Building the digital HR organisation

Building the Digital HR OrganizationAccenture and SuccessFactors round table on the changing nature of HR

Brussels, October 22nd 2015

2Copyright © 2015 Accenture All rights reserved.

Agenda

Building the Digital HR Organization

1. Introduction

2. Building the Digital HR Organization

4. Timken Client Case: Journey to Payroll in the Cloud

5. Q & A and Debate

A. The journey

3. Barry Callebaut Case: Transforming HR to realize business objectives

B. Looking back

A. Integrated HR Platform

A. HR in the Cloud

B. Key Outcomes of the Timken Project

A. Payroll in the Cloud


Accenture and SAP welcome you to our roundtable

discussion on Building the Digital HR Organization.

• Name

• Organization

• Role

WelcomeTour de Table

Introduction

• Peter De VoldereSAP BELUX Lead


While Digital is changing the world, every aspect of our lives is changing

and is touched by digital interaction

What does this mean for HR? What makes HR Digital?

The Digital ImpactTouching all aspects of our lives


Digital HR takes the tools & technologies used to attract, engage and retain Top Customers…

…and applies them to attract, engage and retain Top Talent.

Digital HROpening the door to a new type of “digital HR” function


…Research shows the HR Function is changing & Digital Technology is

driving this change in 3 key ways…

As these changes continue, HR is likely to be less centralized, more

nimble, and more embedded in the business

Building the Digital HR OrganizationWhy does it matter?

New digital channels to deliver services

Democratization of Talent Management

HR shatters its boundaries


Agenda


1. Introduction



5. Q & A and Debate

A. The Journey


B. Looking Back

A. Integrated HR Platform

A. HR in the Cloud




Wim

• Wim ValstarVP Cloud HCM Product Sales & Strategy – EMEA

• Peter De VoldereSAP BELUX Lead


…Building on this research Accenture and SuccessFactors have

explored some key questions to discover that there are several

key technology initiatives that HR can focus on to move forward

on the path to a digital future…

Key Technologies driving this changeVarious technologies play interconnected roles in enabling digital HR

HR in the CloudMobile HR

ServicesSocial

Enterprise

Analytics based

Insights

Integrated HR

Platform


HR in the CloudNot ‘If’, but ‘When’ and ‘How Fast’

Gartner estimates approximately 45% to 60% large global enterprises who invested

in On Premise HCM will either upgrade or replace them during the next three years*

SAP: Announced On Premise

Support to 2020 and exit by 2025–

Investing in SuccessFactors

2015 will see more SaaS implementations than On Premise

– Sierra-Crestone

Turning Point:

Sources:

* Gartner’s IT Market Clock for Human Capital Management Software, 2013 Sierra Cedar 2014-2015


• SaaS: easier and less expensive with pay-as-you-go basis

• Cloud computing approach will give HR more flexibility to

support the business.

• Looking forward: build an ecosystem with PaaS

• Collaborate closely with IT

• Provides capacity to focus on activities driving business value

HR in the CloudMigrate to the Cloud for flexibility, agility and innovation

Copyright © 2015 Accenture All rights reserved. 13

Client Trends - a Significant Shift

From:

• Heavily customised solutions

• On-premise technology

• So-called “best in breed” jigsaw

• Rules based processes

• Traditional employment models

Towards:

• Enterprise Solutions

• Cloud Based SaaS

• Collaboration and Social Media

• Contingent workforces

Driven by:

• Aligning to people culture

• Need to free-up creativity

• Speed of implementation

• Speed of reaction to business change

• Demographic changes in workforce

• Focus on TCO

• “All-in-one-place” Solutions

• Start anywhere – go everywhere

• Need for Self Service and better UI

• Compliance and Localisation

• Event driven outcomes


Comprehensive Talent and Core HR applicationsMile wide, mile deep capabilities

Succession &

Development

CompensationPerformance

& Goals

LearningOnboardingRecruiting

Competencies, Skills, Best Practices

Reporting | Analytics | Planning

Technology: Secure, Integrate, Extend

Mobile | Social

Employee

Recordkeeping

Global Benefits

Shared Services

Organizational

Management

Payroll

Time Management

Employee Central

U.S. Benefits

Time &

Attendance

Modern user

experience

Most

comprehensive

cloud solution

State-of-the-art

technology


SAP SuccessFactorsUnique combination of 5 key successfactors supporting shifts in client trends

