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Sapient Insights Group Announces Availability of 2024-2025 HR Systems Survey Report


News provided by

Sapient Insights Group

Oct 30, 2024, 13:45 ET

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Industry's Most Comprehensive and Only Non-Sponsored Survey, with Findings Based on Respondents Representing 3,318 Organizations and References to 274 Tech Vendors.

ATLANTA, Oct. 30, 2024 /PRNewswire-PRWeb/ -- Sapient Insights Group today announced the findings of the 2024-2025 HR Systems Survey, now in its 27th year. The findings are based on responses from HR professionals representing 3,318 organizations around the world; respondents referenced 274 technology vendors in their feedback.

The resulting 248-page report covers 14 different technology segments, as well as the latest demographics of HR teams, HR technology ecosystems, and budgets and current spending. The report also covers topics such as the use of AI and associated outcomes, technology replacement plans, system adoption metrics, and growth projections for HR tech vendors. Known industry-wide for its Voice of the Customer rankings for vendor satisfaction and user experience, this year's report highlights more than 50 technology solutions recognized for excellence in these areas.

Three of the identified key findings in the data-rich report are around pending HR technology replacements, the actual use of AI-related features in HR solutions and the associated outcomes, and the impact shifting workforce demographics has on the management of HR technology.

  • Every year, Sapient Insights carefully tracks the current use of HR technology solutions as well as future investment plans – all broken down by company size and vendor. This year, 10% of all survey respondents said their organizations had made the decision to replace their HRMSs; 8% had active RFPs. At the enterprise level (organizations with over 5,000 employees), a full 28% of respondents said they were planning to replace their HRMSs in the next 12 months or had RFPs in process – more than double from last year when only 10% of enterprise respondents had HRMS replacement plans.

According to Stacey Harris, chief research officer, the churn is a result of two factors. "Most solutions are now cloud-based and there are fewer major functional differences. While switching vendors is still a pain, it's not nearly as hard as it used to be," she said. "Also, we're seeing vendors 'jumping markets.' For instance, companies that at one time focused solely on selling to large enterprises are now targeting smaller organizations. And vice versa. The upshot is that HR buyers now have more choice and flexibility."

  • This year's survey drilled into the actual use of AI-supported solutions, as well as the challenges AI adoption posed. While many HR-related technology solutions do incorporate AI or machine learning in their solutions, the 2024-2025 survey found that overall, only 15% of respondents were even aware of the capabilities. The three most commonly cited barriers to the use of AI or ML were a lack of internal skills as well as concerns around privacy, data quality, and governance. However, analysis of the survey results showed that of those companies taking advantage of AI realized a 7 to 10% increase in business, talent, and HR outcomes.

"I'm encouraged to see that organizations are starting to use AI in ways that increase the efficiency of HR and business processes as well as actually help HR professionals be more strategic," said Cliff Stevenson, director of research. "While it's still early, there's evidence that AI is being used to do more than create job descriptions or answer routine, standard questions. Use cases for career pathing, personalized learning, and performance management are now starting to appear."

  • Although HR technology ecosystems are becoming more complex and increasingly vital to the business, the 2024-2025 survey revealed that 58% of those with responsibility for HR technology have less than three years of experience in their jobs. The shift is a result of several factors: the departure of older, more experienced employees from the workforce and the fact that Gen Z employees are now a significant part of workforces (17%). According to the Sapient Insights research team, this is another reason for vendors to "step up their game" when it comes to providing support and educational resources for their HR customers.

The 2024-2025 HR Systems Survey Report is available for purchase for $1,800. Stacey Harris and Cliff Stevenson will discuss the survey's key findings during a special webinar hosted HR Executive magazine on Thursday, October 31, at 2 p.m. EDT. Registration is free.

About the 2024-2025 HR Systems Survey

Now in its 27th year, Sapient Insights Group's HR Systems Survey is unquestionably the longest-running, most comprehensive survey of the HR technology landscape, as well as the only completely objective, non-sponsored study of its kind. This year, HR professionals representing 3,318 organizations around the globe participated, and 274 technology vendors were referenced.

As the HR technology landscape has expanded, so has the survey, which now covers 14 technology segments, as well as emerging technologies. The annual report includes in-depth analysis of each tech segment, along with current and future adoption rates, customer retention, replacement plans, and projected vendor growth. The report also breaks down the demographics of HR organizations, system governance, system strategy and implementation, business and talent outcomes, technology spending, and much more.

In addition to its extensive data analysis, the report is widely recognized for its Voice of the Customer rankings for vendor satisfaction and user experience, broken down by company size and technology category.

For more information about the survey and report, click here.

About Sapient Insights Group

Sapient Insights Group is a certified women-owned, privately-owned consulting, research, and advisory firm. The company works with organizations in the areas of HR and finance technology; HR strategy and transformation; leadership and culture, change management; talent management; mergers and acquisitions; and project management. The company's HR Systems Survey is the HR profession's most trusted source for objective data on the HR technology market and insights to guide buyer investments and vendor product development and marketing. For more information, visit www.sapientinsights.com.

Media Contact

Linda Galloway, Sapient Insights Group, 1 2037337446, [email protected], https://sapientinsights.com/

SOURCE Sapient Insights Group

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