HR Technology

Interface

SAP ERP – HCM

End to End HR Solution
 Objectives

• Overview of SAP HCM concepts

• Benefits/Features/Functionalities
• HR Sub – Modules
• Integration – sub module & cross module
• Reports
• Utilities/Tools
• SAP HCM is a comprehensive, integrated, efficient & secure human resources
management system that facilitates managing full range of HRMS functions and
responsibilities in any company.
• It gives organizations in all industries worldwide, the much-needed tools to manage
their most important asset: people.
• To manage day-to-day tasks effortlessly , it has everything - from Hire to Retire. Helps
you save up to 50% of your time in HR & Payroll activities.
• The solution helps executives, HR professionals, and line-of- business leaders to
forecast, plan, and hire the best talent, as well as cultivate the skills of and train + retain
their workforce.
Streamline HR /Payroll Processes
• Access Anywhere Anytime Any Device - Cloud ready
• Fit for all industry size/type/country - Customizations Available
• Enhanced support on phone/ mail/ online conferencing/ ticket – Service helpdesk
 HR Sub - Modules
• Organizational Management - OM
• Personnel Administration - PA
• TIME MANAGEMENT- TM
• PAYROLL Accounting [India] - PY
• Recruitment - RCT
• Personnel Development - PD
• Training and Event Management - PE
• Performance Management System - PMS
• Benefits & Compensation Management - BN & EC
• Employee Self Service/Manager Self Service - ESS/MSS
• Travel Management - TRV
 Organization Management

OM is a sub module that structures the organization at Enterprise,

Personnel and Organizational level.
In simple words, it helps define different business units, job positions,
reporting structures, current and future hiring plans in the SAP ERP.
This module looks at the organization's departmental structure and
holds the data in object types
• Object Types Entities within OM are maintained as object types (e.g.
Org Units, positions, jobs)
• Relationships Links objects together (e.g. person to position,
position to Org Unit)
• Validity Dates Validates life span of objects
• Info types Data input screens used to record relevant information
 OM objects & relationships Overview

Basic Building Blocks

S - Position
P - Person
O - Organization Unit
C - Job
K – Cost Center
C- Job, S- Position, O– Org Unit , K – Cost Center
Person
• Object type P is used for Employee.
• A person is generally an employee in the company who holds a position.

Other noteworthy Object Type is TASKS

• Object Type T is used for tasks
• Tasks are individual duties and responsibilities that must be undertaken by employees

Work center is an organization unit where Operations are carried out.

In other words, In the R/3 System work centers are business objects/ master data that can
represent the, real machines, Production Lines, Assembly Work Center, Employees, groups
of employees etc.
The object type is A for work center.
E.g. Work Center may be A3F2QWS20
A - Building A, 3F - 3rd Floor, 2Q - 2nd Quadrant, WS20 - Work Station 20
 SAP HCM Hierarchy – Elements Relationship

Company
Personnel
Code
Area

Personnel
Sub-Area Organizational Cost
Unit Center

Employee
Group
Position Job

Employee
Sub-Group

Person

Indicates one-to-many
relationship
 The HCM Organization Structure Concept

Enterprise
 Company Code Personnel
 Cost Center Defined
 Employee Group
by
Finance – High Level Employee type Organization
 Personnel Area – E.g.: Professional, Sales,
– Geographic Factory, External
 Org. Unit
– Location – Department
– 1 to 1 relationship with – Division
company code, or
 Employee Sub-group – Supervised group
– 1 to many relationship with – Lower level Employee Type • E.g.: Corporate Finance
– E.g.: Salaried Full-Time
company code  Job
Salaried Part-Time,
– Generic job
Hourly Part-Time
 Personnel Sub-area • E.g.: Manager
– Division  Position
– Specific job
• E.g.: HR Manager
 Organizational Structure in SAP

All activities that use or

generate data within SAP
Transactions
SAP
Client
Org Units, Positions, Jobs,
Cost Centers, Person, etc. Master Data

