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Stuart Gentle Publisher at Onrec

Allan Schweyer evaluates Alexus

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This week, we look at Alexus. Alexus develops, maintains and hosts talent management software from its own hosting facilities in Gaithersburg, Maryand. Alexus 5 is an e-HR solution designed for mid-size to large organizations. Alexus prides itself in being able to leverage its development architecture to build solutions that are completely tailored to individual clientsí needs; efficiently and without having to make base code changes. Alexus ñ Gaithersburg, Maryland Product SuiteAlexus5 - Enterprise talent management (includes internal, ERP, etc); e-Recruiting (outside, external recruiting system).

Overview
Alexus is a privately held company of about 70 employees based in Gaithersburg Maryland. It entered the Web-based HR solutions arena in 1996 with what they believe was the first fully Web-based applicant tracking system. Don Machis, Alexusí CEO and founder, formed the Charter Group in 1995 to help launch Alexus in 1996. The Charter Group was comprised of current and former HR executives from a number of leading corporations and government agencies.

This group provided significant domain input that drove the design of Alexus' Web-based products. One key development that was based on input from the group is the Alexus search engine, which is among the best in the industry. The Alexus natural language search engine was designed to maximize recall (inclusion) and precision (candidate identification) while producing results that do not reflect the inherent biases of data dictionaries.

The search engine has been continuously improved over the years and is an important capability of Alexus 5, the latest version of Alexusí TRM solution.Alexus prides itself on building and implementing solutions quickly that are unique to every customer without custom programming. Like several other forward-thinking vendors, Alexus is focused on delivering solutions that meet their clientsí needs now and into the future. To accommodate this, AlexusHR is built on a Web services like architecture that Alexus refers to as Internet Application Architecture (IAA). Built for easy reconfigurations and integration, AlexusHR was designed to change and adapt with its clients needs, it has developed what it calls a ìpoint and click configuration engineî that accelerates the change process. Alexus has raised over $18 million in private equity since 1996.

It says it has reached cash flow positive and is no longer reliant on investment. Alexus received its last private equity investment in spring 2001. It is close to profitability. Market PositionAlexus has over 70 customers spread across 14 industries. Customers include the American Red Cross, Fannie Mae, Corning, Verizon, i2 Technologies, NCR, Johns Hopkins University, and Cinergy Corporation. Its newest customer wins are Fannie Mae in September, Cinergy Corp (energy) in the summer T-Mobile (wireless) in early summer and SRA (IT consulting) in November 2002. Alexus targets medium to large employers, from 2500 to 60,000 employees. Its largest customers are the American Red Cross, Corning and NCR.

Typically, large customers are better able to leverage the flexibility and multiple configurations of Alexus HR. Time Warner, for instance used different requisition templates and different workflows for each of its several divisions (before moving to AOLís TMS system after the merger) but one database in the backend for applicant tracking, searching and reporting.For small organizations, AlexusHR ships in ìbest practice modeî. This makes it easy for a company that has no legacy recruitment processes to take advantage of Alexusí built in workflows and templates to get started quickly. Company Vision/Product DirectionAlexus continues to emphasize the flexibility and forward-thinking/planning aspects of their solution. Having offered one of the industryís most easily configurable solutions for several years, Alexus is a leader in this respect. The fact that it is late in supplying advanced configuration tools to customers doesnít mean that the system is any less flexible, adaptable or configurable.

Alexusí current approach is safer than giving the tools to the customer without sufficient planning and precautions. In that respect, Alexus is working with its customer base to determine who is interested in doing there own configuration and identifying persons within its clientsí organizations to certify as administrators who can access the advanced configuration tools when they become available in the next few months.Alexus has had a global strategy ìfor awhileî, but they say there is less impetus for them to go overseas and sell to foreign companies than to focus on the global needs of organizations based in North America. Alexus is translating its solution and localizing its user interfaces to accommodate domestic multinationals in their global operations.

Alexus has invested significant sums in creating an open architecture that facilitates integration with other HR and non-HR tools. Although it doesnít market non-recruitment related products, Alexus feels its platform is capable of use in non-HR tracking type activities and is looking into how to support HR departments to position themselves more strategically using Alexus software creatively (i.e for VMS, procurement, etc.).Alexusí architecture makes it easier for it to partner with other providers in the e-HR supply chain. It is considering VMS and workforce planning, for instance.

This ìplug and playî type interoperability is what V.P. Mike Addad sees as a counterweight to ERP claims. ERPs that Alexus faces in competitive bids often cite lack of integration concerns as its main selling pitch. Web Services architecture, which is where Alexus and many point solutions providers are headed have the potential to make integration among point solutions and between ERP/HRMS and point solutions a problem of the past. Indeed, these issues have already subsided over the past few years.Alexus plans to continue to push the envelope on adaptability and extensibility (extend the solution into other non recruiting/staffing functionality, as above) and, in the short term, to move to more control over ìconfiguration packaged toolsî to companies so they will enjoy more control over the solution. Alexus has concerns about competition from ERPs, but thinks point solution companies will continue to compete well with ERPs on features, functionality, service, and commitment to the space. As above, Alexus feels that one of the ERPsí main advantages, integration, is losing traction as Web Services architectures expand.

Alexus competes with a broad range of vendors for e-recruitment solutions and services. It has replaced Restrac and, to a lesser degree Webhire Recruiter, as well as Resumix in past projects. Contact555 Quince Orchard Road, 4th floorGaithersburg, MD 20878-1437 Tel. 301.417-0500 Fax 301.519.8300 Toll Free: 1.888.253.9878Email: info@alexus.com

This review is an excerpt from a 26 page, comprehensive review of Alexusí latest talent management products and services. The full review, which covers pricing, strengths, challenges, competition and the results of tests on over 25 components of the software and our comments on 14 key business components is part of a 700 page Buyer's Guide to Talent Management Systems. The guide, updated monthly, describes and ranks 20 of the industryís most prominent vendors.

Author
Allan Schweyer
aschweyer@hr.com
www.hr.com

Allan Schweyer has been involved in Internet recruiting since 1994 when he pioneered e-recruitment solutions for Human Resources Development Canada. From 1995 to 1999, Allan directed the award-winning National Graduate Register, Campus WorkLink and SkillNet.ca programs with Industry Canada, which introduced the concepts of applicant tracking and advanced screening to job boards and ìcareer networksî to job seekers. In 1999, Allan formed the On-line Recruitersí Association of Canada. In 2000 and 2001, he worked with Cahners Business Information in Boston to build information portals for technical professionals and attended graduate school at Harvard University. Allan currently consults with large organizations on HR strategies and specializes in e-recruitment projects. He is a senior researcher and analyst with HR.com and the guest editor of the HR.com staffing vertical.