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As an HR leader, you probably don’t need a survey to tell you that you’re more than likely fed up with your existing technology.
Of course, there’s plenty of it. A 2024 report from Sage, for example, finds that 83% of HR leaders say they don’t currently have the right HR technology.
Whether it’s an ineffective ATS slowing down recruitment scheduling, a lackluster LMS that fails to inspire a culture of learning, or even an erratic payroll platform that causes compliance-endangering errors, employees and HR leaders are collectively crying out for better technology.
So, why aren’t they getting it? And how can HR leaders be better at securing the technology they want?
Procurement pain relief pill #1: Pick your battles before your provider
The procurement journey is long and arduous. Any acquisition of new technology will be costly and to steal a phrase from the infamous Mr. Zuckerberg, we are in the “era of efficiency.”
Any investment in HR technology will require developing a clear business case, including buy-in from employees and business leaders alike before any purchase request is submitted and drafted.
With conference season in full swing and vendor expos aplenty, the worst mistake any HR leader can make is falling in love with a piece of HR tech without considering whether it will genuinely help solve an issue for their employees and or business. Tight purse strings mean that for HR to get the technology they truly need (and want), leaders must prioritize and get to grips with their most urgent need, and how a piece of new tech would address that challenge.
Mapping out a roadmap for the coming months, and years can save HR professionals the headache of jumping the gun and planning for a piece of technology that no purchasing team will sign off on.
Procurement pain relief pill #2: Recruit buy-in pre-RFP
It’s human nature that we are happier with a decision when we are involved in making it. Imagine, as a parent, picking out a big family vacation package for you, your partner, and your children.
You spent hours, days, and weeks making plans and getting bookings ready to go. Just before you put in your credit card details, you ask everyone to gather around and reveal everything you plan to book.
“We wanted somewhere with a pool!” the children wail. “I don’t think we can afford to go abroad, why don’t we just stay local?” your partner insists.
It’s the same for HR procurement. To avoid friction down the road, it is best practice to generate buy-in during the vendor selection or request-for-proposal (RFP) process.
Employees, representatives from technology or finance, procurement team members, and many other stakeholders could all offer useful value during this process. Once you have a signed-off purchase request, work with these stakeholders to identify a list of requirements that everyone agrees on and have representatives from each group to help you screen vendors on aspects such as cost, speed, safety, reliability, and sustainability among others.
Whilst it may be tricky to reach a consensus, allowing representatives from different areas of the business to influence the selection means they are more likely to support the purchase and implementation of the technology.
This can also help avoid a scenario where HR purchases the latest shiny, new, AI-enabled, cloud-based, VR-facilitated, in-the-flow of-work, gamified, automated HRIS when all they really wanted was access to some useful learning resources and to be paid on time.
Procurement pain relief pill #3: Scale success and prove ROI
A 2022 study by the Josh Bersin company found that 42% of 700 global HR professionals stated their HR technology implementations have failed or not been fully successful two years after installation.
HR leaders must be better at driving adoption and proving that their purchases delivered the value that was promised. The steps above are a good start, as they will help HR leaders prioritize investments in technology that the business and its employees truly need and secure the buy-in from change-averse workers.
Once a platform has been purchased, HR leaders should continue their close work with employees, technology teams, and the vendor itself to ensure the tech is being used.
If HR teams can measurably prove the impact of the platform and how it is helping the business achieve its mission, this can help build – or rebuild – the reputation of the department as worth of greater investment.
Starting with small trials or tests and proving return on investment (ROI), before scaling it to the entire organization, is a simple but effective method to demonstrate the value of a purchase.
Unfortunately, a major frustration for HR leaders trying to procure technology is a history of failed implementations, tech debt, and shelfware counting against them.
To make sure you can get the tech you want well into the long-term, be sure to take a measured and closely-monitored approach that allows you to report and celebrate successful investments.
