An Organization that Is Serious about Processes Is Serious about HR
- by Luc Galoppin, Managing Director, Reply Management Consulting
- Siegfried Caems, Director at Volvo CE Global Headquarters, CIO Office
- May 15, 2007
Uncover how SAP HR implementations can require significant business process reengineering efforts. Even if your HR system has already gone live, you can benefit from this fresh perspective on how to coexist successfully with other departments.
Business process reengineering is a management approach aiming at improvements by means of elevating efficiency and effectiveness of the processes that exist within and across organizations. In 1990, the founder of BPR Michael Hammer claimed that most of the work being done does not add any value for customers, and this work should be removed, not accelerated through automation. Instead, companies should reconsider their processes to maximize customer value, while minimizing the consumption of resources required for delivering their product or service.
Most SAP rollouts require serious business process reengineering (BPR) so that members of all departments understand their connections to the rest of the company. However, many projects overlook this need. HR departments should play a significant role in BPR as an agent of continuity. We’ll explain how you can optimize this role.
You may not have been thinking about the link between a business process, the roles that perform actions within that process, and their relevance in the real-life organization. Most of the time, this exercise stops at the definition of authorization profiles and a big-bang training approach of all end users. After that, most implementation teams see no need for maintaining the link between individual, position, functional role, and business process.
We are convinced that such an approach is a wasted opportunity. Most readers by now have figured out that all of the above largely influences the design of the organizational structure. That is exactly why an SAP implementation should be embedded in the Organizational Management (OM) part of HR if the organization is serious about its processes and wants to reflect its business reengineering effort in the organizational structure.
First, we’ll explain the fundamental changes necessary when companies implement SAP. Then, we’ll share tips for how you can map process flows to SAP HR modules to ensure effective communication with other departments.
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