Thames Water

22nd May 2012

2

River Thames

Riv

er

Ch

erw

ell

River Wey

River Lee

Rive

rC

oln

eRiver Kennet

Banbury

Swindon

Oxford

Reading

Slough

High Wycombe

Guildford

3

What else makes us special?

We‟re high profile

National opinion formers live and work in our area

One quarter of all customers in England

The country‟s capital city is at the heart of our supply area

Biggest scarcity of water with the highest population density

2012 Olympics

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Our mission…

5

Administrative

& Advisory

Services

HR

Leadership

Team

Design core HR solutions

and programmes for

organisational wide usage

and serve as the HR

knowledge centres of

excellence

Focus: Expert HR

design services,

business and local fit

while taking advantage

of best practice

Deliver HR services to agreed service

standards in a cost-effective manner

Focus: Technology enabled, standardised

processes. Cost-effective service delivery

of HR administrative work

Outstanding relationship

managers with a commercial

edge. Understand the “pulse” of

the organisation. Concentrating

on delivering the right solutions in

partnership with the Business and

the Centres of Excellence.

Focus: Commercial edge,

strategic interventions,

Connecting HR and the

Business

Corporate leadership in development of

organisation-wide HR strategies and policies

Focus: Creating a culture of engagement and

a Talent Management Philosophy

HR

Business

Partners

Centres of

Excellence

HR Operating Model

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SAP HR Project at Thames Water

Scope Organisation Management, Nakisa OrgCharting &

OrgModelling Employee / Non-Employee Administration Time Attendance & Evaluation Payroll Processing Talent Management

– Online PDRs (Performance Management) – Learning Solution – Succession Planning & Talent Reviews – Skills Profiles – e-Recruitment

Employee & Manager Self Service (ESS / MSS) Case Management Management and Operational Reporting

Improvements Self Service & automation of HR processes

Improving process governance & automation

Automated business rules, e.g. expenses, time and payroll

SAP enabled processes for Performance Mgt, Learning &

Capability, e-Recruitment and Reward

Control and visibility of employee /non-employee data

Improved capability and provision of HR based reporting &

Management Information

Key Business Impacts Greater use of Self Service within the HR processes, not

offline tools such as spreadsheets

Alternative processes required for field based operational

staff that will not have access to Self-Service

Completion of coverage of timesheet recording across the

business

Governance & automation of processes gives visibility of

data, providing „real time audit‟

Reporting / KPIs Single source of employee and payroll information

Improved capability for key workforce analytics – Headcount,

Recruitment, Performance Mgt, Reward Mgt

Improved HR Case Management analytics of workload &

performance

A common HR systems

platform for all

functions with a set of

robust and efficient

manager/employee

self-service

applications,

enterprise HR

management reporting

capabilities

HR to complete the

transformation from

‘High Volume Low

Value’ to value adding

STRATEGIC partners

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Learning Solution & Skills Profiles

Old world (pre SAP) Oracle system with training records

Spreadsheets and offline administration

Offline approvals of training requests

Skills profiles stored on spreadsheets and saved locally in the

business

Manual approach to demand planning

New world (SAP) Online training catalogue available for scheduling courses and

managing course demand

Accurate training demand and prioritisation

Supports compliance & self-regulation to regulatory audit

requirements (e.g. DWI)

Automated training approval and cancellation requests

E-mail reminders for expiry of skills/qualifications

Centralised view of skills profiles and competency gaps

through profile match-ups

Ability for managers to book employees onto courses (through

EhP4)

