November 3, 2022
What do ADP, Paylocity, Paycom and Zenefits have in common?
These tactical HR softwares (HRIS) are being leveraged by companies to track employee data and benefits.
HRIS software manages the tactical side of human resources – payroll, employee benefits programs and compliance – all of which are typically required responsibilities of running a business.
These software solutions, and many others like them, led to the technology disruption in the tactical HR space in the early 2000s.
Most companies with more than 20 employees now use software to execute their tactical HR responsibilities.
If you’re in human resources or a small- to medium-sized business (SMB) leader, these companies are likely familiar.
You might even use one, however, may lack a complete set of tools for all the strategic HR activities, and mastering Strategic HR is how companies are winning the battle for talent.
So what are you doing for your strategic HR?
Strategic HR includes all the activities associated with building and retaining high-performance leaders and teams.
These include creating talent plans for each team/department, individual development plans, retention plans and succession plans.
There are significant differences between tactical vs. strategic human resources.
Tactical HR is necessary to run a business, but strategic HR is how your business wins.
Since the technology disruption in the tactical HR space happened 15-plus years ago and is now happening in the strategic HR space, it creates a potential conundrum for leaders.
How do leaders ensure we win the battle for talent?
Asking these few questions of yourself could help.
Can we win using the limited strategic HR capabilities offered by our HRIS system?Can our organization win through a cobbled-together strategic HR solution? (Google docs, SharePoint, Word and Excel files)Or, to ensure we win the battle for talent, do we need to research and move toward a strategic HR software?
Anytime an industry goes through technology disruption, it can create challenges and opportunities.
One of the opportunities is to further separate your company from your competitors by winning the battle for talent.
Companies do this by defining their technology strategy for their tactical and strategic human resource needs.
Plans and strategies
What do you want your HR/talent technology and strategy to look like three years from now, and what are the action plans/strategies to get us there?
As the technology disruption unfolds, you may see more HRIS systems add strategic HR capabilities and more strategic HR software introduced.
This shift may force leaders to reevaluate their technology stack consistently to ensure they excel at their strategic HR responsibilities.
It is not a question of if, but when it will start holding your organization back.
Maybe it already has.
Technology impacts our professional and personal life every day, however, if there was ever a technology disruption you want to get ahead of – this is it.
Steve Van Remortel is the founder/CEO of MyTalentPlanner, chief strategist and talent advisor at Stop the Vanilla, LLC and is a speaker, trainer, advisor and three-time author.