Business

Strategies

Business

Outcomes

Talent & Core HR

Applications

State ofthe Art

Technology

Content

Workforce Analytics

Modern User Experience

Proven user adoption and improved employee productivity by 2-5% (McKinsey)

Actionable, intuitive and

personalizable to enable and

engage the workforce

Automated and streamlined

HR processes equals greater

employee adoption

Mobile first

Collaborate, work and deliver

value anywhere, anytime

Designed for PeopleIntuitive, user friendly with anywhere, anytime secure access

We are changing the game by revolutionizing how data is communicated

within companies

Timely, accurate and

actionable data from a single

source of truth

Meaningful, real-time

workforce insight with rich

analytics,

including 3rd party data

Over 2,000 metrics with

in-built results interpretation

and strategy guidance

Enabler for Strategic DecisionsReal-time workforce data to increase the business impact of HR


How SuccessFactors Fuels Your Digital HR

Rethink | Simplify | Execute

Talent readiness Drive growth and

success

Engaged workforceGain higher productivity

and profitability

Actionable insightPredict, plan, take

action, and measure

Simplified processesRealize HR efficiency

and ensure compliance


Agenda


1. Introduction



5. Q & A and Debate

A. The Journey


B. Looking Back

B. Integrated HR Platform

A. HR in the Cloud



Barry Callebaut Case: Transforming HR to realize business objectives

• Bart AuwersACN Project Manager HR4G at Barry Callebaut

• Benoit DewaeleIM Project Manager HR4G at Barry Callebaut


Barry Callebaut | An Introduction

“the world’s leading manufacturer of high-quality

chocolate and cocoa products”

• 9319 employees operating out of more

than 30 countries

• 52 factories worldwide

• annual sales of about USD 6.5 billion

• 1.716.766 tonnes sales volume

• 940.621 tonnes of cocoa beans

processed

• barry callebaut products are present in

1 out of 5 chocolate products

consumed around the world


HR for Growth | Clear Business Objectives

Talent

Management

KPIs &

Reporting

Recruiting

Capability

Career

Management

Performance

and Total

Rewards

1 2 3

4 5

Move from an HR

Admin to a HR Talent

Management

Organization

Set up one-version-of-

the-truth business

relevant KPIs and

reports

Build in-house

capability to reduce

spent on Recruiting

Agencies

Increase fulfill rate of

open manager

positions by internal

resources

Link Performance

outcome to Total

Rewards Package


The Journey | Milestone Plan

FY15Oct DecSep Jan Feb Mar Apr May Jun Jul AugNov

FY14Dec Jan Feb Mar Apr May Jun Jul AugNov

Phase II – Talent Management Focus

Pro

ce

ss

Employee

Mini-Master

Phase I – HR Organization

Org Design

Kick Off

Recruitment system tool

Performance

Management system

Succession

Management

Organization Transformation

Phase III – Core HR Focus

High Level

Payroll Provider

Analysis

Process

Confirm

Timeline Compensation

OctSep

FY16

Change Management (Stakeholders’ Engagement & Enablement Activities)

Employee Core Americas + WE ROW

Variable Pay

Payroll Interface DevelopmentDetailed Payroll

Provider Analysis


The Journey | Our Achievements

Live Solutions

– Organization charts (white collar)

– Employee Central (Core Data)

– Integration to Brazil payroll tool

– Integration to Active Directory

(aligned IT &HR process)

– PMDP & IDP

(Individual Development Plans)

– HR Reporting

– Recruiting Management

– Role description databank

– JAM (best practice repository)

