HR Services

HUMAN RESOURCE SERVICES

Karan Saini2nd June 2015

HR Services along an ELC

ExitPayroll and Compliance

Training and Development

RecruitmentHR Strategy

Talent Management Systems HR Consultancy

Recruitment Process Outsourcing

Applicant Tracking Systems

Learning Management System Performance Management

Human Resource Management/Information System

Payroll Outsourcing PEO

Data Analytics

Additional Module










Data Analytics

Additional Module

Talent Management Systems

Integrated strategies or systems designed to improve processes for recruiting, developing and retaining skilled people to meet organisational needs.

Different from HRMS/ERP as this is strategic and for long-term enterprise goals with respect to human capital.

Combined with ATS and includes modules for Performance Mgmt, LMS, Succession Planning, etc.

Market size estimated to be over $5 billion and grew by 17% in 20141.

Talent Management Systems

Big Players: SAP, Oracle, IBM and Workday New Innovators: Saba, PeopleFluent and

Halogen Vendors with focus on single segment (big

companies or medium enterprises) more successful

Emerging Trends: Social Recruiting, Analytics, Real-time Engagement and Feedback & Social Recognition

Achievers & Globalpeice introduced these tools and both are now growing at 40%

HR Consultancy

Primary functions for which HR Consultants are employed are Human Capital Management, Health and benefits, M&A, Retirement and Employee Communication.

It is globally a $18.4 billion market with more than 950 consultancy firms globally

Key Players: AON Hewitt, Deloitte, PwC, Mercer and Hay Group

In India, ABC Consultants is one of the oldest firm with an experience of 45 years in the domain.









Data Analytics

Additional Module


Applicant Tracking System (ATS)

Also known as Talent Acquisition Management Product(TAMP) and primarily involves filtering applications, management of resumes and applicant information.

Data either collected from front-end system at website or through job board partnerships.

All recruitment agencies and most major corporations have an individual ATS while on the enterprise level it is a part of the HRIS.

Predicted CAGR of 11.37% through 2013-20183

Applicant Tracking System (ATP)

Recent Enhancements: Use of AI, Natural Language Processing to interpret applications

Key Players: Oracle, SAP, ADP, LogicMelon, PageUp

Emerging Trends: Analytics and context based systems

coming up. Spire, a Bangalore based company,

introduced TalentSHIP based on data analytics

Cloud-based Services Mobile Recruitment Tools


The RPO provider assumes control over the design and management of the recruitment process and responsibility over results.

Types of RPOs- Enterprise, Project and Point-of-service.

In most cases it is an Annuity but can have a Cost-per-hire model as well.

According to annual contract volume it is a $1.5 billion market which grew at 16% in 20134

Growing at a rate around 30% in India.


Key Players: ManPower, Cielo, AMS, Allegis (Global) Elixit, MaFoi, PeopleStrong (India)

ABC Consultants started a joint venture with Alexander Mann which now has Vodafone as a client

Kelly launched its RPO offerings in India recently Emerging Trends –

Recruitment companies offering RPOs so as to counter cannibalising effect of RPO on traditional forms

Cosourcing being done by companies where in more than one RPO provider is employed for end-to-end purposes









Data Analytics

Additional Module


Learning Management System (LMS)

Delivers and manages instructional content, identifies and accesses learning & development goals, tracks progress and presents data for supervision.

Many LMS vendors provide modules for Performance Management as well.

Course Management Systems (CMS) are a subpart focused on the training and learning courses and their supervision.

LCMS also includes development of content

Learning Management System(LMS)

Key Players: Moodle, Litmus, Grovo, Blackboard, Cornerstone on Demand(fastest growing)

Challenges: Integration with other systems Lack of customisation Low user adoption

Emerging Trends: Integration with MOOC Providers (Coursera,

EdX, etc) On-demand learning and course creation

Competence based Performance Mgmt.

A form of Performance Management with a focus on obtaining and developing the competencies required to be successful at the organisation.

These include Feedback and Rating frameworks such as 360 Feedback and Upward Feedback

Key Players: Saba, Cornerstone on Demand, Comaea

It has a niche market and is expected to remain small and specialised in the near future.

Talent Analytics

Big data can now be statistically understood to answer critical questions like whom to hire, how to manage people, what drives performance, etc.

Organisations are shifting from simple reporting of data to making informed decision and ultimately to predicting employee performance.

WorkDay introduced the use of big data in the HR Domain and now is the hottest trend in the market.

Major advances in the Talent Analytics market are shared both by established players and innovative startups

Talent Analytics

SuccessFactors advances its Work Force Analysis, a market leader, which includes predictive tools and mobile reporting.

Oracle offers business intelligence system OBIE and other analytic tools which are widely used.

In India, CEB recently acquired Talent Neuron for $20 million in Feb 2014

AbsolutData, a Gurgaon talent analytic firm, was recently funded $20 million by Fidelity Investors.

Spire, mentioned earlier, is another innovative entrant.










Data Analytics

Additional Module

Payroll and Compliance Outsourcing

Functions include Time & Labour Management, Payroll processing, TDS calculation and filing and other tax compliance.

Market is divided into Mid-Market(50%), National(40%) and Multi-National Organisations(10%).

Multi-National market is seeing the largest growth due to the need of all encompassing cost efficient systems

Currently a $13.4 Billion market and is expected to see a 3.91% CAGR during 2013-20184

Payroll and Compliance Outsourcing

Key Players: ADP, Ceridien, Genpact, Northgate Success Factors: Strength of technology and

Multi-country capacity Cost Reduction is the primary challenge as well

as the growth driver in the market Emerging Trend- Employee Self-service In India, ADP recently acquired MaFoi

Randstand’s payroll bussiness and continues to acquire and expand.

Leading sectors are Manufacturing, fin. Services and retail

Professional Employee Organisations

PEOs take Payroll outsourcing one step forward to employee management tasks, such as employee benefits, employee compensation, risk/safety management, and training.

The PEO does this by hiring a client company's employees, thus becoming their employer of record for tax purposes and insurance purposes, a practice known as joint employment or co-employment.

It is estimated to have a $2 billion market size and is concentrated in North America and Europe to bypass the stringent social security laws.









Data Analytics

Additional Module


Exit Management

Exit Management usually includes an Exit Management Strategy which includes Legal obligations and an Exit Interview.

These services are usually provided as an additional module in the basic Human Resource Management Systems or the Enterprise Resource Planning (ERP) System.

Emerging Trend: Outsourcing exit interviews to a third party so that they are more open and productive.

References

1. Forbes HR Industry Research Report2. Everest Group Research Paper on the

RPO Industry, 20133. NelsonHall HR Industry Report4. Bersin by Delloite HR Reseach Paper

Documents

HR Services