Improved 'User Experience' from HR Technology is Top Priority for Businesses, ISG Research Finds

Workforce system managers and users seek self-service tools to cut costs and achieve simpler, faster and smarter interfaces

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Information Services Group, Inc.

Jul 09, 2014, 09:15 ET

STAMFORD, Conn., July 9, 2014 /PRNewswire/ -- Improving the employee user experience is the top benefit business buyers expect when investing in new HR technology and delivery models, a new survey from Information Services Group (ISG) (NASDAQ: III), a leading technology insights, market intelligence and advisory services company, reveals.

Additional anticipated benefits are access to innovation and best practices, speed to implementation and cost savings, the survey found.

"As the 'war for talent' heats up, CEOs recognize that their employees – especially 'Millennials' – expect their interactions with HR departments to be as easy and engaging as shopping on Amazon," said Debora Card, partner, ISG HR/Benefits Practice. "Finding and retaining the right employees is also a top concern, and managers are looking to HR technology to provide analytics to help them make better employee decisions."

The survey also found that companies are no longer waiting on the sidelines to see if the new SaaS-based HR technologies will deliver on their promises. More than half of the executives surveyed plan to implement new HR technologies within the next two years, a significant increase from a year ago.

"We're seeing a growing comfort level with the technology as we move past the early adopters," said Card. "An improving economic climate is enabling a long-overdue response to the need for improved HR system functionality. Finally, the fact that SaaS does not require major capital investment, and often promises reduced run costs, is making buying decisions easier."

When asked about their top priorities for HR organizational improvement over the next two years, nearly a third of survey respondents cited enhanced strategic alignment with the business. Improvement in talent acquisition was cited by 19 percent of respondents, followed by business processes (13 percent). Delivering on cost reduction targets ranked fourth, cited by 10 percent of respondents. Driving Human Capital Management technology improvements (9 percent) completed the top five.

"Organizations are looking at a rich mix of solutions to help achieve their improvement goals," said Card, "including adopting new technology, building shared services organizations and outsourcing."

ISG's 2014 Industry Trends in Human Resources Technology and Service Delivery Survey was conducted during February 2014. A total of 119 respondents participated. Approximately 40 percent of the survey sample was from company's operating primarily outside of the North American region. About half of the responses came from organizations with more than 10,000 employees.

About Information Services Group
Information Services Group (ISG) (NASDAQ: III) is a leading technology insights, market intelligence and advisory services company, serving more than 500 clients around the world to help them achieve operational excellence. ISG supports private and public sector organizations to transform and optimize their operational environments through research, benchmarking, consulting and managed services, with a focus on information technology, business process transformation, program management services and enterprise resource planning. Clients look to ISG for unique insights and innovative solutions for leveraging technology, the deepest data source in the industry, and more than five decades of experience and global leadership in information and advisory services. Based in Stamford, Conn., the company has more than 850 employees and operates in 21 countries.

For additional information, visit www.isg-one.com.

SOURCE Information Services Group, Inc.