SAP HR or SAP Human Capital Management

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MY SAP HR PROJECT
INTRODUCTION
SAP HR or SAP Human Capital Management (HCM) is one of the largest

modules in the SAP R/3 system which consists of many submodules like
1. Organizational Management
2. Personnel Administration
3. Recruitment
4. Time Management
5. Payroll
6. Benefits
7. Compensation Management
8. Personnel Cost Planning
9. Budget Management
10.Personnel Development
11.Training & Event Management
12.Travel Management
13.Environmental Health & Safety (under the SAP HR node in SAP Easy
Access)
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Personnel
Management
HR R/3
IDENTIFICATION
When trying to decide whether to choose mySAP, or an HR specific

software package to replace their existing Human Resources and Payroll
systems, most companies will have similar questions and sometimes even
apprehensions in regards to choosing mySAP HR. The uneasiness associated
with the idea of going through a mySAP HR implementation evolves
primarily around three main factors: the length of the implementation, the
costs associated with it and the resulting, often painful, organizational
changes. This article has a closer look at how organizations should
approach a mySAP HR project, proposing solutions that should be
adopted prior, during and after the implementation to ensure a smooth
transition and hopefully dissipate some of the concerns HR managers
still associate with the idea of implementing mySAP HR. TIME
FACTORS Length of the Implementation "How long will it take to
implement mySAP HR"? …this question has been posed to me many
times by potential customers during pre-sales demonstrations. The answer is
that it depends on the type of organization, the size of the implementation
and the effectiveness and experience of the consulting firm chosen. But it is
reasonable to say that for a mid-sized organization with about 20.000
employees, the implementation of the mySAP HR modules, Personnel
Administration, Time Management and some Organizational Management,
from scoping to cut-over, should take between four to eight months -
provided they have a team of experienced consultants and a fairly standard
implementation. If you add Payroll to that, the project time frame should lie
between six to nine months. Unfortunately, you may have heard about
industry cases, where such implementations took over a year, clients grew
increasingly frustrated with the external consultants and costs started to

exceed far beyond the original budget. There are many reasons why
implementations may take longer than planned and even though this is not
the norm, it is important to pay attention, prior to project launch, to a
number of factors that will ensure that the implementation is carried out
smoothly within an acceptable and adequate time frame. State your Project
Goals and Objectives.
OBJECTIVE
The very first precaution companies should take before starting a mySAP
HR implementation is to state clear Project goals and objectives. In order to
state clear project objectives, organizations have to undergo a needs analysis
and assessment. Some of these needs might include having a database
providing instant access to employee information, including training
performance, compensation and benefits; being able to run customized

reports, a reduction of the duplication of data with the payroll department,
increasing payroll efficiency and accuracy etc. Once these needs are
established - with input from all parties involved, not just HR and Payroll,
but also IT and Upper Management, - the project goals have to be stated.
What do you expect the new system to do? Which functions are essential?
Start by stating goals in the form of: e.g. the new HRIS and Payroll system
must be able to produce accurate and on-time payroll data, it must be able to
track employee absences etc. Of course, starting this process requires
knowing your business - you have to do your homework before being able to
establish project goals. If you don't know your business well enough, then
you won't understand how mySAP or another ERP system can help you and
you won't be able to ask the right questions when choosing an
implementation partner. Having clear objectives will ensure that the
implementation has a clear focus and expected outcome - these objectives
will help design a project plan, ensure team members remain focused and
constitute a control measure for project leaders. Commitment to achieving
the goals by all parties involved. The people involved in a mySAP HR
implementation are the different departments concerned (HR and Payroll),
their key users, the project team members, the IT department, Line
Managers and Upper Management as well as external Consultants. It is vital
that all these people, with different personal objectives and possible change
management issues "buy into" the new mySAP HR system. Project sponsors
and Line Managers have the critical task of choosing the right people and
briefing them about the expected project outcome. Project goals have to be
stressed continuously, some companies have even pinned them down in the
project room as a steady reminder. Prior to project launch, project team
members should be properly introduced and it is very helpful to organize

