V4

Select and Implement a Human Resource

Information System
Tailor your HRIS selection based on your needs rather than industry trends.

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© 1997-2016 Info-Tech Research Group Inc. Info-Tech Research Group 1
ANALYST PERSPECTIVE
Understand the market, but don’t forget your organizational needs and culture.

Selecting an HR Information System (HRIS) can be an overwhelming

process. There are dozens of full-service vendors, but organizations
are expected to pick one system that will likely be with them for years.
The scariest part is the uncertainty associated with the choice, with the
process, and with the implementation, but it does not have to be that
way. There are predictable elements that can not only be well planned,
but also brilliantly executed.
Given the modular nature of HRIS applications today, making the right
selection can cascade future benefits relating to scalability and growth.
Guidance during the selection and implementation process can prevent
organizations from committing costly and irreversible mistakes that can
threaten the effectiveness of one of the most critical parts of the
organization – its people.
Ilia Maor, MBA
Senior Manager, Enterprise Applications Practice
Info-Tech Research Group

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Stop! Are you ready for this project?
This Research is
Is Designed For:
 Does your organization have an HRIS strategy
or mandate aligned to organizational and HR
goals?
 Have you identified a project sponsor?
 Have you gone through an assessment of
needs, gaps, and expectations for the HRIS
before exploring the market?
This Research Will Also
Assist:
Assist:
 IT teams charged with exploring the HRIS
market
 HR and business teams going into the
selection or early implementation phases of an
HRIS project
 Organizations looking to review or change a
specific component of HRIS
This Research Will Help You:
 Do you currently have an HRIS deployed
within your organization?
 Are there multiple solutions addressing HR
needs?
 Are organizational changes driving the need to
explore a new solution?
This Research Will Help You:
Them:
 Understand the HRIS market and the type of
functionality vendors provide
 Assess your organizational needs through a
use-case lens
 Prepare for the selection and implementation
stages of your project and interactions with
vendors
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Executive summary and problem definition

Situation Info-Tech Insight

• Your organization is in the midst of a selection and implementation process for a 1. Market complexity should not equate to
human resource information system (HRIS), and there is a need to disambiguate decision complexity. Navigating a
the market and arrive at a shortlist of vendors. complicated and diverse HR market will help
• A shortlist of vendors has been identified, and an informed decision needs to be organizations with making more informed
made not only to select one (or more) of the solutions but also to adequately buying decisions
prepare for a successful implementation process. 2. No single HRIS will satisfy all needs.
Thinking about the system will be used
Complication within the organization can be more
• There is a multitude of solutions positing to provide strong capability in most areas important than selection itself
of functionality. Differentiating between the solutions is difficult and going through 3. HRIS is a business initiative, make project
a lengthy RFX process with all vendors is an inefficient approach in terms of time, success a shared responsibility. System
effort, and cost. integrators are a resource, but ownership
• There are many unstructured opinions, casting a shadow of ambiguity on the resides internally
entire process, bogging down decision makers in wasteful analysis paralysis.

Resolution
• Follow a structured and accelerated approach to launch your HRIS project, filling in knowledge gaps in an organized way to prepare your
organization to make an informed decision.
• Explore the vendor landscape to understand the HRIS space, familiarizing yourself with the major players in the space and the type of
capability being offered.
• Benchmark your shortlist of vendors with the industry champions in the different use cases and evaluate how they fit with your
organization’s identity and needs.
• Acquaint yourself with the standard steps in the process to inform decisions related to successfully implementing your solution of choice.
• Fast-track selection and preparation for implementation with a proven business-partnered methodology.

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Understand how HR technology has evolved and forced
changes upon the HR job function
With the use of HRIS, HR goes from paper to paperless and moves from
peripheral to partner.
High
STRATEGIC
Strategy
The role of HR is evolving to a &
strategic partner in the Roadmap
organization, helping to drive real Workflows and

Complexity
Automated
business value. The demands on Reports
HRIS are increasing as a result. Manuals &
HRIS is moving away from simple SOPs
record-keeping to become more Manual
business-enabling, shifting focus Processes and
from centralized administration to Forms
organizational engagement. PROCEDURAL
Low High
Interaction
Particularly in the large enterprise space, a lot of organizations are on very large ERP systems that are
becoming old. They are using technology that is designed around employee management versus
employee engagement, which is where organizations are moving towards. Rather than looking at
employees as just a number, look at how do we attract talent; how do we differentiate ourselves in a
particularly tough market and global economy. Trying to do that with outdated technology is near
impossible. – Graham Turner, HRIS Sales & Implementation Specialist

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 The HRIS market is booming as organizations realize the
functional and strategic importance of HR
HR TECHNOLOGY MARKET DRIVERS

