Self-service HR Web Apps: Wheres the Beef?
While it may seem to make sense that putting human resource services online in the form of self-service applications will translate into more efficient and effective HR services, less than half of 200 companies surveyed can actually report seeing reductioWhile it may seem to make sense that putting human resource services online in the form of self-service applications will translate into more efficient and effective HR services, less than half of 200 companies surveyed can actually report seeing reductions in HR spending, according to a new study from Towers Perrin, a management and HR consultancy, in New York. Almost all of the companies91 percentuse the Web to communicate with employees. Employees can manage some services via self-service Web applications in 48 percent of those companies. But only 40 percent of companies that are using the Web to communicate with employees are seeing reductions in HR costs as a result. Larger companies (those with more than 50,000 employees) are doing better than the smaller companies (those with less than 10,000 employees.) Forty-eight of large companies as opposed to 38 percent of smaller companies report shrinking HR costs as a result of deploying self-service online applications.
David Rhodes, a Towers Perrin analyst, said in a statement that the payoff for online HR self-service will increase after companies get the user interface right. "While the data definitely show that companies are beginning to reap some of the benefits of Web HR self-service, their actual results arent measuring up to their objectives," he said. "However, this gap can and will narrow as companies focus more on the user experience, the quality and availability of services managers and employees need, and connecting disparate pieces together to simplify use. Its not just about new technologies, but also about content, rethinking how core processes and systems work, and understanding and managing the changes employees will face."