team activities to lay the groundwork for a solid group dynamic. It is equally
important to have Line manager's commitment to the project goals since
they are the one's promoting it to their employees. Managers having
objections and refusing to co-operate need to be identified in advance.
Having a committed project team and motivated Line Managers will reduce
strain on behalf of the employees, add value to the organization and ensure a
smooth and on-time implementation. Choosing the right implementation
partner. As mentioned above, identifying needs helps HR and Payroll
professionals eliminate the wrong implementation partner very quickly,
freeing up time to give more careful attention to those that might make for a
better fit.
RESEARCH METHODOLOGY
After clearly having reviewed what solutions the Consulting firm proposes
to your project goals and objectives, there are a number of questions that
should be asked to a potential implementation partner which include: ·
Within what time frame can this implementation be done? · What is your
implementation strategy and methodology? · How much will this
implementation cost us? · How much experience do you have with this type
of implementation? · What are some of the issues you foresee and how can
we deal with them efficiently? · How many consultants are required to
perform the job and what is their background? · How much experience do
you have with upgrade issues? · What is your availability for technical
support after go-live? · What experience do you have with training required
for HR and payroll and how long does it take? It is also useful to ask for
references and ask these references questions to determine how the
consultants have responded to any problems. Organizations facing a mySAP
HR implementation need a business partner that will be there to support
them. Another crucial question would be to ask specifically about support
procedures. Having an implementation partner with technical excellence in

mySAP HR rather than a consulting firm with a broad skill set but lacking
specific HR and Payroll knowledge will speed up the implementation time
and save costs. Choosing the right project team members. Choosing
employees who will play an active part in the mySAP HR project is often
tricky. Project sponsors and Line Managers want to have a motivated team -
which requires picking dynamic people and filtering out those wary
employees, afraid of change. At the same time project team members need
to be familiar with the business processes, quick and eager learners, good
team players and possessing both analytical and IT literacy skills. These
employees need to be identified at an early stage and properly briefed about
their new responsibilities. This process starts by familiarizing them with the
corporate goals, the project goals and if available yet - the project plan. It is
very useful to prepare project job descriptions so that there are no surprises
and employees will have a clear understanding of the expectations. At this
point, it is important to stress the fact that they won't be expected to perform
their normal jobs on top of the mySAP project and give them a chance to
express their concerns. Organizations need to ensure that project team
members have an adequate replacement for their normal job and that they
will return to this job after the project goes live. Many organizations have
special rewards for employees performing well in their new roles, which is
an additional motivation. Stressing the importance of supporting each other
and taking quick decisions is equally critical. Having a motivated, curious
project team working well together will reduce the project time. Ask other
companies. To ascertain the proposed time frame is within the norm, ask
other companies how long it took them to implement mySAP HR. Choose a
company that is close in size, having implemented the same modules. Ask
them if they were satisfied with their consulting firm and if the project time
frame was respected. This is an excellent indicator of how much time is
involved and will further allow you to select a partner. Prepare a precise
Project plan. Preparing the project plan is a task carried out by the Project
manager(s). Whichever tool or software he or she might choose to use, the
following information should be included: A list of all the tasks, a deadline
for each of the tasks (milestones), person(s) responsible for the task, control
phases and a weekly and daily Meeting Schedule - when, who, where and
purpose?. There should be active participation from IT and
HR/Payroll/Benefits user departments in the scooping of the project, the
project formation phase, issue resolution and definition of critical success
factors. This project plan has to be distributed to all project team members
and daily meetings need to take place to ensure everybody knows what areas
they are supposed to be working on and Project managers can monitor the
progress. These meetings are essential as well to identify problem areas and
take immediate corrective action. Adopt an effective Issue resolution
method. When issues are identified - and there will be issues every day -
these need to be logged on a central database, accessible for all the project
team members. Issues should be logged with the date, the person
responsible; system area affected and proposed solution. Project Managers
need to stress that team members must log all issues centrally and view the
database on a daily basis, emphasizing the importance of mutual support: to
solve an issue. Project team members often need to work together and are
dependent on the completion of someone else's work. Project leaders must
also ensure that the issue database is updated with the implemented solutions
for future reference. Choosing the right project manager and having an
effective issue handling procedure will save a great deal of time. Choosing
and understanding a methodology. Whether an organization decides to

