Unsurprisingly, cost is the biggest barrier to

implementing good HR tech (70%). Per-employee-

per-month (PEPM) fees of HR tech systems

range from a few dollars to $40+. The stakes are

clearly high for the HR person who champions a

new system that disrupts the business.

Through qualitative research of over 50+ one-

on-one calls, we found that a robust evaluation

process as well as vendor-management skills are

the key drivers to overcoming this barrier.

In general, can your employees find what they need without help from the HR team?

Peer recommendations

There are a few drivers to overall dissatisfaction with

HR Tech:

For high-growth companies, the 100 employee milestone

should be a trigger for reviewing your HR Tech.

Solutions have trade-offs between simplicity and power

Often, HR has inherited the stack

There's a low threshold for workflow disruptions that

come with implementing something new

*Survey consisted of 205 responses from companies with 15 to 3,000 Benefits Eligible

Employees across different industries and geographical locations within the US.w w w. l u m i t y. c o m

From the employees perspective, technology should

deliver self-serve capabilities. Anywhere, anytime

access to information they need provides a better

experience. Plus, it lowers the burden on the HR team.

Yet, almost one of every two HR professionals said

their employees require help to find what they need.

OF COMPANIES SAID MODERN HR TECHNOLOGY IS IMPORTANT TO THEIR BUSINESS.96%

LEVERAGING MODERN HR TECHNOLOGY IS

Important to recruiting/retaining top talent 60%

Important to the bottom line of our business 60%

Important to our employee brand 44%

Will be important next year 21%

Not important yet 4 %

MOST POPULAR HR TECHNOLOGY

Top 3 HRIS

ADP 27%

BambooHR 14%

Paylocity 7%

Top 3 Payroll

Top 3 PEOs

ADP 38%

Gusto 10%

Paylocity 8%

Top 3 Benefits Administration Systems

ADP 25%

Gusto 6%

Namely 6%

Greenhouse 19%

12%

ADP 7%

Lever

8%

ADP

Lattice

5%

BambooHR 4%

Top 3 Applicant Tracking Systems

Top 3 Performance Management Systems

TriNet 39%

Insperity 10%

Justworks 9%

HOW DO YOU EVALUATE NEW HR TECHNOLOGIES?

1. Document your current use cases and workflows.

2. Assess your needs over the next 6-12 months.

3. Ensure the solution can handle your needs as you scale.

4. Start your vendor due diligence early.

5. Get references. Preferably from companies "like"

yours (size, geo, industry, use case)

6. Be clear on how long the technology will take to implement.

Tips for evaluating HR Tech

Learn More: Watch the Great HR Tech Debate.

63%

Previous work experience45%HR Tech conferences and meetups39%

Other9%

Online reviews (G2 Crowd, TrustRadius, Capterra, etc.)51%

Executive recommendations21%

THE BIGGEST BARRIERS TO IMPLEMENTING A GOOD HR TECH

70% Cost or budget

41% Executive buy in

38% Time constraints

37% Lack of internal resources

23% Difficult to implement

11% Lack of options in the market

4% Other

3% There are no barriers

55% OF HR PROS ARE NOT CURRENTLY HAPPY WITH THEIR HR

TECHNOLOGY STACK

55% 45%Yes No

INTERESTED IN HOW YOUR HR TECH STACKS UP?BENCHMARK YOUR HR TECH STACK AGAINST BEST-IN-CLASS

bit.ly/HRTech-benchmarks

*44% of respondents didn't use any PMS.

THE STATE OF HR TECHNOLOGY IN 2019

BY