Dinosaurs to Dynamos: A New Era for HR Tech

For over a decade, Tugela People has been helping mid-sized multinational organisations select the right HR and Payroll solutions that fit their needs. Our founder and CEO, Thomas Schilling, spent much of the early years of his career working in HR for large multi-national enterprise businesses, and let’s face it -these big companies are pretty good when it comes to systems, data and reporting.  When it comes to mid-sized businesses, the story can be quite different. Many of them just don’t have the same budget, resources or skillset.

Tugela People was set up with one simple mission: to bring the same enterprise-level expertise and support to mid-sized businesses’ HR technology. When a firm grows to more than 200 people, those casual “chats” around the office about updating your employee details or checking in about how everyone in the business is feeling or performing start to feel more difficult. Then, when your business grows to 500 people, you’re swimming in data, changes, documentation, contracts, and spreadsheets - and suddenly, everything starts to creak under pressure. Then, when you hit 1000 employees, chances are that you’ve likely gone global, with employees in more than one country – and suddenly, you’re facing the same complexities as those large international companies.

Although our clients' industries may vary, their needs are pretty much the same; they’re all looking to implement, adopt, and enhance their HR and payroll technology. And let’s be honest, they’ve learnt a few (hard) lessons along the way, so they’re hesitant not to make the same mistakes twice.

Tugela People have been around long enough to see how mid-market businesses react to changing financial markets and economies, evolving technology trends and shifting priorities.  Over the last 12 months or so, we have seen a rise in our existing clients looking to get more out of what they already have.  Let’s face it - migrating and transitioning to a new system is a luxury most firms don’t have the time or money for. While systems and processes are a critical concern for most business leaders, they are also working hard to keep employees engaged and productive – using the same technology they already have.

We have even seen some consolidation happening - systems purchased but not implemented correctly, or worse, systems that can’t do what they were promised they could do. These days, it seems like changing business processes is now easier than bending the technology to fit.

That said, it’s not all doom and gloom! The beauty of the mid-market is that it is constantly evolving. At Tugela People, we’ve helped dozens of companies over the years (especially recently) prepare for and execute an RFP process and select the right technology for them.  We have also noticed a trend in the types of companies taking action to improve their HR technology stack:

1. Small companies that have outstayed their welcome on small business systems:

On the HR technology maturity curve, smaller companies often start with a basic HRIS, and that’s just fine.  Small business HR systems have come a long way and can offer more today than ever before.  When you had circa. 200 employees, it worked perfectly. Over the last few years, however, the focus and priority have been on growth, which meant adding other HCM systems, like an ATS, to support the vast amount of recruitment activity – it’s been a lifesaver!

But then, one day, you wake up to find that you now have 600 employees spread across three different systems and that basic HRIS just isn’t cutting it anymore.  The spreadsheets are growing, and the lack of integration means you are throwing people resources at the problems, and mistakes are being made.  Questions that should be simple like; “How many employees do we have? “or “What is the headcount plan for the year?” now take days or even weeks to pull together and give an accurate answer – and by the time you get the answer, it's already out of date.

These firms are reaching out to us, saying, “Help! We’re in a mess, and just getting through the day-to-day is difficult. How are we ever going to be able to figure out what we should do about this? We have implemented so many point solutions as quick fixes, and we now have a siloed stack of different systems that has gotten out of hand. Which ones do we replace, and which ones do we keep? We cannot afford to get this wrong.”

2. The dinosaurs return – traditional companies that have underinvested in technology over the years

For some larger organisations who have been around for a long, long time (hence the dinosaurs’ analogy) and who have operated for decades and implemented best-in-class technology some ten, fifteen or twenty years ago have come to realise that innovation is now more important than ever if they want to stay competitive.  Some of these firms are having their hands forced into action by their long-standing technology partners – systems moving into sunset, support no longer available and employee expectations shifting (who knew booking a holiday or checking a payslip could become so... modern?) Honestly, this is not a bad thing; in fact, kudos to them – these companies have squeezed every ounce of value from their technology over the years, and it has “done a job”, so why change?

But here’s the catch!  These companies have also lived with the same tech for so long that there hasn’t been a need to implement even a best-of-breed solution. Their old procurement processes and RFP documentation still have “on-premise” requirements, so how do they get up to speed and quickly, with process maps, requirement documents, demo scenarios and other tools to make sound decisions? Meanwhile, technology vendors have perfected the art of how they “sell” your systems, and if it’s a while since you’ve been through the process, you are a sitting duck for those hungry salespeople just queuing up to show you their shiny new tech.  It’s impressive, and there is no doubt you will get very excited, but the moment you do, you are playing into their hands.

As market cycles ebb and flow, there will come a time when buying tech as a ‘nice to have’ will return, but for now, we’re in a ‘must-have’ situation. The stakes have never been higher, especially with more choices on the market than ever before. Now, we’re biased—we live and breathe the world of mid-sized multinational HR and Payroll technology every day. Maybe Tugela People isn’t the perfect fit for you, but I can tell you this: having a consulting expert in your corner right now is worth its weight in gold.

Take a look at our case study to see how we’ve helped companies like Aventum. We worked alongside them to assess their HR and Payroll needs, select the right technology, and navigate the implementation process, setting them up for long-term success.

HR and Payroll technology is constantly evolving, and at Tugela People, we’ve helped businesses navigate this landscape, selecting the right systems and making informed decisions. The proper guidance can make all the difference.