choose SAP's own methodology, ASAP (Accelerated SAP), or a different
method, possibly a combination of the two, this methodology needs to be
concise, understood and well communicated. Companies having more
experience with mySAP HR tend to adopt their own methodology, many
consulting firms also have their own methodology and there is no right or
wrong solution as to which one should be adopted. What is essential though,
is that the methodology should contain a precise project plan, standards,
templates and guidelines for documentation, quality assurance procedures
and a support model. SAP's own methodology, ASAP, was designed to
support the rapid and efficient implementation of the R/3 system. This
approach uses different tools and accelerators via the Implementation
Assistant tool. The Implementation Assistant contains a road map containing
the different steps within the implementation (Project preparation, Business
blueprint, Realization, Final preparation, Go-live & support),
Implementation accelerators (e.g. authorizations made easy), a Question and
Answer database helping to define the project scope, an open issue database
and Business Process Procedures examples. Creating a "favorable" project
environment facilitating communication and team working. Prior to project
launch, before project team members arrive, the office environment has to be
set up - this might seem like an evident thing to do but all too often, time is
lost because team members have to constantly move from one room to the
next, not having a designated room, printers and phones are not set up
properly and there is a shortage of Pc's or laptops for all team members. The
project team should all sit together in one room; every person should have a
PC and access to a phone and a printer. It is vital that project team members
can communicate directly with each other in order to solve problems quickly
and to ensure effective teamwork. Extensive Training Required 'MySAP HR

requires long training which takes time and costs money'…. this is another
apprehension often expressed by HR and Payroll Managers. While it is true,
that mySAP HR does require thorough training, this training period can be
reduced to a great extent. On-going training versus after go-live training.
Rather than waiting until the end of the project, training should be carried
out continuously throughout the implementation. It is the responsibility of
the consultants to carry out on-going knowledge transfer and to make sure
that the project team members are fully trained in their areas. This seems to
be obvious, but situations where client team members have very little
involvement in the actual configuration of the system should be avoided by
all means. This leads to an over dependence on the consultants - the
organization's objective must be to be almost self sufficient shortly after go-
live. It is again the responsibility of the Project Manager to ensure that on-
going knowledge transfer takes place. Have client project team members
train the users. To reduce costs and save time, end users can be trained by
the project team members. With the new mySAP HR system in place, the
roles, processes and jobs will be different. During the implementation,
project team members should spend some time with the end users, training
them how to use the system so that they can get gradually used it until go-
live. The testing phase provides an excellent opportunity to involve end
users - they can help the project team identify problem areas and learn how
to use the system at the same time. Have training sessions prior to project
launch. Another option to reduce training costs and time is to prepare the
users prior to the project launch by organizing workshops and training
sessions. These workshops have a number of advantages: project team
members can start being productive from day one, being familiar with the
software, end users can be given access to a 'sandbox' client and start
'playing' with the system. MySAP HR Is Not A "Quick" Solution Small and
mid-sized organizations often fear the fact that mySAP HR is not a "quick
fix"" but a long term investment which they are not prepared for. This is
true. But, on the other hand, management needs to look at the overall picture
and corporate objectives. They need to evaluate if a simple HR and/or
Payroll package guarantees that the organization remains fit in today's
market place where effective Human Resources in general become more and
more critical. MySAP HR is a long-term solution. In today's economy,
employee retention has become a serious issue. HR Professionals need to
find the best talent and then manage employees who have become more and
more demanding. Being able to provide accurate, on-time paychecks is just
one of many challenges HR have to face. MySAP HR meets those
challenges offering an integrated solution that provides standard currency,
regulatory, payroll, benefits, and time-management capabilities for any type
of organization. SAP's HR solution supports integration with comprehensive
analysis tools, and provides a complete picture of the organization and the
market environment in which it operates. It also allows maximizing the use
of the Internet to enable collaboration and shared decision-making between
employees and HR managers, which saves both time and money. So rather
than adopting a quick solution, that will most likely be out-of date in the
future, Decision-makers need to evaluate the benefits they could gain by
implementing a system that provides enormous breadth of functionality,
supporting everything from basic administrative payroll and benefits
functions to leading-edge personnel development and compensation
programs. COST FACTORS The next major apprehension associated with
mySAP HR implementations is the costs involved. Cost of Consultants
Consultants can be expensive - but paying attention to a number of factors,

