Comments on: How to Address Risk and Sustainability Among HR Vendors http://inflexionadvisors.com/blog/2008/03/21/how-to-address-risk-and-sustainability-among-hr-vendors/ Changing HR one post at a time. Sat, 31 Jul 2010 22:34:28 +0000 hourly 1 By: Inflexion Point » Blog Archive » Checking the Expiration Date on India’s STPI http://inflexionadvisors.com/blog/2008/03/21/how-to-address-risk-and-sustainability-among-hr-vendors/comment-page-1/#comment-2554 Inflexion Point » Blog Archive » Checking the Expiration Date on India’s STPI Tue, 08 Apr 2008 13:42:54 +0000 http://www.inflexionadvisors.com/blog/2008/03/21/how-to-address-risk-and-sustainability-among-hr-vendors/#comment-2554 [...] touch upon an issue that Inflexion is increasingly concerned about, vendor sustainability, and how buyers assess current and future risks associated with their most deep and meaningful [...] [...] touch upon an issue that Inflexion is increasingly concerned about, vendor sustainability, and how buyers assess current and future risks associated with their most deep and meaningful [...]

]]> By: Naomi Bloom http://inflexionadvisors.com/blog/2008/03/21/how-to-address-risk-and-sustainability-among-hr-vendors/comment-page-1/#comment-2381 Naomi Bloom Tue, 25 Mar 2008 00:14:44 +0000 http://www.inflexionadvisors.com/blog/2008/03/21/how-to-address-risk-and-sustainability-among-hr-vendors/#comment-2381 Very good and quite timely column. There's going to be a lot more "drop-outs," particularly in the background checking (too many Mom and Pop operations), PEO (the same plus changes in the insurance part of the equation and the increased cost of having reasonable technology), and subscribed talent management software (too many vendors chasing too many prospects with no big upfront license fees to fund the modest $$ value of even good hit rates on these pursuits unless you factor in big $$ consulting contracts). Some of the other items that a prospective buyer can check as part of assessing the viability of a vendor include (1) track record of the management team in both raising $$ and running successful companies (there's a reason why no one questions Workday's viability even as much larger firms are routinely questioned), (2) quality, usefulness, innovation and robustness etc. of the underlying software (if the software's really good, even in a consolidation that software may well win out thus protecting those who are running on it), and (3) quality of the installed base (a vendor with lots of marquee clients is a safe place to be than one with perhaps an equal number of less well-known, less sophisticated, less invested, etc. clients). Very good and quite timely column. There’s going to be a lot more “drop-outs,” particularly in the background checking (too many Mom and Pop operations), PEO (the same plus changes in the insurance part of the equation and the increased cost of having reasonable technology), and subscribed talent management software (too many vendors chasing too many prospects with no big upfront license fees to fund the modest $$ value of even good hit rates on these pursuits unless you factor in big $$ consulting contracts). Some of the other items that a prospective buyer can check as part of assessing the viability of a vendor include (1) track record of the management team in both raising $$ and running successful companies (there’s a reason why no one questions Workday’s viability even as much larger firms are routinely questioned), (2) quality, usefulness, innovation and robustness etc. of the underlying software (if the software’s really good, even in a consolidation that software may well win out thus protecting those who are running on it), and (3) quality of the installed base (a vendor with lots of marquee clients is a safe place to be than one with perhaps an equal number of less well-known, less sophisticated, less invested, etc. clients).

]]> By: tony http://inflexionadvisors.com/blog/2008/03/21/how-to-address-risk-and-sustainability-among-hr-vendors/comment-page-1/#comment-2337 tony Fri, 21 Mar 2008 17:39:33 +0000 http://www.inflexionadvisors.com/blog/2008/03/21/how-to-address-risk-and-sustainability-among-hr-vendors/#comment-2337 All the above are good ideas and it is certainly true that there is no singular best tool for forecasting the demise of a company. There are simply too many intervening variables. If there was a super calculation, I suppose the investing community would be quite different, right? One other factor to consider: Z-Scores. I'm going to look into that V-rate score...interesting...very interesting! All the above are good ideas and it is certainly true that there is no singular best tool for forecasting the demise of a company. There are simply too many intervening variables.

If there was a super calculation, I suppose the investing community would be quite different, right?

One other factor to consider: Z-Scores.

I’m going to look into that V-rate score…interesting…very interesting!

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