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The Annual HCM/HRIS Report 2016

There have been many rumours over the past year on the state of HCM, but this report contains actual...

The Annual HCM/HRIS Report 2015 - 2016

A year on from our last report and much has changed in the Human Capital Management (HCM) space. There have been many published opinion pieces over the past year on the current state of HCM, however this report contains quantifiable evidence from key HR leaders on the real trends. It’s apparent that organisations’ HR processes have evolved in recent years to address the effectiveness of Human Capital Management and are leveraging this to achieve successful outcomes now and into the future.

This report discusses the Human Capital Management maturity level of Australian organisations. This is the 2nd consecutive year PeopleStreme has run this survey and we are thrilled with the record number of responses. As with last year’s survey, participants were asked to specify which level on the HCM maturity scale their organisation currently identifies with (See Figure 1 below). The biggest surprise of the year has been the jump from level 1 to level 2 or higher by 21% of organisations. This means that 21% of companies decided to implement some form of HR technology

With more organisations moving up the Human Capital Maturity Scale from last year, organisations are realising the benefits of an integrated HCM/ HRIS software that can be used by every single person in an organisation, rather than just a few at the top. This trend highlights the fact that organisations recognise that they need to be more effective at managing their human capital.

HCM Maturity Scale

Which level on the 5 level Maturity Scale does your organisation most identify with?

At least 43% of respondents stated that their organisation was still at level one on the HCM maturity scale. At this level, HR processes are manual and mainly focus on employee record keeping and payroll processing. The lack of technology and integrated HR business process hinders companies from properly managing their Human Capital.

Although this number has decreased by 21% since 2014, it still highlights the fact that a large number of organisations have a massive opportunity for improvement in their HCM effectiveness. It is worth noting that more organisations with less than 200 employees have moved from level 1 to level 2 or higher than any other organisational size.

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The Annual HCM/HRIS Report 2016


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