What To Look For When Selecting A Human Capital Management Solution

 OK, so this may sound obvious . . . but employees are what make or break a company of any size or stature.

Organizations are clearly beginning to better understand the link between engaged employees and profitability.  These operations also understand they must capture the hearts and minds of their employees -- early and often -- because the window of opportunity to effectively engage an employee for the long-term is small.

In short, attracting, motivating and retaining employees will determine the ongoing success of an organization.

But with this, there are a host of challenges when it comes to attracting and retaining the best workforce, while continuously motivating them to perform to their fullest potential.  This is often, if fact, not so obvious to management, which can be focused on the bottom line only, often with little regard for giving thought to what it takes to bring out the best in its employees (in order to boost that bottom line).

And unfortunately, most Human Resources Departments are weighed down by inconsequential paperwork and reports -- none of which serve to engage and inspire the employees.

Enter Human Capital Management.

Human Capital Management (HCM) is a comprehensive approach to engaging and inspiring employees because it includes not only human resource (HR) practices, but other work practices, as well, along with other people management strategies that increase organizational performance.

The important distinction between Human Resource Management and Human Capital Management is that human capital extends well beyond the HR function to encompass the total people strategy of the organization.  Human capital is owned by all of the business leaders and resides with everyone in the organization.  The advantage of this is that businesses are starting to understand what HR professionals have known for years -- that human resource programs and activities contribute to the bottom line.

These HCM solutions do so much more than just eliminate cumbersome administrative pencil pushing.  They also reduce costs dramatically, while helping a company to become more employee-centric (rather than top-heavy management-centric). 

The Gartner Group, a leading information technology research and advisory company, predicts that organizations that fail to invest in their human capital and the next generation work place environment will face erosion of products and services, as well as diminished capacity to compete globally as a result of growing employee malaise.

The end result?  Boosting employee satisfaction and morale, reducing turnover, and building a stronger, more motivated, more engaged and inspired, and more loyal workforce.

Factors That Affect Your Human Capital Management Needs

At a time when so many in this industry are continuing to look and sound alike, companies truly need to take a different approach.

Let’s face it- when it comes down to it, it's all about providing organizations and employees with what they want in order to become more successful.

Some factors to consider when changing an organization's human capital needs:

• Demographic trends (aging human capital, shrinking talent, distracted and worried work force).
• Unpredictable change of market; economic and political events.
• Program strategies that affect staffing (expanding, merging, acquisitions, etc.).
• Divisional Initiatives, quality improvement initiatives.
• Cyclical workload factors.
• Evaluation of jobs from defined duties and roles (specialists to generalists).
• Growth of team-based organizations.
• Better, faster, and cheaper delivery of services.
• Shift patterns and demands.
• Optimizing return on investment. 

Thus, with an organization's shifting needs, your Human Capital Management approach must be highly-flexible and scalable in order to offer unique opportunities to bring about change, success, & innovation.  Below are some key features needed to positively impact your Human Capital Management:

Common Human Capital Management Features

Human Capital Management solutions provide full automation and support for a variety of core human resources processes and activities:

• Planning & Modeling -- To help businesses lay out the most efficient and effective organizational charts and chain-of-command structures, and more clearly define roles and responsibilities across an enterprise.
• Recruiting & Staffing -- To improve the way open positions are created, described, and managed, and provide businesses with the tools they need to find and attract the best possible candidates.
• On-Boarding -- To facilitate and accelerate the procedures and tasks associated with setting up and acclimating new employees.
• Performance Management -- To formalize and streamline review and appraisal processes, and keep track of employee performance records.
• Benefits & Compensation Administration -- To manage salaries, bonuses, health insurance, and other forms of compensation, while ensuring that payment packages are competitive and fair, and that incentive plans are compelling enough to keep staff members motivated.
• Time & Attendance -- To help track employee hours worked (both standard and overtime), and monitor the utilization and availability of vacation, sick, and personal days.
• Training & Education -- To ensure that all employees are equipped with the knowledge they need to perform their jobs as productively as possible, and provide them with opportunities for professional growth and skills expansion.

Having laid this all out, now it's time to choose the best Human Capital Management solution for your company.  Considering the following key aspects when evaluating your options is vital:

Customization

Every business runs its Human Resources operation differently.  Thus, a custom-tailored approach to your specific needs is paramount.  Start here, as this evaluation will provide the backbone to the remainder of your evaluation process, and ultimately your selection.

Analytics

Human Capital Management is not just about automating administrative procedures.

It’s more about understanding those trends and patterns that impact a workforce, and using that insight to develop the most successful employee acquisition and retention strategies possible.

Look for a solution that incorporates in-depth analytical capabilities, where critical metrics such as turnover rates and average length of service can be tracked, strengths and weaknesses in the employee base can be identified and corrected, and return on recruitment and retention dollars can be accurately assessed.

Integration with Third-Party Payroll Systems

If your company outsources payroll functions to a third-party provider, your HCM solution must provide a seamless sharing of data with this payroll system.  Anything otherwise would be disastrous, and do considerable damage to employee morale if problems arise with paycheck inaccuracies, delays, etc.

In Conclusion

Today, executives and human resource professionals are most concerned about their ability to find, develop, and reward key talent in order to maintain and improve its competitive position.  The economic turmoil of the last 18 months has put a significant strain on employees, and organizations are realizing that they must put systems and processes in place to make sure the right people are in the right job -- and at the right time to support the company's objectives

A highly-flexible and scalable HCM platform offers unique opportunities to bring about change, success and innovation to any organization, by selecting, motivating, training and retaining the best workforce.

Addressing these key considerations when beginning your search for the ideal Human Capital Management solution for your company will ensure the process is accurate and effective.

Do this, and you'll be on your way to more motivated employees, which will show in the growth and sustainability of your company.

To learn more Human Capital Managem visit 
http://www.corecentive.com/info/Human-Capital

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