More Organizations Moving Away From Legacy HR Systems

A recent survey by SumTotal Systems – a global leader in human capital management solutions, has found that a majority of business organizations are becoming increasingly dissatisfied with their traditional legacy HR systems and/or ERP-based systems and are switching to new cloud-based talent management solutions. Their findings indicate that the typical global organization favors moving toward a single best-in-class solution provider nearly 3-to-1 over adopting the basic functionality of their legacy ERP provider.

SumTotal Systems’ global HR Technology survey had participants from multiple market segments across 27 countries. The data suggests that costly and inflexible legacy ERP and HRMS systems are an antiquated solution in an increasingly dynamic business environment.

“Customers have articulated to us that they want to reduce the number of HR technology deployments at their organization not just to reduce overhead costs, but also to simplify the management process of disparate systems,” said John Borgerding, CEO of SumTotal Systems. “Managing a mix of point systems – whether legacy, custom-built, or niche deployments – has become untenable from a cost and administration perspective. SumTotal is leading the industry with complete solutions that provide a single source of truth for talent-based information that enable global organizations to better manage their businesses.”

SumTotal’s research revealed that 34 percent of all HR system buyers would now prefer to use a single vendor for their HR technology. Comprehensive solutions that incorporate strategic human capital management functionality and leverage the power and efficiency of cloud-based technology will likely provide an answer for business organizations disillusioned with the competency of their current, outmoded legacy HR systems.