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The Cloud HR Social Experiment
Things you should know about cloud HR solutions

Rob Scott | Sydney | December 2012
Why we did the social experiment


  10,000 hour
                         Little focus on
mantra : There is
                        the people and
   not enough
                          behaviours
  expertise out
                        associated with
there – we need
                            cloud HR
to fast-track our
                       implementations
   “expertise”




     To allow us to      Wanted to
       adapt our       emulate what a
    services off the     client may
     back of some        practically
    real experience     experience




2
How did we do it?


• Planned objectives & approach
• Product selection
• Purchased Rypple®
• Configured
• Let it loose (cowboy style)
• Observed & recorded
• Analysed & reported


3
Areas we covered off
               Observed and analysed 8 key areas



                   4
    3                         6


    2
    1


                              7
                       5              8




4
Preface

2012 has been a significant year for the HR Technology landscape. It will be recognised as the year in which cloud HR vendors seriously began
offering organisations alternatives to their on-premises software: easier, quicker and cheaper solutions around talent and core HR transaction
management.

Major ERP players, SAP® and Oracle®, moved decisively to buy out established players in response to the growing appreciation and
positioning of Workday®, an HR solution built by the previous owner of PeopleSoft®, Dave Duffield. Duffield was clearly and effectively
challenging the ERP players in their own backyard and winning over often frustrated clients. Cloud HR vendors continue to offer pricing models
that are enticing in a time that capital outlay is being curtailed.

The end result? A significant shift in thinking: cloud-based HR solutions are inevitable!

While there is an abundance of skill around the approach and implementation of ERP on-premises HR solutions, the same cannot be said for
cloud-based products. The approach, choices, decisions, technical requirements and timing are different and for many organisations this is an
area of concern and risk. Coupled with this risk, social media tools and principles of gamification are adding layers of complexity to the cloud-
based solutions. It‟s not as easy as deciding not to use these new layers, especially when the tool is fundamentally constructed around these
new elements.

Presence of IT - Human Capital Services division (HCS) recognised these risks and complexities and decided to run a social experiment with a
cloud-based HR solution so we can advise clients on implementing their own cloud HR products. We selected the Salesforce.com product called
Rypple® (now part of Work.com) primarily because it had all the components we needed, was easy to purchase and would not be construed as
a sales pitch for our other products. Rypple however, was not the focus. We wanted to understand and learn from the behaviours of people who
were included in the experiment. It was a real eye-opener and we have now transferred our learnings to our consulting staff.

This paper is a summary of our learning and observations. We hope you enjoy the read.




Dave Brookes                               Rob Scott
Managing Director                          Practice Lead: Human Capital Services
Presence of IT - Global                    Presence of IT - Global


 5
8 Chapters




6
8 Chapters
             1   Ready..steady..go!

                 Social is(n’t) the
             2   driver

                 It’s a game, but not
             3   as you know it

                 Who moved my
             4   objective?

                 You’re a
             5   (disa)STAR!

                 Anytime &
             6   anywhere

                 Keeping it all
             7   together

                 That’s who we
             8   are…it’s our DNA


7
Document layout
                                           Key learnings

                  General write-up




                          Critical
                        observation




                              Critical questions




8
Critical observations


    Key learnings



    Questions to ask


9
1    Ready..steady..go!


2
                                                            The speed at which we configured the
                                          Key               system created a false expectation
3                                      Observation          that users would be as excited as the
                                                            config team

4                                                          There are things that you can‟t change
                                                           in cloud solutions - test users‟ reaction
                                       Key Learning        more aggressively and formulate
5                                                          responses



6                                         Critical
                                         Question
                                                                How do the various software
                                                              components affect one another ?


7
8
             Read all the observations, learnings and questions in our free booklet

10
1
     Social is(n’t) the
2    driver
                                                             Users who are natural content
                                           Key               generators emerge quickly and initiate
3                                       Observation          many discussions and activities -
                                                             these key users are critical

4                                                           Don‟t create „communication channel
                                        Key Learning        confusion‟ - users need to be clear on
                                                            the role of each communication tool
5
                                                            Is the organisation leadership prepared
6                                          Critical
                                          Question
                                                             to change their style to support social
                                                                             media?

7
8
              Read all the observations, learnings and questions in our free booklet

11
1
2
                                                             Users are attracted to the names of
     It’s a game, but not                  Key
3    as you know it                     Observation
                                                             badges more than the underlying
                                                             intention of the badge


4                                                           Stratify your user groups by age,
                                                            hierarchical level and relationship to
                                        Key Learning        users - there will be distinct differences
5                                                           you need to deal with



6                                          Critical
                                          Question
                                                               Which processes are impacted by
                                                                  recognition and badging?


