Human Capital Management Part II (Transactions) EGN 5622 Enterprise Systems Integration Spring, 2013...
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Human Capital Management Part II (Transactions) EGN 5622 Enterprise Systems Integration Spring, 2013 Human Capital Management Part II (Transactions) EGN
Human Capital Management Part II (Transactions) EGN 5622
Enterprise Systems Integration Spring, 2013 Human Capital
Management Part II (Transactions) EGN 5622 Enterprise Systems
Integration Spring, 2013
Slide 2
Human Capital Management Part II (Transactions) Concepts &
Theories Human Capital Management Part II (Transactions) Concepts
& Theories
Slide 3
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC3 Shift of HCM views
Payroll Personnel Human Resources Human Capital Management Shift
from brute labor force to quality workers get rid of the fishing
nets and bring in the lines Transform employees into competitive
resources
Slide 4
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC4 HCM Goal: Place right
people to the right Job at the right time Functions Determining
staffing needs Determining organization structures Recruitment and
training Time management Performance issues and performance
monitoring Compensation and benefits Proper alignment of corporate
and personnel goals
Slide 5
Quarles: Flya Kite Introduction5 Importance of HCM The effort
of acquiring and retaining a qualified pool of talent to work in an
organization is critical to the success of any organization. Human
resources (employees) are valued for their intellectual capital,
flexibility, and ability to develop, adapt, and respond to a
rapidly changing environment. Human resources are one of the most
expensive resources in organizations. Thus, it is essential to
hire, train, compensate, and promote valued employees in a cost
effective way. SAP R/3 helps facilitate the process and monitor
data transactions in HR
Slide 6
Quarles: Flya Kite Introduction6 HCM Functions: Organizational
Management and Job Analysis Recruitment Selection Personnel
development Training Travel management Compensation management
Benefits
Slide 7
Quarles: Flya Kite Introduction7 HCM Transaction Function:
Organizational Management and Job Analysis The organizational
structure of the company is designed to reflect departments,
hierarchies and reporting relationships. Data transactions include
c reating organizational units, jobs, positions, position
descriptions, and an organizational chart.
Slide 8
Quarles: Flya Kite Introduction8 HCM Transaction Function:
Recruitment: The objective of recruitment is to enable the
selection and hiring of qualified applicants for a vacant position.
Data transactions include Create a vacant position, Determine the
qualifications required of the position, advertising the position,
Receive and screening applications, Identify the most qualified
applicants, Reject unqualified applicants, and Store applicant
materials of those not hired but to be considered for future
vacancies.
Slide 9
Quarles: Flya Kite Introduction9 HCM Transaction Function:
Selection: Once qualified applicants have been identified, an offer
or contract is extended. Data transactions include Make an offer
Assign a personnel number to the new employee, transfer applicant
data to a master database, where infotypes such as planned working
time, basic pay, bank details are created. Assure the EEO
compliance through HR data transactions.
Slide 10
Quarles: Flya Kite Introduction10 HCM Transaction Function:
Personnel Development Appraise employee performance on a periodic
basis for employee development and administrative purposes (to
determine promotions, merit increases, etc.). Conduct a performance
appraisal using 360 degree feedback, Identify the preferences,
potentials, and dislikes of employees for career planning and
training and development purposes. Generate a profile match up of
the positions requirements and the persons qualifications
Slide 11
Quarles: Flya Kite Introduction11 HCM Transaction Function:
Training: Performance appraisals help identify qualification
deficits. Employees needing to develop a competency can be sent to
a training program or workshop. Data transactions include Select
the appropriate program based on its contents from a catalog,
pre-book an employee in the training program, and Review various
reports, including costs, attendance statistics, and attendee
training history.
Slide 12
Quarles: Flya Kite Introduction12 HCM Transaction Function:
Travel Management: Employees typically attend training programs or
engage in business off-site. Hence, the travel of employees must be
managed. Data transactions include Enter employee travel
preferences in a database (e.g., airline, hotel, car rental), Plan
travel (e.g., selecting dates and destinations), posting travel
expenses, and Generate trip data reports to negotiate special
conditions with travel service providers.
