Flash

Oracle HCM World 2014 in Review

Lisa Rowan

IN THIS FLASH

This IDC Flash discusses the Oracle HCM World event held on February 4ndash6 2014 in Las Vegas

which brought together a number of Oracles HCM clients The event serves as a follow-on to the

former Taleo World (last held in 2012) and as the augmentation to the more tech-centric Oracle

OpenWorld and function-centric OHUG The event premiered to an audience of 1500 or so attendees

and focused on big picture HCM themes and tracks by HCM interest area with many client case

studies IDC was among other analyst firms on hand for an analyst program that included analyst-only

content as well as unfettered access to the full agenda

SITUATION OVERVIEW

When both Mark Hurd and Larry Ellison show up you know the topic is near and dear to Oracles heart

and such is the case for HCM With a fight on their hands facing upstart Workday it is apparent that

HCM is a battlefield on which Oracle plans to fight and Oracle HCM Cloud is the weapon of choice

Oracle HCM Cloud

As of September 2013 Oracle cited having 300 Oracle Fusion HCM customers of which 100 were

live IDC believes that these numbers have grown Roughly half of the Oracle HCM Cloud deals are

net new to Oracle Customer size is skewing toward midmarket and Oracles Chris Leone SVP of

HCM Cloud Services Development reports Oracle is experiencing a go live per-day rate and that it is

seeing 65 Taleo attach rates Oracle recently introduced the work-life balance functionality with a

feature on wellness To drive home with the wellness perspective Oracle gave all attendees a Fitbit

and ran a conferencewide activity contest all driven by Oracle HCM Cloud

A number of Oracle HCM Cloud clients presented on their journeys mdash sessions important to Oracle and

well attended by customers Some of the highlights are

Activision an online game company known for Call of Duty moved 30 years of history quite a feat taking up Oracle HCM Cloud for its 7000 employees in 20 countries Activision engaged

the services of Deloitte to implement and went live on phase 1 of its project in 9 months Phase 1 involved core HR and benefits Phase 2 will cover talent management The project included an impressive move to a single global job code structure Activision moved from

Oracle E-Business Suite (EBS) to Oracle HCM Cloud

February 2014 IDC 246888

Omnicare a pharmacy services firm moved to Oracle HCM Cloud for its 14000-person United Statesndashbased workforce Like Activision Omnicare engaged the services of Deloitte to

implement The implementation involved a 12-month project that went live in March 2013 Omnicares reasons for the move included alleviation of inconsistencies across pharmacies and fragmented systems mdash Omnicare comes from an environment that had no formal HRIS

merely links to services providers

BlackRock an investment firm opted to move from Oracle EBS to Oracle HCM Cloud and

reported that business intelligence (BI) was a key driver Unlike the other organizations cited previously BlackRock has initially opted for private cloud but will revisit a move to public cloud

down the road

Mobile and Social

Oracle is adopting a mobile-first approach to development Analysts had a chance to see and use

Oracle HCM Cloud Mobile originally known as Oracle Tap The solution offers managers and

employees a mobile experience for many typical self-service functions such as viewing team member

profiles viewing to-do activities and interacting with a mobile calendar For managers there are

dashboard analytics covering a variety of staffing KPIs such as turnover as well as tools for recruiting

Together managers and employees can do goal-setting and other performance-related activities

There is a focus on employees and managers with no current focus on unique HR administrative

needs

Social fits in with Oracles message nothing about me without me which encompasses the

companys approach to giving employees control over data collected about them This phrase

underscores that social is embedded throughout talent management offering transparency to the

workforce Embedded Oracle Social Network (OSN) offers a conversation-based (both public and

private) approach to enabling goals management performance feedback and general collaboration

Employees can follow any public conversation Of particular note is the My Reputation capability that

allows employees to view their social presence in a Klout-like way Oracle also intends to deploy this

concept to allow companies to monitor the view of the companys reputation through the eyes of its

workforce

PeopleSoft

PeopleSoft is used by 52 of the Fortune 100 and Oracle continues to add innovations with over 1000

new features offered in version 92 including modernized user experience While Oracle continues to

gain new clients for PeopleSoft Oracle recognizes that there is client interest in moving to the cloud

For those clients there are programs that offer multiple paths to one direction These paths fall into

slow medium and fast approaches The slow approach evolves the client to Oracle HCM Cloud

leaving payroll in place and is geared to very large companies that do not want to disrupt payroll The

medium approach which is also the most popular calls for the adoption of Oracle HCM Cloud talent

apps first followed later by core The fast approach calls for the movement of all HCM functions to

Oracle HCM Cloud

copy2014 IDC 246888 2

FUTURE OUTLOOK

Having had great success with HCM applications over the years it is not surprising that Oracle is

serious about cloud and HCM Competitive forces like Workday are garnering a lot of industry and

buyer interest There are ways in which Oracle can differentiate Oracle has a strong base for its other

enterprise applications such that making the case for HCM as part of a bigger enterprise picture has

merit Oracle should demonstrate that HCM in a vacuum does not address some of the companys

biggest challenges Doing so can also help elevate the importance and reputation of the HR buyer

