When acquiring a new HRIS system, many companies fail to consider what kind of an impact vendor support may have on the implementation process. Since implementation sets the company up for ultimate success or failure, it’s important to do whatever it takes to ease the implementation process. Determining in advance how largely the vendor will be involved with the implementation process (and how much you need them to) is critical.
Relieve Burden from Company
If a vendor will perform the brunt of the duties associated with HRIS implementation, it can relieve much of the burden from a company. If an outside consultant is put in charge of transferring data, instituting rules, and customizing dashboards, it can save a company many hours of labor. This can also ease the pressures associated with acquiring and implementing a new HRIS.
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Prevent Critical Errors
Since a vendor representative or consultant is an expert, many of the growing pains associated with an employee learning about the new system “by doing” will be bypassed. When employees are left to contend with an unfamiliar HR system, they may make critical errors either in setting up rules or transferring data. A vendor representative is unlikely to make these mistakes.
Speeds Implementation Process
Since vendor representatives are well-acquainted with the recently acquired system, they are most likely going to implement the new system much faster than company employees. An expedited implementation means that HR systems can be automated faster, thereby allowing the company to see ROI faster. Management is also free to focus on managing the human and organizational aspects of the change, rather than the technical elements.
May Increase HRIS Costs
Unfortunately, it may be costly for a vendor to perform the bulk of implementation tasks or even provide moderate assistance with implementation. If a company is paying all costs up-front, this can make for a considerable difference in price and therefore completely alter the budget.
It may be helpful to calculate how much a vendor will charge for helping with implementation, and then calculate how much the implementation will cost in labor and downtime, in order to reasonably discern the difference.
May Impact System Adoption (Negatively or Positively)
When a HRIS vendor handles the majority of the implementation tasks, it means that employees do not have to handle these tasks.
While we have reviewed some benefits of this approach, this also means that the employees, managers, IT, and HR professionals that would normally be learning about the system hands-on are now disengaged from the implementation process. After implementation, these employees will need to be thoroughly trained and will likely never acquire the same degree of understanding they would gain from performing the implementation.
In addition to knowing less about the system, employee’s investment with the system is dramatically diminished since they have had little to no part in the implementation process. This may impact system adoption rates. It’s important to consider both the pros and cons of relying heavily on vendor support for implementation.
Authored by: Dave Rietsema