Employee Engagement is the Main Force Driving the Adoption of HR Cloud-Based Applications in Latin America, GOintegro Survey Finds

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As a whole, the penetration of HR cloud services in the region is being driven mainly by employee engagement tools, whose use has surpassed that of productivity and talent recruitment tools.

“State-of-the-art data security, quick access to value, global availability 24/7 & reporting functionalities were ‘nice-to-haves’. Now they’re ‘must-haves’ in the new era of social and mobile companies”, says GOintegro CEO & Co-founder German Dyzenchauz

GOintegro, Latin America’s leading employee engagement platform, is proud to announce the publishing of its LatAm HR technology Trends Report, which shows the need to boost employee engagement is the main force driving the adoption of HR cloud applications in the region.

The report -a comparative analysis of two surveys the company carried out in 2015 and 2016- shows the use of cloud-based platforms and applications by Latin American HR departments saw a 3% increase, from 15% in 2015 to 18% in 2016, while the use of HR on-premise solutions fell 10%, from 43% to 33%.

As a whole, the penetration of HR cloud services in the region is being driven mainly by employee engagement tools, whose use has surpassed that of productivity and talent recruitment tools.

GOintegro’s LatAm HR Technology Trends Report aims to provide a much-needed benchmark to track how HR VPs in the region are purchasing and using cloud services, both strategically and day-to-day.

“Cloud computing is the new global standard for running a business. It used to be that state-of-the-art data security, quick access to value, global availability 24/7, reporting functionalities and less personnel training were ‘nice-to-haves’. Now they’re ‘must-haves’ for success in this new era of social and mobile companies”, says German Dyzenchauz, CEO & Co-founder of GOintegro.

These findings fall in line with other research pointing to exponential growth of the cloud industry in Latin America.
GOintegro CMO José Guerra points out the expansion of cloud services has been especially fast in the region. “A government study identifies three Latin America countries in the top 20 cloud services export markets for the US - Brazil (4), Mexico (9) and Chile (19) -, while research from IDC and Cisco show Latin America has the world’s second highest growth rate in cloud infrastructure spending, at 23%, while almost tree out of every four LatAm companies are using or planning to implement some type of cloud-based tool”, he says.

Despite this enormous growth and potential, concerns about data security and a general lack of trust from upper management remain as the main barrier to cloud adoption in the region.

“While 77% of GOintegro respondents say executive support is the most important consideration for successfully implementing new HR technologies, the lack of endorsement from the C-suite emerged as the third most common mistake (31% ) leading to botched implementations in 2016”, adds José Guerra.

German Dyzenchauz, GOintegro CEO, underscores HR VPs will have to find new ways of getting that much-needed support, as the comparative analysis shows companies that have a formal HR technology strategy (37%), report a higher achievement rate of HR goals (8% on average) compared to firms that lack such guideline. While the former incorporate cloud applications with the intent of extracting as much value as possible, the latter focus mainly on short-term cost reduction.

“I always say HR is late to the cloud industry party everywhere, not just in Latin America. But in just a few short years a “no-cloud” rule will make as little sense as a “no Internet” policy today”, says Dyzenchauz.

“As the world becomes increasingly mobile, cloud technology presents Latin American HR VPs with a great opportunity to eliminate the restrictions of outdated, rigid systems by leapfrogging several generations of technological developments at decreasing costs”, he adds.

About GOintegro

GOintegro is the leading HR cloud-based platform in Latin America, used daily by more than 400 corporate clients, representing over 1 million people, as their main tool for driving employee engagement.

Offering a single platform with applications to manage company benefits, employee recognition programs and HR information, GOintegro is the main hub for social internal communications.

Covering all of Latin America with 140 employees in 7 countries, GOintegro helps companies like CITI, Deloitte, General Motors, IBM, McDonald’s and Walmart strengthen the positive impact of their corporate culture. To find out more, visit GOintegro.com.

For more information please contact:

José Guerra
Chief Marketing Officer, GOintegro
Cell Phone: +56 9 6616 8188
Email: jose.guerra(at)gointegro.com

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