There’s much discussion regarding shifting your legacy on-prem solutions to Oracle Cloud HCM, but is this really the right move for your unique business situation? When you adopted your current on-prem system, you did so with purpose. Was it because there were no cloud offerings available? Did you inherit the system from a predecessor? What went into the decision?

It’s advantageous to reflect on that initial circumstance as you consider making a change.

Weighing the options of remaining with your current legacy system versus migrating to the Cloud can be very beneficial for your business. Below, we’ve identified several of the key differences between On-Prem and Oracle Cloud HCM to help you determine the best HR system for you and your teams.

Adaptability

Due to the nature of fitting an on-prem system that was developed for cross-industry organizations to your unique business needs, you’ve probably created a large number of customizations within your HR system. At each upgrade, your IT team must determine if you have the time and resources available to apply each of those customizations to the new update or if you get left behind. It’s a manual process, and expensive to execute. With Oracle Cloud HCM, you can easily configure your system to adapt to constantly evolving workplace needs. When quarterly updates roll around, you won’t be met with the difficult decision to preserve customizations or not, nor will you be dependent on a hefty IT team. You’ll simply update to new features while keeping your configurations and tapping into the latest innovations.

Source(s) of Truth

Many organizations operate on a variety of platforms and systems to achieve daily goals. Your on-prem HR solution may be meeting isolated needs. According to Oracle, “Oracle Cloud HR is a complete cloud solution that connects every human resource process—and every person—across your enterprise.” By working from a central source of truth, an organization applies consistent data, accurate reporting, and confident decision-making. Macy’s experienced this firsthand when they moved 63 separate HR systems to the singular Oracle Cloud platform.

Manual Processes vs. Automatic

As mentioned above, customizations require hands-on interactions and expensive management. The same is true of unnecessary manual processes. Most on-prem HR systems are not equipped for self-service capabilities, but Oracle Cloud HR empowers candidates and employees to act for themselves instead of relying on your HR team.  When Arizona Federal Credit Union moved to the Cloud, they automated onboarding processes, saving 60 hours of work per month.

Total Cost of Ownership

According to the Oracle Cloud HCM Value Realization Report, customers who migrated to Oracle Cloud HCM saw a reduction on average of 29% in upgrade, IT maintenance staff, and infrastructure costs. Citizens Financial Group, Inc. saved more than $1 million when they made the shift, and LINX Cargo Care Group expects savings up to $480,000 in annual licensing and infrastructure hosting costs. While results may vary by customer, businesses are consistently seeing a reduction in their total cost of ownership as they migrate to Oracle Cloud HCM.

Dependent on the Past or Future-Proof

Yesterday’s on-prem HR systems call on processes that were available for technology at that point in time. They cannot keep up with the fast-paced digital transformation we’re seeing across the business world. The last two years, especially, have advanced technology in leaps that were unknown previously. Oracle Cloud HCM positions businesses to leverage technologies that are becoming standard for non-work environments and expected by employees. According to Oracle, “Our [Oracle Cloud HCM] customers love that they can offer their team tailored experiences that leverage advanced technologies, including artificial intelligence, machine learning, and digital assistants.”

Key Takeaway

It’s not an easy decision to shift to Oracle Cloud HCM, but the conversation is a necessary one. Customers who have already migrated are consistently satisfied with their results, and they are positioned to attract the top talent, increase productivity, lower operational costs, and enhance HR experiences. Consider Oracle Cloud HCM as the conduit for smarter, faster decisions for your business.