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Driving HR Forward:

A Practical Guide for Making the Shift


from Administrator to Strategic Advisor

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06

Table of Contents

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10
12
14

03

Introduction:
The New World of HR

04

View from the Top:


What Executives Expect
from HR Today

08

Keep It Simple:
Streamlining Workforce
Management

12

Cracking the Talent Conundrum:


How to Find, Develop, and Keep
the Best People

16

Decoding the Cloud:


What New Technology Means
and Why It Matters

20

What Next?
Determining the Right Path
for Your Organization

16
18
20
22

Executives most
pressing concern?

41 percent
say: competing for
talent globally.
Source: Deloitte, Talent
Edge 2020: Redrafting Talent
Strategies for the Uneven
Recovery, January 2012

Introduction:
The New
World of HR
The C-Suite wants more out of its
Human Resources department. In a
2012 global survey by the Economist
Intelligence Unit (EIU) only 38 percent
of CEOs and CFOs saidtheir head of
HR was a key player in their companys
strategic planning. However 80 percent of
the executives arelooking for HR leaders
to make this contribution. So what can HR
do to close this gap?
Its clear HR today is about more
than just transactions. HR leaders are
expected to have a holistic view of the
business and provide valuable insights
to help the company make the right
talent decisions, whether regarding
recruiting, compensation, leadership
development, or succession planning.
But its not a matter of ignoring the
day-to-day to focus on loftier matters.
The successful HR organization needs
to be a combination of operational
efficiency and big-picture planning.
This e-book draws on the insights
of independent researchers, Oracle

Human Capital Management (HCM)


product and industry experts, and
Oracle HCM customers. It aims to
provide both inspiration and practical
roadmaps to simplify workforce
management, build the best talent,
and help HR leadership make a major
contribution to their companies
overall success. It also looks at the
toolkit of the modern HR organization.
Throughout the book, well discuss
technological advances in human
capital management and show real-life
applications and success stories from
companies across the world.

04
06

View from the Top:


What Executives Expect
from HR Today

08
10
12
14

Its a new world for HR. HR leaders


are looking at new business metrics,
developing stronger relationships
with line of business owners, and
evolving from tactical manager to
valued consultant.

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18
20
22

This all sounds great in theory, but many


organizations are still struggling with the
reality. So how does HR reach these
new heights? In this section, well take
a look at what C-level executives say
HR can do to drive growth, and how
new technologies can help.

The Changing Business of HR

66 percent
ofCEOs say the lack
of the right skills is
their biggest talent
challenge.
PWC 14th Annual Global
CEO Survey, McLean
& Company, 2012

To create a forward-looking plan for your HR


organization, first take a step back to understand
how the role of the HR leader has changed. In this
short video, Oracle VP of Product Strategy and
former HR practitioner Gretchen Alarcon outlines the
fundamental shifts that have taken place in HR over
the past five years and provides specific steps the
savvy HR organization should take to succeedboth
now and in the future.

Watch now

Executive Insights:
Mark Hurd on How
Data-Driven HR
Decisions Maximize ROI
Business today is conducted in the
language of numbers. Every business
unit in a company is expected to
make and defend decisions based
on data. Crunching numbers can
be an intimidating and unwelcome
prospect to the HR leader, but in this
video from TaleoWorld 2012, Oracle
President Mark Hurd explains how
making those data-driven decisions
is easier than ever with the right
analytical tools. He discusses the key
metrics a CEO expects to see from
the HR team, how they contribute to
the bottom line, and how quicklyand
painlesslythey can be sourced.

The Relationship between


the C-Suite and HR
Weve all heard that the C-Suite wants
HR to take a more strategic role,
and we know they want hard facts
to back up recommendations and
drive decisions. But what exactly do
executives think of their HR leaders
today? This infographic, based on
the Economist Intelligence Unit (EIU)
2012 global survey of CEOs and CFOs,
breaks it down. See the highlights,
and then download the full CEO
and CFO perspective reports to get
a deeper look at these crucial and
complexrelationships.

