In the summer of 2023, HR Tech Advisory took on the key role of overseeing the implementation of a transformative employee benefits system, marking a significant milestone in the client’s HR landscape.
Company Overview:
Standing as a preeminent provider of home health care and palliative services in the US, our client maintains a workforce exceeding 30,000 employees. The complexity of this project was further heightened by the simultaneous acquisition of another company, integrating an additional 4,000 individuals into the system. Operating with over 80 payroll FEINs and a nationwide presence, their benefit offerings, though straightforward, requires meticulous eligibility grouping based on ACA requirements, employment role, full-time/part-time status, and geographical locations.
Challenges Faced:
The decision to transition from their previous benefits administration system stemmed from scalability issues, a lack of innovation, and subpar customer service from the former vendor. Seeking a partner willing to challenge the status quo, the client was seeking fresh ideas and alternatives, fostering a collaborative environment.
Selection Process:
In the later stages of the vendor selection process, the client had narrowed down their options to two vendor finalists. During comprehensive system demos, stakeholders from all relevant departments – Payroll, HRIS/IT, Benefits Administration, and Benefits Data, all actively participated. What emerged as a deciding factor were vendors capable of scaling with the client’s evolving business needs, a user-friendly Decision Support tool accessible via mobile app, case manager capabilities, and, notably, the cultural fit with the vendor organization. As a consultant, my role was advisory, offering insights into the strengths and weaknesses of each system while empowering the client team to lead the decision-making process.
Implementation Strategy:
Kicking off in mid-May and culminating with a mid-October Open Enrollment, this quick implementation began with a robust discovery process. Facilitated through live web conferences, this approach ensured immediate client input and transparency in documenting requirements. As the project overseer, my responsibilities extended beyond mere documentation. They included continuous project plan review, milestone tracking, and effective communication with the vendor and client teams to ensure alignment with objectives.
Key Factors for Success:
1. Collaborative Stakeholder Engagement:
Beyond the traditional HR and IT involvement, a cross-functional approach involving Payroll, Benefits Administration, and Data teams proved pivotal. This strategic inclusion facilitated a holistic implementation strategy.
2. Project Oversight:
My role in providing project oversight wasn’t just about monitoring progress. It was about partnering with the client to navigate the digital transformation landscape, allowing them to concentrate on day to day strategic objectives. From early identification of potential risks to facilitating clear communication between stakeholders, the oversight aimed at providing clarity and guidance.
3. Thorough Testing:
User Acceptance Testing (UAT) involved not only myself but five key stakeholders, each bringing unique perspectives. This thorough testing phase was instrumental in achieving a seamless Open Enrollment with minimal disruptions.
4. End User Buy-in:
While involving external consultants during the system selection process is crucial, so is ensuring End User involvement. In this case, the client excelled not only in engaging leaders during the selection but also directly seeking feedback from End Users. In turn, this approach fostered a sense of ownership and ensured the new system aligned with the team’s day-to-day needs.
5. Vendor Collaboration:
A noteworthy decision by the client was to give vendors a second chance to provide clarity on process requirements. Instead of dismissing a vendor for missing the mark on a topic, they invited them back for additional clarification. This decision significantly influenced the final choice and enhanced collaboration, contributing to the project’s success.
6. Early Data Discussions:
Early discussions on data requirements emerged as a critical success factor. Data complexity and process redesign necessitated early conversations. This allowed for the Data team to plan effectively, ensuring accurate data and minimizing back and forth during migration.
User Adoption and Training:
Implementing a brief survey during Open Enrollment facilitated instant feedback, enabling the client to tailor communications swiftly, and addressing minor issues promptly. The HR team’s proactive engagement, without much pushing or reminding, underscored the success of user adoption.
Vendor Partnership:
While no implementation is without flaws, the key lies in the vendors responsiveness to feedback and how promptly they address issues. This particular vendor exemplified a true partnership by swiftly addressing concerns. Their quick resolution to roadblocks contributed to the success of the implementation.
Lessons Learned:
Recognizing the variance in terminology between vendors and clients regarding data proved crucial. A quick training session at the project’s onset on data requirements and outcomes could have streamlined the process, reducing back-and-forth discussions.
Conclusion:
This case study not only showcases a successful benefits system implementation but also stands as a testament to the power of collaboration, strategic oversight, and the significance of vendor-client partnerships. As we celebrate this achievement, we remain committed to sharing insights and providing assistance to those navigating similar transformative journeys.
Are you ready take your own HR transformation journey? Contact us at, info@hcmtechadvisory.com, for personalized guidance and expertise in HR system implementation tailored to your unique organizational needs.
