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November 8, 1999

Automated Human Resources
Web service helps companies recruit and manage employees and contract workers

By Chris Murphy

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ven the Web can't make hiring people as easy as stocking the office with pens and paper clips. But for a monthly fee of $9,900 to $25,000, Icarian Inc. will provide a human-resources Web service similar to the model used by Ariba and Commerce One for buying business supplies and materials online.

Icarian Workforce, to be launched next week, helps managers automate hiring processes such as requesting new positions, screening candidates, scheduling interviews, and sending offer letters. Managers can log promotions, reassignments, or terminations, and employees can update their digital resumés to reflect growing skills.

A second element, Icarian Workforce eXchange, lets companies link to outside providers for services including employee recruitment, temp agencies, relocation firms, and immigration agencies.

Chipmaker Advanced Micro Devices Inc., with 13,000 employees, is among Icarian's first customers. Icarian's initial-client roster also includes the 160-person company Extensity Inc. of Emeryville, Calif. Extensity, which provides employee-management systems for business travel and expense reporting, adopted Icarian Workforce after doubling its staff in nine months. "It was a pain to manually update," Extensity CEO and president Bob Spinner says. "It would not be clear who had the next interview, or the comments might not be available from the previous interview."

The new Web service is housed in data centers through a contract with Exodus Communications Inc. In addition to monthly fees, Icarian plans to eventually earn a percentage fee on transactions conducted by recruiters and other service providers.

Managers are still in the early stages of accepting that human resources can be automated, says Giga Information Group analyst Jim Holincheck. "When you're talking about people, you're never going to be able to completely automate that. The degree to which you can improve the elements that don't need a human touch, there is a lot of room."

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