1. Technology Value Recognition Webinar for HR.com Mark Tocco November 15, 2011

2. Critical Success Factors Applying technology Selecting technology Integration with business process Justification Change management

3. Challenges Vision Improve HR productivity Alignment to strategic objectives Process High levelDetailed Technology CapabilitiesGovernance Typical Approach Not Considered Often, companies just jump from vision to technology requirements

4. Strategic Alignment & Governance Strategic Alignment – Cost is important, but – Strategic orientation focuses HR on helping the firm create value Governance – Define stakeholders – Establish expectations – Develop metrics Operations and Infrastructure Human Resources FinanceManagement

5. Value Criteria Business ObjectiveHR Value ContributionCriteria Increase growthImproved productivity Skills retention Improved decision criteria Employee alignment and productivity Employee satisfaction Reduce riskLower compliance riskAudit avoidance and/or audit efficiency Lower costsImprove HR efficiency Optimize salary costs Reduce turnover Reduce IT costs Productivity Eliminate job and pay creep Reduce on-boarding costs Reduce IT burden

6. System Capabilities - Architecture Business Architecture – How the firm is organized to meet objectives Information Architecture – How information systems support business objectives Technology Architecture – How applications fit together HR Consideration – Enable organization structure and skill sets HR Consideration – Develop appropriate governance practices Technology Architecture – Align processes and select compatible tools

7. HR Systems - Environment HRIS & HSM PLATFORM SYSTEMS – Employee Info. Complimentary (Stand Alone and Integrated) Integrated Systems – Systematic and Intuitive Flow HCM: Employee Information & Decision-Making Support

8. Environment - Example External Factors – Applicable regulations – Market salary data Internal Factors – Employee data – Job analyses and descriptions

9. Process Flow Individual Contributes Individual Contributes Philosophy Assess Organization Design Organization Design Performance Manage IT Process Structure DBSquared - Copyright 2011

10. Selection - HR Software Companies

11. Selection Criteria Total Solution Approach - not just technology – Represent a disciplined philosophy – Process orientation – Proven methodology – Intelligent and easy to use – Expertise and experience for implementation and change management

12. Selection Criteria – Value Tests Economic assessments Cost vs. Capability Value vs. risk

13. Justification ROI – Not a guarantee of success – Gauge for potential – Focuses on financial risk Correct Approach – Focus on potential, not actual results – Use exceedingly conservative assumptions and guidelines – i.e. understate the potential, overstate the cost. – Use as a basis to determine the actual business value of solutions.

14. Justification Additional Considerations – IT Total Cost of Ownership (TCO) Internal IT support Integration Training – Time to Value (TTV) Change management Training Acceptance – Defensibility – Productivity Focus on value added activities that can be performed due to time savings

15. Setting Expectations Beware of the “value trap” Realized Value Expected Value The Trap Value Time Emphasize process improvement Achieve value faster with less risk Manage change effectively Total solution approach

16. Case Study – Compensation Management HRIS Complimentary Compensation Management System Integrated job descriptions, job evaluation/ratings, employee information and market pay analysis Efficient use of technology and a proven process saves hours/days and produces viable and defensible pay policy plans and structures HRIS Complimentary HR programs that are SaaS or Internet hosted are affordable - Do your homework.

17. Case Study – Compensation Management Added Cost/Employee Added Value Compensation Management Job Descriptions Total solution approach Comprehensive process with or without external support Improved productivity and HR efficiency Tangible value that impacts both revenue and expenses for the total organization

18. Technology Value Recognition Webinar for HR.com Mark Tocco November 15, 2011 QUESTIONS AND ANSWERS