Current and future state of HR and employee appreciation – Interview with William Tincup

Written by João Duarte, Content Director at Tap My Back.

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William is the President of RecruitingDaily. At the intersection of HR and technology, he’s a Writer, Speaker, Advisor, Consultant, Investor, Storyteller & Teacher. He’s been writing about HR related issues for over a decade. William serves on the Board of Advisors / Board of Directors for 18 HR technology startups. Many say his words dictates and predicts the future of managing people and teams.

Tap My Back, an employee appraisal software, recently managed to have an interview with Tincup about the current and future state of HR focusing topics such as performance reviews and the use of AI. This article is sort of a compilation of the main ideas he went through on this interview.

One of the most interesting topics Tincup spoke was about the way he feels HR managers currently should have more responsibilities than ever before. Following his thoughts we’re moving from era where employee engagement was the main worry of HR managers onto one where there’s the need to manage the full experience staff go through on the workplace.

He even says that engagement is the same as recycling, everyone already recognizes the value it provides but still many prefer to ignore it.

According to William, the reason why performance reviews stopped producing the outcome they used to is related with the fact that many times managers who conduct those are not honest with the employees about whose interest this process serves. As society currently values highly aspects such as transparency, HR staff conducting performance reviews should be clear to people and say something “hey, this actually for us, so that we do better, so that we make sure that we’re on the right track and we get the most out of you because we want the best version of you while you’re with us. We’re going to train you, we’re going to help you, we’re going to throw some stuff in but at the end of the day we want the best version of you while you’re with us”.

Regarding AI and Machine Learning, William provides an interesting opinion, stating that these tools will make insights that used to be remarkable to become commonplace, a commodity. Following his reasoning these tools will turn dump databases into something capable of providing insightful conclusions, sparing human brain of analyzing raw data.

William, with his typical charismatic way of being, finishes the interview with an advice for every entrepreneur, “Grow, comma grow the right way” referring to the fact that the ambition to grow should never overlap the way managers treat people

End note: You can hear and read the full interview here.


If you want to share this article the reference to João DuarteTap My Back and The HR Tech Weekly® is obligatory.

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Most popular HR software: How location and business size affects app choices

Most popular HR software: How location and business size affects app choices

Written by Karen McCandless, GetApp.

HR Employee Management

Once upon a time, the HR market was dominated by a few big name players. The likes of ADP, Oracle, or SAP were the main choices available to businesses, large and small. This has all changed, with cloud HR solutions becoming mainstream, and a raft of new entrants shaking up the status quo.

To find out more about exactly what criteria small to medium businesses in different countries are using to select their HR solutions, we turned to data from GetApp users to find out which were the most popular apps.

We found that businesses of 1-50 employees favor cloud-based HR software from startups like themselves, that are new to the market but that promise innovation, and simple pricing plans – often with freemium option.

There is some continuity with businesses of 51-500 employees, with these size of businesses still choosing smaller HR outfits, but ones that have more of a presence in the market, such as Jobvite and Greenhouse.

As businesses grow, it makes sense that they would favor companies that cater towards that end of the market, and that is exactly what we saw with GetApp users of 501-1000 employees. Another interesting trend was this was the first learning management systems featured among the most used apps.

In terms of country HR software usage, British and Canadian users favored apps either based in their own country, or that had a strong presence there.

HR software usage trends

With this in mind, we at GetApp – a startup ourselves with an agile, cloud-based HR system – wanted to find out just whether this would hold true for for our users – whether small businesses in different countries are really choosing these new entrants to the market over the big-name brands.

To test this theory, we used data from the “I Use This” feature on the GetApp website (screenshot below) to find out what is the most popular HR software among our users. (For a detailed methodology on the way that we collected and analyzed this data, see the methodology section at the bottom of the article.)

The approach we took to this was two-pronged: we looked at apps used by different business sizes – varying from solopreneurs to companies of up to 1000 employees – and also at software used in different countries (the U.S., UK, and Canada) to see what insights we could glean.

We grouped together HR apps of all flavors – from talent management, to scheduling, to performance management, and more – to analyze the approach that companies are currently taking towards managing their human resources.

Key Findings:

  • Businesses with 1-50 employees favor newer, more agile HR apps, with lower pricing points
  • Companies with 51 employees and more look for more well-known HR names, combined with innovation
  • Businesses are still adopting point solutions for areas such as recruitment, rather than all-in-one HR apps
  • Adoption of learning management systems is much higher in companies with more than 500 employees
  • Outside of the U.S., companies favor local HR solutions.

Most popular HR software by business size

When splitting HR app usage according to business size, what became apparent was that there is no clear market leader for companies of up-to 1,000 employees. Each size of business had its own preferences, with no runaway leader in any category. This differs from other industries such as accounting, where a few big-name vendors dominate.

There is also no mention of the legacy HR heavyweights that were initially built on premise, such as Oracle, ADP, SuccessFactors (now part of SAP) – or newer cloud-based market leaders such as Workday. Halogen TalentSpace is the only HR app popular among GetApp users to feature in analyst firm Gartner’s Magic Quadrants for HCM or Talent Management, which are focused on the enterprise market. Businesses across the board (up to 1,000 employees) are favoring newer, native cloud software for the HR market.

Where we can see a trend start to emerge is in the type of HR apps used by businesses of less than 50 employees, compared to companies of 51-500, and then again with organizations of 501-1000 employees. We’ll dive into these trends in more depth now.

Businesses of 1-50 employees: startups for startups

When looking at the apps used by businesses of 1-10 employees and 11-50 employees, the most used HR software is consistent, with Zoho Recruit, Breezy HR (formerly Nimble HR), Workable, and Crelate Talent all featuring in the top five for both company sizes.

Delving more deeply to find out why this may be, we noticed that all these HR apps all recent entrants to the market. Breezy HR was founded in 2014, Workable in 2012, Crelate Talent in 2012, and while Zoho as a company was founded in 1996, Zoho Recruit was a more recent addition in November 2009.

All of these apps are natively built for the cloud, cater to small businesses, and market themselves as relatively straightforward and simple software.

Pricing options

Another similarity with the most popular HR software for businesses of 1-10 and 11-50 is pricing. Several solutions offer a free option with limited features, making them useful for startups and small businesses with budget constraints.

In terms of Zoho Recruit pricing, it currently (as of April 2017) offers a free plan for one recruiter with basic ATS functionality, such as scheduling interviews. Even for the most expensive price plan, it’s only $50 per recruiter per month. Zoho can also be seen as a safe pair of hands, with its long company history and large suite of products.

Breezy HR keeps its pricing plans simple, with all of them including unlimited users and candidates. The plans differ according to the number of active jobs. As of April 2017, for one active job, the HR app is free.

While Crelate Talent doesn’t offer free options, its pricing is affordable for small businesses.

Hiring platform Recruitee – one of the most used apps by businesses of 11-50 employees- doesn’t offer a free version, but has competitive pricing options covering the varying needs of different company sizes. It’s still a very new company – set up in mid 2015 – but has already been garnering a lot of positive coverage in publications such as Entreprenuer and Inc.

Workable doesn’t cater solely for this end of the market, but its simple tools, mobile-first approach, and raft of integrations make it an attractive choice for small businesses.