See the infographic

Watch now

The Changing
Business of HR
Watch now

Executive
Insights
Watch now

The Relationship
Between the
C-Suite and HR
See the infographic

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10
12
14
16
18
20
22

How HR Can Take


on a Bigger Role
in Driving Growth?
CEO PERSPECTIVES
In the following report, the full results
of the EIU 2012 survey are presented
from the viewpoint of the CEO. The
report explores the nature of the HR/
CEO relationship, how that relationship
has been affected by the economic
downturn, and how it varies across
industries and regions. It also looks at
how two trendsthe growth of the
knowledge economy and the move
away from administrative functions
are potentially reshaping the role of
HR in the corporate world.

Get the report

CFO Perspectives
Although the CEO certainly thinks
about financial impact, the CFO
eats, sleeps, and breathes numbers.
And with people representing the
most expensive outlay for many
organizations, the relationship
between HR and finance is a critical
one. According to the EIU survey,
most companies have a lot of work to
do in this arena.

The following report, presented from


the CFOs perspective, presents
evidence of the friction between HR
and finance, explores what this discord
can cost companies, and suggests
ways HR can improve the relationship
to the benefit of business units and
the company as a whole.

Get the report

A New Day: Taking HR


from Chaos to Control
Thinking about the new opportunities
for HR is exciting. Who doesnt
want to be seen as invaluable
to a companys success? But
transformation is impossible if you
cant get a handle on all the demands
on your time and the many tasks
thatlets face itjust have to get
done. Only 13 percent of HR officers
say that they have the analytics and
tools they need to properly drive their
functions. See how you can go from
frazzled to focused with applications
that were created with the busy HR
leader and the average employee
user in mind.

See the infographic

Power HRs Business


ContributionYour Time is Now
Todays CHRO is expected to be a blend of
functional wizard, strategic advisor, personal
coach, and executive leader. Join us for an
insightful conversation about this expanding role
of HR, as Gretchen Alarcon outlines specific
examples of HR challenges and walks you through
how you can use technology to meet each of them
head-on. Gretchen covers complex yet common
executive requests, such as examining labor
costs in a particular region, understanding attrition
rates, uncovering issues in the employee review
process, and supporting a company expansion
with the right talent and workforce planning to
make the move successful. She also highlights
the two tenets of the strategic HR organization:
simplifying people management, and building
the best talent. Well cover core principles in
the Webcast and will then dive deeper into each
concept in the following sections.

15 percent

Only
of HRs time is spent
on strategic activities,
while 71 percent is
still spent on service
delivery, record keeping,
compliance, and internal
management.
HR Transformation in EMEA,
Mercer 2010

Watch now

Hum
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A New Day:
Taking HR from
Chaos to Control
See the
infographic

How HR Can
Take on a Bigger
Role: CFO
Perspectives
Get the report

UR
C L E T ECH
HUm nOL
A n OGY:
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How HR Can
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Perspectives
Get the report

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Power HRs
Business
Contribution
Watch now

04
06

Keep It Simple:
Streamlining
Workforce
Management

08
10
12
14
16
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20
22

Fewer than

25 percent of

organizations have
access to the people
insights they need.
HCI, 2010 Talent
Intelligence Survey

Companies report that only 15 percent of


HRs time is spent on strategic activities.
That means the rest of time is spent on
transactions, digging through systems
and spreadsheets to find the answers
you need, and trying to connect the
dots. This isnt just frustrating for the
HR departmentits also bad for the
company. Inefficiency is costly whether
you measure it by unnecessary staff
hours spent on basic tasks or by the
warning signals missed due to messy or
inconsistent data. Without streamlined
people management, building the best
talent is out of the question. You simply
wont have the information or time you
need to succeed. In this section, well look
at how you can clear out the clutter by
empowering users with programs they
can and will want to use, making better
decisions with role-based metrics and
dashboards, and using social networking
capabilities to better connect to and
understand your workforce.

