HR Tech ‘Seismic Shifts’ You Need to be Aware of
The HR technology market has made huge advances in recent years—and if industry analyst Josh Bersin is correct in his predictions, featured in his latest research report, the pace of change and innovation isn’t going to let up anytime soon.
Earlier this week, on January 22, Bersin released a 55-page report titled the 2019 HR Technology Market, which was exclusively produced for attendees of the 2018 HR Technology Conference who are premium-pass holders. In it, Bersin details 11 “seismic shifts” that are taking place in the field today.
Bersin begins his report with some striking figures:
∙ 12 million employers spending over $5 trillion on payroll, benefits and other employee programs;
∙ more than $250 billion market for recruitment, advertisement, assessment and interviewing;
∙ roughly $220 billion being spent per year on L&D; and
∙ an HR tech market that grew by an astounding 10 percent last year, according to Sierra-Cedar’s 2018-2019 Systems Survey.
Bersin, who will be producing a 2020 report for premium-pass holders at the 2019 HR Technology Conference, cited a number of talent issues driving changes, ranging from the push for greater fairness and transparency (as well as diversity and inclusion), to the increasing role gig and contract workers are playing in the economy.
One of the shifts cited in the report is the evolution of core HR platforms from “systems of engagement” to “systems of productivity.”
“Twenty years ago,” Bersin writes, core HR systems “were back-office systems designed to be used by HR managers, payroll clerks, and HR administrators. Over the last decade, they have become useful for employees, with interfaces that let employees use self-service functionality to manage their information, benefits, and various other tasks.”
Today, he adds, “vendors are struggling to evolve again and make these systems into productive management and workforce tools that help employees actually get their work done. While most of us work in teams and on projects, none of these systems really supports team- or project-based work yet, so vendors have lots of work ahead.”
Another trend Bersin cites is the arrival of “innovative, creative and often AI-based” tools for talent management.
“These new talent applications … are focused on improving the employee experience from top to bottom—aiding recruitment, performance and goal setting, learning, career management, rewards, well-being, and ultimately work itself,” he writes.