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“Four critical items you should be tracking on your
strategic HR radar”
Rob Scott : National Practice Leader –
Human Capital Services


May 2012
Todays discussion


 1. “The changing cloud” – Headline news!
 2. The realities of integrating your SaaS
    tools to on-premises systems
 3. Social media impacts on business
    environments – we‟re only at the
    beginning!
 4. Gamification of HR tools and
    environments
The Changing
    cloud and services




3
"The cloud – It's inevitable"

    News headlines

     We are quickly moving from cloud to clouds
     SaaS is just a delivery method that lives in a cloud
     Cloud spend expected to be $13 billion by 2014
     SaaS will increase by 112% by 2013
     You don‟t have to worry about your data! – most
     recognized providers have better security than your
     company
     Vendor buy-outs are disconcerting, but they won‟t
     upset their client base




4
"The cloud – It's inevitable"

    Positive messages about SaaS
      Reliable access
      More rapid “state-of-art” technology
      Lower cost of ownership
      Rapid time to production
      Predictability of costs
      Easy ability to scale
      Data load management better managed by SaaS providers
    Negatives messages about SaaS
      Privacy issues still exist
      Can‟t touch core code
      Still need to build compliance



5
"The cloud – Its inevitable"

    Over the last 10 years, cloud services and the significant impact they are having
       on the HR function, offers companies an opportunity to do things faster,
                cheaper, with less assistance and with greater flexibility.
    Cloud computing is changing the way people will operate
       Time to value
       Service levels
       Infrastructure

    HR needs to take the lead in ensuring the people and processes are
    adjusted to suit the changing environment
       In particular, the changing role of IT ~ skill sets, customer needs, roles
       Deal with organisational structures that support applications and data that are located in
       the cloud
       Requires new types of business relationships
       IT is now in the hands of non-IT people and end users

6
"The cloud – Its inevitable"

        Don‟t underestimate the organizational changes required to support a new
        delivery model, the culture impacts, the new “talent war” and the time warp!
    2010 – top reason for selecting SaaS
        Cost
        Rapid deployment
    2012 – top reasons for selecting SaaS
        “State-of-the-art” HR products
        Cost
        Upgrades
        Faster access to Innovation
        Higher response to customers
    Risks to take note of
        Data leakage through mobile tools
        Are SaaS providers aiming to become mini „Google's‟ ?
        Who owns your meta data

    You are not always on the current release
        You may be technically on the latest release, but not always functionally
        With every update you need to consider process, procedures and change management

7
The realities of
    integration between
    SaaS & on-premises




8
"Rest assured it will get easier"



      Integration is not just a technical challenge.
      There is convincing evidence that integrated
     performance management environments (with
          recruitment, succession, learning &
           development, workforce planning,
        compensation, career management and
    leadership development) significantly improves
    overall business, talent and employee results –
                    Bersin & Associates




9
"Rest assured it will get easier"

     Some argue that integration is less of an issue – however with
     analytics becoming such a big issues for HR, integration may be more
     relevant that 2-3 years ago
       Challenges are in
          •   Cloud-to-cloud
          •   Public to private
          •   Cloud to on-premises

       While maintaining
          •   Global security
          •   Data integrity
          •   Single version if the truth



     Ultimately you need to keep a balance between functionality, flexibility and
                                     usability

10
“Rest assured it will get easier”

The shift towards hybrid architectures--a mix of traditional on-premise
applications and SaaS offerings, means that more and more enterprise data
is being scattered across the cloud. The result is the proliferation of cloud
silos, which leads to data redundancies and make business processes less
efficient.


Two broad solution
      Custom integrations
         •   Time and cost
         •   Ongoing maintenance
         •   Lack of flexibility
      iPaaS (Integration Platform as a Solution)
         •   Library of cloud connectors
         •   Developers toolkits
         •   Secure data gateways
         •   Management portal



11
“Rest assured it will get easier”

       33% of buyers are willing to sacrifice functionality for more integration




12
Social media:
     Impacts on business
     environment




13
"Social media is not just a tool"

“Social media is changing communication, awareness,
levels of transparency, marketing and knowledge
management – but few conversations about how its
changing leadership and talent are taking place”


     Social media is so successful because it allows us to create &
     share
     We can do it on our own
     It‟s a window into society and people we employ, and how they
     want to engage and be managed