All-in-one HR

Zenefits is the only piece of software on the list (third most popular HR app by businesses of 1-10 employees) that isn’t strictly targeted at simplifying recruiting or talent management. While it originally focused on benefits management, it has since expanded to cover onboarding and employee scheduling. Despite experiencing several scandals and setbacks in 2016, Zenefits emerged as the most well-funded HR tech company in 2016.

Key takeaway: Businesses with less than 50 employees broadly go for the same kind of HR apps that are cloud-based, have affordable pricing plans (often with a free version), and are relatively new to the market.

Businesses of 51-500 employees: innovative new entrants

As the business size grows, the trend swings towards HR software that, while more established than the above startups, is still making waves in the industry due to its innovation and high-profile customers. The most popular HR software for this company size also caters for a wider range of business sizes than the favored apps for businesses of 50 and under.

Jobvite and Greenhouse are two applicant tracking and recruitment apps that are popular with companies of between 51 and 1000 employees.

While Greenhouse is a relatively new entrant to the market (founded in 2012), thanks to a raft of positive media coverage and some high profile customers (Airbnb, Evernote, and Pinterest), it has already made a name for itself in the recruitment industry. Part of Greenhouse’s strategy is based around having an open platform that easily integrates with any other tool you might use for recruitment.

Analytics-driven recruiting platform Jobvite has been around longer (since 2006), and is aimed at both small businesses and enterprises. The app also boasts an impressive client roster, including LinkedIn, Spotify, Etsy, and Verifone. Jobvite’s product offering aims to cover everything from sourcing to hiring to onboarding.

The company continues to innovate by partnering and adding new features, such as integrating with Accurate Background services to allow companies to carry out employment background checks, drug testing and verification services from within Jobvite.

Workable is the one constant across businesses all the way up to 500 employees, as it is another app that caters for a wide range of business sizes.

HR suite adoption

One trend that we see solely with businesses between 51 and 200 employees is a higher adoption of all-in-one HR suites, with BambooHR and Namely both ranking in the top five.

This contrasts with the higher adoption of recruitment and talent management suites among smaller businesses, and a focus on learning management systems in businesses of more than 500 employees (more on that later).

Key takeaway: Businesses of 51-500 look for software that caters for a wide range of business sizes, and that may already have well-known clients. They also put more emphasis on all-in-one HR systems.

Businesses of 501-1000 employees: household names

The trend we see as company size increases is to go for software from more established companies that have been on the market for longer. One example of this is Bullhorn, which is favored by companies of 500 employees and over. Bullhorn originally made a CRM for staffing and recruiting firms, before moving into applicant tracking systems.

Further evidence of this is Halogen TalentSpace, which is the fourth most popular app among companies of 201-500 employees. This software, which came to market in 1996, is regularly named as a visionary in Gartner’s Magic Quadrant for talent management. Testament to its success, it was acquired by Saba in early 2017.

Another data-driven recruitment app that is popular with larger businesses is JazzHR (fourth most popular among businesses of 501-1000 employees). Formerly known as The Resumator, it positions itself as a scalable recruitment system, suitable for small businesses but also applicable for growing companies.

Emergence of LMS

Learning management system software makes its first appearance in the most used apps among companies of 501-1000. Mindflash and Accord LMS’s appearance on the list at this points suggests that smaller businesses may be slower in their adoption of LMS.

Key takeaway: Businesses of 501 employees and up tend to favor more well-known and established HR software, and they also start recognizing the importance of learning management systems.

Most used HR software by country

Using data from the U.S., UK, and Canada across all businesses from 1-1000 employees, we found that Breezy HR and Zoho Recruit were particularly popular among GetApp users in all three of these countries.

Zoho Recruit was a favorite in both the U.S. and U.K. (even placing just out of the top three in Canada), while Breezy HR was popular among users from both the U.S. and Canada.

America first

Given the wide range of choices for apps headquartered in the U.S., it was interesting to see India-based Zoho Recruit there in addition to U.S.-based Breezy HR and Crelate Talent.

Canada’s choices

Looking at the choices for Canada, Toronto-based hiring solution Fitzii is popular among businesses in this country, suggesting that there is a preference for local software providers in the HR market, or at least those that have a strong presence there.

Further confirming this, Bullhorn is the second most popular HR software in Canada. While it may not be based in Canada, it has a strong presence in the country, through its partnership with Workopolis, which is Canada’s leading career website. It also already provides applicant tracking functionality to many leading firms based there, and has an office in Vancouver.

UK-based software

In the UK, aside from Zoho Recruit, Workable and Calamari leave management software are the most popular HR software in the country. While neither of these companies are British, both were founded in Europe and have a strong presence in London.

Workable was founded in Athens, but opened an office in London shortly after, before expanding to New York, Boston, and now San Francisco.

However, a plethora of British-based HR software companies such as CakeHR, CIPHR, WeThrive, PARIM, and Findmyshift just missed the top three position, further highlighting the preference for local companies in the market.

Key takeaway: In markets outside of the U.S., countries are showing a strong preference for local software to help manage recruiting and HR needs.

Conclusion

Our findings from analyzing data from GetApp users indicated that the original hypothesis was true: that small to medium businesses in the HR space are opting for new entrants to the market over the more-established brand names, and that they are choosing apps built for the cloud.

Our data also indicated that these companies prefer HR apps based in their own country, or that have a very strong presence there.

If, after reading this report, you’d like to invest in a cloud-based HR app for your business size or from your country, we can help. Here are the next steps.

From our list of HR apps, you can filter by country:

You can also filter by business size:

For a full list of the most popular HR software in these categories, or to reuse any of the charts above, please contact karen@getapp.com.

Methodology

To put together this report, we analyzed data from signed in GetApp users that had selected the “I Use This” option for a particular app on the site. We counted the number of individual users that had selected these apps and segmented according to business size and country. The sample size for each segment differed and we used absolute numbers on our graphs to represent the most used. We then looked into the three most used apps per country, and five most used per business size.


Source: Most popular HR software: How location and business size affects app choices (GetApp report)

HR and Business Are Looking for Data Analytics and Insights

Stacey Browning, President of Paycor

Today our guest is Stacey Browning, President of Paycor.

Since 2001, Stacey has played an integral role in every aspect of Paycor’s operations. As president, she fosters collaboration across the business and ensures executional excellence in product development and service delivery.

Paycor is a trusted partner to more than 33,000 small and medium-sized businesses.Known for delivering modern, intuitive recruiting, HR and payroll solutions, Paycor partners with businesses to optimize their people management.

Paycor’s key areas of specialization include Payroll Management, Human Resources Solutions, Benefits Administration, Time & Attendance Solutions, Tax Filing & Compliance, Workers’​ Compensation and Employment Screening Service.

Recently Paycor announced Workforce Insights, a new data visualization solution that extracts rich and actionable insights from people data to bring valuable C-level and operational insights to key business stakeholders.

The interview is hosted by Alexey Mitkin, Founder, Publisher and Editor-in-Chief, The HR Tech Weekly® Online Media Co.

  1. Hi Stacey, and first of all thank you very much for this interview with The HR Tech Weekly®. Straight away, why you have developed Workforce Insights and how it will complement other Paycor products?