Using Business
Intelligence to
Understand Future
Workforce Outcomes
When it comes to business analytics,
most companies have the basics
down pat. They can easily tell you
revenue outcomes for the past
quarter or year, how many new
clients they signed, and which lines
of business were the most profitable.
Thats all necessary information, but
how many businesses operate in a
state of looking backward? When it
comes to analytics, many companies
still struggle to tie their top-level
strategy to daily operations and
identify business outcomes based
on workforce predictions. Predictive
analytics are a standard part of the
consumer experience. Think about
it: how does your favorite bookstore
or entertainment site know which
books or movies you might want to
explore next? How do credit agencies
know whether youre able to handle
a certain loan amount or credit line?
In this Webcast, representatives from
Oracle, Hologic Inc., and Performance
Architects talk about applying those
consumer concepts to the workforce
and using them to predict business
outcomes such as performance

and attrition. By embedding these


analytics throughout HR, everyone
involved in the management process,
from the top down, can see predicted
outcomes and proactively make
the adjustments necessary to meet
strategic goals. In addition, both
management and staff gain a richer
understanding of what employees
need to do and how they need
to develop to continually meet
companyobjectives.

Using Business
Intelligence
Watch now

75 percent of

employees feel their work


history and experiences
are not leveraged by
theiremployer.
Source: Taleo Research, UK Social
Talent Management Report

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Getting a Handle on Your Workforce


As the HR leader you may be thought of as the people
person, but when your data is scattered or messy, it can
be hard to know and understand your workforce. The key
is to implement the right tools to organize and monitor
employee information so the answers to your workforce
questionswhos strong? whos struggling? whos at risk?
are right at your fingertips. Whats more, your tools need
to be accessible to your line managers so they can take
ownership of their organizations and not feel key employee
data has disappeared down the HR rabbit hole.
In this series of short videos, youll see a new approach
to workforce management that provides interactive
organization charts, rich employee portraits, and clear
reports that show you critical details such as who your
star performers are, what your attrition rates are and which
critical employees are in danger of leaving. With a simple,
user-friendly interface, line managers, HR leaders, and
employees can quickly find the information they need,
take immediate action to make certain organizational
changes, and test out the implications of others.

Making Your Workplace Social


When you think of social networking at work, you may
worry about employees wasting time on Twitter and
Facebook or searching for their next opportunity on
LinkedIn. Conversely, you may think about how you can
tap into the social craze to improve recruiting. Good and
bad, these are all valid pointsbut they arent the only
applications of social media.

Step 1
Interactive
Org Chart
Watch now

Step 2
People Portrait
Watch now

Step 3
Gallery
Watch now

Step 4
HCM Analytics
Watch now

If you want to keep your employees so engaged that they


have no need for fooling around on Facebook, and you want
to retain the socially savvy new hires you just found on
LinkedIn, think about creating your own network.
In this video, Oracle HCM experts Scott Ewart and Aaron
Green explain how creating an internal social network can
increase collaboration; strengthen employee connections
to each other, to their managers, and to the company; and
enable managers to see a fuller picture of their teams and
employee contributions. The benefit for HR? Not only will
you increase engagement, but youll also get a bigger,
richer view of your employee ecosystem.

Making Your
Workplace Social
Watch now

Watch now

STORIES FROM THE FIELD:


ARDENT LEISURE AUTOMATES
AN END-TO-END HCM PROCESS
Ardent Leisure is one of Australias leading theme park and
attraction operators. Before deploying Oracle HCM Cloud
Service, the company lacked a true HCM solution. They only
had payroll covered, causing what one manager called a
very big gap in the HR environment. With the new Oracle
HCM solution, Ardent Leisure has been able to automate
an end-to-end HCM process thats clear, transparent,
measurable and trackable. And its not just about efficiency
the company has also been able to improve collaboration,
support, and interaction between managers and staff
within the organization.