14
"Social media is not just a tool"

Embracing social media is difficult If we operate our organizations
like machines. Social media thrives on more “human like’’
operating models with human principles
      Collaboration
      Sense of belonging
      Trustworthy
      Generative
      Courageous


Using social media means changing the rules ~ extend to the
peripheral – like a star fish
      Who decides
      Who speaks
      Who acts




15
"SOCIAL MEDIA IS NOT JUST A TOOL"

     “If you are trying to apply social media to a performance management
         environment – it will require you to make some fundamental shift”

 – The power of the mob is back – a shift from hierarchical subservience (military
   style /machine of previous generation) back into the hands of the collective of
   individuals (tribes, think ancient Rome/French revolution)


 – Influence is important and can be measured – Performance management should
   consider the influence of people in a social media work environment
        – Klout scores are now being requested during interview processes




16
"SOCIAL MEDIA IS NOT JUST A TOOL"

       “People work in networks and want to be connected/feel a
                        “part of something bigger”

     – If we measure someone’s performance, we can no longer do this
       without them understanding the bigger picture and how they fit in to the
       overall business strategy


     – People are starting to demand being a part of the bigger strategy
          –   think of how even at a consumer level, we now have power over
              brands/product development through forums and social media


     – Transparency is now not negotiable, it is essential. If social media is
       showing peoples willingness to “reveal all” on Facebook/ twitter /LinkedIn,
       doesn‟t this say something about their expectations of a performance
       management process?


17
"SOCIAL MEDIA IS NOT JUST A TOOL"

        “Social media could be a future predictive technique for
               talent management or other key decisions”

     – Your collective “organisational crowd” could become a distributed
       problem solving network
         – There is no one particular expert, but as a collective, the crowd
           generally gets it right
         – Predictive markets are very accurate because only those who have
           a real interest participate.


     – As we mature in social media, we will open new doors to our
       organisational ability:
         – Our internal “crowd” could accurately predict product launch
           successes
         – Peer prediction on individual promotions

18
"Social environments need change"

 “Social media is not something you control, but rather
                      you need to tap into it and listen”

     If we truly embrace the power of social media, we will understand the need
     to adjust the practices of:
     •   Engagement
     •   Motivation
     •   Rewarding people


     Be very clear on social media restrictions. In most cases they don’t work
     •   If you are using an internal social media tool such as Yammer or Jam, then have very
         specific objectives. If you allow it to become a Facebook or Twitter you will loose the
         battle to leverage the power of the collective.




19
"Social environments need change"

         “Be prepared to think differently about who and when
                                  commentary is made”

 Social media can be a catalyst to promote real organizational and performance
 improvement through talent management tools
     •    Leadership must be prepared to adapt and change fundamentally from a “machine” mentality to
          a “human” mentality
     •    Integrate social media into recruitment, workforce planning and on boarding etc.


 There is an evolution of talent and social tools
     •    Social management is a feature of talent applications
     •    Talent management applications integrate with a social network
     •    Talent management features incorporated into a social network




20
Gamification of HR




21
"Don‟t think of video games…it‟s the principles"

“We have been applying gaming in HR for many years, but
                   there is a new opportunity to leverage ”

  Gamification is really talking to the natural human needs and desires to
  achieve, compete, be recognised, have some control over the outcome and be
  entertained
      •   The advent of technology has allowed these human needs to be expressed through
          computer based games – its a highly successful industry, to the extent that it has over taken
          video and DVD as the number one form of entertainment in the UK
  Critical success factors for gamification in HR technology
      •   people interact with the tool frequently
      •   people have a variety of interaction points
      •   there exists a community that people care about recognition in
      •   interaction points are easily quantified
      •   adoption is a high priority
      •   frequent feedback is important


 22
"Don‟t think of video games…it‟s the principles"

     “While gaming theory offers a lot of opportunity, we
         should think carefully about where we apply it”

 Do’s and Don’ts
     •    If you were thinking about adding gaming principles to your HR ESS system, it probably
          wont achieve its objectives
     •    ESS is not a frequently accessed tool in most companies, nor does it add any value to
          place me in position “1″ on the leader board for changing my home address
     •    With knowledge management tools, or were using tools like Yammer, gamification could
          be a very clever way of building a culture of knowledge sharing
     •    Gaming principles are likely to be applied in the areas of:
            – Recruitment (e.g.. referral schemes, or agency effectiveness)
            – Performance management ( recognising excellent behaviour, sales
              achievements, accolades received from peers)
            – Learning ( turning e-learning into a business simulation game)



