“Why Points solutions in HR fail in long term, and how they can succeed?”
For HR Point solution companies who are interested in complementing each other
|2||Experience left with the Company using multiple point solutions on the cloud|
|3||Signs of Your Point Solutions Not Working Anymore|
|4||Integration is the Key to success|
|5||Complement instead of Competing|
|7||Wake up managed it, before it becomes a Disaster|
Why Points solutions in HR fail in long term, and how they can succeed?
Problem statement: Software, technology, and digital HR solutions are often marketed as outsized solutions compared to what is truly delivered
Experience left with the Company using multiple point solutions on the cloud:
- Exchanging one problem for a new one
- Addressing only a top layer of the problem
- Making the original problem worse
- Requiring additional time and/or budget and/or resources
- Having no impact at all
Signs of Your Point Solutions Not Working Anymore:
- Point solutions that work in the cloud are good at doing one thing. They fill one need. So as companies grow, they encounter problems along the way. In order not to derail that growth, they go out and find a solution do a quick fix.
- Is the API integrating/ connectors withstand all updates or you get pushed out?
- Does all the data residing in one system make it over to the other system?
- Do all your customer records make it from your cloud
- As you grow, the amalgamations of point solutions is the only option for all of you have a break through
- More you are rigid for integration with other point you begin to add less and less value to your end customer.
- You need a connected set of solutions to bring the trust back and get some sleep at night.
Integration is the Key to success:
With point solutions, data is only able to interface across each system. With construction intergraded platform like RiceHR, data is integrated, and is accessible across multiple areas of the business. More importantly, an integrated solution ensures that data only needs to be entered once.
Common data needs to be shared between these Point Solutions, implying complexity, potential inconsistency and risk.
Point Solutions are typically designed to solve one specific business problem. Due to this specialization and focus, Point Solutions are champions in their particular area of functionality. Examples of Point Solutions are Recruitment process, HR helpdesk software, Asset management and tracking software, Compensation management software, Payroll software, HR Analytics etc. The strength of a Point Solution is also its weakness: the software only solves one business problem. To solve multiple problems, multiple Point Solutions must be selected and implemented with a fully functional integration platform which is next to impossible for client who wants to have immediate solution for his problems.
Complement instead of Competing:
- Define, and quantify where possible, what is being solved.
- Also define the end state, quantified where possible.
- Conduct a rigorous issue assessment to understand the full scope of the issue. Remember, point solutions fail to factor associated issues. Approach this step as an investment. As an example, a client’s customers defected during Recruitment process and did not worry about on-boarding. Customer/Applicants who are joining have a bad experience and the fixing process over-burdened HR Teams. They buy another point solution product and the integration becomes an new challenge,, but the greater problem began in the Payroll and Employee self services processes. Both had to be addressed before new prospect is seen and find way to complement and retain existing clients effectively.
- Define the end state, quantifying where possible.
- Define the gaps. These are the areas that need to be addressed.
- Set out the solutions to fill these gaps. Quantify and apply the metrics from steps 1, 2, and 4 as contrasts. And work as a single team with full synergy and reap the benefits of complementing
Why synergizing is so important:
- Total Cost of Ownership:
- The starting price of point solutions is usually lower than that of a platform. But they typically have add-on licenses and growth tiers built in that are not clear at the outset. End up in losing business by both the players and 3rd one will get it…
- Integrated Platform solutions, in turn, have pricing that is more predictable, fixed, and also share the economies of scale benefits with their customers.
- Taking into account the narrow value provided, and the support and maintenance costs of managing multiple point solutions, Integrated platforms turn out to be significantly less expensive in terms of the total cost of ownership.
- Sustainable option needs to be found by the owners
- Flexibility and Usability:
- Vendors offering platform solutions typically cater to customers across a diverse set of industry segments with varied technical and application requirements.
- Integrated platform solutions thus developed are flexible, with a focus on usability, unlike point solutions that focus on solving a single problem, and usability is either compromised or restricted to the narrow scope of the problem.
- Support and Training:
- When you use multiple point solutions, training your teams to use them all becomes incrementally complex.
- They may each have different authentication steps and setup, configuration, and troubleshooting mechanisms, requiring dedicated hours of training across different systems.
- In the Integrated platform solutions approach it is fully thought through by all the point solution companies with a focus on usability and easy adoption by the end users.
Also when there is a critical issue, you want one place to go to get it resolved. With multiple solutions, you are left to coordinate across disparate support teams, possibly across different time zones and regions, to even discover and agree on the problem, much less resolve it! With a integrated platform, there is one vendor responsible for all aspects of support for the entire integrated solution. This provides a opportunity for full exploitation of all the entrepreneurs in the field of business.
Wake up manage it, before it becomes a Disaster:
- As an end your most of our clients, are grappled with the dilemma of choosing between a deep technical “point” solution targeting a specific problem, or a broader “integrated” platform that targets a wider scope but maybe with less depth into a particular problem area.
- The world of web applications serving end users on the Internet – be it in HR automation, Payroll, HR Analytics, AI’s, Bots or something else.
- To be successful in attracting Internet audiences and generating revenue, a Point solution owner we must ensure a great user experience. Three key components of that user experience are Quick integrated response, availability as one integrated solution and robust security. To achieve these, the integrated point solution owner needs to adopt a bundled integrated portfolio of performance, security, and availability solutions to the end customer.
Join Hands with the most reliable HRMS and Payroll Platform in this space.
RiceHR – “Creates work-life balance for every user”