Web-Based Application

ERP/ Web-Based Applications

The development of integrated HR solutions was given further impetus by the emergence in the 1990s of enterprise resource planning (ERP) applications, such as Oracle, SAP and PeopleSoft. Initially the term was coined to describe a complete set of business applications that would cover all aspects of an organisations’s core process although later it generally mean applications that specifically focused on back office operations including HR, finance procurement.

The development of an integrated approach to the back office meant the potential to eliminate the complexities of integrating cross functional processes such as management of organization structures (where HR and finance information seldom agreed) and paved the way for fully integrated solutions that might cover multiple back office processes and geographics.

Changing Role for Software Vendors

The battleground for HR systems suppliers has shifted away from the development of new and better functional solutions. The functional “arm race” has led to a position whereby the majority of the users of the main ERP solutions are unable to make effective use of the full range of the functionality offered to them.
 Therefore many are simply buying more functionality

Of far greater importance now to the emerging models of HR is the need for effective integration of core HR applications with the wider set of technology  tools that are required to manage an HR SSC. Software vendors need to demonstrate that they possess an understanding of how a single end-to-end process will be supported by the technology and how the components of the product offering fits together to provide a seamless suite of applications for shared services

However, this is still a challenge to many suppliers who may not have had to make their products work this way before. For example, contact management solutions are an essential part of SSC technology; however, suppliers have frequently evolved their CRM tools to do a different job-namely to manage relationships  with external  customers – and still do not recognize the significance of these applications to HR

Ample evidence shown that many market leading suppliers are still focused on products that meet the demands of the ‘old’ model of HR delivery where the emphasis is solely on core process and HR-related management information. As long as this focus remains then suppliers will not provide adequate support to the needs of the new model for an integrated set of technology to support shared services.