Our innovation is driven by uncovering ways to better serve our clients, and Workforce Insights is no exception. Last August we surveyed our clients about the features they wanted to see in future product releases. After reviewing more than 1,000 client responses, we found that the overwhelming majority were looking for data analytics and insights.

In addition to evaluating our client’s feedback, we also looked at industry trends that show HR professionals are striving to prove their strategic value to executives. One way we can help them is by organizing their key people data in a manner that helps with business execution.

For example, through the Workforce Insights overtime dashboard, information from our time platform is correlated to OSHA incidents reported on in our HR platform. Leaders can uncover safety thresholds exceeded by location, department or manager to home in on where a performance issue may be occurring.

  1. What key benefits and advantages does Workforce Insights have when compared with other tools on the market?

Most other tools on the market force standard charts and data visualization. Workforce Insights allows customers to view their data in the way that is most impactful for their unique business needs.

Another key differentiator is the one-click sharing functionality. Users can take their insights and share that information with the appropriate parties without having to import or export data. The custom reporting and one-click sharing allows users to not only have access to the data, but to make it meaningful and actionable.

  1. Why do you think small and medium-sized businesses need their own HR technology solutions?

Employees at small and medium-sized businesses (SMBs) are often forced to wear multiple hats, and sometimes that even means taking on responsibilities like payroll. HR technology solutions help relieve the administrative burden of payroll and benefits while ensuring reliability and security, while also protecting against the risk of compliance infractions.

What Paycor offers seems to be what’s desired most by SMBs – a platform or suite of functionality at the right per-employee-per-transaction and per-month price point that doesn’t require a customization. A solution that can be implemented and have value derived in three days to three months, and that can adapt with them as their organization grows.

  1. Paycor has run its operations since 1990. How have your clients needs during this period changed, and what is the secret sauce for long-term success?

Since 1990, the technological needs of our clients have changed dramatically. In 1990 computers were large and expensive, “the cloud” didn’t exist, and phones were connected to a landline or, for a select few, in a bag in your car. Since then, clients have had to react to the demands of their workforce; faster access from any device, and our products have had to evolve accordingly.

Our secret sauce for long-term success may be the only thing that has remained the same since 1990 – putting our clients first. We were founded because our CEO believed there was a better way to serve the needs of our clients, and it’s that passion that still drives us today.

  1. Achievements in big-time sports are based on grassroots sports. What can you recommend to HR Tech startups on how to get into the highest league?

The energy around new HR tech offerings through start-ups informs the entire industry. For some of these startups, success looks like being acquired into a larger company and human capital offering. For those wanting to progress into a higher league more independently, I recommend having an openness to partnerships and distribution options, and feedback to the offering itself. The best emerging technologies in HR are built and market-tested quickly.

  1. Since its founding, Paycor has grown to 1,460 people onboard. What do newbies need to know about the company in order to have a successful career with you?

First, excel at the job you are given, and then look for ways to take on more responsibility. It can be dangerous to be too eager to move to the next level without first nailing the task you are given. At the same time, becoming complacent doesn’t allow you to be a change agent in the organization.

To take on that next challenge and excel to the next level it is critically important that associates know and own their personal brand. Your personal brand is what people say about you when you leave the room. Think about the impression you want to leave, and make it.


If you want to share this interview the reference to Stacey BrowningPaycor and The HR Tech Weekly® is obligatory.

TLCon: Talent Acquisition and Retention in Retail, E-tail & Hospitality

TLCon: Talent Acquisition and Retention in Retail, E-tail & Hospitality

More so than in any other industry, retail, e-tail and hospitality are utilizing HR technology in order to service large volumes of recruitment, whether it’ll be retail staff, waiters in the hospitality industry or STEM professionals to recruit, manage and retain staff. So much so there are dedicated apps created just for this industry that places talent acquisition professionals at the forefront of innovation in recruitment.

On the 11th May, talentleadersconnect. will be hosting one of our most popular sector-specific events, TLCon: Retail, E-tail & Hospitality giving 70 ‘Head of People/Talent, in-house recruitment, HR and talent acquisition professionals’ the opportunity to learn, share and network around a theme that is getting more and more important each year. The agenda will have case studies, research and thought leadership from the likes of Caffe Nero, Sofology, Exsurgo, 106 Communications, The Chemistry Group plus more.

We kick the day off with Ben Gledhill formerly of Sofology (now Manchester Metropolitan University) addressing the distinction between the tech candidate of 2005 and 2017. The talent acquisition strategy has changed significantly as we go a more direct sourcing route and he will be sharing what works well and what does the future look like.

We’ll then get more traditional with Nikki Brain from Exsurgo, looking at the importance of the store associate role and how the expectations around their knowledge as well sales through service is ever key to the entire customer service relationship. Candidate & employee experience has a huge impact on the customer service and can be costly if not implemented right.

Which brings us on to bots! Henry Davies, founder of 106 Communications will be talking you through how bots can make your employer brand work harder to attract and retain the right people. In many ways they can make you a more engaging employer (e.g. here is Yasar Ahmad, Wipro’s Head of Strategic Hiring recruitment bot) and Henry will talk through this in more detail. I’d bet a bot would be really handy for high volume recruitment. To back this up, Will Hamilton from LaunchPad will be discussing the impact of AI and Machine Learning in recruitment and what this all means for your profession.

We shared cut-e’s dedicated talent assessment app for the retail industry above; Howard Grosvenor will talk you through how some of the world’s best companies are doing talent assessment and how you can apply it to your own organisation. Furthermore, Nicky Brimmer from Chemistry Group will be talking on predicting people performance with the retail sector and how you can go beyond hiring for attitude using an objective data-led approach.

Finally, Shereen Daniels, Head of HR for Caffe Nero will be talking about how she fosters belonging at work. A really intriguing talk that will discuss how the baristas at Caffe Nero call work their home and not their job, this is one not to be missed.

There’ll be a buffet lunch and plenty of time to network with your peers around all these topics so join us on the 11th May with your complimentary ticket at TLCon: Retail, E-tail and Hospitality.

Useful Information:

Date: 11th May 2017, 8:15am to 1:30pm

Venue: Foyles Bookstore, 107 Charing Cross Road, WC2H 0DT

Theme: Talent Acquisition and Retention in Retail, E-tail & Hospitality

Contacts: Edie Kalman, Events Manager, edie@talentleadersconnect.com

Twitter: @TLCon_

Hashtag: #TLCon

talentleadersconnect. is the largest Talent Acquisition & HR event series in the UK & Europe. The events combine industry leading keynote talks, interactive discussion sessions and relaxed social networking opportunities

Unlocking Business Growth through HR and People Science

Unlocking Business Growth through HR and People Science

Written by Adam Hale, EVP of Sage People.

Why fast-growth companies are bounding ahead?

For businesses to sustain growth, be more productive, and attract and retain the best talent in today’s increasingly global and competitive climate, they need to use data intelligently. Data analytics has been happening for a long time in marketing, sales and finance, but now we’re seeing HR wake up to the benefits. Traditionally, HR functions capture information about employees passively in order to meet legislative requirements but organizations are now realizing it has far more potential with data analytics which is also leading to the rise of the Chief People Officer role.