7
8
              Read all the observations, learnings and questions in our free booklet

12
1
2
                                                          Individual users can become
                                        Key               despondent when team members
3                                    Observation          don‟t accept requests to support their
                                                          objectives
     Who moved my
4    objective?                                          Social objectives and goals require
                                     Key Learning        changes to management philosophy
                                                         and role definitions at all levels
5

6                                       Critical
                                       Question
                                                           Will you allow staff to choose what
                                                           objectives they want to be part of?


7
8
           Read all the observations, learnings and questions in our free booklet

13
1
2
                                          Key               Offering anonymous feedback to a
3                                      Observation
                                                            user creates a level of anxiety and
                                                            suspicion


4                                                          Don‟t undermine system information
                                                           put forward by a user in defence of an
                                       Key Learning        issue(e.g. badges received) - this
     You’re a
5    (disa)STAR!
                                                           undermines the tool


                                                               If performance management is
6                                         Critical
                                         Question
                                                            currently not working, why will this be
                                                                           different?

7
8
             Read all the observations, learnings and questions in our free booklet

14
1
2
                                         Key               Users want to perform the same
3                                     Observation
                                                           functions on a mobile device as they
                                                           can on a PC browser version


4                                                         Don‟t assume all mobile applications
                                      Key Learning        are intuitive - you may need to offer
                                                          training on the „not-so-obvious‟ features
5
     Anytime &
6    anywhere
                                         Critical
                                        Question
                                                           Are there risks and safety issues that
                                                                   mobile usage create?


7
8
            Read all the observations, learnings and questions in our free booklet

15
1
2
                                                             The administrator role is fairly
                                           Key               straightforward in terms of typical
3                                       Observation          tasks, and could be spread between a
                                                             number of individuals

4                                                           Administrators are different from
                                        Key Learning        moderators who need to be generally
                                                            respected senior people
5

6                                          Critical
                                          Question
                                                            What processes need to change to suit
                                                                 the HR tool administration?

     Keeping it all
7    together


8
              Read all the observations, learnings and questions in our free booklet

16
1
2
                                                           You can‟t force users to participate in
                                         Key               all components of the tool, but this
3                                     Observation          does create issues around
                                                           standardisation and efficiency

4                                                         Ensure your users and managers
                                                          understand that participating on the
                                      Key Learning        social media layer is not an extension
5                                                         of their line authority



6                                        Critical
                                        Question
                                                          Will I compromise the effectiveness of
                                                                  the tool without change?


7
     That’s who we
8    are…it’s our DNA
            Read all the observations, learnings and questions in our free booklet
17
Go to:
     www.presenceofit.com.au/news-events/things-you-should-know-about-cloud-hr-solutions

18

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Things you should know about cloud HR solutions

