Tag Archives: hr software trends

HR technology trending in a Web 2.0 direction

More companies are incorporating Web 2.0 technologies such as social networking tools, blogs and webcasts for internal communications and as part of their overall technology mix, according to Watson Wyatt’s 2009 HR Technology Trends Survey.

Some key findings:

  • Since the economic downturn began, 72% of employers have increased their use of an intranet and 61% have increased their use of email to communicate with employees.
  • Newer technologies have made a strong entrance, finding that 32% of companies increased their use of webcasts, 13% have increased their use of social netowrking tools and 12% have increased their use of blogs for communication.
  • Many organizations continue to use manual processes for talent management, including succession planning (53%), career development (48%) and workforce planning (55%).
  • More than half (56%) of organizations are planning to increase their use of talent management technology over the next two years.
  • Companies are most rapidly adopting role-based employee portals (personalized to the user). Survey results show 41% of companies have already deployed or are piloting role-based employee portals and 24% are planning to adopt them in the next 24 months.

“Web 2.0 technologies work well, in most instances, for targeting specific employee and manager groups, and companies are using them in appropriate situations,” said Jon Osborne, senior technology consultant at Watson Wyatt.

“Using tools such as role-based portals, internal blogs and webcasts ensures that both managers and employees can send and receive tailored messages in an engaging format. This is useful for improving productivity and maintaining employee morale and engagement, particularly in this difficult economic time.”

Study: HR Technology spending holds steady

Though other markets may be suffering this year, recent surveys show that the HR technology market is steady and will remain steady through 2009.

Companies planning software investments will spend the most on onboarding tools and benefits management products, according to a recent survey from the International Association for Human Resources Information Management.

According to the survey:

  • 42% of nearly 210 survey respondents reported that their HR technology budgets will remain the same as this year in 2009.
  • 21% of respondents said their budgets will increase by an average of 23%.
  • 37% reported that their budgets will decrease by a median of 15%.

From a recent Workforce Management article:

“For companies in a good financial and cash position, they should take this opportunity to extend their market share and make long-term investments,” John Greer, senior vice president for HR and Development at Smart Financial Credit Union and incoming chair of IHRIM, said during a Web conference event Nov. 19. “Those without as much cash are waiting to see what happens. There is still a lot of uncertainty right now.”

The HR software market has been among the fastest-growing corners of the business software world as organizations seek to maximize the value of their people and prepare for any labor shortages. Talent management applications—which refer to tools for key HR tasks such as recruiting and employee performance management—have been particularly hot.

Steady is much better than reporting that the “bottom is falling out,” right? For everyone in the HR technology market, take this as good news and give yourself a break over the weekend.

From all of us at Training Marketer, have a Happy Thanksgiving!