Human Capital Management Just what is Human Capital Management (HCM)?
HCM is spawned from the old classic Human Resources functionality where many facets of the HR process were handled by independent and non-connected applications. For example Goal & Performance Management was independent of Talent Management which was independent of Expense Management & Payroll. Modern HR systems now are HCM systems. The full breath of an HCM system will contain functionality that includes many of those disparate systems that are now connected under a single platform. I’ll explain a few of these systems. Let’s take Workforce predictions. You want to retain the “right” and productive employees and keep them happy and satisfied with their job. Workforce Management of HCM solution utilizes artificial intelligence methods to determine the likelihood of an employee looking to leave the company. Knowing this information becomes valuable when trying to build incentive programs that would keep employees. Likewise it also will tell you that it may be wise to build a pipeline of new prospects in the likely event that certain employees will leave the company. This then leads to Talent Acquisition, which is another part of a contemporary HCM solution. Talent acquisition is not just resume collection and review but also seeks out proactively potential recruits by using of methods such as social media. If you’re recruiting college grads or twenty somethings how best to reach them but by using the social media outlets they themselves use. From a single platform HCM professionals can access processes involving onboarding, payroll, time & attendance, scheduling, employee self-service and employee engagement via contemporary Cloud services. Today’s HCM solutions have these attribute and more. Data collection and analytical reporting are also part of the solution helping HR professionals meet the demands of their profession.