Authors: Srishti Sharma, Dr. Gifty Parker
Strategic planning for HR technology requires a holistic approach, considering not just technical deployment but also integration with existing HR functions and the social acceptance of new tools. As organizations adopt HR technologies, planning must address alignment with strategic objectives, operational efficiency, and employee engagement to ensure successful implementation.
Attending the Seminar “3 Steps to Create a Strategic Roadmap for HR Technology” by Gartner Webinars shed light on the challenges organizations face with HR technology solutions. Many HR leaders find that their systems fail to meet evolving business needs, and a significant number of buyers regret their software purchases. This session provided valuable insights into selecting the right HR Technology strategy and creating a roadmap to align these tools with critical business outcomes.
Step 1: Identify the current state of HR technology and define the desired future state, ensuring alignment with business objectives.
Step 2: Assess technology options based on functionality, compatibility, organizational fit, and cost to determine the best execution strategy.
Step 3: Develop and implement a strategic roadmap, ensuring seamless integration and adoption for long-term success.
The session kicked off with an interesting analogy from the presenter, Harsh Kundulli, a Senior Director at Gartner. He compared creating an HR Technology Roadmap to how he planned his trip – first deciding where he wanted to go, then analyzing the available options, and finally mapping out the journey to get there. He said that the same approach applies to HR Technology strategy: organizations must first envision their ideal future state, carefully evaluate or analyze different technology options, and then develop a clear roadmap for execution.
The first step, “Envision” is about setting a clear and realistic vision. Kundulli talked about how organizations should avoid aiming for the impossible and instead focus on achievable goals that align with both the CEO’s expectations and HR’s priorities. This alignment helps shape a strong vision statement, guiding the strategy. There are two types of technology visions:
For example, an organization might focus on a Process-led vision if its primary objective is reducing administrative costs and time spent on payroll processing. On the other hand, a company focused on enhancing employee engagement and simplifying user workflows might pursue an Experience-led vision. A real-world illustration of the latter would be implementing a self-service HR portal with AI-powered assistance to help employees access resources and manage tasks seamlessly.
The importance of this alignment echoes findings from Suri and Lakhanpal (2024), who highlight that the application of people analytics helps to achieve greater alignment between HR functions and organizational goals. This alignment, as discussed, isn’t just theoretical; it’s practical and requires a clear, achievable vision to bridge HR’s operations with the broader strategic objectives of the organization.
Kundulli then introduced the two types of HR technology execution strategies: Suite-Centric (centralized or consolidated) and Portfolio-Based (augmented or optimized). Suite-Centric offers stability and cost control but limits automation and innovation, whereas Portfolio-Based allows for greater flexibility and innovation but comes with higher complexity and costs. Organizations choose based on their priorities – cost-conscious companies prefer centralized models, while those seeking deep functional enablement lean toward augmented approaches. In 2024, Augmented execution dominated the market, but by 2026 both Consolidated and Optimized strategies are expected to see significant growth. Suri and Lakhanpal’s (2024) review of people analytics suggests that these kinds of strategic decisions, like choosing between Suite-Centric and Portfolio-Based models, should not be arbitrary. Instead, they must be grounded in solid data-driven insights. People analytics, as a tool for strategic HR planning, could help inform such decisions by linking HR processes to business outcomes, enhancing the organization’s ability to make strategic decisions that drive measurable results.One practical example is a manufacturing company opting for a Suite-Centric model to centralize payroll, compliance, and attendance tracking across multiple locations. Conversely, a tech startup might adopt a Portfolio-Based approach, integrating specialized solutions for performance management, learning platforms, and workforce analytics to foster innovation and adaptability. These decisions hinge on aligning technology strategy with the company’s overall goals. For example, a highly centralized organization with a stable operational model might lean toward a Suite-Centric strategy for its ability to offer uniformity and cost control. Meanwhile, a rapidly growing tech startup with a diverse, flexible culture may benefit more from a Portfolio-Based approach to ensure agility and adaptability
