Most people can’t program a VCR, so it’s no surprise organizations aren’t getting everything out of their HR technology systems
Not every organization is on the leading (or bleeding) edge when it comes to human resources technology. In fact, some would argue the majority of companies — and HR professionals — lag far behind.
There are still many organizations that do business with only the most basic of payroll systems, and have no human resources system at all. There are also many organizations where old technology is the norm. Old in terms of years, and old in terms of approach.
Many organizations use basic office tools, such as word processors, database tools and especially spreadsheets, to manage information about human resources. And there are certainly many organizations that do not have a state-of-the-art human resource management system (HRMS).
And these are not just issues of size. While it’s generally understood that smaller organizations will have less expensive and less sophisticated tools, many large organizations that have made prior investments in hardware and software often don’t make the continuing investment to stay current.
Perhaps most significant, is how any and all available automation is being used. Most people can barely make their VCRs perform a basic recording function, and a typical user of Microsoft Word uses a very small percentage of the functionality that is offered. Why then are organizations surprised to hear that staff doesn’t have the time, and perhaps skill, to get the most out of any technology and particularly an HRMS?
Who has taken a step back to assess how well the tools available now are used or take the time to discuss or learn how to use them better?
Take a look at the question of metrics and best practices. To create metrics and to conduct comparisons it is necessary to define the exact measurements. Starting small is recommended. HR shouldn’t begin by selecting available data in the existing systems. HR should look at what data is required to create the metrics that will address the real business issues, either within HR or the organization as a whole, before time or money is invested to automate data collection efforts.
In essence, while sophisticated systems may make it easier to collect or collate the data, the technology and the software is really secondary.
What’s happening with HRMS technology?
The 1980s advent of the client-server approach opened up Windows-style user interfaces — things like colour, drop-down menus and a more intuitive approach to navigating an application. In the late 1990s the Internet became stable enough to serve as the primary platform for applications like an HRMS.
It is certainly true that the last few years have seen no comparable leap forward. But while there has been no blockbuster on the technology scene, there still have been some significant improvements.
Hardware continues to get smaller. Servers offer considerably more storage space and are decreasing in price. Monitors continue to get thinner, clearer and cheaper, and processing speed is ever increasing. Don’t think these are significant step forwards? Think back to the monitors of yesteryear and most will quickly change their minds.
And there have been other technological advances. The use of the web platform continues to develop with each new version of the software taking more advantage of the flexibility of that approach. Hardware security — that in turn provide tools to manage privacy — is integrating biometric advances like fingerprints or handprints, retina scans and even radio frequency identification systems (RFID) that implant chips under the skin. In other venues the entire wireless industry is growing, with Blackberry and other wireless PDAs and smart phones being used to free people from their desks.
Functionality
The news on the functional side is similar. There have been no giant leaps forward but there has been much better use of the available technology:
•Staffing activity continues to focus on advertising and receiving applications via web tools.
•Compensation tools, in HRMS and in specialty systems, are getting more sophisticated. But there is still a large gap between what is offered and what is needed in the area of variable compensation.
•The other side of the deficit in compensation tools are performance management offerings. Individual and team performance combined with unit and company results equal multiple, complex assessments that yield variable compensation.
•Training and health and safety. Data collection and administrative tools continue to improve but there is nothing new and significant being offered. Various e-learning tools are beginning to impress.
•Data management. The privacy and security of personal information have become major issues, in part as a result of new privacy-related laws that took effect in 2004 including Canada’s federal law (the Protection of Personal Information and Electronic Documents Act) and privacy laws in British Columbia and Alberta. Very few tools exist to manage these challenges.
•Metrics. As noted above, various human resource management systems are offering more functionality for metrics, or analytics analysis, as well as executive dashboard-style functions.
With no significant developments from a technological perspective to focus on, organizations are dealing with the more fundamental issues of obtaining a return on their current investments or acquiring badly needed core systems.
Ian Turnbull is managing partner of Laird & Greer Management Consultants and a former board chair of the International Association for Human Resource Information Management as well as the Canadian Council of Human Resource Associations. He is co-author of two books on HRMS, including HRMS: A Practical Approach, published by Carswell. He can be reached at (416) 618-0052 or [email protected]. He is also executive director of the Canadian Privacy Institute.