Building on the beyond HCM message Oracle has tremendous data management and business

intelligence assets These BI assets brought together with a cross-discipline view can help Oracles

clients executives make better business decisions and course corrections And social can be brought

into the mix to set Oracle apart Oracle has its own Enterprise Social Network (ESN) in OSN others do

not Effective embedding and novel application of social in HCM could highlight a level of innovation to

the existing and prospective clients The most important point is to show not tell Demonstrating

innovation is key and includes more up-front exposure of client success stories mdash the Oracle HCM

World event was a good start

copy2014 IDC 246888 3

About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence advisory

services and events for the information technology telecommunications and consumer technology

markets IDC helps IT professionals business executives and the investment community make fact-

based decisions on technology purchases and business strategy More than 1000 IDC analysts

provide global regional and local expertise on technology and industry opportunities and trends in

over 110 countries worldwide For more than 48 years IDC has provided strategic insights to help our

clients achieve their key business objectives IDC is a subsidiary of IDG the worlds leading

technology media research and events company

Global Headquarters

5 Speen Street

Framingham MA 01701

USA

5088728200

Twitter IDC

idc-insights-communitycom

wwwidccom

Copyright Notice

This IDC research document was published as part of an IDC continuous intelligence service providing written

research analyst interactions telebriefings and conferences Visit wwwidccom to learn more about IDC

subscription and consulting services To view a list of IDC offices worldwide visit wwwidccomoffices Please

contact the IDC Hotline at 8003434952 ext 7988 (or +15089887988) or salesidccom for information on

applying the price of this document toward the purchase of an IDC service or for information on additional copies

or Web rights

Copyright 2014 IDC Reproduction is forbidden unless authorized All rights reserved

Omnicare a pharmacy services firm moved to Oracle HCM Cloud for its 14000-person United Statesndashbased workforce Like Activision Omnicare engaged the services of Deloitte to

implement The implementation involved a 12-month project that went live in March 2013 Omnicares reasons for the move included alleviation of inconsistencies across pharmacies and fragmented systems mdash Omnicare comes from an environment that had no formal HRIS

merely links to services providers

BlackRock an investment firm opted to move from Oracle EBS to Oracle HCM Cloud and

reported that business intelligence (BI) was a key driver Unlike the other organizations cited previously BlackRock has initially opted for private cloud but will revisit a move to public cloud

down the road

Mobile and Social

Oracle is adopting a mobile-first approach to development Analysts had a chance to see and use

Oracle HCM Cloud Mobile originally known as Oracle Tap The solution offers managers and

employees a mobile experience for many typical self-service functions such as viewing team member

profiles viewing to-do activities and interacting with a mobile calendar For managers there are

dashboard analytics covering a variety of staffing KPIs such as turnover as well as tools for recruiting

Together managers and employees can do goal-setting and other performance-related activities

There is a focus on employees and managers with no current focus on unique HR administrative

needs

Social fits in with Oracles message nothing about me without me which encompasses the

companys approach to giving employees control over data collected about them This phrase

underscores that social is embedded throughout talent management offering transparency to the

workforce Embedded Oracle Social Network (OSN) offers a conversation-based (both public and

private) approach to enabling goals management performance feedback and general collaboration

Employees can follow any public conversation Of particular note is the My Reputation capability that

allows employees to view their social presence in a Klout-like way Oracle also intends to deploy this

concept to allow companies to monitor the view of the companys reputation through the eyes of its

workforce

PeopleSoft

PeopleSoft is used by 52 of the Fortune 100 and Oracle continues to add innovations with over 1000

new features offered in version 92 including modernized user experience While Oracle continues to

gain new clients for PeopleSoft Oracle recognizes that there is client interest in moving to the cloud

For those clients there are programs that offer multiple paths to one direction These paths fall into

slow medium and fast approaches The slow approach evolves the client to Oracle HCM Cloud

leaving payroll in place and is geared to very large companies that do not want to disrupt payroll The

medium approach which is also the most popular calls for the adoption of Oracle HCM Cloud talent

apps first followed later by core The fast approach calls for the movement of all HCM functions to

Oracle HCM Cloud

copy2014 IDC 246888 2

FUTURE OUTLOOK

Having had great success with HCM applications over the years it is not surprising that Oracle is

serious about cloud and HCM Competitive forces like Workday are garnering a lot of industry and

buyer interest There are ways in which Oracle can differentiate Oracle has a strong base for its other

enterprise applications such that making the case for HCM as part of a bigger enterprise picture has

merit Oracle should demonstrate that HCM in a vacuum does not address some of the companys

biggest challenges Doing so can also help elevate the importance and reputation of the HR buyer