Slide 13
Quarles: Flya Kite Introduction13 HCM Transaction Function:
Compensation Management: Rewarding employees with basic pay, as
well as with incentives, is a typical feature of organizational
life. Common compensation transactions include Enter internal job
evaluation results and external salary survey data, Generate salary
structures, Develop pay grades and pay scales, Create budgets, and
Develop incentive pay.
Slide 14
Quarles: Flya Kite Introduction14 HCM Transaction Function:
Benefits: Benefits are crucial to the entire compensation package,
and play a vital role in enabling a company to remain competitive.
Typical benefits transactions include Activate benefits infotypes
for employees, Enroll employees in various benefit plans (e.g.,
health, flexible spending accounts, 401(k) plans), and Review the
costs of various employee benefit choices.
Slide 15
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC15 Integration of HCM
HCM with Production Shift Planning (Capacity) HCM with FI/CO
Payroll Personnel Cost Planning HCM with MM TEMs (Training and
Event Management) HCM with SD Salespeople - Commissions
Slide 16
Human Capital Management SAP Implementation Human Capital
Management SAP Implementation
Slide 17
January 2008 SAP AG - University Alliances and The Rushmore
Group, LLC 2007. All rights reserved.17 Business Process
Integration HCM Org Data Rules Master Data
Slide 18
Recruitment, Selection & Hiring Process Transactions enable
the advertising of position vacancies, the identification of
recruitment sources, and the hiring of employees. Additionally,
qualifications required of vacant positions can be matched with the
qualifications of applicants to facilitate decision making in the
selection process. This functionality in SAP R/3 relates to
recruitment and selection in HCM.
Slide 19
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC19 Recruitment
Selection - Hiring Hire Profile Match Vacancy Applicants
Advertising Select & Notify
Slide 20
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC20 HCM Process:
Recruitment Monitor and meet the personnel requirements within the
company Determines vacancies within the company maintained by
Personnel or Line Managers the system will generate a list of all
positions that are marked vacant Once a vacancy has been identified
advertising can be initiated
Slide 21
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC21 Recruitment:
Advertising Vacancies are published in advertisements internal or
external announcement of a position The advertisements are recorded
in the system enabling you to gather information about that
advertisement cost applications medium recruitment instrument
Slide 22
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC22 Recruitment:
Applicant Administration Applicant Administration functions:
1.Receiving applications 2.Profile matching 3.Selection of
applicants Allows a company to coordinate and monitor all the steps
involved in the applicant process
Slide 23
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC23 Recruitment:
Applicant Administration Receiving applications Applicants are the
central object of Recruitment it is a person who expresses interest
(through job application) in employment or position change within
the company All applicants must be maintained in the system
maintenance responsibility must be delegated (one or more people)
the status of the applicant will determine the information that is
needed Profile Matching Compares skills of the applicant to the
requirements of the position can the applicant offer what the
company needs is there another vacant position that he/she would
have a better match
Slide 24
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC24 Recruitment:
Applicant Administration Selection used to plan, log, and enter all
the tasks for an applicant in the selection process Activity Types:
mail confirmation of receipt, mail invitation to interview,
schedule appointment for interview, reject applicant, offer
contract depending on the activity and the system output can be
generated automatically Activity Status: planned, completed
Performance Date: when it was carried out Person Responsible:
person responsible for carrying it out Upon completion of
qualification review and interviews the position must be filled (or
closed)
Slide 25
25 Assignment of Employee to Position during Hiring Action
International Aspects of HCM (SAP ECC 6.0)
Slide 26
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC26 HCM Process:
Training & Development Personnel Development Development Plan
Appraisals Qualifications/R equirements Career & Succession
Planning Training develop based upon generate determine
creates
Slide 27
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC27 HCM Process:
Personnel Development Personnel Development component is used to
assess and create employee value that can be utilized by the
company. Purpose is to manage the work efforts and develop the work
skills of employees within the company Pertains to performance
appraisals, career and succession planning, and career development.
