pre-read hr cloudwatch q2 2012
DESCRIPTION
Pre-read HR cloudwatch Q2 2012TRANSCRIPT
Transform to the power of digital
Cloud Watch on HCM applications
Summary version July 2012
Contents
Introduction
A sneak peek at the Market
HCM application footprint
Contact details
2
Copyright © 2012 Capgemini Consulting. All rights reserved.
Introduction
Objectives and approach
HR Cloudwatch provides a single source of information on leading HCM SaaS solution providers across the globe
It identifies leading players across SaaS HCM functionalities
The study is build on publicly available secondary information sources:
— Company websites
— Text line searches
— Industry reports
— Analyst reports
Full version
This is the summary version of the HR Cloudwatch. On a quarterly basis the full version gives you insight in partnerships, client base, news clippings, pricing models and solution portfolio of each vendor.
Please feel free to get in touch with one of the sponsors (see
contact details on the last slide) for more information.
Context
SaaS is a growing phenomenon in the market and has made a successful penetration into mainstream Enterprise IT. Coupled with the buy side objective of reducing the cost of ownership, the SaaS revolution is bound for exclusive growth across all forms of a business .
In the market there are many SaaS solution providers, however their very existence is questionable as traditional on premise solution vendors are acquiring these SaaS providers to provide themselves with additional revenue channels
Globally Capgemini Consulting helps many of its clients on the use of Software as a service solutions, and this document intends to provide a single source of truth about HCM SaaS currently available in the market
3
Version Status
Q2, 2012
Authors
CC India, Research
services
Sponsor Tim van der Wal, CC NL;
Ronald van den Berg, CC NL
Study Format
Power point
Delivered in
Q3, 2012
Contents
Introduction
A sneak peek at the Market
HCM application footprint
Contact details
4
Copyright © 2012 Capgemini Consulting. All rights reserved.
A sneak peek at SaaS industry
5
InVision, launched Cloud-based Workforce Management solutions >> Read More
Cezanne introduced latest version of its ‘pay as you go’ online HR software system, Cezanne OnDemand
>> Read More
Kenexa released upgraded Hot Lava Mobile 3.0 for mobile learning and also unveils next generation performance management suite >> Read More
SilkRoad added Point to its product portfolio Point - a new social enterprise solution
>> Read More
Expertus announced partnership with Workday >> Read More Kronos, strengthened EMEA presence with acquisition of SMART Computer Holdings >> Read More
Cornerstone OnDemand, partnered with Visier Inc, to provide cloud-based workforce analytics and completed acquisition of Sonar >> Read More ADP completed acquisition of the Human Resource Solutions Subsidiary of SHPS, Inc. >> Read More
July, Q3, 2012
Partnerships, alliances and M&As
Vendor corner
Copyright © 2012 Capgemini Consulting. All rights reserved.
Oracle inaugurated Oracle OpenWorld 2011, Conference >> Read More Workplace Systems conducts a seminar on WorkPlace Systems’ rapid implementation methodology >> Read More
Kenexa’s 2012 World Conference to include events in Europe and Asia >> Read More SilkRoad technology, announced 3rd SilkRoad Connections User Conference >> Read More
Peoplefluent , recognized as market leader in recruitment and compensation management software by IDC’s MarketScape report, 2012 >> Read More
SuccessFactors, named as overall ‘hot vendor’ in Ventana Research 2012
>> Read More
Ceridian Dayforce named as Leader in Workforce Management by Nucleus Research >> Read More
Saba positioned as a Major Player in IDC's Integrated Talent Management MarketScape report, 2012
>> Read More
A sneak peek at SaaS industry
6
July, Q3, 2012
Events and awards
Analyst speak
Contents
Introduction
A sneak peek at the Market
HCM application footprint
Contact details
7
Copyright © 2012 Capgemini Consulting. All rights reserved.
Workforce management
HRMS SaaS can be categorized into core HRMS, compensation & benefits, talent, learning, recruitment and workforce management
HRMS SaaS Solution blueprint
8
HRMS Solution
Source: HRM Solutions: Traditional models clash with next generation processes and technology, Forrester Research, 2010; CC India Analysis;
HRMS Solutions (Cloud & Mobile)
Learning management
Recruiting management
Compensation & benefits
Talent management
Core HRMS
Payroll Employee
records Salary
administration Compliance
Jobs & Positions Shared & self
service
HR Analytics
Time &
Attendance
Absence
management
Workforce
scheduling
Performance
Succession
planning
Career planning
Goals
Organisation
charting
Competency
management
Course
management
Virtual
classroom
Mentoring Learning content
management Applicant
tracking
Sourcing
On-boarding
Social recruiting/
networking Strategic Workforce
planning
Pay-for-
performance
Stock based and
deferred
compensation
Incentive
compensation
Market
comparisons
Benefits
administration
Enrollment &
communication
Copyright © 2012 Capgemini Consulting. All rights reserved.