Companies Are Fighting a Talent War HR Technology Market Growth

• Attracting and retaining top talent has become a top
priority for today’s CEOs. 8000
• In the 2014 PwC annual survey, 63% of CEOs expressed 7000
concern with the availability of key skills, a 12% 6000
increase from 2010. 5000
$6.7 Billion
Source: PwC 17th Annual Global Survey 4000
(USD)
3000
$3.4 Billion
2000
(USD)
51% 55% 63% 1000
0
2006 2008 2010 2012 2014 2016
2010 2012 2014

Complex HR Technology Environments

• The average organization has an overly complex HR
technology environment.
• The majority of companies have more than seven HR
systems in place, many of which are obsolete and
antiquated.
• Organizations are looking to replace their rapidly aging
HR systems.
The HR technology market has nearly
doubled over the past seven years. It is
expected that the market will continue to
grow.
Source: IBIS World (2016)

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 Build a comprehensive HRIS strategy or risk HR and IT
project failure
Create a strategy to
Drivers for an HRIS strategy
decrease the risk of
project failure
1. HRIS Project Complexity
An HRIS implementation is no
small endeavor. Spend time up
front creating a strategy and
30% 35% 42% identifying the needs of and
Of projects are Of projects missed Of survey benefits to the organization. The
never completed time, budget, or respondents creation of a strategy will be a
functional goals highlighted contributing factor to the
misallocation of success of the implementation.
Source: Phenix Management International
resources as top
reason for project
delays
The HRIS
2. Perceived Value of HR Technology implementation was a lot
bigger of a change and a
HRIS Summary lot bigger of a project
Importance has a
Usability median value that
than initially anticipated
fell below 50, and as a result there was
Features suggesting a a lot more stress on
below average
Effectiveness level of importance resources than initially
for HR technology. expected.
Importance
- Kristina Blazevski, Program
0.0 20.0 40.0 60.0 80.0 100.0 Manager, Property
Development Industry
Source: Info-Tech Research Group; N=30 organizations

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Review the critical success factors for an HRIS project
Executive management support is crucial. The number one overall critical success factor for an HRIS
strategy is executive management support. This emphasizes the importance of HR and corporate strategic
alignment. A strategic objective in the planning phase of HRIS projects is to obtain and position top management
as an enabler rather than a barrier to project success.

Post-
1234
Planning Implementation
Implementation
Overall

Appropriate Project Top Management Top Management

1
Selection Management Support Support

Clear Project Top Management Project Appropriate

2 Goals Support Management Selection

Top Management Project

3 Training Training
Support Management

Business Mission Effective Effective

4 Training
and Vision Communication Communication

Project Supplier Appropriate Clear Project

5 Management Supports Selection Goals

Source: Information Systems Frontiers

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Follow Info-Tech’s methodology for selection and
implementation
Prior to embarking on the vendor selection stage, ensure you have set the right
building blocks and completed the necessary prerequisites.
Follow Info-Tech’s enterprise applications program
that covers the application lifecycle from the strategy
stage, through selection and implementation, and up
to governance and optimization.

The implementation and execution stage entails

the following steps:

1 Define the business case

2 Gather and analyze requirements

3 Build the RFP

4 Conduct detailed vendor evaluations

5 Finalize vendor selection

6 Review implementation considerations

A critical preceding task is developing a strategy that makes the case for the HRIS procurement and creates
alignment with corporate objectives. Use the HRIS Readiness Assessment Checklist to ensure you have
completed the necessary steps.

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 Use Info-Tech’s HRIS framework to navigate the modules
between core and strategic
Core HR functions are combined into a single, highly-integrated solution, simplifying operation and support.
Advanced functionality builds upon the core to further enable HR and operations functions. Strategic
modules support organizational objectives.

Workforce Management

Time and Leave

Core HR Attendance Management
Strategic HR
Payroll
Scheduling
Administration Position Compensation Workforce
Management Management Planning

Benefits Talent Management

Administration
Succession Planning
Performance
Organizational Talent Acquisition
Management
Core HR Records Structure

Learning & Offboarding and

Development Onboarding

Core Strategic

Reporting Employee Self-Service Manager Self-Service BI & Analytics

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Explore common metrics and select those that align with your
strategic HR goals
Success can take many forms, and each HR goal has associated metrics to track progress against internal or external
benchmarks of performance. In many cases, HRIS can provide visibility into these metrics and inform decisions for their
improvement.