– Talent Profiles & Calibration

– Talent Search

– Job Architecture

HC

Report

Employees loaded in SF9.000250

1.500

1

IDPs

Master Data Files Uploaded

HR Reports

covering all

Processes15

15.073 People in our External Talent Pool

1.900Employees discussed in CalibrationSessions

Posts in JAM

150 Validation Sessions with Regional & Local HR

78Jobs in our Careers portal

76 Sites

16 languages

350 structuredroles

300

Key Focus

– Talent Driven HR Organization

– Empowered Business Managers


Looking Back | The Success Story

collaboration

HR | IT | ACN

business

ownership

team

dedication

agility

pragmatismoutcome oriented

mindset

innovative

change

management

leadership

engagement


Looking Back | Teaming in a Global Environment

Zurich - HQ

LDC

Kuala Lumpur

Wieze

PDCIDC

São Paulo

Chicago

Abidjan

Saint-Hyacinthe

- Configuration SuccessFactors

- Application Maintenance

- Capacity Support IM Team

Lisbon Delivery Center

- To-Be HR Processes

- SuccessFactors Training

- Job Architecture

BC/ACN Local Support

- Program management

- HR Org and Process Design

- Design SuccessFactors

BC/ACN Central Team



- Job Architecture

BC/ACN Local Support Philippines Delivery Center

- Interface development:

- Payroll- Recruiting

India Delivery Center

- Configuration SuccessFactors

Project Locations

Central Team

Regional Team

Delivery Center



BC Local Support


Looking Back | Lessons Learned

Master Data Loads Do not underestimate the effort

Ensure you have clear technical understanding of both

technical possibilities and limitations

Ongoing and iterative exercise

Technical

Challenges

(reporting, SSO,

DEV/PRD)

Release

Management

Organizational

Change

Dedicate fixed resource time for quarterly releases


Thank you!


Agenda


1. Introduction



5. Q & A and Debate

A. The Journey


B. Looking Back


A. HR in the Cloud



Timken Client Case: Journey to Payroll in the Cloud

• Stephane RouthierSolution Architect


Company Bio and Project Scope

The Timken Company engineers, manufactures and markets bearings,

transmissions, gearboxes, chain and related products, and offers a spectrum of powertrain

rebuild and repair services. The leading authority on tapered roller bearings, Timken today

applies its deep knowledge of metallurgy, tribology and mechanical power transmission

across a variety of bearings and related systems to improve reliability and efficiency of

machinery and equipment all around the world.

The company's growing product and services portfolio features many strong industrial

brands including Timken®, Fafnir®, Philadelphia Gear®, Carlisle®, Drives® and

Interlube™. Known for its quality products and collaborative technical sales model,

Timken posted $3.1 billion in sales in 2014.

Project Scope

Accenture was responsible for the implementation of a complete SuccessFactors solution for Timken, which included

the entire suite of SuccessFactors modules, including SAP Cloud Payroll for 33 countries and 16,500+ employees

plus pensioners (65,000 total). SAP Payroll was implemented for the US, however all other modules were

implemented globally and in 9 languages (Employee Central, Performance & Goals Management, Compensation,

Succession/CDP, Recruiting, and Learning). The solution also included 84 interfaces, including 22 co-innovation items

developed with SAP.


Timken Simplifies and Improves Business Decisions with SuccessFactors

Company

The Timken Company

Headquarters

North Canton, Ohio

Industry

Manufacturing

Products and ServicesEmployee Central, Employee

Central Payroll, Performance &

Goals, Succession, Learning,

Compensation, Recruiting,

Workforce Analytics, SAP Jam

Employees

16,500 (65,000 with

pensioners)

Revenue

US$3 billion

Web Site

www.timken.com

Partner

Accenture

Top objectives

Deliver valuable knowledge—along with products and services—to customers

Deploy employees with specialized skills more effectively around the globe to support a highly complex business

Simplify the task of gathering and analyzing data on the workforce

Develop and train 16,600 associates worldwide

Resolution

Implemented SuccessFactors solutions one by one as it made sense within the business cycle

Began by implementing SuccessFactors Performance & Goals and finished by going live on Employee Central Payroll just in time for the new year’s first payroll run

Deployed business intelligence functionality to provide decision-makers with better views of the global workforce

Key benefits

Generated accurate headcount reports in seconds

Gained new insights on how to deploy talent around the globe

Simplified the IT environment by deploying in the cloud

Enabled managers to look up employee information on mobile devices

Paid 23,500 U.S. employees and retirees and drove global payroll through a single, multilingual solution

“We simplified the environment. We made all the connections,

and now we can make better business decisions. It just doesn’t

get much better than that.”