23
Questions




                             Rob Scott
                        Human Capital Services



     robscottinsyd   http://robertscott.wordpress.com   Rob.scott@presenceofit.com.au




24

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The changing HR landscape

  • 1. “Four critical items you should be tracking on your strategic HR radar” Rob Scott : National Practice Leader – Human Capital Services May 2012
  • 2. Todays discussion 1. “The changing cloud” – Headline news! 2. The realities of integrating your SaaS tools to on-premises systems 3. Social media impacts on business environments – we‟re only at the beginning! 4. Gamification of HR tools and environments
  • 3. The Changing cloud and services 3
  • 4. "The cloud – It's inevitable" News headlines We are quickly moving from cloud to clouds SaaS is just a delivery method that lives in a cloud Cloud spend expected to be $13 billion by 2014 SaaS will increase by 112% by 2013 You don‟t have to worry about your data! – most recognized providers have better security than your company Vendor buy-outs are disconcerting, but they won‟t upset their client base 4
  • 5. "The cloud – It's inevitable" Positive messages about SaaS Reliable access More rapid “state-of-art” technology Lower cost of ownership Rapid time to production Predictability of costs Easy ability to scale Data load management better managed by SaaS providers Negatives messages about SaaS Privacy issues still exist Can‟t touch core code Still need to build compliance 5
  • 6. "The cloud – Its inevitable" Over the last 10 years, cloud services and the significant impact they are having on the HR function, offers companies an opportunity to do things faster, cheaper, with less assistance and with greater flexibility. Cloud computing is changing the way people will operate Time to value Service levels Infrastructure HR needs to take the lead in ensuring the people and processes are adjusted to suit the changing environment In particular, the changing role of IT ~ skill sets, customer needs, roles Deal with organisational structures that support applications and data that are located in the cloud Requires new types of business relationships IT is now in the hands of non-IT people and end users 6
  • 7. "The cloud – Its inevitable" Don‟t underestimate the organizational changes required to support a new delivery model, the culture impacts, the new “talent war” and the time warp! 2010 – top reason for selecting SaaS Cost Rapid deployment 2012 – top reasons for selecting SaaS “State-of-the-art” HR products Cost Upgrades Faster access to Innovation Higher response to customers Risks to take note of Data leakage through mobile tools Are SaaS providers aiming to become mini „Google's‟ ? Who owns your meta data You are not always on the current release You may be technically on the latest release, but not always functionally With every update you need to consider process, procedures and change management 7
  • 8. The realities of integration between SaaS & on-premises 8
  • 9. "Rest assured it will get easier" Integration is not just a technical challenge. There is convincing evidence that integrated performance management environments (with recruitment, succession, learning & development, workforce planning, compensation, career management and leadership development) significantly improves overall business, talent and employee results – Bersin & Associates 9
  • 10. "Rest assured it will get easier" Some argue that integration is less of an issue – however with analytics becoming such a big issues for HR, integration may be more relevant that 2-3 years ago Challenges are in • Cloud-to-cloud • Public to private • Cloud to on-premises While maintaining • Global security • Data integrity • Single version if the truth Ultimately you need to keep a balance between functionality, flexibility and usability 10
  • 11. “Rest assured it will get easier” The shift towards hybrid architectures--a mix of traditional on-premise applications and SaaS offerings, means that more and more enterprise data is being scattered across the cloud. The result is the proliferation of cloud silos, which leads to data redundancies and make business processes less efficient. Two broad solution Custom integrations • Time and cost • Ongoing maintenance • Lack of flexibility iPaaS (Integration Platform as a Solution) • Library of cloud connectors • Developers toolkits • Secure data gateways • Management portal 11
  • 12. “Rest assured it will get easier” 33% of buyers are willing to sacrifice functionality for more integration 12
  • 13. Social media: Impacts on business environment 13
  • 14. "Social media is not just a tool" “Social media is changing communication, awareness, levels of transparency, marketing and knowledge management – but few conversations about how its changing leadership and talent are taking place” Social media is so successful because it allows us to create & share We can do it on our own It‟s a window into society and people we employ, and how they want to engage and be managed 14
  • 15. "Social media is not just a tool" Embracing social media is difficult If we operate our organizations like machines. Social media thrives on more “human like’’ operating models with human principles Collaboration Sense of belonging Trustworthy Generative Courageous Using social media means changing the rules ~ extend to the peripheral – like a star fish Who decides Who speaks Who acts 15
