SAP HR Overview

SAPWHAT IS IT ANYWAY?
S YSTEMS A PPLICATIONS P RODUCTS IN DATA PROCESSING

Financials

Internet Integration

Employee SelfService
Personnel Management Travel Management Payroll Time Management Information Systems Personnel Development Organization Management

Office Logistics

Organizational Management Module Overview

Forms the basis for the entire personnel planning and development application

Facilitates analysis of the organizational structure

Allows planning to develop actual and proposed personnel scenarios

Personnel Administration Module Overview

Establishes organizational hierarchies Used to perform essential personnel administration tasks such as: hiring employees performing organizational reassignments termination from the University salary adjustments Data stored in such a way that you can easily access and maintain at any time

Recruitment Module Overview

Functions you need for working through the entire recruitment process Contains an entire range of powerful, flexible functions that you can use to implement an effective and largely automated recruitment strategy such as: Receipt of application via web access Issuance of recruitment requests Selection process of applicant Applicant pool administration Notification to applicants

Benefits Module Overview

Comprehensive method of administering employee benefits such as: Health (medical and dental) Insurance (Life) Savings (Retirement) Spending Accounts (Medical and Dependent Care)
Encompasses the key concepts and processes you need to manage extensive and highly individual benefits packages for your employees Open Enrollment Employee Life-cycle Events (e.g. Marriage, Child, and Separation)

Compensation Management
Module Overview
Toolset for strategic remuneration planning Empowers managers to offer competitive and motivating remuneration
Fixed pay Variable pay Merit increases Promotion

Includes Personnel Cost Planning Allows experimenting with future projected costs

Training & Events Management Module Overview

Enables you to plan and manage business events Training Conferences Interfaces with other R/3 components Basis for extending and updating employees skills and knowledge Flexible Reporting Appraisal functions Provide important decision support feedback to ensure the business events offered are both high quality and effective

Personnel Development Module Overview

Helps compare current or future work requirements with employees qualifications, preferences and aspirations
Can contain general measures to impart qualifications so that employees retain or further their professional skills and keep track with technological developments

Converts training proposals directly into bookings for employees with qualification deficits or needs

Time Management Module Overview

Enables flexible representation of all personnel procedures involved in recording and evaluating employee time data Infrastructure for time data recording Work schedules Record of planned attendance and absences Recording of attendance and absence Annual and Sick Leave accrual Time evaluation Ability to transfer absence and attendance data to other SAP applications

Payroll Accounting Module Overview

Ability to process payroll for employees using data from SAP Personnel Administration, Benefits, and Time Management
Payroll run (regular and off-cycle) Payroll corrections Payments Remuneration Statements Posting to Financial Accounting Third Party Remittance

Offers a number of standard payroll reports Tax Reporter component allows you to generate all required state and federal tax forms, such as SUI reports and W-2s

The HR module is divided mainly into the following components.

1.Personnel Administration and Payroll Accounting 2.Personnel Planning and Development

Personnel Administration
It relieves you from the daily administrative routine activities which are costly and time consuming, while simultaneously supporting you in demanding planning activities.
Eg Organization management comes under administration.

Payroll accounting
It deals with the employee salaries in the Organization. Eg : Calculating the Gross salary,Net salary.

Personnel Planning and Development :

It was designed to support the decision making process in any organization. It deals with giving inputs and taking outputs from the employees and setting up goals to individual employees and impart training to the employees. It also deals with recruitment of employees for the organization.

Eg. Recruitment ,Training and event management comes under planning. There are other functions like time and travel management in HR

Organization :
We can define an Organization as an individual Enterprise (company or industry) in which someone is leading it and with some departments like HR,Marketing,Finance,R&D etc.
For any organization Employees are the most powerful resource. So to maintain the employee related data we require one system which ensures accuracy and consistent within the Organization.

ORGANIZATION HIERARCHY XYZ Inc.

XYZ Chemicals

Company code

XYZ Pharmaceuticals

Chennai

HYD

Personnel Area

Manufacturing

Planning

Personnel Sub-area

The organizational hierarchy deals with the following areas :

Company Structure Personnel Structure Pay scale Structure Wage type Structure HR authorizations

The company structure or corporate group is divided into :

Company code Personnel area Personnel Sub-area

Company Structure

Company code : Represents the highest level of Company structure.

Personnel Area :
It can represent large divisions within a company and Geographic locations. Personnel Sub-area : Personnel sub areas are a subdivision of the personnel area. At this level ,the organizational aspects are controlled . Country groupings , Public Holiday calendar and wage type structures comes under organizational aspects.

Company Structure (Contd)

ORGANIZATION HIERARCHY XYZ Inc.

XYZ Chemicals

Company code

XYZ Pharmaceuticals

Chennai

HYD

Personnel Area

Manufacturing

Planning

Personnel Sub-area

The components in Personnel structure are

Administrative :
Employee Group, Employee Subgroup and

Payroll area.
Organizational : Job, Position and Organizational unit.

Employee Group : General classification of employees. Active ,

Retired,
Contractors and External Employees.

Employee Sub group : Division of employee groups.

Hourly based, Salaried, Executives and Trainees
Personnel structure (Contd)

Payroll Area :

The active employees are also divided into payroll areas that determine when they receive their paychecks like weekly or semi-monthly.

Personnel structure (Contd)

Job : Description of activity performed by the Employee.

Coding,
Management Position : Employee Placement or individual employee assignment within the company. Software Engineer or Manager Organization Unit : Performs a specific set of functions within company. Department or subsidiary etc
Personnel structure (Contd)

Developer

Job

S / W Engineer

Trainee

Positions

General Manager

Job

Management
Sr.Manager

Positions

Personnel structure (Contd)

Job

Positions

One to many relationship

APCI Project Designing Coding Testing Quality control

- Job Positions

Personnel structure (Contd)

Entering personnel data :

Employee-specific data is entered according to the following guidelines:

Fitting the employee into the organizational structure has the highest priority; this is the first step in entering personal data. The set of valid entries for the entry mask is defined in the validation tables. The set of valid entries in the tables is further restricted depending on the organizational assignment of the employee.

Master data Infotypes :

When a new Personnel number is created , the following Infotypes have to be maintained first.

Events (0000) Organizational Assignment (0001) Personal Data (0002) Payroll Status (0003)

Personnel Events :
A function that groups together infotypes for processing personnel procedures.

Business Procedures in Personnel Administration

When managing employee data the following tasks can perform

Hiring an employee Organizational reassignment Leaving the company

Hiring an employee :
When assigning a new employee in a company, we have to enter large amount of data for employee into the system. In HR different types of employee data are stored in infotypes. When hiring an employee, we need to maintain lot of infotypes, Hiring can be carried out using a personnel event.

Organizational reassignments :
Important changes in an employee's career path must be documented in the system. Consequently, the standard SAP system contains the personnel event Organizational reassignment. When you run this personnel event, the system will automatically offer you the infotypes that you need to maintain.

Leaving the company :

When the employee leaves the company, certain infotypes cannot be changed .The personnel event Leaving is used to depict an employee leaving the company in the system. This event gives the infotypes for maintaining the data of when an employee leaves the company.

?
Questions

Why HR is different from other modules ?

The following concepts are defined in HR which differs this module with other modules 1. Use of Infotypes 2. The use of Logical Database

3. Storage and Access of data 4 Authorization checks