.
Core HR – Have you invested millions into deploying your SAP HCM or PeopleSoft platforms? But are you missing out some of the benefits of the cloud? The answer is to not necessarily throw the proverbial baby out with the bath water. If the issue is your Employee and Manager Self Service portal is a little slow and looking dated, then consider tools to enhance the user experience. For example, if you are running SAP HCM OnPremise and SAP Portal, then SAP Fiori and Renewal solutions can help you improve usability, enhancing the Employee Experience and extending the lifespan of your core HR investment.
Talent Management - Clearly some of the OnPremise Talent Management solutions don't offer what is required for 21st century talent management and cloud systems have massively improved the user experience and feature functionality. Again it may make financial and time-to-benefit sense to deploy the required Cloud Talent Management modules from vendors like SuccessFactors, Halogen or Cornerstone, integrated with your existing core HR and service delivery systems. Beyond cool functionality, the real key is to ensure a uniform employee experience which in turn will drive user adoption and employee engagement.
HR Service Delivery Model & Standard Global Business Processes - Clearly a priority when designing your HR transformation strategy is to review the HR Service Delivery model, work out what is tactical and transactional and then outsource these, so you can focus on what is strategic. This will allow you in turn to review your Global Business processes, standardise them and drive quality improvements. A key thing to remember her is to stick to your delivery transformation journey and not be blinded by bright shiny objects along the way…
Today’s reality is that with the right Hybrid HR strategy it is perfectly possible for a global business to adopt a HR Hybrid Transformation strategy and deliver tangible business results within a 12-month timeframe. Hybrid HR allows organizations to lift and shift existing country payrolls to a provider, standardise HR business processes, enhance existing HR technologies and then deploy specific Cloud HR & Talent tools at the pace of your business. Critically this can all be done with the total cost on investment showing returns within 12-18 months.
A key question remains whether you have the 3-year time-frame, the many millions of pounds budget and executive tolerance for a full-blown HR Transformation with complete HR platform rip and replace or whether you need a more pragmatic HR Hybrid Transformation, introducing HR innovation at the pace of your business.