HR Goal: HR Metrics: HR Goal: HR Metrics:

• Time to hire • Employee efficiency

• Applicants per requisition Performance • Performance by group
Recruitment
• Yield ratios Management • High-potential employees
• Channel effectiveness • Flight risk and bench strength

• Time to process payroll • Employee record completeness

• Cost to process payroll • Headcounts by employee type
Payroll Core HR Records
• Rate of payroll errors • Organizational structure
• Cost per employee payment • Turnover and retention rates

• Cost of benefits per employee • Training days per employee

• Benefits as a percentage of total Learning & • Participation rates
Benefits salary Development • Post-training performance
• Employee benefits satisfaction rating • Percentage of staff with development plans

• Timesheet accuracy • Days to process new hires

Time and • Compliance • New hire separation
Onboarding
Attendance • Attendance and PTO • Cost of orientation
• Absenteeism • New hire engagement

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 Bay Cove worked extensively to build an HRIS strategy to
ensure success in selection and implementation
Industry Health Services
CASE STUDY Source Info-Tech Research Interview

Bay Cove Human Services, Inc. is a not-for-profit organization with 2,200 employees,
helping people with the greatest challenges to grow toward full, rich lives. The The HRIS project team at Bay Cove
organization has grown significantly in recent years and has expanded services in the categorized their requirements into 7 high-
greater Boston area. level criteria. The vendors were evaluated and
scored against each of the 7 criteria.
Many technology demands were being put on HR due to growth, complexity, and
compliance requirements. HR processes and systems were not able to address 6
administrative burdens. Most HR functions were centralized; the collection and usage
of HR data was under-utilized in the rest of the organization. It was very difficult to 5
identify appropriate vendor(s), establish a roadmap, and bring a solution to the board.
4
HRIS Initiative
Bay Cove worked with Info-Tech to develop an HRIS roadmap and select a vendor. 3
The HRIS project team first built a strategy in which they developed a business case
for the procurement of an HRIS and articulated the value of the application. 2
The team also worked to elicit requirements and assess HR and payroll processes
across the organization. Seven high-level requirements categories were identified. 1

Results 0
The project team worked with Info-Tech to develop an RFP based on the outlined
requirements categories that was sent to seven vendors. Based on the responses to
the RFP and subsequent interviews, Bay Cove short-listed four vendors and
developed nine case studies that are particular to its workforce management
requirements for the vendors to demonstrate within their respective systems.
Vendor 1 Vendor 2 Vendor 3 Vendor 4

Bay Cove subsequently scheduled full-day product demos to demonstrate specific

features that the team listed. The company successfully selected a product that is
most cost efficient and that meets their complex workforce management and
organizational structure requirements.

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Use this blueprint to support your HRIS selection and
implementation

Launch the
HRIS Project Use the project steps and activity instructions outlined in this blueprint to streamline your
and Collect selection process and implementation planning. Save time and money, and improve the
Requirements impact of your HRIS by leveraging Info-Tech’s research and project steps.
Phase 1

Select Your Use Info-Tech’s HRIS Vendor Landscape contained within Phase 2 of this project to
HRIS Solution
support your vendor reviews and selection. Refer to the use-case performance results to
Phase 2 identify vendors that align with the requirements and solution needs identified by your earlier
project findings.

Plan Your HRIS

Implementation Not everyone’s HRIS needs are the same. Understand your organization’s HRIS
Phase 3 environment and the unique technical and functional requirements that accompany it to
create the criteria and select a best-fit solution.

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Identify milestones for each of the three stages to track your
progress

Launch the
HRIS Project  Align HR goals with corporate objectives
and Collect  Develop a strategy for the procurement and implementation of HRIS
Requirements  Elicit and document HRIS requirements from different stakeholder groups
Phase 1

 Complete and publish the request for proposal

Select Your  Evaluate vendor responses
HRIS Solution  Develop vendor demonstration scripts
Phase 2  Score vendor demonstrations and shortlist viable vendors
 Select the final product

Plan Your HRIS  Develop an HRIS implementation plan

Implementation
 Develop a data migration strategy
Phase 3  Determine project metrics to measure and track success

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Info-Tech walks you through the following steps to help you
select your HRIS
1.3 Gather requirements and document architecture 3.1 Create product specific architecture

1.1 Understand HRIS technology

2.1 Analyze vendors in the HRIS market 3.1 Plan configuration and deployment
1.1 Assess organizational readiness
3.1 Create governance plan

2.1 Shortlist vendors

3.1 Develop HRIS deliverables

2.2 Select your vendor
2.1 Conduct a proof-of-concept and
evaluate vendor solutions 3.2 Evaluate project metrics
1.2 Structure your project

Locate your starting point in the research based on the current stage of your project

Milestones Effort Importance Phase

Low
Average
Launch Plan to
Select
Your Implement
Solution

Major Milestone
Greater Project Solution

High

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Info-Tech offers various levels of support to best suit your
needs

Guided
DIY Toolkit Implementation Workshop Consulting

“Our team has already “Our team knows that “We need to hit the “Our team does not
made this critical we need to fix a ground running and have the time or the
project a priority, and process, but we need get this project kicked knowledge to take this
we have the time and assistance to off immediately. Our project on. We need
capability, but some determine where to team has the ability to assistance through the
guidance along the focus. Some check-ins take this over once we entirety of this project.”
way would be helpful.” along the way would get a framework and
help keep us on track.” strategy in place.”