See how they did it

Stories from
the Field
See how they didit

04
06

Cracking the
Talent Conundrum:
How to Find, Develop
and Keep the Best People

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10
12
14
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Talent used to be seen as only an HR issue. No longer.


The war for talent is hitting companies bottom lines,
and this means talent has shot up to the top of the
CEOs agenda. Some sobering facts: disengagement
costs North American companies more than US $368
billion dollars each year1, and despite the economic
downturn, 52 percent of jobs at U.S. companies are
going unfilled2 due to lack of the right talent. What
does this translate to for a CEO? According to a 2012
global survey by PwC, it means higher expenses, the
inability to innovate, missing out on opportunities,
cancelling or delaying strategic initiatives, and falling
short of growth forecasts. Its no wonder theres
more pressure than ever on HR leaders to improve
workforce planning.

20
22

Talent management is a big nut to crack, so in this


section well break down some of the essential
elements of a strong talent strategy: leveraging new
channels to source the best people, keeping top
performers engaged, and building a talent model
for continued success.

83 percent

of HR and business
executives believe
that talent programs
need to be improved.
Source: Deloitte, Talent
Edge 2020: Redrafting Talent
Strategies for the Uneven
Recovery, January 2012

1
2

Performance Point LLC


Manpower 2012

Talent Intelligence
and the Bottom Line
When it comes to talent, are
executives more concerned about HR
costs or employee satisfaction? How
big a worry is the lack of a leadership
pipeline? And what do CEOs and CFOs
see as the biggest barrier to measuring
HRs performance? Find out in this
revealing infographic.

This 2012 HR.com study sheds some


light. The study looks at the talent
management tactics HR leaders say
are working today, as well as the
extent to which companies have been
able to implement a streamlined,
holistic talent process. In the white
paper, HR leaders share their tactics
for talent management, including
how to improve retention, how to
decrease the time to fill, and the best
way to retain top performers (hint: it
isnt always about money). They also
discuss their progress toward talent
management nirvana. How close to
it are you?

Talent Intelligence and


the Bottom Line
See the infographic

A Seat at the Table:


Talent Managements
Role in Core Business
Strategy
Weve seen in numerous studies
and surveys that executives want
strategic leadership from their HR
teams. So what are organizations
doing today, and how large is the
gap between where HR is and
where the C-Suite wants it to be?

A Seat at the Table


Read the whitepaper

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Talent Scarcity:
A New Reality
It seems impossible. The recent
economic downturn and millions of
skilled professionals out of work around
the world should mean talent coffers
are full. Companies should have their
pick of the best and brightest. Yet as
most HR leaders can attest, this is
not the case. Companies are finding it
harder than ever to find and retain the
right talent. How can this be? Shannon
Flinchpaugh, a former recruiter at
some of the United States largest
companies, has some answers. In
this educational Webcast, Shannon
examines the root causes of talent
scarcityranging from unrealistic
expectations and poor hiring to a lack
of internal talent development and
succession planning. He then goes
into solutions, discussing actions
organizations should start taking
today and some of the new tools and
channels that can help.

Watch now

Creating an Effective
Social Recruiting
Strategy
The savvy recruiter knows that social
media can be a powerful channel for
finding quality candidates, especially

star performers who may not even be


looking. But what many companies
havent yet grasped is how to make
the most of social networksits not
enough to throw up some postings on
LinkedIn and call it a day. In this how-to
guide, well break down the essentials
of an effective social recruiting channel,
giving you seven simple steps to get
started, highlighting the legal and
compliance considerations you should
take into account, and outlining how to
measure your results.

