Gartner Research

2016-2018 Strategic Roadmap for HCM Technology Investments

Published: 30 June 2016

ID: G00303084

Analyst(s): Chris Pang , Melanie Lougee, Ron Hanscome, Sam Grinter, Helen Poitevin , Jeff Freyermuth

Summary

Aging HCM technology in many organizations contrasts sharply with the demands of digital business and the future world of work. HR IT leaders should use this strategic roadmap to plan their future HCM technology landscape to leverage the cloud, deeper automation and embedded advanced analytics.

Table Of Contents

Analysis

  • Future State
    • Multiple Approaches to Investing in HCM Technology
    • Worker Experience Drives Implementation Priorities
    • Majority of HCM Applications in Full SaaS Deployments
    • Analytics as a Foundational Capability
    • Social and Collaboration Underpin All Workforce Processes
    • HCM System Landscapes Are Rationalized
    • HCM Loosely Coupled With Other ERP Applications
    • Standardized Global HR Processes With Local Compliance Exceptions
    • Local Regulatory Complexity Is Managed in Dedicated Payroll, Benefits and WFM Solutions, Sometimes Outsourced
  • Current State
    • HCM Has Focused on Process Automation, Rather Than User Experience
    • Majority With Hybrid On-Premises and Cloud Deployments
    • Limited to a "No Analytics" Capability
    • Core HR Is Often Part of the ERP Suite
    • Accumulation of Ancillary Solutions Has Resulted in Complex HCM System Landscapes
    • Payroll Is Frequently Outsourced, in Addition to the Use of Core HR Modules
    • Organizations With No HCM Technology Implemented Beyond Payroll
  • Gap Analysis and Interdependencies
    • Acceptance of HR as Strategic for Digital Business
    • HCM Technology to Support HR Strategy and Business Outcomes, Not Just Automation
    • Process Optimization and Application Portfolio Rationalization
    • Identification of Local Requirements and Supporting Technologies
    • Governance
  • Migration Plan
    • Higher Priority
    • Medium Priority
    • Lower Priority

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