hr software - find your match

HR Software: Find your match

Who am I?• 25+ years’ experience in HRIS• Consultant who has worked on selection in the following

sectors:– music & film– publishing– higher & further education– local authority– housing associations– and many other public, private & international organisations

• CEO of the HRcomparison website

Today’s Agenda

• Making a business case for new software

• Preparing for the selection process

• Selecting from the contenders

Background• Recent changes in the software scene:• Swifter deployment• Hosted environments• Apps• Big Data

– Big Data can be defined as a data mass consisting of structured (and unstructured) data elements that are difficult to process using conventional database methodology. It is a challenge to collate as data is captured by a range of devices of varying sophistication, e.g. video cameras, supermarket terminals, loyalty cards, transport tickets, official records, phone records and press cuttings, etc.

– This data is of interest as it can be mined or analysed for the extraction of trends and patterns of behaviour such as travel patterns, buying preferences, and personal tendencies in certain situations.

– The term “Big” is relative, and what is considered “Big” today, could be pretty Average tomorrow.

– Information contained on HRIS can be considered as a part of Big Data, but it is subject to considerable data protection.

Why do we need new software?• No software currently• Current software not fit for purpose – outgrown or inadequate • Cost and contractual implications• Current software support being terminated• Relationship with current vendor• Need to economise on headcount and resources• Changes in organisational technology

The Business Case 1

• IMPORTANT!

• Probably only get one shot at it

• Has to not only add up - but must be compelling...

• …and therefore a priority

• Compare current costs v Projected costs

1) Rental or purchase of software2) Hosting and IT overhead3) Calculate time saved by quicker running time4) Calculate time saved by newer features5) Savings through error suppression6) Savings by eliminating “work arounds”

The Business Case 2

• Efficiencies & time savings:

• Self Service (5 FTE)• Work Flow (1.25)• Reports (1.25)• Triggered Actions (2.00)• Organisation Charts (1.25)

• Others

(Derived from empirical studies by HRmeansbusiness Ltd over a 10 year period)

Copyright ©Hrmeansbusiness Ltd 2012

The Business Case 3

Additional intangible current costs:• Inability to produce key data such as holiday & absence, headcount, training,

exit interview and talent data

The overall effect of manually initiated systems that fail to manage• Recruitment experience• Smooth onboarding• Transition through probation• Progression through induction and development• Fewer manual interventions = less error potential

Bonus:• Higher acceptance by users

The Business Case 4

Remember:

-everything in the proposal must be aligned with the organisational aims present and future

-be specific in your requirements

-express time savings in terms of FTE

The Business Case 5

A Business Case guide• Executive summary• Current operational situation• Detail of operational issues encountered e.g. errors, cost of admin time due to insufficient

functionality, loss to business through poor information access (Absence always a good one), slower processing times on olds software, risk of workarounds outside of the system.

• Other current costs, e.g. Servers and IT involvement, current contractual arrangements with their annual charges, any consultancy required for interfaces or other customisation.

• Detail of other less tangible benefits e.g. enhanced on boarding experience to new starters, higher level of face acceptance by users.

• Options:• Do nothing – project ongoing (and deteriorating) cost implications• New software – and how it would address point by point the problems highlighted above,

with cost implications.• Appendices – where required.

• Features and functions:• It is important to remember the distinction between product functions and product features. Functions are the “product’s

answer to the set of user tasks”; features are the “user tools” inherent in the product used to perform the functions (Wood, 1995)

• Functions:

• HR:• Database & post / headcount recording• Recruitment• Learning & development• Managing employee performance• Absence recording• Talent Management

• Payroll:

• Validation of amount due to employee• Pay calculation• Payslip generation• General ledger export• Statutory returns

Preparing for Selection 1Features & Functions

Preparing for Selection 2 Features 1• HR:

• Data fields & history – Post and person• Appraisal & other performance data• Absence Data module (Bradford Factor?)• Recruitment modules• Training modules• Organisational Charts• Employee Relations• Reward data (static)• Exit Interviews

• Specialist: HESA, Hay Job Evaluation

Cascade Resource

Preparing for Selection 2 Features 2• Payroll:

• Pay and deduction fields – accumulating / reducing and so on.• Payslips or e-payslips• SMP/OMP SSP/OSP calculators• P11D• Weekly, Monthly, Lunar pay cycles• Bonus calculators• Expenses module

• Specialist: Multicurrency, Overseas payrolls

• Common to both:

• Self Service• Work flow• Automated actions (Triggers)• Reporting• Apps• Security• Data importer• Security levels• Interfaces to or from other applications

Preparing for Selection 3Features 2

• Analyse and map all your key processes. This will:

• a) Inform you of any modifications to be made• b) Assist you in making comparisons between software vendors• c) Enable you to build scenarios for demonstrations• d) Give your selected software’s consultant key information for configuration

• Examples of key processes:

• Recruitment • Starter / Leaver / Changes• Absence procedures: Sickness / Holidays• Performance: Appraisal / Targets / Learning required

Preparing for Selection 4Your processes - 1

• Starter:

• Date advised. Starter form returned on Day One… unless processed immediately, cannot confirm holiday allowances.

• Did employee bring P45?• Produce security entry card – probable delay• Get ID from IT for system access – possible delay• Await allocated switchboard number to be entered on system• Equipment from facilities ready?• Benefits cover from Day One?

Preparing for Selection 5Your processes manually

Preparing for Selection 6Your processes automated

• Starter:

• Date advised, Starter form returned –with bank details etc – approved by hiring manager and entered on system, but inactive till live date

• Emailed reminder to IT to ensure ID for system entry• Emailed reminder to switchboard / facilities / security• Emailed reminder generated to bring P45 to Payroll on day 1• Holiday entitlement automatically calculated• Auto enrolment procedure activated• Benefits automatically populated• Onboarding process logged in advance

Preparing for Selection Gathering information from Vendors 1

• Pre-qualifying questionnaire (PQQ)• Invitation to Tender (ITT)• Where no obligatory process, devise your own:

• 1) Description of enterprise• 2) Aim of obtaining new software• 3) Current position & operating environment• 4) Functionality and features required• 5) Timeline if applicable• 6) Budget if known


• Quotations based on:

• System purchase / rental /other• Annual costs of upgrading / maintenance• Hosting on vendor’s server• Training staff on system• Project consultancy charges• Data migration

Preparing for Selection Other considerations - 1

• Cleanse data• Review processes• Check all position and department hierarchies (or self service may not

work)• Gather all “rules” (e.g. OSP, OMP etc) in binders – one for your project

manager, one for vendor project manager• Parallel running for testing can be run retrospectively as well as live

• Decommission old software – study current contract

Preparing for Selection Other considerations - 2

• Sample Rules:

• Occupational Maternity, Paternity etc. Pay• Occupational Sick Pay• Holiday entitlements (plus any enhancements for e.g. service)• Overtime multiples• Departmental structure• Grade structures, entitlements and salary bands• Post attributes such as budgeted FTE , location• Approval limits and protocols

• Key Factors:• Same HR and payroll provider?• Closest fit (there is no perfect solution)• Matches not only functions and features, but can be configured to your

process requirements• Best value for money• Future proofing• Service levels• Reference sites• Chemistry! Can you work with them?

Selecting from the contenders 1


• Product Demos:• You MUST script them and drive the agenda• Prepare and circulate scenarios to be demonstrated so that vendors can

work up dummy data (or send anonymised own data)• Two rounds:• First to get “look and feel” and address functionality in crucial areas• Second to drill in on key processes in more detail, and talk about project

approach etc.

• Sample scenarios:• Payroll• Employee A is on maternity leave on 30th June and has a pay increase of

3% backdated to April. Show how this can be processed, along with any pension adjustments (according to organisational policy)

• Employee B leaves on January 30 but rejoins the organisation on 3rd July. Show how this is processed on the payroll.

• HR• Compile a post profile of Grade C manager Headcount 1.0 FTE, Hours pw:

35; Salary range £35-45,000 non-contrib Medical insurance, 4 x Salary Life assurance, Company Pension scheme A (5% of gross basic salary contribution) Company car grade D. Attach a new employee to this profile with a salary of £32,500 who is contracted for 30 hours per week.