Diagnostics and consistent frameworks used throughout all four options

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 Select and Implement an HRIS – project overview
1. Launch the HRIS Project 2. Select Your HRIS 3. Plan Your HRIS
and Collect Requirements Solution Implementation

1.1 Market overview and introduction 2.1 HRIS Vendor Landscape 3.1 Implementation considerations
to HRIS
HRIS Vendor Shortlist & Detailed HRIS Work Breakdown Structure
1.2 Structure your HRIS selection Feature Analysis Tool Template
project
2.2 Select your HRIS solution Project Planning and Monitoring
HRIS Procurement Project Charter Tool
HRIS RFP Template
Template
Vendor Response Template
1.3 Gather and analyze your HRIS
HRIS Vendor Demo Script 3.2 Metrics
requirements
Template
Project Metric Tracking Tool
HRIS Use-Case Fit Assessment HRIS Evaluation and RFP Scoring
Tool Tool
Best-Practice HRIS Business Requirements Sample Reference Check
Toolkit Template Questions
Identify organizational fit for the Discuss the use-case fit assessment Create an implementation plan.
technology. results and the Vendor Landscape.
Discuss rollout of processes and
Create the project plan. Contract review. handover to operations.
Guided Plan requirements gathering steps.
Implementations
Module 1: Module 2:
• Launch Your HRIS Selection Project • Plan Your Procurement and Implementation Process

Onsite
Workshop
Phase 1 Outcome: Phase 2 Outcome: Phase 3 Outcome:
• Launch your HRIS selection project. • Selection of an HRIS solution. • A plan for implementing the selected
• Development of your organization’s HRIS solution.
HRIS requirements.

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HRIS selection workshop overview
Contact your account representative or email Workshops@InfoTech.com for more information.
Day 1
Preparation Workshop Day
Workshop Preparation Morning Itinerary
• Facilitator meets with • Facilitation of activities
the project manager and from Section 1 and
reviews the current Section 2, including
project plans and IT project scoping and
landscape of the resource planning.
organization. • Assess organizational
• A review of scheduled readiness for the HRIS
meetings and engaged selection and highlight
IT and business staff is any outstanding
performed. preceding tasks.
Afternoon Itinerary
• Begin conducting an
inventory of the
organization’s
integration environment.
• Map integration
scenarios and data flow
plans between the HRIS
and existing
applications.
The light blue slides at the end of each section highlight the key activities and exercises that will be
completed during the engagement with our analyst team.
Day 2 Day 3 Day 4
Workshop Day Workshop Day Working Session
Morning Itinerary Morning Itinerary Workshop Debrief
• Complete IT inventory • Perform a use-case • Meet with project
assessment. scenario assessment. manager to discuss
• Review use-case results and action items.
Afternoon Itinerary
scenario results; identify • Wrap up outstanding
• Interview IT, HR, and
use-case alignment. items from the
HR functional groups to
• Review the HRIS workshop.
identify functional
Vendor Landscape
requirements for the
vendor profiles and Procurement Support
HRIS.
performance. • The facilitator will
• Highlight key gaps and
support the project team
opportunities in the Afternoon Itinerary
to outline the RFP
requirements. • Continue review of HRIS
contents and evaluation
• Document Vendor Landscape
framework.
requirements. results, use-case
• Planning of demo script.
performance results.
Input: solution
• Create a custom vendor
requirements and use-
shortlist.
case results.
• Investigate additional
vendors for exploration
in the marketplace.
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Use these icons to help direct you as you navigate this
research
Use these icons to help guide you through each step of the blueprint and direct you to content related to
the recommended activities.

This icon denotes a slide where a supporting Info-Tech tool or template will help you perform
the activity or step associated with the slide. Refer to the supporting tool or template to get
the best results and proceed to the next step of the project.

This icon denotes a slide with an associated activity. The activity can be performed either as
part of your project or with the support of Info-Tech team members, who will come onsite to
facilitate a workshop for your organization.

This icon denotes a slide that pertains directly to the Info-Tech Vendor Landscape on HRIS
technology. Use these slides to support and guide your evaluation of the HRIS vendors
included in the research.

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