Today’s HR is undergoing a great disruption, forcing businesses to reprioritize human capital management. Legacy systems and siloes within current HR practices have become antiquated, noncompliant, and ineffective in change management, discouraging HR departments from being strategic in what they do best: people management. Now, chief human resources officers are rethinking HR to suit a modern, capable, and improved workforce.
Organizations are looking to cloud-based HCM systems for a comprehensive, unified approach to reestablishing HR as the connective force between the business and it's people. A cloud-based system lets HR be prescriptive and methodical in responding to what a workforce needs without barriers from time, data, technology, or resources. If you’re figuring out what your business may gain from the cloud, then here are four areas to think about.
Change constantly happens in HR—talent scarcity, digital engagement, multi-generational and real-time workforces mean that HR services must be quick, easy, and adaptable. A cloud-based system offers prompt access to applications in a personalized, self-service, connected, and secure environment, reducing time spent dealing with multiple systems. Based on Oracle’s customer experiences, as much as 30% to 60% of HR IT costs can be shed by leveraging cloud solutions. By increasing speed and gaining operational excellence in delivery of HR services, businesses are better positioned to scale up or down for growth and challenges.
The digital world has had a radical effect on the employee experience. Positive employee engagement and satisfaction levels are now critical to workplace productivity and the bottom line. A study by Oracle earlier this year in Western Europe reveals that the more an organization does to get engagement right, the greater the chance that employees will feel productive and the less likely they’ll look for work elsewhere.
Employee experiences should be no less engaging than the experiences you offer your customers. Cloud-based HR is designed to enrich the lives of employees with rich consumer-grade experiences. Integrated online applications, self-service employee portals, and collaboration tools such as blogs, chats, and workplace social networks enable a real-time connection between managers and employees and gives HR the tools to creatively encourage and motivate the workforce.
Decision-makers are consistently challenged to evaluate workforce needs and goals in support of growth and innovation. Information or data siloes prevent the organization from being nimble in examining critical insights and getting them to business leaders. Cloud-based HR leverages data, dashboards, and progressive reporting techniques to offer HR and managers usable insights in order to make constructive choices about talent or other workforce needs. For example, recruiters with aggressive talent acquisition goals can have real-time insight into talent pipeline activity. With a 360-degree view, talent acquisition teams can monitor and adjust recruiting activities for a positive ROI. More importantly, with easy reporting tools and predictive data, they can pinpoint what sources bring in the highest quality talent and make informed sourcing decisions for long-term hiring strategies.
In a report by CBE Corporate Leadership Council, 57% of employees say they coordinate with people in different locations globally in their daily jobs. Disparate systems and fragmented reporting limits HR in how it optimizes global workplace productivity. Cloud-based HR eliminates disparate systems and ensures that processes are responding to global and local needs with the latest capabilities. But also offers the flexibility for businesses to address local needs around data, security protection, business rules, and compliance specific to their region.
Cloud-based HR is dramatically influencing the pace, behavior, and agility of today’s dynamic workforces. It’s forcing businesses to focus on employees by making sure they have the right tools and information in hand to do their jobs. Learn more about Oracle Human Capital Management Cloud and get more details on how Cloud can benefit HR with our Global HR Solution Guide