While 83% of HR leaders recognize that all people decisions should be based on data and analytics, the reality in the workplace is very different. Recent research Fairsail (now Sage People) conducted amongst 500 global HR leaders for its report ‘The use of people science in fast growth companies’ showed that only 37% of those surveyed claiming to already use a data-centric approach.

Why fast-growth companies are bounding ahead

However, there is one business group making the most of its people science capabilities: the fast-growing ‘gazelle’ organizations – companies which have increased their revenues by at least 20% annually for four years or more. The research shows that these organizations are far more advanced in HR than the average company. They have full HR automation (80% v 53%) so they can report faster and more easily on a range of influential HR metrics. If asked to report on headcount within a single day, 84% can do it; that’s 16 percentage points better than non-gazelles. They can more easily report on high potential employees (58% v 42%) and on personal growth (58% v 41%).

These gazelle organizations can see what’s working and what needs to change and can take action confidently to make sure they’re supporting employees to achieve their potential. While gazelles are the one’s bounding ahead, all is not lost as almost every organization we spoke to did have an awareness of the potential to use people and HR data to improve their business.

Use Chief People Officers to close the gap

Even if they haven’t yet marshalled it effectively or decided exactly how they’ll use it, a staggering 92% said they’d like to use people science to improve their business. And another 65% said that in the next 12 months they need to achieve greater data visibility.

The research also positively showed a movement across all organizations to make a highly visible change that reflects the shift to a people focus: 17% have appointed a Chief People Officer to put people science at the heart of their business. The gap between the gazelle approach and the non-gazelle approach looks set to narrow in the very near future, as all businesses take action on their ever-growing awareness of the importance of people analytics.

Tap into data to unlock rapid growth

So what can we learn today from these market-leading organizations? Seeking and seizing opportunities and using every lever a company can get its hands on to improve performance is the key to rapid growth. Organizations shouldn’t be afraid to explore the latest people thinking, or adopt the tools that gather data and turn it into business intelligence. The challenge is to put systems and tools in place to collect and analyze it for tangible benefit – as 31% revealed, they don’t currently have the right technology in place to interpret the necessary people science. Automation helps companies move away from old-style HR with its laborious administration and manual processes and spreadsheets. With this, people teams should be able to explore the workforce data to understand what employees want and need. They can take action to provide great workforce experiences that makes the most of talent to fuel productivity and business growth.

To read the full ‘The use of people science in fast growth companies’ report, please visit www.fairsail.com.

About the Author:

Adam Hale, CEO at Fairsail

Adam Hale, EVP of Sage People, previously acted as Executive Chairman and Non Executive Director having spent over 30 years in the technology industry. He was formerly Head of Software and European Technology at Russell Reynolds Associates, the leading executive search firm and before that ran large system implementation projects at Accenture. Adam is also a committee member of the Technology Leadership Group (TLG) for the Prince’s Trust.


If you want to share this article the reference to Adam Hale and The HR Tech Weekly® is obligatory.

Tools for Recruiters: The Complete List | The HR Tech Weekly®

Tools for Recruiters: The Complete List

Tools for Recruiters: The Complete List

If you want to see the best tools for recruiters in one place, then you’ll love this guide from Talent Hero Media.

There are over 70 free and paid tools designed to simplify your job as a recruiter.

Bonus: Don’t have time to check out all the tools? No worries. Download a free PDF version of this guide right here.

APPLICANT TRACKING SYSTEMS

BreezyHR

ATS
This newer entrant to the ATS market has already earned rave reviews from its loyal user base for its amazing customer support, smooth UI and end-to-end functionality.
BreezyHR

BrightMove Recruiting Software

ATS
One of the few ATS offerings with publicly available pricing, BrightMove is highly touted by its users as responsive to new ideas. In fact, you can suggest new features and vote for them, with the features that get the most upvotes moved into the development queue.
BrightMove Recruiting Software

Bullhorn

ATS | CRM
A staple of the ATS market, Bullhorn has many enterprise customers and large recruitment agencies as customers. It has many fans among those who use it on a daily basis but note that the price point is definitely geared towards larger customers.
Bullhorn

CATS

ATS
Used by both external recruiters and HR agencies, CATS is known for its end-to-end solution that starts with job postings and finishes with analytics on completed campaigns.
CATS

Crelate

ATS | CRM
A combination ATS and CRM, Crelate is lauded for its wide-ranging feature set, modern UI and strong customer support.
Crelate

Greenhouse

ATS
Lauded for its intuitive user interface and beautiful design, Greenhouse receives consistently positive reviews by everyone who adopts it. In addition, they have an iOS and Android app that lets you use it on the go.
Greenhouse

HireHive

ATS | CRM
A low-cost alternative ATS, HireHive excels at automatic job board posting, managing employee referrals and branded career sites.
HireHive

HiringThing

ATS
A full service solution for both external and internal recruiters, HiringThing offers best-in-class customer service and quick turnaround on new features requested by its users.
HiringThing

JobAdder

CRM | ATS
JobAdder is a CRM and ATS in one and is well known for its range of mobile apps that let you access the platform from any device.
JobAdder

Jobscience

ATS | CRM
Marketed as a sales, recruiting and back office system in one, Jobscience receives excellent reviews from the external recruiters who use it.
Jobscience

iCIMS

ATS
Founded in 1999, iCIMS is a tool that is widely used by both recruiting firms and internal recruiters. Given its longevity, it is clearly well liked by many although there are some who complain that it could use a refresh.
iCims

Lever

ATS
Considered one of the top ATS tools, Lever has features such as one-click sourcing, two-way email sync, and @-mentions that you will not find in many of their competitors.
Lever

Loxo

ATS | Sourcing | CRM
The feature that sets this ATS apart from its competitors is Loxo AI, a proprietary intelligent sourcing assistant that helps you find the top talent for your role while you spend your time elsewhere.
Loxo

OpenCATS

ATS
Although it does not have the prettiest user interface, it does have one feature that sets it apart from every other ATS on the market – it’s free. As the only open source ATS currently available, users (at least those with development backgrounds) can have direct input into new features without paying a dime.
OpenCATS

PCRecruiter

ATS | CRM
One of the earlier entrants to the ATS game, PCRecruiter, founded in 1998, receives positive reviews from its dedicated user base for its customer service and willingness to continually update the product.
PCRecruiter

Recruitee

ATS
Known for their incredible customer service (their founder replies to emails on Sundays), Recruitee takes collaborative hiring to the next level: everyone in your team from the least tech-savvy to the most nerdy can work on hiring together with this cloud-based ATS. In addition, Recruitee provides beautiful careers sites for your employer brand as well as candidate-friendly application forms that you can fully tweak.
Recruitee

Workable

ATS | Sourcing
Workable is noted for its full feature set, easy learning curve, top notch customer support and a new sourcing tool called People Search. They also offer a $50 per job per month plan for recruiters who have less burdensome hiring needs.
Workable

CONTACT FINDERS

AmazingHiring

Contact Finders
Geared exclusively towards finding technical talent, AmazingHiring scours Github, Stack Overflow and Kaggle profiles to find potential candidates, including those who do not have a LinkedIn account.
AmazingHiring

