According to recent research from 3Sixty Insights, the businesses getting the most value from their HR technology aren’t necessarily relying solely on the technology. They’re taking a different approach. Rather than viewing HCM as a software purchase, they treat it as an ongoing partnership that helps them adapt, optimize and scale as business needs evolve. The challenge is that relatively few organizations have realized what they can gain from using software plus services.
While most are using HCM platforms, only 12% self-identify as sophisticated users according to the study.
“The businesses that I see having the most success view an HCM solution as part of their business,” said Jennifer Norris, director of professional services for Insperity. “Instead of treating it as a technology or another vendor, they view it as a partner, and it becomes part of how they operate.”
High-performing organizations choose a partner who can align the technology with their business processes, provide ongoing guidance and help with continuous alignment to maximize employee engagement. Here’s how that mindset changes both what they expect from an HCM partner and how they engage over time.
Characteristics of high-performing businesses
The highest-performing businesses select an HCM partner who can help them integrate a solution into their daily operations. Whether they are mid-market enterprises with specialized HR teams or smaller companies with fewer employees, businesses that maximize their solution maintain regular contact with their HCM partner.
“One mid-market enterprise took advantage of weekly calls for the first eight to 10 months post-implementation so they could feel completely comfortable with the solution,” Norris noted. “Now, we meet monthly, and they are confident they have all the services and knowledge they need.”
Efficient and productive companies also view their HCM solution investment as a long-term, strategic commitment rather than a one-time project. They clearly identify who owns the HR process internally and encourage that person to use ongoing education and human-led assistance to solve immediate issues and prepare for what’s ahead.
“Businesses change. Whether they scale up or down, their needs change along with it,” explained Norris. “Those who view an HCM solution as not just a platform, but the foundation of how they operate tend to use the service to its fullest capability to support their scaling.”
The role of support
Technology alone rarely delivers the impact business leaders expect for their HCM investments.
Many solutions offer guidance during implementation but leave business leaders to configure systems on their own. Nearly half (49%) of businesses would pay more for better support, particularly if it helped them achieve their goals.
Human-led customer service should extend beyond implementation and onboarding through continuous optimization so the business can maximize their investment over time. Norris sees an HCM partner as being like the quarterback on a football team. The quarterback knows when things don’t seem right, when to push and when to take a step back.
“It’s that level of engagement throughout the life of the partnership that sets apart full utilization from lackluster experiences,” she said.
Those who fully leverage their HCM solution regularly communicate with their dedicated experts for quick answers to questions, to learn about software updates and explore opportunities to improve processes as business needs evolve.
“AI can be helpful when applied effectively, but human intervention is always needed,” Norris emphasized. “When you have a human service-enabled platform, the team of experts is there to help you uncover things you may not have thought of, make sure it’s optimized to promote employee engagement with the system and ensure it’s working as needed.”
What to look for in an HCM partner
Hundreds of vendors offer HCM platforms, and choosing the right one can feel overwhelming. It’s especially challenging given that many small-to-mid-size leaders say they aren’t seeing the value or operational effectiveness they need to support growth.
“When evaluating HCM solutions, ask how the technology can be refined to match where you are in your growth cycle,” Norris said.
For example, if you’re not currently offering benefits, but plan to as you scale, find out how quickly and easily a solution can accommodate the change. You should also consider where service teams are based, whether you can reach a knowledgeable representative when needed and if the provider can act as a strategic resource as your workforce and regulatory requirements change.
“I often hear businesses talk about having a partner who can support them on compliance-driven issues to help them avoid risks,” she said. “Leaders looking for a partner to guide them want to be sure that their system will remain compliant whether that involves IRS updates, retirement plan requirements or other workforce-related legislative changes.”
Ultimately, the best HCM solution partner should be able to help you look beyond what the technology can do for you today to how it will support your business’s strategic priorities into the future.
Discover what more than 500 U.S. business leaders revealed about HCM adoption, support and business outcomes. Download the 3Sixty Report to explore the findings.