  • 1. The Cloud HR Social Experiment Things you should know about cloud HR solutions Rob Scott | Sydney | December 2012
  • 2. Why we did the social experiment 10,000 hour Little focus on mantra : There is the people and not enough behaviours expertise out associated with there – we need cloud HR to fast-track our implementations “expertise” To allow us to Wanted to adapt our emulate what a services off the client may back of some practically real experience experience 2
  • 3. How did we do it? • Planned objectives & approach • Product selection • Purchased Rypple® • Configured • Let it loose (cowboy style) • Observed & recorded • Analysed & reported 3
  • 4. Areas we covered off Observed and analysed 8 key areas 4 3 6 2 1 7 5 8 4
  • 5. Preface 2012 has been a significant year for the HR Technology landscape. It will be recognised as the year in which cloud HR vendors seriously began offering organisations alternatives to their on-premises software: easier, quicker and cheaper solutions around talent and core HR transaction management. Major ERP players, SAP® and Oracle®, moved decisively to buy out established players in response to the growing appreciation and positioning of Workday®, an HR solution built by the previous owner of PeopleSoft®, Dave Duffield. Duffield was clearly and effectively challenging the ERP players in their own backyard and winning over often frustrated clients. Cloud HR vendors continue to offer pricing models that are enticing in a time that capital outlay is being curtailed. The end result? A significant shift in thinking: cloud-based HR solutions are inevitable! While there is an abundance of skill around the approach and implementation of ERP on-premises HR solutions, the same cannot be said for cloud-based products. The approach, choices, decisions, technical requirements and timing are different and for many organisations this is an area of concern and risk. Coupled with this risk, social media tools and principles of gamification are adding layers of complexity to the cloud- based solutions. It‟s not as easy as deciding not to use these new layers, especially when the tool is fundamentally constructed around these new elements. Presence of IT - Human Capital Services division (HCS) recognised these risks and complexities and decided to run a social experiment with a cloud-based HR solution so we can advise clients on implementing their own cloud HR products. We selected the Salesforce.com product called Rypple® (now part of Work.com) primarily because it had all the components we needed, was easy to purchase and would not be construed as a sales pitch for our other products. Rypple however, was not the focus. We wanted to understand and learn from the behaviours of people who were included in the experiment. It was a real eye-opener and we have now transferred our learnings to our consulting staff. This paper is a summary of our learning and observations. We hope you enjoy the read. Dave Brookes Rob Scott Managing Director Practice Lead: Human Capital Services Presence of IT - Global Presence of IT - Global 5
  • 7. 8 Chapters 1 Ready..steady..go! Social is(n’t) the 2 driver It’s a game, but not 3 as you know it Who moved my 4 objective? You’re a 5 (disa)STAR! Anytime & 6 anywhere Keeping it all 7 together That’s who we 8 are…it’s our DNA 7
  • 8. Document layout Key learnings General write-up Critical observation Critical questions 8
  • 9. Critical observations Key learnings Questions to ask 9
  • 10. 1 Ready..steady..go! 2 The speed at which we configured the Key system created a false expectation 3 Observation that users would be as excited as the config team 4 There are things that you can‟t change in cloud solutions - test users‟ reaction Key Learning more aggressively and formulate 5 responses 6 Critical Question How do the various software components affect one another ? 7 8 Read all the observations, learnings and questions in our free booklet 10
  • 11. 1 Social is(n’t) the 2 driver Users who are natural content Key generators emerge quickly and initiate 3 Observation many discussions and activities - these key users are critical 4 Don‟t create „communication channel Key Learning confusion‟ - users need to be clear on the role of each communication tool 5 Is the organisation leadership prepared 6 Critical Question to change their style to support social media? 7 8 Read all the observations, learnings and questions in our free booklet 11
  • 12. 1 2 Users are attracted to the names of It’s a game, but not Key 3 as you know it Observation badges more than the underlying intention of the badge 4 Stratify your user groups by age, hierarchical level and relationship to Key Learning users - there will be distinct differences 5 you need to deal with 6 Critical Question Which processes are impacted by recognition and badging? 7 8 Read all the observations, learnings and questions in our free booklet 12
  • 13. 1 2 Individual users can become Key despondent when team members 3 Observation don‟t accept requests to support their objectives Who moved my 4 objective? Social objectives and goals require Key Learning changes to management philosophy and role definitions at all levels 5 6 Critical Question Will you allow staff to choose what objectives they want to be part of? 7 8 Read all the observations, learnings and questions in our free booklet 13
  • 14. 1 2 Key Offering anonymous feedback to a 3 Observation user creates a level of anxiety and suspicion 4 Don‟t undermine system information put forward by a user in defence of an Key Learning issue(e.g. badges received) - this You’re a 5 (disa)STAR! undermines the tool If performance management is 6 Critical Question currently not working, why will this be different? 7 8 Read all the observations, learnings and questions in our free booklet 14
  • 15. 1 2 Key Users want to perform the same 3 Observation functions on a mobile device as they can on a PC browser version 4 Don‟t assume all mobile applications Key Learning are intuitive - you may need to offer training on the „not-so-obvious‟ features 5 Anytime & 6 anywhere Critical Question Are there risks and safety issues that mobile usage create? 7 8 Read all the observations, learnings and questions in our free booklet 15
  • 16. 1 2 The administrator role is fairly Key straightforward in terms of typical 3 Observation tasks, and could be spread between a number of individuals 4 Administrators are different from Key Learning moderators who need to be generally respected senior people 5 6 Critical Question What processes need to change to suit the HR tool administration? Keeping it all 7 together 8 Read all the observations, learnings and questions in our free booklet 16
  • 17. 1 2 You can‟t force users to participate in Key all components of the tool, but this 3 Observation does create issues around standardisation and efficiency 4 Ensure your users and managers understand that participating on the Key Learning social media layer is not an extension 5 of their line authority 6 Critical Question Will I compromise the effectiveness of the tool without change? 7 That’s who we 8 are…it’s our DNA Read all the observations, learnings and questions in our free booklet 17
  • 18. Go to: www.presenceofit.com.au/news-events/things-you-should-know-about-cloud-hr-solutions 18