Get the guide

A Step-by-Step Plan
for Implementing
World-Class Talent
Management
Developing and maintaining a bestin-class talent management strategy
isnt a quick fixnor is it an impossible
dream. Talent management expert
Pamela Stroko has spent more than
20years in senior business and HR
roles at organizations such as RR
Donnelley & Sons Company, Deloitte,
The Coca Cola Company, ICI London,
and Gap Inc. In this instructional
Webcast, she takes a look at whats
causing the talent paradox, the new
expectations of employees, and the
changing nature of career development.

She then lays out specific steps for companies to take


in building out their strategy, including how to honestly
assess your talent landscape and develop a baseline,
when to employ a build vs. buy strategy when it comes
to filling positions, how to use onboarding to dramatically
increase new-hire success, and how to make employee
development a consistent part of your businessprocess.

Talent Scarcity
Watch now

Watch now

Stories from the Field: Companies


Tackle Talent Retention
Great talent drives great business performance. To nurture
and retain your great talent you need the right talent
strategy and to deliver that strategy, you need the tools
to support it. Otherwise HR leaders and LOB managers
spend too much time trying to connect the dots and make
smart, data-driven decisions. By moving to Oracle HCM
Cloud Service, The Principal Financial Group, Presence
of IT, Marvell Semiconductor and Barry-Wehmiller have
realized the impact the right technology can have on the
business. This has translated to results such as reducing
the compensation decision cycle from 10 weeks to 2
weeks, being able to identify at-risk employees early on,
enabling employees to easily communicate and work
with one another, and helping get employees engaged by
providing an intuitive and flexible process flow.

Creating an
Effective Social
Recruiting
Strategy

Get the guide

A Step-by-Step
Plan
Watch now

See how they did it

Stories from
theField
See how theydidit

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Decoding the Cloud: What


New Technology Means
and Why It Matters
Whether youre talking about consumer
applications or enterprise-level software,
buzz about the cloud is at an all-time
high. But what does it really mean to the
HR organization? And will moving to the
cloud really have any impact on day-today business, or is it just another IT trend?
While every organization has to determine
the right platform or combination of
platforms for their business, moving to
the cloud can have a real impact on HR
organizations. Cloud applications are
known for their flexibility, efficiency, and
fast deployment. They can be accessed
anywhere and often on mobile devices,
making them easier and more enjoyable
for employees to use. Also, moving to
the cloud can make for a less resource
intensive and less dependent relationship
with ITa win for both groups. In this
section, well take a closer look at HR
in the cloud, discussing the points you
should consider when contemplating a
move and showing you one companys
cloud success.

World-Class HR:
Its in the Cloud
HR is on the front line, and you need
to show how talent aligns to business
results. You need to manage costs,
you dont have time for lengthy
deployments, and you need to ensure
data security is solid. Impossible?
Hardly. In just two minutes, you
can see how the answers to your
challenges can be found in the cloud.

Oracle Fusion
HCM Cloud
Service: Game
Changing HR
Watch now

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Cloud without
Compromise
It seems like every technology
company is moving to the cloud
these days, and there are a lot of
slick interfaces and big promises out
there. But is it as simple as clicking the
easy button? Before you make the
move to the cloud, be sure to examine
potential solutions from all angles. You
want something user-friendlyone of
the core benefits of a cloud application
is the improved user experiencebut
you dont want to sacrifice functionality.
Here are seven questions to ask when
reviewing your cloud options.
1. How many vendors will touch
mydata?

6. Can I glean comprehensive


workforce insights or just
basic analytics?
7. Can we move gradually or is
it an all-or-nothing situation?
In this video, HCM product expert
Rani Urbas talks more about what you
should ask potential cloud vendors,
and in this interactive diagram, you
can see Oracles approach.

A Look at Cloud Without


Compromise

Watch now

2. For global companies, can the


solution support global compliance
and reporting standards, or
does it just cover currencies
andtranslations?
3. Will a simpler user experience still
meet the needs of professional
HR users?
4. How strong is the mobile solution
can execs and others on the go
use it for meaningful work?
5. Is the solution robust enough to
cover all of my bases, from recruiting
through successionplanning?

