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HR: HR transition to the cloud
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HR transition to the cloud
By Mary Lewis

BT 201904 HR01人力资源管理系统向“云端”转变







BT 201904 HR 02Is your company adopting HR cloud solutions?

This is a strategic move as organizations, which are still on the fence on digital transformation, are losing out to their competitors, who are now able to streamline two powerful assets - people and money to gain long-term advantage.


Fact is, cloud computing has fast evolved in recent years. Two years ago, 68% of organizations had at least migrated one HR process in the cloud, and that number has increased to 73% as of 2017 (PwC Global HR Technology Survey, 2017). At the rate this is all going, more than 50% of all enterprises will rely on cloud-based or hybrid solutions for their HR systems by 2020 (Information Services Group, 2017).


By switching to the cloud, your company ensures its ability to leverage on an integrated and secure system to cover entire employee lifecycle across various platforms and geographical sites. A cloud-based HR system not only improves compliance and transactional processes, but it also gives management the advantage of making better business decisions by applying data analytics to employee recruitment, retention or even work force planning and performance tracking.


While the benefits sound exciting, the reality is, change and technology projects could be intimidating to business leaders and employees alike. Cloud migration entails closer collaboration across different functions, such as HR, Finance and IT, as well as a cultural shift to be able to handle the pace of change.

BT 201904 HR 03So, how does HR managers prepare for a seamless transition?


1) Prepare for change.
People have different ways of coping with the transition to a digital process. However, a way to get both management and employees on board is by creating a change in the management plan with a clear business case with cost/benefit analysis to show value for your proposition, an agreed timeline and accountability. Here, you can also proceed to identify a cross-functional team, who has the skill and the mentality to champion the new system, as well as form crucial internal support in training and getting feedback from other members of the organization.


2) Employ enough resources.
Having ample bandwidth and up-to-date operating system is a must when shifting to processes that will be conducted in the cloud. Review the amount of bandwidth needed to make the new application effective and accessible for all employees. Consider also a bandwidth that will allow your organization to cater to more employees given its growth strategy. It is also at this point when you can assess the need to hire an external HRMS consultant depending on the size and scope of the project.


3) Have well-defined policies and procedures
Before moving to the cloud, make sure that you have first identified and streamlined the workflows that will be affected by the automation. Processes that are time and resource intensive and subject to human error are top candidates for automation. Have your team review the manual processes for gaps, translate each accurate step into an executable strategy or process maps by breaking each step into tactics, then you can fine-tune them into standards.

BT 201904 HR 054) Communicate New Standards
After documenting the new standards, communicate these practices to all departments, so that the transition can happen smoothly. Expect some resistance at the start, especially among employees who have long been accustomed to routine. To overcome resistance to change, there should be active engagement and consistent communication before migrating to the cloud, and throughout the actual rollout.


5) Conduct Due Diligence
Before choosing a cloud-based provider, make sure they can handle the size of your business and the specific needs you have. Be sure to inquire whether they have enough staff complement to support the scope of your operations and provide adequate troubleshooting when technical or compliance issues surface. A key factor to consider is whether the provider invests in customer support for data, HR and technical questions, so you can address your concerns in real-time. With the emergence of cyber security, HR managers should demand substantial proof that the provider can provide significant and appropriate security over your information and back it up.


6) Outline a schedule for testing, configuration and setup
In addition to your changed management plan, consider the level of testing involved when implementing a new cloud-based HRM solution. Often some processes will need to undergo another round of testing to be sure everything is working as it should. Expect to perform two type of tests: functional testing and those which will attempt to test the system to the limits of its capacity.

BT 201904 HR 047) Invest in training
Senior management and employees should be ready to invest time and energy needed to learn the new system from the provider. Allocate time around open enrolment times and on boarding, when there is significant activity regarding the platform. You can take more innovative approach by holding different demo sessions, tailoring each to provide instruction on the aspects that will be most relevant to their position.

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