HCM transformation that actually sticks

When organizations finally focus on HCM transformation, they often pull out a long to-do list first: clean up the data, finish the reorg, and wait for next year’s budget cycle. The catch: there is no perfect moment – and delaying transformation usually just extends the pain. 

“Don’t wait,” stresses Jimmy Plante, CEO of Folks HR. “The best time to start is now, with a platform that’s flexible enough to grow with you. Every month of delay is another 30 days of administrative burden, data gaps, and missed people insights.” 

Buying software isn’t the same as transformation 

Over the past few years, there’s been a clear change in tone at Canadian organizations. The conversation has moved from, “Do we really need to digitize things like employee records, time off, benefits, payroll data, and reporting?” to “How do we make sure our systems are talking to each other?” At the same time, expectations have risen: the bar sits way above basic automation as demand for integrated ecosystems ratchets up. 

This shift was also spurred on in part by the pandemic’s acceleration of digital adoption. Employees now expect the same level of ease and access from their workplace tools that they get from their personal apps, and that’s becoming table stakes if organizations want to remain competitive. 

“They want their HR tools to share data seamlessly, and they also expect a consumer-grade user experience – both for HR teams managing the system and for employees using self-service features on mobile,” explains Plante, adding that there’s also greater awareness of Canadian-specific compliance requirements. For example, Quebec’s Law 25 on data privacy, multi-province payroll, and the moving target of employment standards.  

“Canadian organizations are increasingly looking for solutions that understand their regulatory environment natively, rather than ones adapted from US platforms,” Plante says. 

Despite more clarity on what they want, many employers still believe buying software is synonymous with “doing transformation.” Plante points to this false equation as the inflection point for one of the most important distinctions in the industry. Buying software is a transaction, he says, while transformation is a journey. 

“Many organizations purchase an HR platform and then configure it to replicate the same broken processes they had before, just in a new interface. That’s not transformation – that’s digitizing dysfunction.” 

Start with a problem, not a product 

To achieve true HCM transformation, employers need a clear understanding of what they want to change about how people are managed within the business. Then, select and deploy the technology that supports those new behaviours. 

The first part requires the lion’s share of thought because it’s about whittling down to a clear problem, not building out a feature list. Too much emphasis on the latter at the expense of the former is the biggest mistake Plante sees organizations make. 

“If you start from ‘We’re losing people in the first six months, and we don’t know why,’ you’ll make a much better technology decision than if you start from ‘We need a platform with these 30 features,’” he says. 

That’s because technology, no matter how many bells and whistles it provides, is never more than an enabler; it is not transformation itself. The recipe for true transformation requires HR leaders to rethink processes, train their teams, and track outcomes. It also calls for executive sponsorship and a willingness to adapt as the organization learns. 

When organizations approach the implementation of any new tools as a change management exercise and not just an IT project, they’re far more likely to see lasting results. 

All-in-one HR that cuts errors and boosts retention 

At Folks, that premise becomes a promise: the team works closely with customers through the implementation process. From recruitment and onboarding to performance management and payroll, it’s all-in-one software is custom-built for Canadian SMBs. For HR teams that previously juggled separate systems for core HR and payroll, that unified approach removes a huge amount of friction behind the scenes.  

Instead of entering every hire, promotion, salary change, or termination twice – once in HR and once in payroll – a single update in Folks flows automatically through to pay, with no manual re-entry required. That doesn’t just save time; it dramatically reduces the risk of costly errors. 

The combination also tackles one of the thorniest issues for Canadian employers: compliance. Folks handles CRA remittances, T4s, RL 1s, Records of Employment, and multi-province tax calculations natively. 

“US-designed platforms often bolt these on poorly, if at all,” Plante says. “For HR teams that previously spent hours reconciling payroll data with HR records each cycle, the integrated approach is genuinely transformative.” 

But Plante is quick to point out that the biggest opportunities for SMBs go beyond administrative efficiency. Structured onboarding is at the top of his list. Too many SMBs still treat onboarding as a vague checklist – sign the contract, set up the laptop, tour the office, done – but “research consistently shows that the first 90 days are the most critical period for retention,” he adds. 

“A well-designed onboarding experience – supported by technology that guides new hires, assigns tasks automatically, and ensures nothing falls through the cracks – is one of the highest-ROI investments a small business can make.” 

Quality of adoption determines quality of outcomes 

Performance management is another area where technology can change the game. Rather than relying on a once-a-year check-the-box review, Folks enables ongoing check-ins, goal tracking, and development conversations that fit into the rhythm of a smaller business. It dodges the bureaucratic burden while maintaining a workforce that feels seen and supported throughout the year. 

Finally, tying back to the expectations of more control over their own experience, the platform’s self-service capabilities give employees what they want. Whether they’re updating their personal information, requesting time off, accessing pay stubs, or accessing key documents, “they feel more autonomous and respected,” Plante says. 

“That employee experience improvement costs very little to implement but has a meaningful impact on satisfaction and retention,” he adds, noting that connecting people data allows organizations to see patterns and establish links, intelligence that moves HR from an administrative function to a strategic one, even in a 50-person company. 

All of that brings Plante back to his core belief about transformation: the tool only matters if people actually use it well. That’s why Folks works closely with customers through implementation and beyond, treating each rollout as a change management journey rather than a simple IT project. As Plante puts it, the quality of adoption determines the quality of outcomes. 

“A unified platform fundamentally changes the economics and complexity of transformation,” he says. “It also accelerates adoption because employees and managers only need to learn one system, while HR only needs to maintain one data source. For SMBs, this isn’t just convenient – it’s often the difference between a transformation that sticks and one that stalls.” 

Know the pain points you need to address? Reach out to Folks HR to kick off your transformation journey today.