Building on the beyond HCM message Oracle has tremendous data management and business

intelligence assets These BI assets brought together with a cross-discipline view can help Oracles

clients executives make better business decisions and course corrections And social can be brought

into the mix to set Oracle apart Oracle has its own Enterprise Social Network (ESN) in OSN others do

not Effective embedding and novel application of social in HCM could highlight a level of innovation to

the existing and prospective clients The most important point is to show not tell Demonstrating

innovation is key and includes more up-front exposure of client success stories mdash the Oracle HCM

World event was a good start

copy2014 IDC 246888 3

About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence advisory

services and events for the information technology telecommunications and consumer technology

markets IDC helps IT professionals business executives and the investment community make fact-

based decisions on technology purchases and business strategy More than 1000 IDC analysts

provide global regional and local expertise on technology and industry opportunities and trends in

over 110 countries worldwide For more than 48 years IDC has provided strategic insights to help our

clients achieve their key business objectives IDC is a subsidiary of IDG the worlds leading

technology media research and events company

Global Headquarters

5 Speen Street

Framingham MA 01701

USA

5088728200

Twitter IDC

idc-insights-communitycom

wwwidccom

Copyright Notice

This IDC research document was published as part of an IDC continuous intelligence service providing written

research analyst interactions telebriefings and conferences Visit wwwidccom to learn more about IDC

subscription and consulting services To view a list of IDC offices worldwide visit wwwidccomoffices Please

contact the IDC Hotline at 8003434952 ext 7988 (or +15089887988) or salesidccom for information on

applying the price of this document toward the purchase of an IDC service or for information on additional copies

or Web rights

Copyright 2014 IDC Reproduction is forbidden unless authorized All rights reserved

FUTURE OUTLOOK

Having had great success with HCM applications over the years it is not surprising that Oracle is

serious about cloud and HCM Competitive forces like Workday are garnering a lot of industry and

buyer interest There are ways in which Oracle can differentiate Oracle has a strong base for its other

enterprise applications such that making the case for HCM as part of a bigger enterprise picture has

merit Oracle should demonstrate that HCM in a vacuum does not address some of the companys

biggest challenges Doing so can also help elevate the importance and reputation of the HR buyer

Building on the beyond HCM message Oracle has tremendous data management and business

intelligence assets These BI assets brought together with a cross-discipline view can help Oracles

clients executives make better business decisions and course corrections And social can be brought

into the mix to set Oracle apart Oracle has its own Enterprise Social Network (ESN) in OSN others do

not Effective embedding and novel application of social in HCM could highlight a level of innovation to

the existing and prospective clients The most important point is to show not tell Demonstrating

innovation is key and includes more up-front exposure of client success stories mdash the Oracle HCM

World event was a good start

copy2014 IDC 246888 3

About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence advisory

services and events for the information technology telecommunications and consumer technology

markets IDC helps IT professionals business executives and the investment community make fact-

based decisions on technology purchases and business strategy More than 1000 IDC analysts

provide global regional and local expertise on technology and industry opportunities and trends in

over 110 countries worldwide For more than 48 years IDC has provided strategic insights to help our

clients achieve their key business objectives IDC is a subsidiary of IDG the worlds leading

technology media research and events company

Global Headquarters

5 Speen Street

Framingham MA 01701

USA

5088728200

Twitter IDC

idc-insights-communitycom

wwwidccom

Copyright Notice

This IDC research document was published as part of an IDC continuous intelligence service providing written

research analyst interactions telebriefings and conferences Visit wwwidccom to learn more about IDC

subscription and consulting services To view a list of IDC offices worldwide visit wwwidccomoffices Please

contact the IDC Hotline at 8003434952 ext 7988 (or +15089887988) or salesidccom for information on

applying the price of this document toward the purchase of an IDC service or for information on additional copies

or Web rights

Copyright 2014 IDC Reproduction is forbidden unless authorized All rights reserved

About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence advisory

services and events for the information technology telecommunications and consumer technology

markets IDC helps IT professionals business executives and the investment community make fact-

based decisions on technology purchases and business strategy More than 1000 IDC analysts

provide global regional and local expertise on technology and industry opportunities and trends in

over 110 countries worldwide For more than 48 years IDC has provided strategic insights to help our

clients achieve their key business objectives IDC is a subsidiary of IDG the worlds leading

technology media research and events company

Global Headquarters

5 Speen Street

Framingham MA 01701

USA

5088728200

Twitter IDC

idc-insights-communitycom

wwwidccom

Copyright Notice

This IDC research document was published as part of an IDC continuous intelligence service providing written

research analyst interactions telebriefings and conferences Visit wwwidccom to learn more about IDC

subscription and consulting services To view a list of IDC offices worldwide visit wwwidccomoffices Please

contact the IDC Hotline at 8003434952 ext 7988 (or +15089887988) or salesidccom for information on

applying the price of this document toward the purchase of an IDC service or for information on additional copies

or Web rights

Copyright 2014 IDC Reproduction is forbidden unless authorized All rights reserved