MI reporting

SAP challenges & System enhancements Ability for managers to enter start date on

qualifications

Evidence of competency recorded against

employee skills

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Performance Management

Old world (pre SAP) Paper Based PDR documents

No central view of Performance Documents, their status or

their content

PDR peer reviews offline and data collated in spreadsheets

Centralised reporting through complex spreadsheet

calculations

Challenge of Accuracy „No single source‟

New world (SAP) PDRs completed online with a facility to print as required

PDR rating history available online with full PDR history

available going forward

Reporting functionality supports Manager‟s information on

PDR status, results and for PDR peer reviews

Increased visibility for Managers of direct reports and full

organisation structure they are accountable for - including

PDRs and progress status

Team goals cascaded by line managers as part of EhP4

functionality

Integration with Learning Management through online PDR

documents

Performance ratings linked with Talent Management for Talking

Talent Reviews

Integration with pay review and reward management

MI on PDR = improved support, governance and analysis

SAP challenges & System enhancements Customised print layout of PDR

Managers entering objectives on behalf of offline

users

Bespoke program to update manager/employee

assignments through employee movements

MI & BI development

Duplicate goals against employees through higher

level managers cascading the same goals

Usability – Manager‟s are „hitting‟ the wrong button

(Save not status)

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The PDR Annual Cycle

Thames Water

Corporate Objectives

Peer Review

Objectives

Step 2

PDR: Half Year Review of employee behaviours

Profile Matchup: identify development needs

Development Plan: discuss gaps identified

during Profile Matchup

Step 3

PDR: Final Year End review and

overall performance rating

Peer Review

Performance

Ratings

BI

Peer Review

Performance

Ratings

BI

Throughout the year

Regular Review and Feedback

Employee Manager

Business Unit

Objectives

Step 1

PDR: agree individual objectives

Profile Matchup: identify development needs

Development Plan: identify skills gaps during

Profile Matchup and book training as required

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PDR Screen Shot

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PDR Screen Shot

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Talent Management & Succession Planning

Old World The succession planning process was paper-based with

supporting templates

„Talking Talent‟ process which includes Succession Planning

and Performance Potential matrix

There is difficulty in viewing succession across the

organisation together analysis/reporting

The career development and succession model was one

which incorporated all positions and all incumbents of

positions rather than focussing only on key strategic positions

SAP HR is used in isolation, but provides PDR ratings to

support Succession Planning

Assessment of potential in the organisation is not made using

the same visible criteria and assessment methods for various

levels are not clearly defined.

New World Leverage the SAP HR solution that is already in place,

including ESS and MSS functionality

One source of the truth for accurate HR and organisational

data in SAP HR for identifying talent in Succession Planning

Succession Planning will be against the current status of the

organisation structure, identifying key positions and critical

roles

Talent team and managers are able to prepare and conduct

„Talking Talent‟ meetings online

SAP challenges & enhancements Our due diligence determined SAP succession

planning on EhP3 was not fit for purpose and

deferred as part of the SAP HR implementation

Succession planning, using the E-Recruitment

solution, is not going to be developed by SAP

beyond EhP3

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Overview of Nakisa Talent

Visualisation

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What is Nakisa Talent

Visualisation?

Graphical-based succession

management solution

Visualisation and execution

of succession plans and

Talent Management

Displays data from SAP HR

as at today and updates the

system in real-time

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What is Nakisa Talent

Visualisation?

Official SAP Solution

Extension in their Talent

Management suite

Jointly developed with SAP

for seamless integration,

unrivalled in any competitor

solution

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What are the benefits?

Data is held in SAP, not external sources, so there is no duplicated or unaligned data

SAP security and authorizations are leveraged so data is protected and only available to the right people

It helps to identify any ‘knock-on’ effects as individuals or positions change

Suitable potential successors for strategic and key positions are identified, selected and matched to these positions

Effective risk management by having effective contingency cover and depth of succession (bench strength)

Ensures the organisation can fill roles in the right way, at the right time and with the most appropriate person

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Integration with the Talent Review

Process

Employee Review talent

profile &

conduct Talent

Assessment

Setup and

Prepare Talent

Review Meeting

Conduct Talent

Review Meeting

Follow Up

Activities

Management Team &

Talent Management

Specialist

Manager

Talent Management

Specialist

Talent Management

Specialist, Manager

& Employee

Maintain

Talent Profile

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Functionality and Capabilities

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Visualise Organisational Structure

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Key Position / Succession Plan

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Successor Pools

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Competency Framework

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Profile Matchup: Position Requirements

> Employee Competency

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Analytics Dashboard

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Talent Grid

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