Transforming HR Through Technology

A. Context:
HR Function is being revolutionized through advances in technology and as a result, a large proportion
transactional activity is getting automated, which has created space for transformational aspects of HR
function. And in the tough times, through which all the Companies world over are now battling through world
over, it is the strategic dimension of HR, which is critical for organizational survival in the current times and
continued prosperity when good times return. Technology has now become a welcome enabler for this process.
B. Case Study of Transforming HR through ERP: SAP HR Implementation Project
. The !rgani"ation:
The Organization belongs to a leading minerals and metals conglomerate and is its manufacturing arm,
partnering with staeholders to grow across an e!tended value chain. "t is setting up a #.$ million tonnes per
annum fully integrated special and stainless steel plant in Orissa and also plans to set up integrated steel plants
in the other minerals rich states of Chhattisgarh and %harhand. This Organization commenced its operation in
&arch '(($ and set)up its HR *epartment in August '(($, with challenging mandate of setting up the HR
systems for this green field pro+ect. The Organization has since then scaled up its head count rapidly, from less
than '(( in '(($ to more than three times now and aims to have a head count of #(((,.
#. $eed for SAP:
"n order to create a sound template for future organic growth of the Organization, it was decided by
&anagement of that -R. would be implemented in the Organization. /A. was the chosen -R. platform and
&0s .rice 1aterhouse Coopers was the implementation partner. The implementation was planned, on the basis
of big bang approach, through simultaneous launch of eight modules covering the entire gamut of the
Organizational frame)wor2 3inance 43"CO5, &anufacturing4..5, &aintenance4.&5, .ro+ects 4./5, /ales4/*5,
.urchase4&&5 6 Human Resource4HR5. 3or &"/, the module of 7"1 was also planned for implementation.
The /A. implementation pro+ect was launched on #
st
/eptember '(($ with the help of and the go)live too
place on #
st
April '((8. The .ro+ect was code)named as .ro+ect /A.hal.
9. !%&ecti'es of SAP HR (m)lementation:
The following sub)modules were implemented under /A. HR &odule2
Organization &anagement 4O&5
.ersonnel Administration 4.A5
Recruitment
.ersonnel *evelopment 4.*5
Training 6 -vent &anagement
Time &anagement
.ayroll
These sub)modules were implemented with a view to facilitate the following HR deliverables in the
Organization2
Service Excellence- Streamline HR operations through automation of routine but essential
services offered to employees (such as leave management) while maintaining service-level
agreements
Talent anagement- !dentify and retain top talent to leverage their strengths for the benefit of
the "rgani#ation$
Recruitment and Selection-"ptimi#e the value of human capital through right person on the
right %ob at the right time$
Training -&ccelerate s'ills development to improve productivity and increase the value add of
employees$
"rgani#ation (evelopment- Ensure clarity to individual employees in terms of role and
responsibility and develop a frame-wor' by mapping-out the competencies needed for career
progression
)ompensation- "ffer integrated pay-roll solutions to all employees across all the locations
*. Some Stages in SAP HR (m)lementation :
"dentification, analysis and envisioning the HR 7usiness .rocesses of the Organization
:aying down of crystal)clear ;to be< processes, leading to development of a well)articulated, structured
and comprehensive HR Business Blue+)rint
Continuous "nteractions with the respective .1C consultant for woring out the HR module)specific
structure and business processes.
3unctioning as .rocess Owner in the HR domain for ensuring =uality of deliverables produced
:iasing with Captains and Champions of other modules for developing an integrated understanding of
business re=uirements of the Organization.
*evelopment of thorough nowledge on /A. functionalities of HR module
Compliance with re=uirements of pro+ect timelines and =uality standards
Checing the =uality of -mployee &aster data uploaded
Testing the configured HR system2 *esigning and e!ecuting test plans and gap analysis to ensure that
business re=uirements and functional specifications are tested and fulfilled.
.reparation of documentation in detail for benefit of end)users in HR module
Training the end)users in /A. basics0 transactions related to HR module
After go+li'e in A)ril #,,-. Pay+roll is %eing smoothly run on SAP+HR )latform for the entire
!rgani"ation.
C. Benefits:
/A. HR implementation has been a hugely beneficial e!ercise for the organization as it has brought the
benefits of integrated end)to)end business processes to the stae)holders across the organization, resulting in
alignment of operational outcomes with strategic goals.
"t has tremendously improved the decision)maing process through access to timely, accurate and relevant
information, where teams across geographies can collaborate in decision maing on basis of real time metrics
unified from multiple sources.
"t has tremendously improved productivity of day)to)day operational HR, resulting in delivery of better customer
value and hence higher internal customer satisfaction within the organization. And all this has been made
possible with leaner, more efficient, streamlined HR operations leading to optimal resource allocation and
hence, reduced cost of services.
"t has brought in the much)needed fle!ibility in business processes, which can adapt =uicly to rapidly
changing business conditions and thus capitalize on the opportunities offered.
"t has helped to establish clear linage between strategy and e!ecution leading to not only building of long term
Organizational capabilities but also, at the same, short term operational e!cellence.
And last but not the least, automation of transactional processes through /A. HR has freed up the most critical
organizational resource of T"&- that can now be spent on initiatives that constitute /trategic, >alue)adding HR.
/. Conclusion
The advance of technology into HR domain is a welcome phenomena, creating a plethora of benefits for the
Organization and hopefully, in the coming days, we shall be witness to much wider and much deeper
applications of technology as an enabler, so that Human Resource can rightfully claim its /trategic role in the
days to come.
4Acnowledgement2 www.sap.com5