ContactOut

Contact Finders
Considered the best by some, ContactOut touts that it can find 2x more emails than the competition and given that it offers 100 free credits per day, there is not much risk to test out their claim.
ContactOut

Hiretual

Contact Finders
A free Chrome extension, Hiretual is raved about by sourcers and recruiters for its ability to consistently cut down on the time required to find talent and their contact information. It is free for 15 contacts per month before increasing to $59 per month (billed annually) for 200 contacts per month.
Hiretual

Hound by Jobjet

Contact Finders
Working only on LinkedIn, Hound will find email addresses and phone numbers but can get expensive for those who search a lot.
Hound by Jobjet

Hunter

Contact Finders
Hunter is a bit different than other email sourcing tools as it can find all available emails on a given domain and also verify emails, in addition to the features you expect from a standard contact finder.
Hunter

Lusha

Contact Finders
Limited to 5 free phone numbers and emails per month, Lusha gets positive reviews by many but you will have to pay to get full use of the product.
Lusha

Nymeria

Contact Finders
Focusing on finding emails associated with LinkedIn and Github profiles, Nymeria has two simple and reasonable pricing options – free for 300 emails per month and $9 per month for unlimited emails.
Nymeria

Prophet

Contact Finders
Prophet is a Chrome extension that allows you to visit the Twitter, Facebook or Google+ page of a person and find emails and phone numbers. It comes with 15 free credits per day and you can get more by sharing data with the community or purchasing them. Note that the company does not have a website.
Prophet

SourceHub by SocialTalent

Contact Finders
SourceHub is a clever tool that helps you construct boolean search queries by combining synonyms for the job title, skills and location you enter.
SourceHub

CANDIDATE RELATIONSHIP MANAGEMENT

SugarCRM

CRM
An open source and developer-friendly CRM, SugarCRM is a great solution for the recruiter who knows they need to keep better track of their contacts but does not want to break the bank.
SugarCRM

Vincere

CRM | ATS
Marketed as a combination CRM and ATS, Vincere allows you to search for and manage candidates, create fully-branded microsite job boards and post your jobs across the Internet.
Vincere

INTERVIEWING

GreenJobInterview

Interviewing
Whether it is face-to-face or one-way interviews, GreenJob offers the solutions you need for your video interviewing needs.
GreenJobInterview

Interview Mocha

Interviewing
Interview Mocha has over 1000 skills tests that you can use early in your interview process to determine which candidates have the required skills.
Interview Mocha

Interview Stream

Interviewing
Interview Stream’s Hire platform allows you to set up screening interviews using a library of questions and pre-populated media, or face-to-face live interviews.
Interview Stream

Odro

Interviewing
Odro is online meeting software for the techphobics of the world. With no downloads or installs, this tool should work well for interviews, especially those that may require screen sharing.
Odro

sparkHire

Interviewing
sparkHire has a full range of video tools to help you optimize your interview process including one-way interviews, interview evaluation, interview scheduling and a mobile app.
sparkHire

RECRUITMENT MARKETING

Beamery

Recruitment Marketing | CRM
Beamery connects to all of your other recruiting systems and gives you one system to manage and engage every candidate that touches your brand – past, present or future. They help companies nurture passive talent and build a pipeline for future roles.
Beamery

Clinch

Recruitment Marketing | CRM | Sourcing
Clinch is a robust platform that combines recruitment marketing, a CRM, employer branding, and sourcing tools in one end-to-end solution. Features include a career site and landing page builder, social and email integration and robust analytics.
Clinch

Jobvite

Recruitment Marketing | ATS
Serving a range of customer sizes from startups to enterprise customers, Jobvite offers tools that go beyond your typical ATS including Jobvite Refer (tool for sharing job openings in your employees’ networks) and Jobvite Video (on-demand video interviewing).
Jobvite

Phenom People

Recruitment Marketing

Offering many features similar to its competitors, Phenom People’s main differentiator is its unique ability to turn visitors to your career site into potential applicants even if they don’t fill out your job application.

Phenom People

SmashFly

Recruitment Marketing | CRM
SmashFly’s Total Recruitment Marketing Platform and Services proactively markets an employer brand and jobs through every recruiting channel using marketing automation technology and modern marketing practices. It empowers companies to attract the right people to their organization using the art and science of fit, enabling companies to generate leads and nurture relationships to hire faster and more cost-effectively. It is ATS-agnostic, integrating with your current system to provide a complete view into the candidate journey, from first source all the way to hire.
SmashFly

SCHEDULING

10to8

Scheduling
The free plan of this tool should be sufficient for many recruiters as it allows for 100 appointments per month and includes SMS notifications, a feature not offered at the free level by any competitors.
10to8

Calendly

Scheduling
Loved by its users for its simplicity and rock-solid integration with all popular calendars, the free version of Calendly will be sufficient for many recruiters who want a simple scheduling tool that reduces back-and-forth emails. The paid version can be integrated with additional tools you might use such as GoToMeeting and many CRMs.
Calendly

ScheduleOnce

Scheduling
This is a tool for the recruiter with more complex scheduling needs. The higher-priced tiers, while slightly expensive compared to the competition, have features such as pooled availability and master booking pages, that are ideal for environments where you will be scheduling more than just one-on-one meetings.
ScheduleOnce

SimplyBook.me

Scheduling
Known for its robust feature set, SimplyBook.me has a free tier that may be suitable for some recruiters.
SimplyBook.me

TimeTrade

Scheduling
TimeTrade invented the online appointment scheduling industry in 1999. The company’s secure, cloud-based solution meets the customer and client engagement needs of large enterprises as well as mid-size and small businesses. Thousands of companies—including 500 of the world’s top brands—rely on TimeTrade’s technology for their scheduling needs.
TimeTrade

Vyte

Scheduling
With almost all features available to free users, Vyte is an excellent option for recruiters with more basic scheduling needs.
Vyte

YouCanBook.me

Scheduling
While the free version of this software is not heavily advertised on their sign up page, it may have enough features to tide you over until you want to pay for more advanced tools such as appointment reminders, padding appointments and Zapier integration.
YouCanBook.me

SCREENING

OnboardIQ

ScreeningATS
Focusing on the hourly workforce, OnboardIQ is an ATS that helps you automate interviews, background checks and document collection.

Outmatch

Screening
Outmatch is designed to predict how candidates will perform and has tools such as job-fit assessments, behavioral interviewing, and online reference checking.
Outmatch

SkillSurvey

ScreeningSourcing
SkillSurvey is a multi-purpose tool designed to assist with referencing checking and sourcing via referrals.
SkillSurvey

Social Intelligence

Screening
Similar to a criminal background check, Social Intelligence uses a combination of technology and trained analysts to screen candidates online records for unlawful or inappropriate behavior.
Social Intelligence

Sterling Talent Solutions

Screening
Founded in 1975, Sterling Talent Solutions is a full service screening and on-boarding solution that offers plans including pre-hire background checks and drug testing and post-hire employee audits.

Weirdly

Screening
Weirdly offers a customisable quiz to rank candidates against your ideal fit. It can act as a stand-alone, light-ATS or be integrated into your current recruitment process.
Weirdly

SOURCING

Broadbean

Sourcing
Broadbean is a straightforward job distribution and sourcing tool that focuses on doing a few tasks really well.