The foundation for all data within SAP

- Objects and Relationships Organization
Structures

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 Personnel Administration

As the name says this module handles the task of administration of

Employees. It saves time and cost by storing the complete employee
related data in a structured way & automatically checks the integrity of
data. Using SAP HR PA, employee administration will be easy and
effective. 1.Where does employee
work
2.What is his/her job function
3.To represent relationship
between individual Depts &
workgroups
 Personnel Administration
• HR Master Database
Organisation
Data

Employee
Personnel
Development
Data
Data

Travel Data Time Data

HR Master Data

Training Data Payroll Data

Employee Recruitment
Self-Service Data
 Personnel Actions = employee life cycle events

• Hiring
• Confirmation
• Transfer
• Promotion
• Increment
• Separation – Superannuation
Termination
• F&F
 Payroll Management

Payroll is a process to calculate the salary and wages of permanent and temporary employees of
an organization. Payroll calculation considers an employee’s attendance, bonus, overtime, tax
rules and other information to generate the pay slip of that employee. Payroll can be run daily,
weekly, bi-weekly, monthly depending on the salary cycles of the organization.
• Preparation of monthly employee payroll including Tax Deduction at Source -TDS
(withholding Taxes), Provident Fund (Retirement Benefit), Profession Tax (Statutory Levy-
deduction from Salary) etc.
• Employee payments and reimbursements
• Preparation & submission of Profession Tax Monthly Returns
• Preparation & submission of TDS Monthly remittances, Quarterly Returns (Form 24--)
• Preparation & issuance of TDS certificates to Employees (Form 16)
• Withholding taxes on payment of salaries, etc.
• Maintenance and updating of employee information sheet / salary register and essential
records.
• Payroll accounting in the financial books
 Concepts overview in Payroll

SAP HR - Primary & Secondary Wage Types

• Time wage type
• Dialogue Wage Type
• Technical Wage Type

• Payroll Area
• Payroll Control Record
• Pay Scale Structure
• Off –cycle payroll –bonus, F& F
• statutory compliances
• Standard wage, gross ,net , CTC pa
• Pay slips – Remuneration statement
Time Management
SAP time management is a module, which is used by employees for time
tracking and management across departments. Time management is one
of the main components in any organization as it is necessary to maintain
time along with the work performed.

• Daily working hours – work Schedule, time in-out, breaks, shifts, Weekly offs, Holiday
calendar
• Absences (Sabbatical, sick leave, maternity leave, LWP,CO etc.)
• Time-related payments (overtime, meal allowances, shift allowances, etc.)
• Absence quotas (accumulations, deductions, and corrections)
• Absence quota compensation for unused absence quota balances e.g. Leave enactments
• Time Recording & evaluation – Negative and Positive
 Travel Management

Travel Management provides management of all travel activities including

booking trips and handling of expenses associated with travel.

What can be done using Travel Management?

Using SAP Travel management, companies can track their employees travel requests, reimbursements, travel
expenses, online booking, etc.
• 1. Pre-trip approval - (configure spend limits), online booking, setting up workflow for approval process, we can
also setup expense reporting to be automatically get approved(without waiting for workflow) if it is less than a
limit.
• 2. Online booking integration - partners like amadeus, galileo/apollo, sabre.
• 3. Expense report submission - this form helps to submit travel expense reports
• 4. Approval workflow - approval workflow can be setup.
• 5. Expense reimbursement - integration to payroll, financials
• 6. Reporting - there are a number of standard reports that SAP provides.
 ESS and MSS
ESS and MSS: Employee Self-Service helps employees to individually track various data of their tenure in an
organization. Management Self-Service is a vital process for the managers to create and maintain the data of
employees.
With Employee Self Service, your employees are able to:
• Manage all aspects related to business travel and expenses, from planning trips to creating expense reports and
making travel requests
• View their compensation statements
• Record their hours worked, display their work schedule, or submit a leave request, then receive approval from
their manager
• View classroom training schedules and sign up for training
• Enroll in benefits online or offline and view an overview of their participation
• View current job openings within the company, apply for a position, and check the status of their pending
applications
• Maintain personal information, such as their address, dependents, emergency contact, tax withholding, bank
data, and any key life or work events
With Manager Self Service, managers can:
• Approve their reports’ clocked time or leave requests
• Manage an events calendar for business functions and their team members’ birthdays and anniversaries
• Participate in the recruiting process by creating requisition requests and reviewing candidates for their existing
requisitions
• Plan compensation adjustments for their reports with a comparison view of team members and a competency
matchup view
• Create budgets from two different perspectives, top-down or bottom-up
 Personnel Development
• SAP PD (Personnel Development) incorporates Career Planning,
Succession Planning and Objective Settings and Appraisals in it.
 Training and Event Management

