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5 Practices To Boost HR Tech Adoption

How can organizations get the desired ROI from their HR Tech implementation?

Phil Strazzulla
HR Tech Expert, Harvard MBA, Finance and Software Nerd
February 3, 2022
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A decade ago, the application of HR software was limited to mundane operational processes like attendance management and payroll. But that's no longer the case. 

Today, HR Tech is a $400-billion marketplace. Businesses use HR software for a plethora of processes, ranging from recruitment to onboarding, performance management, employee engagement, and people analytics

However, we know that not all implementations are successful. In fact, according to a study conducted by KPMG, 63% of the respondents expected far more value addition to their business from HR Tech adoption than what their investments had achieved. And with the average company spending hundreds of dollars per employee on different HR tools and services, their expectations are completely fair. 

So how can organizations get the desired ROI from their HR Tech implementation? Here are five actionable practices we recommend:

1. Align technology with strategy

Sometimes, a specific HR software is implemented simply because the vendor is a known name in the space or the technology is a cheaper alternative. Instead, take a step back and analyze if the software is the best solution to help you achieve your strategic goals.

Outline the goals you wish to accomplish and then plan backwards, finding software that can improve performance and help you attain your objectives. In most cases, this automatically ensures a better ROI. 

2. Get C-suite buy-in

Achieving user adoption for new technology requires communicating with stakeholders early and often. Show them the impact the new technology will have and walk them through your strategy. If the top-level management vocalizes their support for new technology, it instills in employees a certain sense of confidence, making them more receptive to change. 

You can also go one step further and ask your C-suite to discuss the usage and benefits of the new software solutions. Open a healthy dialogue, and you'll definitely see a difference. 

HR professionals discussing technologies

3. Perform a thorough current system analysis 

When upgrading HR Tech, there's always a compatibility risk with existing systems. And thus, to prevent all system integration issues, make sure to review and analyze all the current technologies your organization uses.

Conduct detailed requirement gathering, test different functionalities, and ensure seamless integration. This practice will prevent system redundancies to a great extent and help you stay well within budget.

4. Offer training and support 

One of the main reasons HR Tech adoption fails is insufficient training and support. And we don't mean PowerPoint presentations or lengthy video demos. People need to see the software in play in real-time, understand the different features in the context of their specific work processes, and ask questions. 

Also, a single training session might not be enough for your employees to understand a new technology. This is why, once implemented, some HR software vendors have a trainer accessible for the next 3-4 months to ensure that everyone is well-versed with the new system. 

This, of course, depends on the complexity of the tool and the processes it’ll help carry out. However, even with super simple and intuitive tools, it’s good to make sure that support is always available, should the need arise. 

5. Monitor, and then monitor some more

More often than not, introducing new HR Tech is likely to disrupt the workflow. And that's why it's so crucial to monitor the deployment. Be open to feedback from the stakeholders and the employees and adjust your deployment as needed. 

This not only makes everyone feel like they are a part of the change but also gives you invaluable insights into what's working, what's not and how you can adapt it to deliver a positive ROI.

So the next time you're implementing new HR technologies, plan for it, gain buy-in, perform a compatibility analysis, train your team, and be open to feedback. If not adopted the right way, that shiny new software product can become a tool without a purpose.

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Phil Strazzulla

Phil is the founder of SelectSoftware Reviews, a website dedicated to helping HR and Recruiting teams to find and buy the right software through in-depth, expert advice. Phil started his career working in venture capital before getting his MBA from Harvard Business School.

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