Internal talent marketplaces generally do several important things: They use AI-type technologies like machine learning to personalize job recommendations, improve job searches and alerts, and simplify the job application process. But there are variations to this approach, something illustrated by Ceridian HCM's new tool.
Ceridian's system, called the Ideal Talent Marketplace, connects employees and pre-vetted external workers to fill work shifts, positions or project roles. It uses technology from Ideal, a company in Toronto that it acquired last year, that can infer skills from resumes and categorize them into industry-standard skills, said Joe Korngiebel, chief product and technology officer at Ceridian.
The marketplace, which will be released next year, enables employers to "instantly find talent." It includes APIs with staffing agencies where people can find work, such as an open shift, Korngiebel said.
Holger Mueller, an analyst at Constellation Research, said other HCM vendors aren't getting "employees and contractors together -- there's no integrated way to bid out work to contractors" when employers can't fill positions with in-house workers.
Internal marketplaces may be one of the fastest-growing areas in HR tech. Major vendors, such as Oracle and Workday, have added marketplaces to their portfolios. The venture capital market has also been active in investing in marketplace tech. For example, Gloat Inc., a startup based in Israel, received a $90 million funding round from Generation Investment Management in June. Meanwhile, management consulting firms, such as McKinsey & Co., have encouraged HR managers to consider these tools, arguing that internal marketplaces can help with retention.
Some customers agree.
Keep strong performers
Internal marketplaces are essential to keeping strong performers, said Ashley Blackmore, director of Newell Brands Inc.'s North America talent acquisition and operations firm that employs about 29,000.
Ashley BlackmoreDirector of North America talent acquisition and operations, Newell Brands Inc.
"If we don't provide them the opportunities internally, you're just going to lose them," Blackmore said at Phenom People Inc.'s virtual customer forum this week. The vendor, based in Ambler, Pa., makes a talent relationship marketing platform.
Before it began using Phenom's internal marketplace about two years ago, Newell relied on an ad hoc approach to filling internal positions. The company produces consumer products for brands such as Rubbermaid, Reynolds and Mr. Coffee.
Blackmore said Newell gathered open positions through its application tracking system and posted them on "a very boring" webpage. She said employees could search for jobs by type and location and sign-up for alerts, which were sometimes inaccurate.
With Phenom's internal talent marketplace, Newell employees can set up a profile and get personalized searches and job recommendations, as well as a simplified application process.
But Newell also coupled the talent marketplace tools with employee communications "to encourage internal movement" -- even between its businesses and brands, Blackmore said. The outreach efforts to encourage using the talent marketplace are ongoing, and may include product giveaways for employees who make referrals for jobs.
Blackmore said the overall effort has paid off with a "significant increase" in internal applications for open jobs. She added that retention has also increased.
Patrick Thibodeau covers HCM and ERP technologies for TechTarget Editorial. He's worked for more than two decades as an enterprise IT reporter.