Life in the Cloud

See the diagram

Stories from the Field:


Elizabeth Arden Makes
Over HR in the Cloud
When Elizabeth Arden decided to invest in a
new HR system, the company knew it had
to have strong global support, deep analytical
capabilities, and the flexibility to evolve as the
organization grew and changed.
Plus, it had to be something employees
couldand woulduse. The company also
needed a system it could roll out incrementally
so it could tackle different regions a phase at
a time. The answer for Elizabeth Arden was
Oracle Fusion HCM Cloud Service. HR leaders
are already reporting much greater flexibility
for both employees and managers, simpler
processes, and a reduced burden on HR.
The takeaway for their team? They are
deeply convinced this will change the
way the company sees HR.

Stories from the Field

See how they didit

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What Next? Determining


the Right Path for Your
Organization
Its an exciting time to be in HR.
Executives are looking to HR leaders
more than ever to help make critical
business decisions and shape company
strategy. Theres a lot for HR leaders to
think about, and all this new information
can be overwhelming.
Our advice? Take an honest look at your
organizationwhere you are today and
where you want to beand use the tips
and tools in this book to map out your
plan. Maybe you need to start with some
basic workforce efficiencies. Or maybe
youre ready to dive into predictive
analytics. Wherever you fall on the
spectrum, there are clear steps you can
take to elevate HR and provide greater
value to your executives and company.

Be in the Know: Sign Up for


HCM Tips and Trends
Nothings ever static in the world of HR.
Whether youre making small steps toward
greater efficiency or youre undergoing a
complete HR transformation, youll find
valuable content in Oracles HCM newsletter.

HCM Newsletter
Sign me up

73 percent

of outperforming
companies excel at
managing change.
Source: IBM CEO Survey, 2012

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RESOURCE INDEX

20
22

VIEW FROM THE TOP:


WHAT EXECUTIVES
EXPECT FROM HR TODAY

KEEP IT SIMPLE:
STREAMLINING
WORKFORCE MANAGEMENT

V
 ideo: The Changing Business
of HR

W
 ebcast: Using Business Intelligence

Video: Executive Insights


Infographic: The Relationship
Between the C-Suite and HR
R
 eport: How HR Can Take on a
Bigger Role: CEO Perspectives
R
 eport: How HR Can Take on a
Bigger Role: CFO Perspectives
Infographic: A New Day:
Taking HR from Chaos to Control
W
 ebcast: Power HRs Business
Contribution

V
 ideo: Step 1 Interactive Org Chart
V
 ideo: Step 2 People Portrait
V
 ideo: Step 3 Gallery
V
 ideo: Step 4 HCM Analytics
V
 ideo: Making Your Workplace Social
V
 ideo: Stories from the Field

CRACKING THE TALENT


CONUNDRUM: HOW TO
FIND, DEVELOP AND KEEP
THE BEST PEOPLE

DECODING THE CLOUD:


WHAT NEW TECHNOLOGY
MEANS AND WHY IT
MATTERS

Infographic: Talent Intelligence


and the Bottom Line

V
 ideo: Oracle Fusion HCM Cloud
Service: Game Changing HR

W
 hite paper: A Seat at the Table

V
 ideo: A Look at Cloud Without
Compromise

W
 ebcast: Talent Scarcity
W
 ritten Guide: Creating an Effective
Social Recruiting Strategy

D
 iagram: Life in the Cloud
V
 ideo: Stories from the Field

W
 ebcast: A Step-by-Step Plan
V
 ideo: Stories from the Field

WHAT NEXT?
DETERMINING THE
RIGHT PATH FOR YOUR
ORGANIZATION
N
 ewsletter: HCM Newsletter

March 2013

For more information visit

oracle.com/hcm

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