Recruiting, retention, and the employee experience can all be improved with better access to data. Most HR leaders know this, and see cloud-based human capital management (HCM) as the way to deliver on this promise. But convincing other stakeholders can be tricky.
According to Matt Richards, MD at KPMG, around half of proposals to upgrade to HCM cloud technology are denied. So how can HR leaders deliver a proposal that succeeds?
The C-suite receives constant requests for funding. You’ll be competing with plans for new facilities, or strategies to move into new markets, and most of these proposals will have clear profit projections. This means using common language and KPIs as the finance department for example. If you can tie your request back to the company’s bottom line then you can avoid your case being moved to the bottom of the pile. Stress that this is an investment that will shape the future of the organization, and underpin development in other areas. Then show how results will be tangible and trackable too, in both the short and long term.
After asking why an investment should be made, the second question will probably be ‘Why now?’. There’s natural caution surrounding any major change, so set out why the investment should happen immediately. Without this, it’s unlikely that anything will happen, even with agreement that it’s an important project. Be clear that postponing the move to the cloud could cost the business.
A good investment solves problems. While HR leaders are aware of the challenges their teams face, and how cloud HCM can help, things may not be as clear to other execs. In your business case, explain how business challenges will be met – not just HR concerns – in order to convince others your project is a worthy one. Think specifically about increased revenue, decreased costs, or improved productivity, and use plenty of data to back up your points.
Moving HCM to the cloud is a significant change, and one that will be disruptive. So, the final element of the business case is to plan how that disruption will be minimized over time: A clear narrative that includes change management, business readiness, and process audits should show that this project is both doable and valuable. It also investing in new skills: HR staff that have strong analytical skills or project and change management experience will be an invaluable asset in the roll out of new systems, ensuring their success.