HR Cloud - On Cloud Seven?

Around 54% of companies in Germany used cloud computing in 2015. A significant increase compared to the previous year with 44%. This was the result of a survey conducted by Bitkom Research on behalf of KPMG in around 450 companies.

According to Bitkom Research, HR staff are often still reserved when it comes to cloud solutions. However, if a cloud strategy has been developed in the company, the attitude towards the cloud in the HR department is much more positive.

The 2015 HR trend study by Kienbaum revealed that cloud solutions are comparatively important in the HR sector and will become even more so in the future.

Conclusion: There is a recognizable trend towards the HR cloud. If the company leads by example, this will have a positive impact on the HR department's attitude towards cloud solutions.

Reaction from SuccessFactors

HR staff are often uncertain about the HR cloud due to data protection.

Is data in the cloud really secure?

SAP SuccessFactors has already responded to this. The data of German customers is stored in a German high-security center.

Every year, SAP Cloud is tested externally against various standards, including ISO 27001, ISAE-3402 and SSAE-16. In total, SAP invests more than 500,000 euros annually to test SAP Cloud.

Each company must decide for itself whether the HR cloud is the right path to take.

The first step is to analyze and evaluate the system landscape.

HR systems that run in the cloud are always software-as-a-service solutions (SaaS). In this case, the software is rented and you can choose from various cloud implementation models.

In the public cloud, several customers share a common infrastructure. In a private cloud, on the other hand, one customer rents the infrastructure for themselves.

The hybrid cloud is particularly beneficial for companies that do not want to move all HR processes to the cloud.

The hybrid cloud is a mixture of on-premise and cloud - but sometimes also of public and private cloud.

In the former case, it is important to consider which HR processes are used on-premise and which are better outsourced to the cloud. Using the hybrid cloud makes particular sense if the company already operates HR solutions on premise.

SAP SuccessFactors also offers this hybrid solution so that customers can move to the HR cloud gradually and at the right speed.

HR success drivers

There are therefore many paths that lead to the HR cloud. It is important to analyze the options sufficiently and align them with the corporate strategy.

In order to make a contribution to the company's success, the HR department must also think about its strategic direction. Where are the HR success drivers?

The focus and productivity of employees is important. It is important to check whether employees focus on implementing the corporate strategy and act in accordance with their assigned tasks.

It is important to invest in employees. This raises the question of how their current performance can be maintained or even improved.

#In addition, HR processes must be ensured in order to always have the right number of talents in the company - according to the principle: the right employee in the right job at the right time.

Support from the HR cloud

How can the HR cloud support these success drivers?

Purely administrative processes such as core HR, payroll and time management alone do not help to improve company results.

The strategic success factors are supported by strategic HR processes, which are reflected in talent management.

The path here leads to the cloud. SAP SuccessFactors, for example, has developed a user-friendly solution with its HCM Suite, which includes talent management and other HR applications in a central system.

The HR cloud system is ready for use much more quickly. Time-consuming installations are no longer necessary.

Renting a central cloud system also entails far less personnel and administrative effort as well as lower operating costs than having your own IT infrastructure.

Global networking

The big advantage of the cloud: the HR system can be accessed online at any time and is always up to date. This is particularly important for globally oriented companies.

Employees can work together globally, regardless of their location and without extra installations. And intuitive software that can be accessed at any time is particularly popular with the growing Generation Y, who are used to using modern systems thanks to social media.

The cloud system can also be scaled quickly and easily as the number of employees increases. This flexibility is particularly advantageous for fast-growing companies.

Flexibly adaptable solutions that can be tailored to the needs of the company are also important here.

Requirements can also be implemented on a customer-specific basis in the HR cloud. Depending on the company and industry, HR processes may differ to some extent, meaning that individual functionalities outside of the standard package may be required.

SAP has already responded to this. On the SAP Hana Cloud Platform (PaaS), SAP partner companies offer applications to extend SAP SuccessFactors. One example of such a customizable application is Ingentis org.manager [web] for SF.

The SAP-certified solution for automated organizational charts and personnel reports is available on the SAP Hana Cloud Platform and offers flexible visualization options.

Any hierarchical structure can be displayed in real time with Ingentis org.manager [web] for SF - regardless of whether it concerns organizations, persons, positions or hierarchies of HR executives.

Technical reporting lines can also be mapped.

Integration in SAP SuccessFactors

The SAP SuccessFactors extension is integrated directly into the SAP SuccessFactors menu. Users can select themselves or a colleague in SAP SuccessFactors and then jump directly to the appropriate place in the organization chart.

There are no limits to either the content or the design. Key figures such as the number of employees, demographic analysis, absenteeism or budget comparison can be displayed directly in the organization chart.

The solution can also be individually adapted to the corporate design and has extensive print and export functions.

The 4 Rs as the basis of HR work

Why are flexible HR cloud systems so important?

The primary goal of HR work is the 4 Rs. The right employees must be retained by the company (Right people).

Ensure that they work productively (Right way). In addition, target agreements must be made that are aligned with the corporate strategy (Right things).

The final step is to identify gaps and promote employee development.

The topic of succession planning should also be addressed (Right development).

What could the fifth R be called? The fifth R should stand for "Right HR cloud system" stand. Because with the right HR cloud system that is lean and flexible, the 4 Rs are optimally supported.