Learning management has made the transition from on-premise solutions to SaaS and leading vendors indicate new deals coming in are heavily weighted to SaaS
Learning management
9
Learning management
“The SaaS model currently accounts for 45% of product revenues in Learning Management”
Source: HRM Solutions: Traditional models clash with next generation processes and technology, Forrester Research, 2010; The Forrester Wave: Talent Management: Learning, 2011;
Vendor Landscape
Learning
management
Point application
Suite of application
HRMS Solutions
Workforce management
Learning management
Recruiting management
Compensation & benefits
Talent management
Core HRMS
Description Vendor Example
New Players in Learning management
Talent management point solution vendors look at the learning market
SuccessFactors is moving toward an informal learning offering through its recent acquisition of Jambok
Lumesse developed a learning platform via its acquisition of ExecuTRACK
Learning point solution vendors have
built or acquired performance capabilities
As learning has become more central to employee development, vendors have responded by expanding their solutions' existing functionality and adding performance management to it
Cornerstone OnDemand, Plateau, and Saba built performance solutions and now have robust integrated offerings
SumTotal added performance through acquisition of Softscape
Tren
ds
Course
management Virtual classroom Mentoring
Learning content
management
Copyright © 2012 Capgemini Consulting. All rights reserved.
Recruiting management solutions have a fair bit of SaaS based solution providers prevalent in the market
Recruiting Management
10
Source: HRM Solutions: Traditional models clash with next generation processes and technology, Forrester Research, 2010; Recruitment Aligns with Talent Management, Forrester Research, 2011;
Recruiting
management
“Forrester estimates that 83% of the recruitment solutions market is deployed via SaaS”
HRMS Solutions
Workforce management
Learning management
Recruiting management
Compensation & benefits
Talent management
Core HRMS
Description Vendor Example
Market consolidation
Acquisitions in the applicant tracking system (ATS) area mean fewer vendors and offers to the needs of both enterprise and SMB customers
Kenexa acquired BrassRing, Cerdian acquired RSI, Sumtotal acquired Softscape and Cybershift
Growth of installed bases of the existing
players
Many vendors have made acquisitions for intellectual property, advanced technology, and increase of customer base
Oracle acquired Taleo to provide a richer recruiting application
Tren
ds
Vendor Landscape
Recruitment
management
Point application
Suite of application
Applicant
tracking Sourcing On-boarding
Social recruiting/
networking
Strategic Workforce
planning
Copyright © 2012 Capgemini Consulting. All rights reserved.
Compensation & benefits tools become a component of broader talent management suites and there have been significant mergers & acquisitions in the market
Compensation and benefits
11
Compensation and benefits
“SaaS Penetration in the compensation and benefits function has gained momentum and has penetration rate of 52% in the market ”
Source: HRM Solutions: Traditional models clash with next generation processes and technology, Forrester Research, 2010; Hype Cycle for Human Capital Management Software, Gartner-2011; The Four Pillars Of Talent Management, Forrester Research, 2010;
Vendor Landscape
Compensation and
benefits
Point application
Suite of application
HRMS Solutions
Workforce management
Learning management
Recruiting management
Compensation & benefits
Talent management
Core HRMS
Description Vendor Example
Compensation vendors leverage pay-for-
performance
Compensation specialists leverage the link between rewards and performance
The link between performance and compensation is at least as strong as the link between performance and learning
Workscape added performance to its compensation & benefits capabilities & positioned as an integrated player
Salary.com added performance-based talent management solutions via internal development
Mergers & Acquisitions
There have been significant mergers and acquisitions in the compensation market during the past few years
Examples include Kenexa acquiring Salary.com and ADP's acquisition of Workscape
Tren
ds
pay-for-
performance
Stock based & deferred
compensation
Incentive
compensation
Market
comparisons
Benefits
administration
Enrollment &
communication
Copyright © 2012 Capgemini Consulting. All rights reserved.
