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Five Things To Consider When Choosing An HR System

Paul Rae - Founder Chairman - Jigsaw Cloud
by Paul Rae

The Human Resources function is about People; how to attract, retain and develop them and if you work in HR I’m sure you feel passionate about this mission. I’ll always argue that the talents and capabilities of the individuals and teams in your organisation don’t only deliver all your competitive advantages but they are your competitive advantage.

Attract Retain Develop Purchased image

But attracting, retaining and developing talent is complex, resource intensive and requires line managers to be fully engaged. In my experience this is the biggest challenge for the HR function. Unless the full value proposition of HR is supported with the policies, processes, organisation underpined by a highly functioning HR software system, it is nigh on impossible to embed the HR value proposition into the culture and blood stream of an organisation.

At Jigsaw-Cloud we are seeing an exciting period of significant investment and re-investment in HR software systems (and for many organisations this is for the first time being led by HR) and in this blog I will share with you my thought for finding your perfect HR solution.

1. Have a People Strategy aligned to the business:

This might sound obvious but I have rarely seen a People Strategy that aligns People performance, capabilities, recruitment, retention and development with Business goals. The People Strategy should have enough detail that is it relevant but not the extent that it’s inflexible. It should also be realistic, measurable a have an end-date.

2. Research the Market:

Again, this is obvious but so often I see organisations that have over-purchased and under-purchased. Are you looking for a point solution? Is a system that can integrate all the HR processes, data and functions important to you? What type of user experience are you willing to tolerate? Are you ok with a local organisation or do you need a global player? What’s the strategy of the vendor and where are they (and you) going to be in 5 years? Make sure you know all the answers to these questions before you even start the search for the right partner.

3. Don’t under-invest:

Too many projects that I have seen go wrong have been because an unrealistic under-investment has been made. This usually happens because there’s no People Strategy and no solid business case to extrapolate from it. Make sure you understand cloud vs. hosted vs. on premise; configuration vs. customisation; configurable vs. out-of-the-box.

4. It’s a Transformation:

Implementing a system is not a technology activity; it’s a business transformation activity. Make sure you understand the implications of this, especially if you are looking to put Performance Management at the heart of Learning, Compensation and Talent Management. Think through the processes, organisational impact and culture-shift you are trying to achieve (to deliver your People Strategy) and make sure you’ve thought it all through carefully.

5. Measure the impact:

The Business has paid good money for an HR department fully equipped with a system. Make sure you remind them of how this has made everyone’s life better and look at hard data to prove your value improvements.

Every business, no matter how small, should see the value in HR and the value of having a powerful, effective HR system that can deliver the value of attracting, retaining and developing the talent needed to give your business a competitive advantage.

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What are your top tips to attract retain and develop your talent? We’d love to hear from you. Drop us a line in the comments or connect with us on Twitter or LinkedIn

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