{"id":1651,"date":"2010-07-12T10:44:00","date_gmt":"2010-07-12T10:44:00","guid":{"rendered":"http:\/\/localhost\/projects\/horsesforsources\/hewitt-aon-071210\/"},"modified":"2010-07-12T10:44:00","modified_gmt":"2010-07-12T10:44:00","slug":"hewitt-aon-071210","status":"publish","type":"post","link":"https:\/\/www.horsesforsources.com\/hewitt-aon-071210\/","title":{"rendered":"Hewitt into AON: a sad, bad day for HR Outsourcing?"},"content":{"rendered":"
\"\"<\/p>\n

AON – clearly recognizes a good invesment…<\/p>\n<\/div>\n

Waking up this morning to hear the news of <\/strong>Hewitt’s acquisition by AON<\/strong><\/a> signalled a sad, bad day for HR Outsourcing.<\/strong><\/p>\n

The HRO industry is now consolidating faster than any of us imagined… forget ADP\/Workscape, this is BIG – and leaves the global HRO market with three major\u00a0global HRO enterprise-level providers – IBM, NGA and Xerox (ACS).\u00a0 While there were some positive synergies with NGA \/ Convergys<\/a> to create a global provider, Xerox \/ ACS<\/a> was an odd match of two very different cultures and providers, and AON\/Hewitt isn’t far off in terms of a weird fit.<\/p>\n

I am concerned with the impact on Hewitt’s culture and brand, which is steeped in HR consulting culture over four decades.\u00a0 While, on paper, we can see some minor synergies, in terms of scale, geographic presence and financial offerings, you have to question two very different cultures and the\u00a0potential\u00a0impact on Hewitt’s consulting and managed services offerings, once the AON corporate machine gets its claws in.\u00a0<\/p>\n

Hewitt needed to be acquired by a true enterprise global provider with real HR heritage, and global HR offerings (especially pan-Europe).\u00a0 Moreover, a provider with deep technology integration expertise would have been hugely beneficial.\u00a0 AON will not provide that, unless it hasn’t finished its shopping excursion. \u00a0Let’s hope AON’s leadership has learned from it’s earlier foray into multi-process HRO, which netted the firm a solitary client (AT&T) and an IT-integration partnership with CSC that achieved little, before beating a hasty retreat.\u00a0<\/p>\n

This time, AON needs to figure out its HR technology services\u00a0strategy – there are several willing partipants out there, with real HRIT acumen (for example Deloitte may be looking at new HRO partners since Convergys’ HRO business was acquired), and there are several Indian providers with deepening HRIT capabilities (Infosys, TCS and Wipro all have developing practices).<\/p>\n

Maybe this will provide the impetus for Accenture to make a renewed push into the market, with so much open space being created?\u00a0 It’s\u00a0deep HR transformation experience, HRIT\u00a0and HRO client engagement experience,\u00a0put it in a strong position\u00a0to up the ante – and\u00a0we’ve see it\u00a0winning some deals of late.\u00a0 Let’s hope so – the industry needs to be competitive and we are quickly reaching a situation where clients have limited choice.<\/p>\n","protected":false},"excerpt":{"rendered":"

AON – clearly recognizes a good invesment… Waking up this morning to hear the news of Hewitt’s acquisition by AON…<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[48,79],"tags":[387],"organization":[],"ppma_author":[19],"class_list":["post-1651","post","type-post","status-publish","format-standard","hentry","category-business-process-outsourcing-bpo","category-hr-outsourcing","tag-hewitt"],"yoast_head":"\nHewitt into AON: a sad, bad day for HR Outsourcing? - Horses for Sources | No Boundaries<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.horsesforsources.com\/hewitt-aon-071210\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Hewitt into AON: a sad, bad day for HR Outsourcing? 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