Training and Event Management is an integral part of SAP HR and has interfaces to all of the
relevant SAP application components, making it a basis for extending and updating your
employees' skills and knowledge.
It enables you to plan and manage all kinds of business events from training events to
conventions simply and efficiently.
It provides you with an extensive range of powerful functions for every stage of event
management; preparation, planning, and execution.

• Business Event Preparation

• Business Event Catalog
• Day-to-Day Activities
• Activity Allocation and Billing
• Recurring Activities
• Reporting
• Web Self-Services: Training Center, My Bookings
 SAP HR Recruitment

SAP Recruitment allows you to record all applicant related data and to coordinate and monitor all the steps
involved in applicant administration.
The whole recruitment process turns around a number of different business activities:
• Requisition Management – Agreement between managers and recruiters about the conditions of a
vacant position (such as what, when, how). Determination of how candidates are to be assessed and
selected for a specific position in a structured way.
• Management of Job Postings – Definition and implementation of a strategy to attract candidates to the
company in general and/or for a particular job. Search in talent pools, publications.
• Application Entry – Acceptance and collection of incoming applications from various sources (such as
e-mail, post, intranet, extranet, third parties or special events).
• Applicant Tracking – Implementation of the recruitment plan; performance of processes concerning
talent pool members and applications; applicant pre-qualification and selection, extending offers and
completion.
• Talent Relationship Management – Initiation and maintenance of long-term relationships with potential
candidates, segmentation, and services. For companies, easy contact with candidates; for candidates,
better options for determining suitable jobs.
Integration
The integration between time management and payroll is performed through
time evaluation.
You need to link the symbolic accounts(from HR) to GL accounts to ensure FI-
HR integration.
• Schema Tools & Utilities
• PCR
• T- codes
• Tables
• Features
• Reports
• Ad-hoc Query
• Ticketing tool
• Wage type Reporter
• ADS & Smart Forms
• UWL
• Security & Authorizations
• Data Migration
 Some Standard SAP Reports:
• S_PH0_48000450 – Date Monitoring
• S_PH9_46000216 – Service Anniversaries
• S_PH9_46000225 – Powers of Attorney
• S_PH9_46000224 – Education and Training
• S_PH9_46000223 – EEs Entered and Left
• S_PH9_46000222 – Family members
• S_PH9_46000221 – Birthday List
• S_PH9_46000220 – Vehicle Search List
• S_AHR_61016354 – Telephone Directory
• S_AHR_61016356 – Time Spent In Any Pay Scale Area/ Type/ Group/ Level
• S_AHR_61016357 – Defaults for Pay Scale Classification
• S_AHR_61016358 – Reference Personnel Numbers
• S_AHR_61016360 – HR Master Data Sheet
• S_AHR_61016362 – Flexible Employee Data
• S_AHR_61016369 – Employee List
• S_AHR_61016370 – List of Maternity Data
• S_AHR_61016359 – Severely Challenged
• S_L9C_94000095 – Headcount Change
• S_AHR_61016373 – Headcount Development
• S_AHR_61016374 – Nationalities
• S_AHR_61016376 – Salary According to Seniority
• S_AHR_61016378 – Assignment to Wage Levels
• S_PH0_48000510 – Ad Hoc Query

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