Three cloud HRMS features you can't ignore during selection

As you enter into an HRMS selection phase the number of vendors and products can be overwhelming especially as not all cloud systems are created equal. As cloud solutions are different from traditional on-premise HRMS, the old ways of evaluating and measuring a shortlist are not enough. Choosing a cloud HRMS requires an additional set of criteria in order to find the best solution. Here are important cloud elements that are often ignored but critical as you enter the RFP phase.

1. Maturity of the HRMS

The SaaS HRMS market is young but growing rapidly as a variety of vendors are developing new products for this evolving market. Many HRMS have robust functionality and good usability but are recent entrants to the market so are unproven in the long run. Potential pitfalls, such as an annual government report that the provider has not yet complied with  are initially unseen. Or if you are in a country which requires a specific functionality or in a certain industry which the vendor has not entered previously, you may find yourself requesting and waiting for them to create that functionality for you.

Recommended reading: get your cloud HRMS selection project off to the best start with our step-by-step HRMS selection survival guide

As you prepare your short list ask the vendor for their time on the market, number of customers in production and their history with specifics that are important to your company such as a large union population, the ability to support mobile HRMS for a population that is not office based, etc.

2. Scalability

A strong cloud vendor should offer a strategic vision for the scalability of their HRMS. Can you easily add and remove populations? Many cloud vendors are unable to delete employees or setup data from their systems while others will require a period of weeks for any mass loading activities. If you are active in the area of acquisitions and divestitures ask your potential vendors about their functionality in this area along with details of their past experience on this topic.

3. Speed and dependability

Speed and dependability are both important factors to consider, in particular if you have global operations. As cloud providers are now placing data centers around the world, will you be supported in your time zone? This consideration becomes especially relevant as SaaS providers often look to minimize costs and use support workers located in countries where labor is cheap.

When and how are upgrades scheduled? Many cloud providers are located in the US and will schedule upgrades at the end of the day in their time zone, which may be the middle of the day in other parts of the world. Investigate whether you able to choose or influence system downtime due to required maintenance.