Creating Value with Human

Capital Management
Practical Presentation

Adam Sentonaris
Solution Manager: mySAP ERP HCM
SAP Africa

HCM Best Practices

mySAP ERP HCM - Overview
Summary

HCM Best Practices

mySAP ERP HCM - Overview
Summary

What Is Human Capital Management (HCM)?

HCM:
The strategy and business processes that
make every employee a competitive asset
driving operating and financial results.

Enterprise
Workforce

HCM

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Operating
Performance

Strategy

Organisation
Goals

Key Challenges for HCM

Efficiency
Pain Points

Effectiveness
Pain Points

Disconnected, Isolated
Business Processes

Lack of Measurement,
Management and
Accountability

Fragmented IT systems

Undefined Outsourcing
Strategy

High HR Transaction Costs

Administrivia

Rising Healthcare & Third

party Costs

Weak Links Between

Workforce Performance &
Business Results

Inconsistent Governance and

Compliance

Critical Skill Gaps

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How Do You Do It? CFO Survey Says

What steps are needed to improve Human Capital Management?
line-of-business
* Greater
Involvement in
Human-capital issues

52%

*
* Increased use of technology

Re-engineer the HR function

42%
42%

Greater finance-function
involvement in human-capital issues

* Outsource some of the HR function

37%
17%

Other 10%

Source: CFO Magazine 2006 survey of 249 CFOs

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HCM Best Practices

mySAP ERP HCM - Overview
Summary

What You Need: A Coherent And Integrated Solution

What You Get:

Lin
e
To
p

i ty
ce
bil
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ita
om
of
C
,
Pr
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y&
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oma e iv
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s AAu and
es
ess n, an
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Pr
Prroc izaatio
HR
HR P rdiz
HRnddaard
a
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Hi
Pe
gh
r fo
Ri
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gh
erf
rm
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or
an
mi
eo
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th
W
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S
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hi n l l s
g , Do
i ng

Efficiency,
Competitive Agility,
Business Flexibility

One
Coherent
Solution

Talent Planning
and Development
Analytics,
Succession
Management
Succession
Management
Talent Planning and
Development
Planning for the Future

Innovation, Growth & Flexibility

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A Blueprint for World-class HCM: 3 Steps

Prepare for the Future
Assess future needs
Measure & manage strategies
Respond to competitive challenges

PLAN

Improved insight for

better strategic
planning

Drive Operating Results

Performance Management
Compensation & Recruiting
Education & Training
Talent Management

OPERATE

Deliver direct impact on

financial and operating
outcomes

Streamline HR Processes
Payroll & Benefits
Time Management & Scheduling
Compliance & Administration

TRANSACT
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Cost reductions through

automation & self
service

Demo

Manager

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HR
Executive

Employee

Demo

Adobe

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Microsoft

Mobile &
Voice

HCM Best Practices

mySAP ERP HCM - Overview
Summary

Workplace Inefficiency

Decision making, productivity, work-life balance deteriorate

Day In the Life

Too much time spent

searching/coordinating
Decision-making is
impaired

The Information Worker

40% Searching

40% Coordination

Business innovation is
hindered by process
inefficiency
Work-life balance is
negatively impacted

20% Value Add

Source: McKinsey Global Institute

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 SAP AG 2006, Africa Recruit / Adam Sentonaris / 14

It is not Just about Technology

Value

Adding Value = Deliver more faster at a lower cost

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Strategic Power of an Integrated HCM Solution

Provides consolidated analytics to plan, monitor,

and measure
Delivers integrated, end-to-end business

processes to speed decision-making, drive

effectiveness and reduce costs
Ties investments in recruiting, training and

compensation to business results

Ensures maximum reuse of HR data to drive HCM

processes
Gives executives direct visibility into workforce

performance
Enables greater agility in workforce deployment,

to help organizations respond and adapt to

change
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Questions?

Adam Sentonaris
E-Mail: adam.sentonaris@sap.com
Solution Manager: mySAP ERP HCM

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