Consideration factors when choosing HR technology

In a fiercely competitive market, choosing the right HR technology has become a critical decision for organizations of all sizes. With a lot of options available, it's essential to carefully evaluate your needs and the various solutions on the market.?

This week, we'll explore the key factors to consider when selecting HR technology, ensuring you make an informed decision that aligns with your organization's goals and improves your HR processes.

If you want more on the latest HR technology, don't miss our earlier discussion with Teamtailor . Watch now: [LINK]

Assessing your organization's needs and goals

Before diving into the world of HRTech, it's essential to have a clear understanding of your organization's specific requirements and objectives. Patrick Sayers , president of Newcastle Research, emphasizes the importance of this step: "Often, HR professionals start a vendor search with a game plan in mind, but once they see all the bells and whistles included in a few demos, they fall in love with one vendor or another."

To avoid getting sidetracked by flashy features in the beginning stages, consider the following:

• Identify your pain points: What specific HR challenges are you trying to address? Hiring? Skills management? Learning and development?
• Define your objectives: What outcomes do you want to achieve with the new technology?
• Consider scalability: Will the solution grow with your organization?
• Evaluate integration capabilities: How well will the new system work with your existing tools?

By clearly defining your needs and goals, you'll be better equipped to evaluate potential solutions and resist the temptation of unnecessary features.

Recommended reading: Best hiring platforms: The ultimate guide

Choosing between all-in-one and best-of-breed solutions

One of the most important decisions in selecting HR technology is whether to opt for an all-encompassing suite or a combination of specialized best-of-breed integrations, according to SHRM . Both approaches have their values, and the right choice depends on your organization's needs.

All-in-one suites:

• Provide end-to-end management of the employee lifecycle
• Offer easier information sharing between functions
• Reduce the number of vendors and integrations to manage

Best-of-Breed Solutions:

• Excel in specific functional areas e.g., talent acquisition, performance management, skills management
• Often provide a higher-quality user experience
• Can be more innovative and agile in responding to market needs

Additionally, consider the vendor's roadmap for future developments. Are they investing in emerging technologies like virtual reality for interviews or augmented reality for onboarding? Understanding a vendor's vision for the future can help ensure that your chosen solution remains relevant and effective in the long term.

When considering skills management technology specifically, it's crucial to evaluate whether the solution can effectively house and continuously update your organization's skills inventory. The platform should reflect all skills-related changes, including employees joining, leaving, acquiring new skills, or getting promoted.

Recommended reading: The best skills management platform choices in 2024

Evaluating implementation and customer support

The success of your HR technology investment heavily depends on smooth implementation and ongoing support. When vetting potential vendors, pay close attention to their implementation plans and customer service offerings.

When working with a vendor, request a detailed implementation plan to understand the division of responsibilities between your team and the vendor. Additionally, ask about project management, data migration, and change management support to ensure a successful transition.

When reaching out to the vendor's customer support, request to meet the person or team who would be overseeing your account. Then, you can inquire about the availability and responsiveness of support channels which will be particularly helpful during the implementation process. These questions will help ensure that you receive adequate support and attention throughout your engagement with the vendor.

As Sayers points out, "Customer service is typically the top reason why employers switch vendors." Don't underestimate the importance of robust, reliable support in ensuring the long-term success of your HR technology investment.

If you want more on the latest HR technology, don't miss our earlier discussion with Teamtailor. Watch now: [LINK]

Considering AI and future-ready features

The integration of AI and predictive analytics in skills management represents a significant shift towards more data-driven, proactive, and personalized workforce development strategies. By leveraging these technologies, organizations can ensure that their employees are not just well-equipped for their current roles but are also being prepared for the future demands of the workplace.

Key AI-driven capabilities to look for include automated candidate screening and matching, which can significantly streamline the recruitment process by efficiently identifying the most suitable candidates from large applicant pools.?

Predictive analytics for hiring outcomes and employee retention is another crucial feature, allowing organizations to make data-driven decisions about talent acquisition and management. These analytics can help predict which candidates are likely to succeed in specific roles and identify factors that contribute to employee turnover, enabling proactive retention strategies.

Advanced AI algorithms can analyze an employee's current skill set, performance data, learning style, and career aspirations to create personalized learning paths. This personalized approach ensures that employees engage in relevant, effective learning experiences aligned with both their personal growth objectives and organizational needs.?

AI-powered platforms can continuously adapt these learning recommendations based on an employee's progress and changing organizational requirements, fostering a culture of continuous learning and development.

Deep dive: Consideration factors for choosing a skills management solution

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Want to learn more about how to choose a skills management solution? The introduction of skills management software goes far beyond solution implementation. Transitioning from a role-based to a skills-based work model is a big change management project, so multiple factors need to be considered to maximize effectiveness.

Download Consideration factors for choosing a skills management solution to learn:

• How to choose a skills management tool
• What to look for in a skills management solution
• Benefits of a screening solution
• What is skills taxonomy and why it’s important

Written by: Alexandra Paasch