Federal agencies are under mounting pressure to modernize their human capital management systems to better support evolving workforce demands, regulatory updates, and workforce analytics and reporting. Yet many are still burdened by heavily customized legacy platforms that inhibit agility, scalability, and strategic insight.
MeriTalk recently sat down with Annamary Holbrook, director of federal solutions consulting at Workday, a provider of human capital and financial management system software, to discuss the risks of custom-built systems, the advantages of agile platforms, and how configurability can help agencies take control of their modernization journeys while improving compliance, cost-efficiency, and employee engagement.
MeriTalk: Let’s start with the basics. What’s the difference between customization and configuration in Federal human resources systems – and why does that matter?
Holbrook: Customization equals slow. Federal agencies that rely on custom code are handcuffed to systems they can’t easily evolve. These systems are typically supported by a few specialized individuals or outside contractors. If those people leave, the knowledge leaves with them. Over time, that lack of ownership makes modernization nearly impossible. Agencies end up with siloed systems that are expensive to maintain, hard to upgrade, and can’t adapt to new workforce needs or technologies, such as artificial intelligence.
Configurable systems enable agencies to tailor forms and workflows to specific conditions without changing the core system code. But it’s important to distinguish between two types of configurable systems. Some off-the-shelf digital forms and workflow systems don’t enable a 360-degree view of data and processes. The data in an I-9 Form, for example, stays in that form and workflow. Data in a compliance form stays in that form and workflow. Nothing in the system connects those forms and workflows together. Integration is required to get that 360-degree view for reporting and organizational management. Also, the data in these systems does not have the concept of an employee or organization, so it hinders the overall insight an agency needs for effective at decision-making.
The other type of configurable system is a business process framework that captures data in a centralized platform. The 360-degree view is built in. When the employee completes any form, the data automatically updates in other places, including the employee profile or organization updates. What’s the benefit? Here’s one example: When an employee enrolls in benefits, their compensation is already in the system, so it automatically calculates their eligibility for life insurance. HR managers don’t need to track that information disparately in another system or form.
It’s not just faster – it’s sustainable. You can adapt forms, workflows, and data quickly and easily – and you always have a central master record. That’s critical for agencies facing frequent policy changes and shifting mission priorities. They need instant decision support with the most up-to-date data.
MeriTalk: Other than slowness and lack of centralized data, are there other risks of relying on customized systems?
Holbrook: First, compliance. If legislation changes and you’re relying on custom code, you have to stop what you’re doing, go back, and reprogram that code. Second, security. Custom systems often lack the protection that comes with purpose-built platforms. And third, data accuracy. When data lives in silos or bolt-on apps, that can create reporting inconsistencies, which adds risk.
MeriTalk: What about the long-term cost implications?
Holbrook: The cost is enormous. Custom systems require constant maintenance and rework. Agencies have to hire people to update forms, reprogram database fields, and rebuild views every time something changes. It’s like building a house out of bricks. Once it’s set, it’s hard to adapt. Today, we need a Lego-like approach. If you want to change the red block to blue, you should be able to do that easily, without hiring a vendor every time.
MeriTalk: How do configurable dashboards and analytics help with strategic workforce planning and personnel action request (PAR) management?
Holbrook: With configurable systems, you’re not locked into a single view. You can slice and dice data however you need – whether you’re a recruiter trying to improve pipeline conversion rates or a leader managing agency-wide workforce planning, including for contingent workers. Real-time visibility lets you track workforce management, cost, positions, people, and PAR processes, identify bottlenecks, and manage candidate/employee lifecycles, all from a centralized system. That’s a huge shift from legacy systems, where each report had to be custom built.
MeriTalk: Can configurable systems support personalization for agencies and employees?
Holbrook: Absolutely. For example, Workday can support multiple organizations, logos, different logins, and personalized workflows, all within the same system. Agencies don’t have to create a separate instance for each sub-agency. It’s all secured, centralized, and easy to manage. That simplifies administration and reduces cost. It also empowers autonomy and employees with self-service tools that make their experience feel personal and seamless.
MeriTalk: Workday’s business process framework enables this configurable, personalized approach. How does it work?
Holbrook: First and foremost, it’s designed for Federal government requirements. Agencies can define complex workflows with simple if-then logic – no coding required. If a process needs extra steps – for example, an employee is starting work in a location that requires specific actions – you can build that right in. It can do integrations to outbound or inbound systems. The end of a PAR process could trigger an integration with the payroll system. You can even automate calculations, like adjusting hire dates after a break in service or automation of locality compensation by the work assignment. Everything is built on a single foundation, so it’s fully connected, every step is tracked, and everyone on the need-to-know chain is notified. That means more agility, complete accuracy, faster response times, and more control.
MeriTalk: What else should agencies consider when evaluating configurable versus custom-built systems?
Holbrook: Remember that there’s always a need for some customization, even in the most configurable systems. I’ll give you an example. One agency wanted to build an application that would calculate credits for employee travel on Metro. With Workday Extend, a tool that enables organizations to extend the core functionality in Workday, the agency developed an app that connects to the worker profile for the employee’s home address and work address and uses public fare information from Metro to calculate and process credits. That’s a custom app but it’s built on and connected to the Workday platform. It’s configurable, protected, and part of our update process. It’s also shareable with other agencies. You just can’t do that with custom code locked in silos.