Human Resources tech might already be an archaic term.
In Tech Old English it might have been that category of companies that were using the internet and on/off premises innovation to improve efficiencies
We can loosely examine Human Resources Tech from its characteristics, properties and feature, like reassembling a dinosaur skeleton:
Table of Contents
Operational Maturity
A company in the earliest ‘pre-product’ development phase is building and testing. There is no opportunity for profit, no need for levers or operations excellence.
When it’s built ‘enough’ of the product the staffing ratios shift to favor sales and service. The product is still fighting its initial path into the market and is not yet rigid on pricing.
If it has built it, refined it, sold and serviced it, then the company must quickly turn inward to improve its leverage and operational excellence.
Sales and/or channel distribution
Product cycle times have become so compressed it is difficult to keep the mercenary channel partners sales educated and to maintain visibility.
Service companies that have built the client facing pieces will capture most of the revenue and re-allocate to staffing ratios in non development. They lever a high tech, high touch approach.
Product
HRTech could include many niche components in an HR system:
Messaging and notifications
Most of the workforce isn’t tethered to their desktop. Employees are working in the field, or in retail, or in a hospital, casino, hotel, an oil field, etc.,
One element I am excited about is the significant process improvement messaging and notifications can bring.
If I am a mature company, I have several ancillary products that are complimentary to a ‘whole product’ offering. The theory is great it’s manpower intensive to cross sell clients. Messaging and notifications reduces the human intervention needed in an up-sell.
Applicant tracking, Learning Management
Legacy HRIS systems were built as compliance utility. It’s not friendly to use and it was designed to be transactional. The newest entrants are keeping people on the site with a wealth of features, benefits and high frequency touches.
Recruiting
The most exciting companies are perfecting an action but also going deep into an entire process. The legacy systems have huge gaps and the top new (and some older that are gaining enormous traction) are defining the space as friendlier, improved workflows, doesn’t need much upkeep or dedicated personnel to support.
Personas
If HRTech infers a new entrant in a market then it may also suggest the different types of management styles:
CEO
builds a team of experienced managers who can plot the system of conquest and assimilation while still operating the core business successfully. The best CEO’s of the type are extremely charismatic and use charm to disarm and align their Survivor ‘alliance’.
Administrator
Has patience. They go deep into a system. Less interested in building a substitute product and instead wants to build the one that works the best and captures the most value. Disciplined and stays ahead of the demand curve.
The End?