How can you tell one HCM vendor from another?
It’s a real challenge HR executives face every time they consider their HCM software options.
But the secret to answering this question is actually quite counterintuitive. You don’t need to compare one HCM software vendor to another – you need to compare your existing HCM processes to what you’d like them to look like in the future.
In the HCM space, we call this a HCM needs assessment. And while the formal process of analyzing your needs is a little more involved and requires the support of an HCM partner, you can get started with this process by asking yourself three simple questions:
Question 1: How do we use our HCM today?
Before you can upgrade your HCM and HCM partner, you need to get a clear understanding of how your organization currently uses your HR software. How do you and your employees use your HCM right now? What critical processes do you manage with your current technology that would be sorely missed if your system was retired today?
This isn’t typically information you can capture via email or the company Slack channel. You’ll get a much more nuanced picture of how your company uses HCM technology if you work through a genuine discovery period with 1:1 interviews, focus groups, and formal surveys.
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Question 2: How do we want to use our HCM tomorrow?
Dreaming about the future state of your HCM is what got you started down this path in the first place. So, what is it that you hope your new HCM will do for your organization? What’s missing from your current process, and what capabilities do you think are necessary to get you where you want to go?
Planning the future state of your HCM could include simple requirements, like more nuanced employee reporting on employee birthdays and anniversary dates, or more complex requirements, like salary and compensation analysis features. But regardless of what’s on your HR systems requirements checklist, it’s critical that you write it down so you can ask about these features when you meet with potential vendors.
And that’s where the real benefits of the HCM needs assessment will shine – when you review your list of must-have features, your potential HCM partners will be able to show you potential features and processes you may not even have known you needed.
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Question 3: How will this HCM close the gap between today and tomorrow?
Once you’ve identified where you are and where you want to go, the gap between the two becomes obvious – and this is the gap that highlights your requirements for your new HCM.
As you make an HCM selection, you’ll want to make sure the software can take into account the processes and use cases you want to carry over from the old system to the new, as well as the new uses that exist in this gap. The right provider for you will be able to take care of all three.
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Closing the gap and moving forward
A formal HCM needs assessment is an involved process with an HCM vendor and may result in a RFP. But if you’re just getting started on the journey, these three insightful questions can help you get a general idea of your HCM needs and get ready for the next step in the process.
Still have questions? Contact us to learn if SyncHR is the right fit for your organization.
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