Crystal

Sourcing
Crystal scours the Internet for every piece of information on your candidates and coaches you on how to write emails that are tailored to their communication style. This ensures that the people you find for your client are more likely to respond.
Crystal

Entelo

Sourcing
The Entelo platform uses big data, predictive analytics and social signals to help recruiting organizations find, qualify and engage talent.
Entelo

Headreach

Sourcing
Officially marketed as a LinkedIn-based lead generation tool, Headreach can also be used effectively to find the emails and social profiles of potential candidates.
Headreach

Hello Talent

Sourcing
This sourcing tool allows you to build talent pools collaboratively that can then be sent straight to your ATS. Best of all, it is free for 2 pools.
Hello Talent

HireKeep

Sourcing
Post your job on HireKeep and their algorithm will determine which candidates meet the “affinity threshold” to match with your company. The software will even schedule interviews with those who have matched.
HireKeep

HiringSolved

Sourcing
HiringSolved offers features that are not common in sourcing tools including Diversity Search (a tool to help increase workplace diversity), Scan (automatic updating of outdated records in your ATS and CRM) and Verticals (algorithms designed to find candidates in specific industries).
HiringSolved

Ideal

Sourcing
Typical sourcing tools force recruiters to do tedious, time-consuming tasks such as resume screening and keyword-based searches. Ideal uses artificial intelligence to automate sourcing, resume screening, initial candidate outreach and even interview scheduling.
Ideal

Joblyon

Sourcing | ATS
Joblyon has a strong focus on on creating beautiful job postings that will be readily shared on social media.
Joblyon

Leoforce

Sourcing
Their flagship product, Arya, uses artificial intelligence to identify talent that not only has the right skills but also is aligned with the corporate culture.
Leoforce

Recruit’em

Sourcing
Recruit’em is a powerful free search tool that lets you use Google to search for profiles across various platforms including LinkedIn.
Recruit'em

Simppler

Sourcing
Calling themselves a “data driven employee referral platform”, Simppler helps employees of a company find candidates for open positions within their own networks.
Simppler

Talemetry

Sourcing | CRM
Talemetry integrates with your ATS and allows you to post job ads, source candidates, build talent pipelines and manage candidate relationships in a single platform.
Talemetry

TextRecruit

Sourcing | CRM
TextRecruit lets you manage communications with your candidates over text, increasing interaction rates significantly.
TextRecruit

OTHER

Boomerang

Other
Boomerang allows you to schedule emails to be sent later and reminds you about old emails that you have archived, ensuring that you never forget to respond to a candidate or client.
Boomerang

Data Miner

Other | Sourcing
A data scraping tool like Data Miner can be used in many powerful ways by a recruiter. For example, if you need Javascript developers, you can find a list of conference attendees for a Javascript conference, scrape the data and upload it to your CRM or ATS.
Data Miner

IFTTT

Other
Although not specifically geared towards the recruiting market, IFTTT lets you create “applets” that combine different services together. For example, you can get an e-mail notification when a LinkedIn contact changes jobs.
IFTTT

Populate

Other
Populate keeps headcount data in one place so that managers and stakeholders can review and approve headcount or budget changes and you can review your analytics to help with your comprehensive HR strategy.
Populate

Zapier

Other
Calling themselves “automation for busy people”, Zapier lets you move data between web apps automatically (perhaps a recruitment marketing platform and ATS), saving you time and ensuring data integrity.
Zapier
Bonus: Don’t have time to check out all the tools? No worries. Download a free PDF version of this guide right here.

Source: Tools for Recruiters: The Complete List | Talent Hero Media

HR Technology Tools Evolve to Handle Feedback, Performance and Agility

HR Tech MENA Summit returns for third edition in Dubai

Annual HR Tech MENA Summit 2017 Main Image

Dubai, 13 April, 2017 — HR Technology is fast developing. Year-on-year the trends, and market requirements keep developers busy. Driven by natural workplace changes and inspired by vastly different work ethics amongst new working demographics, HR Technology is continuously evolving from its traditional core of payroll, employee record management and recruitment.

Lorna Daly, Halogen Software
Lorna Daly, Regional Director, EMEA, Halogen Software

“People and their expectations of work are changing all over the world and it is happening quickly,” noted Ms. Lorna Daly, Regional Director, EMEA, Halogen Software who is a Gold Sponsor of the 3rd annual HR Tech Summit organized by QnA International. “We know that if people can give and receive feedback on an ongoing basis, they can feel good about what they do, and would be encouraged to bring their best effort forward, so they can give more to their customers, organizations and communities,” continued Ms. Daly.

Ongoing performance reviews, frequent and timely feedback is a new HR trend sweeping across many organizations across the globe. The need for almost immediate feedback stems from the multigenerational workforce, and the changing nature of work. “It comes down to something very fundamental; people want to feel a connection and a purpose to their organisation, that their contribution is valued and impactful,” stressed Ms. Daly.

To meet this new HR demands, organisations need to employ the new technological trends becoming available in the market place. In addition to traditional services of HR software, and cloud-based services, technological tools built for agility and for specialized purposes such as continuous performance management, frequent feedback, data analysis and learning tools will soon become an absolute must for the continued evolution of an organization.

However, Ms. Daly cautions on the blind application of these new HR technology tools, suggesting that organizations should “First recognise if the organisation is culturally ready to make the shift from traditional to ongoing performance management. Second, company leaders must be ready to act as role models for the rest of the staff. Culturally ready organizations are those which champion flexibility and adaptability to refine processes through the constant collection of feedback on new processes. This feedback loop ensures employees are supported.”

“Keeping up with technology developments affecting HR is becoming a tough task. The managerial processes for human resources across the globe is in a state of fluidity. Especially in the UAE and GCC which will see two new shifts with the onboarding of nationalization and VAT policies in the coming years, the importance of employing and using the appropriate tools for HR functions cannot be stressed more. Knowing the challenging changes ahead, we have planned the 3rd annual HR Tech Summit to provide in-depth discussions and ultimately provide a platform HR and IT Leaders to analyse the HR technology tools available, their uses, and whether or not they should be adapted and when adapted how it will impact the organizations in the region,” commented Sidh N.C., Director, QnA International.

On the trend of nationalization in the UAE and GCC, Ms. Daly said, “There is a great opportunity for business and HR leaders in the GCC to maximise the potential that exists in their respective region. In order to do this, organisations need to understand the existing skill sets of local nationals, continuously support the development of essential skills, and help with the career progression of local nationals into leadership positions. This effort will help organisations become an attractive destination for GCC citizens seeking employment and help shape the economic destiny of the region.”

Halogen Software will be actively taking part in the by-invite only premier summit which attracted over 150 C-level and senior level HR and IT personnel from government, state, public, and private organizations in 2016. “HR Tech MENA provides a terrific opportunity to connect with some of the world’s most thoughtful HR and business leaders. The partnership has opened the door to connect with very successful companies and has given us the opportunity to learn more about the emerging global trends and priorities in HR,” commented Ms. Daly on the importance of sponsoring, participating, and attending the 3rd annual HR Tech Summit.

The Summit will be held from 16-17 May 2017 at The Westin Dubai, Al Habtoor City, Dubai.