  • 16. "SOCIAL MEDIA IS NOT JUST A TOOL" “If you are trying to apply social media to a performance management environment – it will require you to make some fundamental shift” – The power of the mob is back – a shift from hierarchical subservience (military style /machine of previous generation) back into the hands of the collective of individuals (tribes, think ancient Rome/French revolution) – Influence is important and can be measured – Performance management should consider the influence of people in a social media work environment – Klout scores are now being requested during interview processes 16
  • 17. "SOCIAL MEDIA IS NOT JUST A TOOL" “People work in networks and want to be connected/feel a “part of something bigger” – If we measure someone’s performance, we can no longer do this without them understanding the bigger picture and how they fit in to the overall business strategy – People are starting to demand being a part of the bigger strategy – think of how even at a consumer level, we now have power over brands/product development through forums and social media – Transparency is now not negotiable, it is essential. If social media is showing peoples willingness to “reveal all” on Facebook/ twitter /LinkedIn, doesn‟t this say something about their expectations of a performance management process? 17
  • 18. "SOCIAL MEDIA IS NOT JUST A TOOL" “Social media could be a future predictive technique for talent management or other key decisions” – Your collective “organisational crowd” could become a distributed problem solving network – There is no one particular expert, but as a collective, the crowd generally gets it right – Predictive markets are very accurate because only those who have a real interest participate. – As we mature in social media, we will open new doors to our organisational ability: – Our internal “crowd” could accurately predict product launch successes – Peer prediction on individual promotions 18
  • 19. "Social environments need change" “Social media is not something you control, but rather you need to tap into it and listen” If we truly embrace the power of social media, we will understand the need to adjust the practices of: • Engagement • Motivation • Rewarding people Be very clear on social media restrictions. In most cases they don’t work • If you are using an internal social media tool such as Yammer or Jam, then have very specific objectives. If you allow it to become a Facebook or Twitter you will loose the battle to leverage the power of the collective. 19
  • 20. "Social environments need change" “Be prepared to think differently about who and when commentary is made” Social media can be a catalyst to promote real organizational and performance improvement through talent management tools • Leadership must be prepared to adapt and change fundamentally from a “machine” mentality to a “human” mentality • Integrate social media into recruitment, workforce planning and on boarding etc. There is an evolution of talent and social tools • Social management is a feature of talent applications • Talent management applications integrate with a social network • Talent management features incorporated into a social network 20
  • 22. "Don‟t think of video games…it‟s the principles" “We have been applying gaming in HR for many years, but there is a new opportunity to leverage ” Gamification is really talking to the natural human needs and desires to achieve, compete, be recognised, have some control over the outcome and be entertained • The advent of technology has allowed these human needs to be expressed through computer based games – its a highly successful industry, to the extent that it has over taken video and DVD as the number one form of entertainment in the UK Critical success factors for gamification in HR technology • people interact with the tool frequently • people have a variety of interaction points • there exists a community that people care about recognition in • interaction points are easily quantified • adoption is a high priority • frequent feedback is important 22
  • 23. "Don‟t think of video games…it‟s the principles" “While gaming theory offers a lot of opportunity, we should think carefully about where we apply it” Do’s and Don’ts • If you were thinking about adding gaming principles to your HR ESS system, it probably wont achieve its objectives • ESS is not a frequently accessed tool in most companies, nor does it add any value to place me in position “1″ on the leader board for changing my home address • With knowledge management tools, or were using tools like Yammer, gamification could be a very clever way of building a culture of knowledge sharing • Gaming principles are likely to be applied in the areas of: – Recruitment (e.g.. referral schemes, or agency effectiveness) – Performance management ( recognising excellent behaviour, sales achievements, accolades received from peers) – Learning ( turning e-learning into a business simulation game) 23
  • 24. Questions Rob Scott Human Capital Services robscottinsyd http://robertscott.wordpress.com Rob.scott@presenceofit.com.au 24