Talent Management 2013
The Journey Has Begun

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Worth Knowing

Ranked Vendors Excel in Different Areas—Top-performer HealthcareSource has a large client base that gives excellent ratings for applicant tracking/hiring and online learning (NetLearning), particularly for ease of use. Halogen rates well in multiple areas, notably performance management, where clients see the software as configurable and HR friendly. At a distant third place, SAP (SuccessFactors) has significant struggles with customer relationships/support but stands out with broader deployments of their suite (notably succession and compensation modules).

Largest Vendors = Lowest Performers—Below-average customer relationships, need for more healthcare product specificity, and usability challenges are some key factors contributing to low scores among the largest vendors: IBM (Kenexa), Infor (Lawson), Oracle (Taleo), and SAP (SuccessFactors).

Talent Management Journey Often Begins with One Module—More than half of respondents report having deployed just one TM module. Vendor solutions deployed mostly for applicant tracking/hiring include HealthcareSource, IBM (Kenexa), and Oracle (Taleo and PeopleSoft); those for performance mostly include Halogen, Infor (Lawson), and SAP (SuccessFactors); those for learning mostly include HealthStream, HealthcareSource (NetLearning), and SumTotal.

Full Talent Management Suite Deployment a Rarity—KLAS validated only a handful of single-vendor, full deployments. Vendors Infor (Lawson), Peoplefluent, SAP (Success Factors), and SumTotal each had one client who deployed four modules, and SAP (Success Factors) had one client who deployed all modules measured in this report. Vendors considered most for future TM suite deployments include Infor (Lawson), SAP (SuccessFactors), and Halogen.

Impact of Talent Management Noticed, but Early—Of respondents, 80% reported a moderate or significant impact from the system, mostly from electronic documentation and information accessibility. Any real impact on employee performance is mostly yet to be seen, though standout vendors HealthcareSource (NetLearning) and Halogen have strong percentages of clients reporting a significant impact (74% and 44%, respectively).

Bottom Line On Vendors

Halogen Software: Most clients validated are smaller to midsize organizations. Key module used is robust performance management, but over one-third of clients interviewed expanded to other modules. Customers appreciate strong customer service and often refer to it more than to the product. Some customers look for more workflow-related improvements.

HealthcareSource: Highest client satisfaction in areas of applicant tracking and learning. Reported as recruiter friendly and easy to use. Recently acquired NetLearning LMS. Seen as cost-efficient and responsive vendor. Some clients note insufficient reporting capabilities.

HealthStream: Well-known for learning management system and learning offerings. Low product ratings in this report, though clients note use of product for training has positive impact on employees. Some clients use system specifically for compliance training. One indicated plans to use new performance module.

IBM (Kenexa): Used mostly within HR as applicant screening and recruiting tool, though vendor has other TM modules. Hiring managers appreciate impact on their department for faster turnaround of applicants, but overall client satisfaction is low, and several customers plan to leave.

Infor (Lawson): Lowest overall scores, but nearly all clients indicate Infor remains part of long-term plans. Clients typically use Infor Talent Management as extension to existing Lawson ERP applications. Clients indicate on-site deployments are difficult, but often use multiple modules. Recent CERTPOINT LMS acquisition rounds out suite offering.

Oracle:&nbps;Multiple TM offerings measured in this report, including PeopleSoft and Taleo. Both mainly used for applicant tracking and Taleo deployed at some very large sites and seen as great product but scored low from challenges with integration and vendor service. PeopleSoft TM rated higher - in part from better integration with PeopleSoft ERP. PeopleSoft TM seen as robust but complex, and clients want updated user interface.

SAP (SuccessFactors): Underdelivers on customer relationships in areas of support, executive involvement, and sales/contracting, but excels with TM suite deployments, including less-adopted areas of compensation and succession planning. Used at multiple large organizations. Seen as suite, but not as part of broader SAP ERP platform.

SumTotal: Typically deployed for the learning module, though one customer used nearly all TM modules. Above-average customer satisfaction compared to most other TM vendors, though presence in healthcare still limited.