About HR Tech MENA

HR Tech Mena

Technology today has revolutionized every step of our lives and Human Resources is no different. The influence of technology on our evolution is paramount to making it imperative for HR to keep abreast with newest developments.

Today, HR is en route to becoming smart HR. Concepts such as Artificial Intelligence, big data, cloud, social workforce, mobility and gamification are key buzzwords and every organization is keen to embrace to help them in tackling the key issues of talent acquisition, talent management, change management, business performance and employee engagement.

The HR Tech Summit is the only initiative that brings together HR as well as IT professionals from across the Middle East and leading solution providers on a singular platform discussing the newest trends, ideas and disruptions over a period of two days exclusively dedicated to and focused on HR Technology.

About Halogen Software

Halogen Software

Halogen Software offers a cloud-based talent management suite that reinforces and drives higher employee performance across all talent programmes — whether that is performance management, learning and development, succession planning, recruiting and onboarding, or compensation. With over 2,100 customers worldwide, Halogen Software has been recognized as a market leader by major business analysts and has garnered the highest customer satisfaction ratings in the industry. Halogen Software’s powerful, yet simple-to-use solutions, which also include industry-vertical editions, are used by organisations that want to build a world-class workforce that is aligned, inspired and focused on delivering exceptional results. For more information, visit: http://www.halogensoftware.com/ae Subscribe to Halogen Software’s TalentSpace blog: http://www.halogensoftware.com/blog/ or follow Halogen Software on Twitter: http://twitter.com/HalogenSoftware.

Organiser: About QnA International

QnA International

QnA International creates and delivers business learning and development exchange platforms through B2B conferences, bespoke events and trainings. The company also has an expertise in outsourced sponsorship sales and key account management.

Website: www.qnainternational.com

Watch Macro

What Does the Future Hold for Global Payroll?

Written by Jan Van Mol, Head of Global Alliances at SD Worx.

Clock Closeup

Businesses are always looking for new ways to improve and innovate, and the payroll industry is no different. Payroll is arguably the purest form of HR data, providing employers with real-time information that can inform a more intelligence-led approach to business decision-making. Payroll systems that deliver insight as well as a good service for both employers and employees will undoubtedly gain long-term business intuition. Because of this, forward thinking organisations need to embrace a payroll system that can provide an optimum payroll service for employees across all departments and local market. Investing in a global payroll system that encompasses the individual needs of an organisation is the answer, but how can global payroll providers ensure that multinational businesses comply with all in-country legislations?

Retaining talent and providing the best service for employees is paramount for business leaders – something that has been fueled largely by the advent of new HR technologies. Studies show that if employees are not being paid correctly and on time, the knock-on effect on retention is significant. Employers that do not harness the benefits of global payroll will consequently fall behind in the competitive race, with business penalties spanning the short and long term.

With an increasing number of business leaders starting to understand the benefits that can be reaped from investing in global payroll, how can we expect global payroll to progress in the future? Below are three industry predictions:

1. Improved Employee Engagement

With Generation Z about to enter the workforce, businesses need to look ahead and think seriously about how to cater to the needs and requirements of these digital natives – and that includes playing to their payroll preferences. Generation Z grew up with technology, is comfortable using it, and has come to expect it in the workplace. If businesses can’t cater to these needs, they will struggle to retain the best talent within this workforce bracket.

SD Worx expects to see an increasing number of built-in employee engagement functions within global payroll systems over the coming year, which will include functionalities that improve and enhance the employee experience. These functionalities will be tailored to their users – self-service and user-friendly tools for Generation Zs and Millennials, for example. There will also be an increase in measurement and reporting tools that enable close monitoring of workforce experiences in a way that can then be acted upon to boost employee engagement.

2. Deeper HR Integration

Forward thinking organisations will begin to integrate payroll with wider reward and recognition benefits to create a single, comprehensive system. With the line between work and home life becoming increasingly blurred amidst the ‘always-on’ culture, businesses need to ensure that they have the right technologies and systems in place to help combat this and deliver positive workforce experiences. Payroll systems that incorporate add-on rewards and wellbeing benefits will therefore become increasingly commonplace in coming years.

3. More Data-Driven Predictions

As mentioned above, modern payroll systems now provide much more than a monthly back office function – with the right solution, they can deliver on-going business critical insight into an organisation. The desire for global business insight is increasing year-on-year, and if managed in an optimal, systemised way, accurate payroll data will increasingly begin to provide the source of this much sought after visibility. When combined with other data sets such as employee performance and talent management, the collective insight this delivers can enable business leaders to act upon information in a reactive way, but also in a predictive context to support future planning. Key examples include being able to better identify employee attrition and absence patterns in order to correctly forecast recruiting needs and save costs.

Global payroll providers not only ensure that employers are complying with global legislations, they also guarantee that local requirements are met too. Local legislation frequently changes – like Australia adopting Single Touch Payroll this year, for example – and many large organisations have already been the target of fines due to breaking compliance with local payroll requirements. Every country had different regulations, and it is the job of a global payroll provider to tailor their offering with the needs of each organisation.

The future is often uncertain at times, but global payroll with local capabilities can improve forecasting and planning, giving the business a strong and more insight-led direction. It is clear that the growing trend for global payroll with local capabilities will remain a key business requirement as businesses expand internationally and the world becomes ever more globalised.


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Paycor Workforce Insights

Paycor Workforce Insights

Paycor

Paycor Announces Workforce Insights to Provide HR Leaders with Deep Insights and Real-Time Analysis of Employee Data

New Data Visualization Solution Extracts Rich and Actionable Insights from People Data to Bring Valuable, C-Level Insights to Key Business Stakeholders

CINCINNATI – April 11, 2017 – Human Capital Management company Paycor today announced Workforce Insights, a new data visualization solution that extracts rich and actionable insights from people data to bring valuable C-level and operational insights to key business stakeholders. This new tool provides highly interactive dashboards that allow users to explore workforce issues and discover trends, so they can identify and solve business problems more quickly and effectively.

According to Bersin by Deloitte Research, there was a 120 percent growth in companies correlating people data to business performance in 2016. Merely mining HR data is no longer enough. It has become an operational business imperative for today’s organizations to extract actionable insights informed by data. Paycor’s Workforce Insights is a new, modern way for small to mid-sized businesses to meet this need.

Workforce Insights is a highly graphical and aggregated interactive data visualization solution that helps track and successfully manage business issues. This new solution instantly identifies key insights without having to import or export data, and provides actionable, results-driven charts detailing information compiled across HR, time, payroll, benefits, talent acquisition and onboarding data, so users can spend less time searching and more time focused on solving important business issues. Customers can easily tailor dashboards to fit their unique needs for a full view of their business. Users can take actions directly from the dashboards.

Paycor Workforce Insights

Key benefits of Workforce Insights include:

  • Identify actionable insights – Data from HR, time, payroll, benefits, talent acquisition and onboarding allows companies to identify issues, uncover correlating patterns and solve people problems such as performance issues by department or location.

Paycor is headquartered in Cincinnati, OH, but has sales representatives and offices across the country. To learn more about Workforce Insights and how Paycor can help your business, please visit https://resources.paycor.com/workforce-insights.