Performance appraisals help facilitate decisions regarding
promotions, merit pay, and terminations. Transactions in SAP R/3
relate to the typical HCM practices associated with performance
management systems.
Slide 28
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC28 HCM Process:
Personnel Development A companys Personnel Development needs are
determined by comparing current or future work requirements with
employees qualifications, preferences, and aspirations. Personnel
Development comprises of the following components:
Qualifications/Requirements Appraisal Systems Career and Succession
Planning Development Plans
Slide 29
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC29 HCM Process:
Training & Development Qualifications/Requirements It is used
to define, structure, and manage your qualifications catalog The
catalog enables you to place requirements on positions and
qualifications on employees (or applicants) within the company
Perform profile match-ups (people and positions) Run reports to
recognize qualification deficits and enact training measures
Slide 30
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC30 HCM Process:
Training & Development Appraisal Systems used in Personnel
Administration as an instrument to evaluate members of your
organization in a planned, formalized and standardized manner TEMs
(Training & Event Management) training appraisals attendance
appraisals Compensation Management appraisal results can be used to
influence remuneration
Slide 31
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC31 HCM Process:
Training & Development Career and Succession Planning Career
Planning A planning functionality that allows you to analyze an
employees skills, preferences, dislikes, qualifications, potential
and determine positions they should hold during their tenure at the
company Succession Planning It allows you plan for positions in the
company that will need to be filled because of turnover (or new
position) It enables a company to analyze employees and determine
and prepare potential replacements
Slide 32
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC32 HCM Process:
Training & Development Development Plans Consist of a series of
development measures and information on the sequence in which they
should be passed through and time requirements to provide an
individual with a specific qualification Generic Plans training
program (all prospective sales reps must complete a course on
Fundamental Selling Techniques) Individual Plans comprised of all
the items that a person has completed, is currently involved in, or
will be involved in the future proposes needed course work
(integration with TEMs)
Slide 33
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC33 HCM Process:
Training & Development Training Enables new hires and current
employees access to the necessary resources to build job skills
needed for both current and future task assignments this is figured
through Qualifications/Requirements reports, development plans,
career planning, etc Encourages continual learning and professional
development SAP offers a resource to assist in scheduling training
- TEMs
Slide 34
Training and Event Management It involves the management of
employee activities associated with training, workshop attendance,
and other business-related events. Information on descriptions of
programs, prerequisites, and cost factors can be generated. SAP R/3
has the training and development function in HCM.
Slide 35
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC35 Training and Event
Management Component that enables a company to manage, track, and
plan various different business events Helps determine demand for
courses and schedule dates, manage the resources, attendees, and
costs associates with the event
Slide 36
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC36 HCM Process:
Training & Event Mgmt Integration Points TEMS SDMM COFI HCM
Personnel Development Personnel Administration Organizational
Administration Time Management
Slide 37
January 2007 (v1.0) 2007 by SAP AG. All rights reserved. SAP
University Alliance. The Rushmore Group, LLC37 HCM Process: Cost
Planning Reporting Used to analyze, monitor, plan a companys
personnel costs, wages, salaries, and employer contributions cost
plans are generated by developing and comparing multiple cost
scenarios, these scenarios might be actual or projected
Slide 38
Exercises: (Due date 3/18/2013) HCM 11: Create an advertisement
for salesman (East) HCM 12: Receive application for advertised
position HCM 13: Hire an application for salesman (east) position
HCM 14: Transfer application info to personnel Admin. HCM 15:
Review new employee information HCM 16: Update employee master data
HCM 17: Compare qualifications and requirements HCM 18: Send
employee to training HCM 19: Update employee profile with new
qualification HCM 20: Employee career planning