Demand for mobile based WFM, retailers and public sector industries relying on WFM solutions to improve productivity are some of the trends in workforce management space
Workforce management
12
Source: HRM Solutions: Traditional models clash with next generation processes and technology, Forrester Research, 2010; Workforce management software, SearchCRM.com product directory, 2009 ; News articles from Factiva;
Vendor Landscape
Workforce
management
Point application
Suite of application
HRMS Solutions
Workforce management
Learning management
Recruiting management
Compensation & benefits
Talent management
Core HRMS
Time &
Attendance Absence
management
Workforce
scheduling
Workforce management
“SaaS adoption has slowly started to evolve, as the leading vendors offer both on-premise and on-demand”
Tren
ds
Description Vendor Example
Strong demand for Mobile WFM
There is an upsurge in adoption of mobile based workforce management solution
Licensed to more than 250,000 employees across a wide variety of industries
Demand for WFM solutions in retail
Growing demand for WFM in retail industry, it is estimated to have a CAGR of 3% till 2015
Reflexis claims that it has signed 30 new clients in retail over past 1 year
Increasing instances of public sector usage WFM
Counties and other departments are extensively relying on WFM solution to streamline utilisation
Boulder county implements Kronos WFM to control labor costs, minimize compliance risk, and improve productivity
Copyright © 2012 Capgemini Consulting. All rights reserved.
Only new generation software vendors throng the SaaS based core HRMS market and are slowly seeing acceptance in the market
Core HRMS
13
Source: HRM Solutions: Traditional models clash with next generation processes and technology, Forrester Research, 2010; The Forrester Wave: HRMS , Q1 2012, Forrester Research; IT Market Clock for HCM Software, 2011, Gartner Research, 2011;
HRMS Solutions
Workforce management
Learning management
Recruiting management
Compensation & benefits
Talent management
Core HRMS
Vendor Landscape
Core HRMS
Point application
Suite of application
Core HRMS “Mainstream adoption of SaaS based core HRMS has a long
way to go with about 18% revenue contribution”
Description Vendor Example
HRMS Footprints Gain In-Depth Talent,
Analytics, And Global Capabilities
Although the overall breadth of HRMS application suites has not evolved significantly over the past several years, their depth of functionality has improved in several areas
They are improving their depth through acquisitions
Oracle SAP
Outsourcing vendors and ERP vendors are introducing mobile
HR apps
Outsourcing and ERP vendors are introducing mobile HR capabilities to their clients
Introduces new benefits and flexible spending account functionality to its ADP mobile solutions application
Tren
ds
Payroll Employee
records
Salary
administration Compliance
Jobs & Positions Shared & self
service HR Analytics
Copyright © 2012 Capgemini Consulting. All rights reserved.
Integration challenges with Core HRMS, growing importance of social talent management are the key trends in Talent management
Talent Management
14
Talent management
“58% of total revenue from talent management is through SaaS solutions”
HRMS Solutions
Workforce management
Learning management
Recruiting management
Compensation & benefits
Talent management
Core HRMS
Performance Succession
planning
Career planning
Goals Organisation
charting
Competency
management
Description Vendor Example
Growing importance of social talent
management
Organisations that want to be at the forefront must move their HR practices into social media age now
An organisation's social HR strategy reflects its culture, it can enhance productivity within an organisaiton and also collaboration and connectivity
Provides a new breed of HRIS software which is social open and measurable
Integrating challenges with Core
HRMS
More than 35% of organizations are not integrating their talent management applications with their core HRMS applications, according to our customer reference surveys
Lack of usage of an integrated talent management suite is the main reason for integration challenges
NA
Tren
ds
Vendor Landscape
Talent
management
Point application
Suite of application
Source: HRM Solutions: Traditional models clash with next generation processes and technology, Forrester Research, 2010; Recruitment Aligns With Talent Management, Forrester Research, 2011 ; The Talent Management Suite Market Emerges , Gartner Research, 2011;
Contents
Introduction
A sneak peek at the Market
HCM application footprint
Contact details
15
Want to know more?
16
Please get in touch with:
Ronald van den Berg
Competence Cluster Leader Digital HR
Principal Consultant People & Perfomance
Mob : +31 (0)6 - 15030294
Secretary : +31 (0)30-6898844
Mail to : [email protected]
Tim van der Wal
Business Development and Sales
Managing Consultant People & Performance
Mob: +31 6 1503 0286
Secretary : +31 (0)30-6898844
Mail to : [email protected]