Availability

Workforce Insights will be generally available in May 2017. For pricing information, contact your Paycor sales representative or visit https://go.paycor.com/Contact-Sales.html.

Supporting Quotes

“We built Workforce Insights based on feedback from CEOs, CFOs and HR directors of small to mid-sized businesses across all industries,” said Zhen Tao, Chief Technology Officer of Paycor. “Workforce Insights provides HR and operational leaders with a holistic view of their people data and delivers valuable, actionable insights to key business stakeholders, further demonstrating the true value HR technology brings to the organization. This solution is a data revolution for companies looking to improve the way they understand their people data and use such insights to drive operational improvements.”

Supporting Resources

About Paycor

Paycor is a trusted partner to more than 31,000 small and medium-sized businesses. Known for delivering modern, intuitive recruiting, HR and payroll solutions, Paycor partners with businesses to optimize the management of their most valuable asset – their people. Paycor’s personalized support and user-friendly technology ensure that key business processes, including recruiting, onboarding, reporting, timekeeping, compliance and payroll, run smoothly. Paycor’s people operations solutions are recommended by today’s most innovative brokers, bankers, and CPAs. Learn how Paycor can transform your business by starting a conversation at http://www.paycor.com.

FOR MORE INFORMATION

Katy Bunn
kbunn@paycor.com
513.307.6392

MEDIA CONTACT

Tanaya Lukaszewski
paycor@kulesafaul.com
916.712.3791

5 Ways Companies are Delinking Performance Management from Pay

Written by Andrea Hak, Content Writer at Impraise.

shutterstock_145160614

Awarding higher pay and bonuses to top performers seems like the straightforward way to incentivize and retain great employees. The most popular format being performance based bonuses, which keep base pay manageable and provide incentives for better performance. However, research shows us that this may not be as simple as it seems.

A study by Willis Towers Watson found that only 20% of employers in North America actually believe merit pay is effective in driving high performance.

Traditionally money was seen as the main incentive used to motivate employees. Higher productivity results in higher salaries and bonuses. For companies, it’s been used as the main tool to attract, retain and engage employees. Today we’ve learned that the key to motivation is much more complex than that.

What psychologists and thought leaders have found is that money can actually demotivate employees from working at their peak performance by leading to a prioritization of rewards over learning and innovation. In one of the most widely viewed TEDTalks, career analyst Dan Pink explains that it’s actually intrinsic motivators like autonomy, mastery and purpose that drive real motivation.

To provide their employees with more opportunities to grow and develop, many companies are now moving to continuous, peer based and ratingless systems. The key question that many of them face is how they can continue to make compensation decisions, without inhibiting the feedback process.

In a recent eBook we identified five trends companies are following to delink performance from pay. Here is a summary of what we found:

1.  Keeping one annual review for compensation decisions

The most commonly used method is to introduce more continuous informal feedback and quarterly performance reviews, but continue to keep one annual review specifically for making compensation decisions. Rather than being in the dark until the annual review, employees will know where they are and how they’ve improved at each quarterly check-in. Compensation is still linked to end of the year feedback but the feedback they receive throughout the year is focused on growth and development.

2.  In ratingless systems

With more and more companies switching to ratingless reviews, this question has emerged as the main obstacle: without ratings how do we calculate compensation? Some companies have taken the position that ratings based reviews leave too much potential for bias. For example, a person’s communication skills can often be assessed differently depending on how communicative the rater is or how much they value communication within the team. However, when compensation decisions are based on a qualitative review the potential for rater bias actually increases, giving managers more leeway to decide how they want to award pay. Here are two ways companies are overcoming this:

Performance Calibration

Calibration meetings include a group of managers who discuss the performance of each employee.Together they come up with the best way to allocate pay and bonuses. Including multiple perspectives into the decision process is meant to separate rater bias from reviews and allow for a more accurate allocation of pay

Peer Reviews

Who better to ask about an individual’s performance than their teammates? Instead of depending on managers to make the majority of the decisions, some companies are basing pay solely on peer reviews. To avoid introducing ratings, employees are asked a series of questions about their peers, for example:

  • “How much did this person grow over the past 3 months? Please provide examples.”
  • “This person is your strongest team member. Explain why.”

3.  Objectives and Key Results

Setting Objectives and Key Results (OKRs) is the process made famous by companies like Google, Intel, Adobe and Linkedin. The idea is that allowing employees to set their own goals provides greater clarity in what’s expected and what needs to be done to perform well. On top of this, individual OKRs can more easily be aligned with team and company objectives. How these companies set compensation:

  • Employees regularly set their own OKRs with manager approval.
  • At the end of the performance period, compensation decisions are made by assessing whether and how well employees reached their OKRs.
  • Employees may not always complete their OKRs but assessing how they went about achieving them is taken into account.
  • This is combined with a review process during which information is gathered about their performance from their self-assessment, manager and peers.
  • Compensation is then decided based on OKRs, plus factors such as skill development, collaboration, leadership abilities and their contribution to the team/company.

4.  Getting Employees to give more feedback

Rather than trying to separate pay from feedback, some companies are actually using bonuses based on peer feedback to boost engagement. A joint study by SHRM and Globoforce found: “Peer-to-peer is 35.7% more likely to have a positive impact on financial results than manager-only recognition.” And dramatically, “When companies spend 1% or more of payroll on recognition, 85% see a positive impact on engagement.”

  • To implement this, some companies are allocating budgets to each employee. They can then use this to award cash bonuses to peers along with positive feedback. Rather than leaving pay solely up to managers, this system includes everyone in the decision process.
  • One of our clients came up with an innovative way to gamify peer feedback. Employees are given the opportunity to award gold, silver and bronze ratings to each piece of feedback they receive. Those who have shared the top most helpful feedback with their peers receive a bonus.

5.  Complete transparency

Some companies are rejecting individual performance based bonuses altogether in favor of complete transparency. For example, Buffer has come up with their own salary formula based on the person’s role, experience level and loyalty (years with the company). This essentially eliminates the compensation question altogether. In this type of system, everyone knows exactly where they stand and feedback can truly be focused solely on growth and development.

Alternatively, some companies have decided to slash the idea of individual rewards altogether, instead basing pay on team performance. Keep in mind that a study by PWC found that the ideal team size in this type of system is under five employees, with 60% of people becoming demotivated over five and 90% becoming demotivated in a team of over ten. Familiarity with team members was also an important factor.

Conclusion

It’s important that you find the best system for your culture and company objectives. Whether you place emphasis on teamwork or want to give individuals more autonomy over their personal development, it’s essential to research and understand which method will work best for you. No matter what you choose, the most important thing is that you clearly communicate to your managers and employees how this new system will work and how it will impact them.

About the Author:

Andrea Hak

Andrea Hak works as a content writer at Impraise, a web based and mobile solution for actionable, real-time feedback at work. Impraise turns performance reviews into an easy process by enabling users to give and receive valuable feedback in real-time and when it’s most helpful. With Impraise, employees can better analyze their strengths and learning opportunities, track their progress and pursue their personal and professional goals all year long. Managers can easily set up 360 degree feedback for their team or themselves, resulting in more meaningful 1-on-1s and more engaged people.

Contact Details: andrea@impraise.com


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