Rob Arbogast, Director of Organizational Advancement, Timken

3 weekssaved by generating headcount reports in seconds

23,500U.S. people paid and drove global payroll through single, multi-lingual solution

3touches eliminated from every HR transaction

http://www.timken.com/


Payroll Options

After comparing the two existing options for Payroll, Timken chose Payroll in the Cloud.

SaaS=Software as a Service/ on demand

• Customers pay subscription fee per

seat/user and module

• Hardware and maintenance fee do not occur

• The vendor releases patches, functionality

enhancements or full upgrades, so that the

customer solution will be automatically

updated at no additional cost

• Technology platform is hosted and operated

by the vendor via Web access

• The application is offered in a multitenant

architecture with all of the vendor’s

customers accessing a single code base

• Lower one off implementation cost , quicker

implementation cycle

• Most Best of Breed providers follow a clear

SaaS model

Software on premise

• Customers pay perpetual license fee

• Customers own and must operate the software

with their own resources – additional costs

apply for hardware, maintenance and upgrades

of the system

• Enhancement patches and release upgrade

must be done by the customer or a third party

• Hardware and software are installed at the

customer premises (company asset)

• The implemented solution is supported and

operated by the customer

• Higher one off implementation cost, longer

implementation cycle

• Most “classic” ERP provider follow a clear “on-

premise” model


Why Timken and the Cloud?

.

https://www.youtube.com/watch?v=dAn8Moe0P1A


Timken Business Case – Payroll in the Cloud

Increased data accuracy

Decreased total costs

On time processing

Better reporting

Legally compliant

Simple integration

Business

PEOPLE

PROCESS

TECHNOLOGY

Total Cost of Ownership

Processing time

Analytics

Old Technology

Legacy state Desired state


Today vs. Tomorrow

Today Tomorrow

Local HRIS

HRSS

Local Payroll

US Payroll

HRSS

Manual Succession Planning

Taleo

SumTotal

Manual Workforce Analytics

Manual Workforce Planning

HRSS Ad-Hoc Reporting/Admin Reporting

Employee Central (Core)

EC Input

SAP Cloud Payroll - US

PM/GM

Succession Planning

Recruiting

Learning

Workforce Analytics

Workforce Planning

Reporting

Local Payroll/Engine

CDP Comp

Core HR

Payroll

PM/GM, CDP,

CompSuccession

Recruiting

Learning

Reporting

Key

• Manual Process

• Automated System

• SuccessFactors


To-Be Timken Solution Landscape


Better Reporting

Key Payroll Benefits for Timken

Processing on

Time

Kept Control on

Solution Changes

Lower Solution

Costs

Focus on Added-

Value Activities

Early Benefits

Realization

Ensure Legal

Compliancy

Fit with Their Cloud

Strategy


Accenture was the right Partner

Change Champions

Business Partners

Skilled Resources

• Project Experiences

• Ongoing Trainings

Assets• Audit and Compliance• Data Comparison Manager

Relationship with SAP

• Ongoing Communications

• Involvement in Product Development

Methodology• Project Structure

Accenture is one of the world’s leading organizations providing

consulting and technology services, with an ambition is to be the

best at targeting and delivering value for our clients.


Lesson Learned

An effective change management program, with a consistent set of tools, will

enable Cargill to break down the barriers and improve business results

• Standard challenges

• Integration complexity should never be overlooked

– SAP is offering various technologies for solution integration

– Rigorous testing is required

• Plan in details your environment requirements

– New environment and environment refresh have to be requested to SAP in

advance

Data Entry Issues

User Interface

Inbound Interfaces

Payroll Data Loads

Pre Payroll Payroll Post Payroll

Phase

Challe

nges

Calculations

Rules

Processing

Tax Calculations

Outbound activities

GL Posting


Agenda


1. Introduction



5. Q & A and Debate

A. The Journey


B. Looking Back


A. HR in the Cloud




Q & A and Debate