Finally, Kundulli emphasized that there is no one-size-fits-all cohort for organizations when it comes to HR technology. To make the right decision, we must first define where we want to be, explore various technology options, and then assess them based on criteria like functionality, technical compatibility, organizational fit, and cost. By weighing the pros and cons of each option, we can then create a strategic roadmap that captures the key people, process, technology, and data initiatives needed to achieve the desired future state, which is the third step. This insight directly connects with Suri and Lakhanpal’s (2024) findings on how people analytics plays a crucial role in ensuring HR’s integration into the strategic planning process. Analytics ensures that decisions are not only informed but also that they demonstrate causal links between HR practices and business performance. Thus, similar to how people analytics fosters better integration of HR with strategic business goals, HR technology adoption must be driven by evidence-backed, data-driven decisions to ensure they are effective and aligned with the long-term vision. For example, some organizations may use surveys, performance tracking systems, or employee feedback loops to collect data on how HR tech solutions impact daily workflows. These insights can help HR leaders decide whether a tool is meeting organizational needs or if adjustments are necessaryConsidering Other HR Functions
One critical aspect of HR technology planning that often gets overlooked is its integration with other HR functions, particularly ensuring social acceptance of new tools. Employee adoption rates can make or break the success of a technology initiative. A recent experience at PARKER HR Solutions serves as a reminder of this. When Srishti Sharma joined our team as an HR Coordinator, we overlooked her expressed preference for a laptop instead of the standard-issue desktop. This preference, if considered during her onboarding, could have significantly impacted her comfort and productivity in adopting the new systems. Unfortunately, we missed this opportunity, and it became a learning moment for us. As champions of user-centric HR practices, we realized the importance of aligning technology choices with employee preferences and needs—something we advocate for but overlooked in practice. This oversight highlights how essential it is to include user preferences in HR technology planning. Engaging employees in the decision-making process—whether through surveys, feedback loops, or pilot programs—can improve acceptance and ease transitions. Organizations must strive to bridge the gap between technology and human experience to ensure successful implementation.
For instance, using people analytics, an organization could assess which HR tools lead to improved employee engagement or higher productivity, helping to inform the decision between a Suite-Centric or Portfolio-Based strategy. Using people analytics, organizations can track employee interactions with new HR technologies, measuring adoption rates and identifying pain points in real-time. This allows HR to address issues promptly, enhancing overall user engagement and ensuring the successful integration of new tools. People analytics allows organizations to track key metrics, such as user engagement and adoption rates. By analyzing these patterns, HR can determine whether the technology is meeting employee needs, adjust the implementation strategy, and ensure a smoother transition.
To sum up, the seminar highlighted the importance of aligning HR technology with organizational goals through a strategic roadmap.By evaluating factors such as technology vision and execution strategies, businesses can make more informed decisions. These decisions can lead to meaningful results. Reflecting on this, I found the trip analogy helpful in illustrating the need for a clear vision, analysis, and a structured plan. It made me realize that HR technology decisions should not be rushed or based on fleeting trends but should be aligned with organizational goals and priorities. This session inspired me to approach HR technology more strategically, ensuring it supports both present and future needs.
In conclusion, aligning HR technology with organizational goals, grounded in people analytics, is essential for driving long-term business success. By leveraging data to make strategic decisions, HR leaders can ensure their technology investments are not only successful but also transformative.
References:
Kundulli, H. (2024, February 19). Attending the seminar “3 steps to create a strategic roadmap for HR technology” by Gartner Webinars. Gartner. https://webinar.gartner.com/702016/agenda/session/1567420?login=ML
Suri, N., & Lakhanpal, P. (2024). People Analytics Enabling HR Strategic Partnership: A Review. South Asian Journal of Human Resources Management, 11(1), 130–164. https://doi.org/10.1177/23220937221119599