Human resource management systems are no longer a sleepy corner of the business software world. For years, HRMS applications have been used by companies for the humdrum purposes of tracking basic data about employees, such as name, title and supervisor. But a number of factors have come together to make the HRMS market more interesting. For one thing, companies are experiencing increased complexity in their organizational structures in the wake of mergers and global expansions and the rise of ad-hoc projects. In addition, “software as a service” continues to gain momentum, as businesses become more comfortable with placing sensitive data in the “cloud” of remote computers that can deliver applications over Internet browsers. Finally, new products are challenging HRMS mainstays such as SAP, Oracle and Ultimate Software. These include new software-as-a-service HR systems from Lawson and Workday and applications from talent management software providers. For years, talent management specialists concentrated on key tasks such as recruiting, employee performance management and compensation. But a number of them, including SuccessFactors, have introduced employee profile products that contain large amounts of data about workers. Josh Bersin, head of research firm Bersin & Associates, sees an expansion of the talent management market into a broader “people management” category that eventually will encompass HRMS tools. “The HRMS market is hot,” Bersin wrote in a recent blog entry.
To enlarge the view, click on the image below. Adobe Acrobat Reader is required. Workforce Management, October 19, 2009, p. 18 -- Subscribe Now!