There are still many organizations that do business with only the most basic of payroll systems, and have no human resources system at all. There are also many organizations where old technology is the norm. Old in terms of years, and old in terms of approach.
Many organizations use basic office tools, such as word processors, database tools and especially spreadsheets, to manage information about human resources. And there are certainly many organizations that do not have a state-of-the-art human resource management system (HRMS).
And these are not just issues of size. While it’s generally understood that smaller organizations will have less expensive and less sophisticated tools, many large organizations that have made prior investments in hardware and software often don’t make the continuing investment to stay current.
Perhaps most significant, is how any and all available automation is being used. Most people can barely make their VCRs perform a basic recording function, and a typical user of Microsoft Word uses a very small percentage of the functionality that is offered. Why then are organizations surprised to hear that staff doesn’t have the time, and perhaps skill, to get the most out of any technology and particularly an HRMS?
Who has taken a step back to assess how well the tools available now are used or take the time to discuss or learn how to use them better?
Take a look at the question of metrics and best practices. To create metrics and to conduct comparisons it is necessary to define the exact measurements. Starting small is recommended. HR shouldn’t begin by selecting available data in the existing systems. HR should look at what data is required to create the metrics that will address the real business issues, either within HR or the organization as a whole, before time or money is invested to automate data collection efforts.
In essence, while sophisticated systems may make it easier to collect or collate the data, the technology and the software is really secondary.
What’s happening with HRMS technology?
The 1980s advent of the client-server approach opened up Windows-style user interfaces — things like colour, drop-down menus and a more intuitive approach to navigating an application. In the late 1990s the Internet became stable enough to serve as the primary platform for applications like an HRMS.
It is certainly true that the last few years have seen no comparable leap forward. But while there has been no blockbuster on the technology scene, there still have been some significant improvements.
Hardware continues to get smaller. Servers offer considerably more storage space and are decreasing in price. Monitors continue to get thinner, clearer and cheaper, and processing speed is ever increasing. Don’t think these are significant step forwards? Think back to the monitors of yesteryear and most will quickly change their minds.
And there have been other technological advances. The use of the web platform continues to develop with each new version of the software taking more advantage of the flexibility of that approach. Hardware security — that in turn provide tools to manage privacy — is integrating biometric advances like fingerprints or handprints, retina scans and even radio frequency identification systems (RFID) that implant chips under the skin. In other venues the entire wireless industry is growing, with Blackberry and other wireless PDAs and smart phones being used to free people from their desks.
Functionality
The news on the functional side is similar. There have been no giant leaps forward but there has been much better use of the available technology:
•Staffing activity continues to focus on advertising and receiving applications via web tools.
•Compensation tools, in HRMS and in specialty systems, are getting more sophisticated. But there is still a large gap between what is offered and what is needed in the area of variable compensation.
•The other side of the deficit in compensation tools are performance management offerings. Individual and team performance combined with unit and company results equal multiple, complex assessments that yield variable compensation.
•Training and health and safety. Data collection and administrative tools continue to improve but there is nothing new and significant being offered. Various e-learning tools are beginning to impress.
•Data management. The privacy and security of personal information have become major issues, in part as a result of new privacy-related laws that took effect in 2004 including Canada’s federal law (the Protection of Personal Information and Electronic Documents Act) and privacy laws in British Columbia and Alberta. Very few tools exist to manage these challenges.
•Metrics. As noted above, various human resource management systems are offering more functionality for metrics, or analytics analysis, as well as executive dashboard-style functions.
With no significant developments from a technological perspective to focus on, organizations are dealing with the more fundamental issues of obtaining a return on their current investments or acquiring badly needed core systems.
Ian Turnbull is managing partner of Laird & Greer Management Consultants and a former board chair of the International Association for Human Resource Information Management as well as the Canadian Council of Human Resource Associations. He is co-author of two books on HRMS, including HRMS: A Practical Approach, published by Carswell. He can be reached at (416) 618-0052 or [email protected]. He is also executive director of the Canadian Privacy Institute.