• Sample scenarios:• Reporting• Assemble and run a sample report using dummy data provided -showing

all stages from scratch-for the following:• Sickness Absence of >3 days between 2 given dates, arranged by

department showing employee number, name (in surname order) and duration of absence. Add a calculation to show cost of this absence in terms of annual salary.

• Workflow• Compile a workflow process to:• Move a recruitment replacement request document via Self service from

an initiating manager to their divisional head; on approval, that document will be passed to the Financial Accountant for verification of headcount and salary budget and returned to the initiating manager, who then forwards the document to the head of recruitment.


• Business case: must add up AND be a business priority

• Know what features and functions you require, and how they work with your own processes….

• …and revisit those processes and map them

• Info from vendors: functions, features, costs, compatibility

• Selecting: Demos – you set the agenda.

Summary

Project Preparation & ImplementationWith Ric Mellor,

Projects Services Manager at Cascade HR

Product Consultant:• HR• Workflow• Self Service• Recruitment• Training• Timesheets• Surveys

Areas I’ve worked in:• Housing Associations• Legal• Retail• Manufacturing

Introduction…

Project Manager:• Projects implemented 100

employees to 10,000+ employees.

• Chemicals• Media• Technology• Engineering• Health

Present Day:Project Services Manager

• 15 Product Consultants• 5 Project Managers• 600+ implementations to

date of our HR system• 400 Implementations

Introduction…

Know your supplier• Proven track record• Flexible• Work well as a team

Know what is included• Have you got enough Professional Services to deliver the project you

have been quoted for?• Are the modules purchased going to give you exactly what you set out to

achieve?

Know what is not included• Itemised order

Project Considerations

What should you expect from your supplier?

• Project Manager

• Project Team

• Data / Technical Team

• Product Consultant

• Service Desk

Project Considerations

Before your Project Initiation Meeting what should you be doing?

• Familiarise yourself with your supplier’s processes

• Obtain and review your meetings agenda. Highlight to your project manager any missing items from your point of view

• Write down any questions you think of regarding the project

• Start to think about what your business priorities are with regards to the new system (Deadlines, Critical processes etc…)– You and your team– Management– Business

What will the project look like during?

• Assigning the correct Project Manager for a project of your type.• Have a full handover from your Sales Representative• Provisionally booking in critical project dates to limit ‘lead times’.• Contacting the customer and introducing themselves

Before your Project Initiation Meeting what should your supplier be doing?

• Review your order – what you have and what you don’t have.• Discuss Technical Requirements• Discuss order of module implementation

o HRo Self Serviceo Workflowo Etc...

• What is go live to you?• Risks• Training• Data…

During your Project Initiation Meeting

Consider:

• Walk through data template with your supplier• Identify the ‘musts’ and the ‘nice’ requirements – what is business critical to you?• Cleanse as you go - the System will only be as good as the data you put in it.• What advice can your supplier recommend• Historical Data• First Impressions

What your supplier can do:

• Provide a user friendly and informative data template• An in depth user guide on completing a data template• Provide consultancy on completing the data template the most effective way.• Ongoing telephone assistance when questions/concerns arise• Data review with full feedback on the potential issues of your data

Data

Summary

• Project Considerations • What will the project look like during?

• Before your Project Initiation Meeting what should your supplier be doing?

• During your project initiation meeting

• Data

Cascade HR OverviewWith Marc

Greggains, Sales Manager at Cascade HR

What is Cascade?

Cascade Users• Over 550 clients• From a variety of sectors:– Legal– Housing– Finance– Charities– Sports– Institutes

Who uses Cascade?

Resources

All

Cascade TVWhite PapersCase Studies

On our website…

- Change Management

- Multi-site Roll Out

- Absence Management

- Data Protection

- Integrating HR and Payroll

- Service Level Agreements

On our website…

- Legal Sector

- Housing Associations

- Football Clubs

- Charities

- Retail

- International Clients

On our website….

- Company Overview

- CIPD HR Software Show Presentations

- User Group Highlights

Software demonstration

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