Analyst house, Nucleus Research is an independent technology research firm dedicated to helping clients build the financially-focused business case for technology. Recently published, the Nucleus Research HCM Technology Value Matrix 2019 is a comprehensive evaluation of 17 Human Capital Management (HCM) solution providers aimed at helping those who have started their search for the right HCM tool.
Mary E. Shacklett, president of Transworld Data, defines HCM tech as software that handles everything from benefits administration and applicant tracking to retaining and rewarding top performers. Traditionally considered an administrative aid for HR professionals, HCM software is now used by managers and employees throughout the enterprise.
HCM systems facilitate scouting talent; managing employee payroll and benefits administration; recruiting employment candidates; facilitating collaboration among employees through social media tools, and enabling employees to advance themselves and grow their skills through internal training and job opportunities.
With the rising cost and complexity of managing one of the four pillars of every organization — its people — HCM vendors are accelerating their delivery of innovation, with machine learning, smart recruiting, and succession planning as main drivers. Each vendor included in the matrix report has been evaluated based on product functionality and usability, and is plotted on a quadrant, similar to Gartner’s Magic Quadrant, labeled as a Facilitator, Leader, Core Provider, or Expert.
According to the report, leaders have set themselves apart by focusing on functionality that moves beyond reporting to embedded prescriptive analytics and Artificial Intelligence (AI), while rounding out their suites with additions of talent management, collaboration, and advanced compliance capabilities. Critical next steps for leaders are integrated collaborations across the suite, and real-time access to data for decision making from recruiting and onboarding to retention and separation.
The 17 vendors evaluated in this year’s HCM Technology Value Matrix include Ceridian, Ultimate Software, SumTotal Systems, Oracle, Infor, SAP SuccessFactors, PeopleStrategy, Paycor, Ramco Systems, SyncHR, Paycom, Snag, Ascentis, Kronos, Paychex, Workday, and ADP.
According to Shacklett, HCM software vendors have expanded and diversified their offerings in varying ways over the past few years. Most vendors offer core HR functionality (payroll, benefits administration, and employee records), talent management, and mobile and web-based engagement/collaboration tools for HR, employees, and managers.
Looking for more? Download our talent management buyers guide and check out the top-24 products available in the market with full page vendor profiles, key capabilities, and questions to ask yourself and the vendor before purchasing a talent management solution. For those just starting the talent management software search process, this is truly the best resource to help get you going.
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