Human capital consulting firm RedThread Research has released a pivotal new report that takes a detailed look at the rapidly growing field of technology for frontline workers. The report, “Frontline Tech: Designed for Frontline Workers,” examines 112 providers in this arena, showing a category brimming with energy and optimism.
What’s Frontline Worker?
RedThread defines “frontline worker” broadly, as anyone who must be physically present to do their work. Such workers, the report observes, often face unique challenges such as limited desktop access, no email addresses, inflexible work schedules, and more.
While traditional HR tech solutions can sometimes overlook the nuances that come with frontline work, this gap in the market is precisely what the providers of frontline technology are addressing — with tools specifically designed to help those workers perform, learn & grow, and feel engaged & included in their organizations.
Key takeaways from the report:
1. High Growth Expectations and Big Investments in Frontline Tech:
Enthusiasm is high in this growing sector of HR Tech. Despite the turbulent economy of 2023, every single vendor that participated in RedThread’s survey indicated they anticipate growth over the next year. A striking 69% project more than 31% growth in 2024, underscoring the soaring demand for frontline-focused tech. And 46% of all vendors (including those not looking for funding) received funding after June 2022, when venture capital investment declined for HR tech overall.
2. Frontline Tech Solutions Focus in Three Core Areas:
The new RedThread report shows that vendors are focusing on three core areas to support frontline workers: enabling performance, fostering learning & growth, and promoting engagement & inclusion.
- Performance: Technologies including performance support, scheduling, task management, performance management, and pay & benefits.
- Learning & Growth: Technologies that enable frontline workers to plan and develop the skills they need to succeed in their current roles, to prepare for new roles, and to advance in their careers.
- Engagement & Inclusion: Tools that, for example, facilitate communication and collaboration, employee listening and feedback, and employee recognition.
3. Frontline Tech Solutions Are Somewhat Specialized
The report found that while a majority of software solutions supported two of the above categories, very few solutions spanned all three, and no one capability is offered by all providers.
As report co-author Dani Johnson, RedThread’s co-founder and principal analyst, notes: “There are really no “table stakes” capabilities that are being offered by everyone. In fact, out of the 15 capabilities we identified in the category, no single solution checked all the boxes. Only one capability (learning content consumption) was even offered by more than half of the providers.”
4. Companies Must Prioritize when Selecting the Right Tech:
Because of the specialization of frontline tech solutions, the report notes, buyers of this kind of technology will need to carefully consider their goals before choosing software. The report compares vendors’ offerings the vendors offerings across 15 identified capabilities and highlights 4 big considerations to keep in mind when choosing frontline tech.
The report authors also encourage buyers of frontline technology to watch new developments in this dynamic category closely. Frontline tech, they note, differs distinctly from conventional HR tech.
“Unlike other HR technologies, which enable a set of behaviors — like learning or performance management — frontline tech enables a specific group of people and their needs. Providers are highly focused on creating technology that is specifically designed to empower frontline workers.”
Senior analyst Heather Gilmartin Adams
To learn more, visit http://www.redthreadresearch.com
