Technology satisfaction dips
Organizations in APAC are struggling to get value out of the HR platforms they have invested in. Only 45% of our respondents say they are either highly or somewhat satisfied with their HR technology. More than 60% firms plan on making or evaluating new technology investments over the next 12-24 months, signalling dissatisfaction with existing platforms. The selection of platform partners will increasingly depend on user experience, configurability, analytics and the pace of innovation. The confidence in “best of breed” IT platforms is down by 10% points. A consolidation of HR platforms is on the rise as it offers organizations an optimized cost of ownership, better user experience and seamless data integration. There is also a clear polarization of evaluation parameters based on which organizations choose technology platforms. Factors such as analytics engines, suite comprehensiveness and user experience now account for nearly 50% weightage in the evaluation processes. Companies are now looking the total cost of ownership of platforms, based on the value they deliver, as opposed to merely looking at licensing and deployment fees. There is a noticeable increase in the satisfaction gaps between the “in-house” payroll model and the “outsourced” payroll model. The need for consistent delivery, reporting and compliance is driving the shift towards an outsourced model.