including controlling the number of days consultants stay on the project and
selecting experienced consultants, can minimize these costs. Careful
preparation of a budget. Project sponsors and Management need to spend
sufficient time preparing a budget and work out a sensible project plan
together with the consulting firm chosen. The budget should include the
number of days planned for each consultant with dates, rates and the type of
task. A good consulting firm will be able to give accurate numbers of days -
even though it is impossible to predict an exact number of days. It is also
advisable to research how many consulting days other companies required.
By making this budget as precise and detailed as possible and comparing the
costs continually with the budgeted figures, it is actually possible to stick to
the budget and maybe even save some money - on the other hand it also
enables you to monitor any major divergences and to take corrective actions.
Fixed contract versus time and material. To keep an eye on costs, it is
sometimes more prudent to opt for a fixed contract rather than time and
material. It is however important to keep some flexibility since it is likely
that additional consulting days will be needed. Unexpected problems and
complications can occur at any time and Management needs to be prepared
for this - and have consultants on the project for extra days to solve the
problems. If you opt for a Time and Material contract, paying the
consultants on an hourly basis, make sure you have worked out a concise
project plan with an accurate estimation of many days the consultants will be
needed. Keep in mind, that it is better to have one experienced 'expensive'
consultant who gets things done the right way the first time than two or more
inexperienced consultants with lower hourly rates - quality will always
prevail over quantity. Choosing a firm with a track record. This is probably
the most effective way of keeping costs to a minimum: choosing consultants

with excellent technical skills and extensive business process knowledge
that gets things done and solve problems quickly. With more and more firms
"out there", this is becoming an increasingly difficult exercise and here
again, a word-of-mouth recommendation by other HR professionals is one of
the most trustful source available. Make sure you ask consultants for
references and their experience level. Another option is to choose a smaller
firm, specializing in mySAP HR and Payroll only, providing consultants
with the very specific skill sets needed for an HR Payroll project. It may
seem obvious to many, but it is worth noting that the skill-set needed to be
an effective SAP HR consultant is very different from that needed to be
effective in the other modules of SAP (e.g. Accounting, Logistics, etc).
Spend some time with the consultants prior to project launch - it is equally
important to be able to work with them in a team. Ensure that their work
ethic and professionalism is up to your standards. Monitoring of progress on
a daily and weekly basis. As with time, costs can be reduced by closely
watching the progress being made. Project team members should have a
centrally logged action plan for each day and update this plan, together with
the issue log, on a daily basis. Consultants have to discuss tasks for the day
with the client project team members and co-ordinate their work. Phased
implementations (module by module) help to monitor costs. To have better
control over implementation time and costs, mySAP HR can be
implemented in phases. Approaching an implementation step by step, users
have time to get familiar with the system before launching the next module,
which will ultimately reduce implementation time. When implementing HR
and payroll, the following phases would be a good solution: Phase1: Master
Data, Time Management, Payroll, Benefits Administration, Organizational
Management and Payroll Phase 2: Personnel Development, Recruitment,

Training and Events, Travel Management and Compensation Management -
this phase can be broken down further. Phase 3: Employee Self Service,
Manager's Desktop Costs of Employees On the Project Team Not Able to
Perform Their Normal Jobs During the Implementation Another cost factor
is associated with the fact a replacement needs to be arranged for employees
assigned to the mySAP HR project. They cannot be expected to perform to
jobs at the same time. Commitment of employees during and after the
implementation. In most cases, it is possible to have project team members
temporarily replaced by their colleagues. It is the Line Manager's
responsibility to co-ordinate this exercise and to ensure that proper briefing
and task delegation takes place. It is vital that all employees affected are
committed to achieving the objectives set by the project - even if they are
not directly participating - by supporting their colleagues and ensuring that
the business operations are run as usual. Support and Commitment of Line
Managers and Upper Management. The role of Line Managers cannot be
stressed enough - these are the ones who need to ensure that project team
members can focus on the mySAP HR implementation, that their jobs are
carried out by a suitable replacement and that the replacement person is
aware of the importance of his/her support. The role of Upper Management
is to make the Line Managers "buy into" the SAP project, explaining what is
expected of them. All too often it happens that Line Managers are not given
the full picture, are therefore unsure about the outcome of the SAP project
and concerned how to run their department with less resources. Gaining the
support of Line Managers is a certain guarantee for a smooth
implementation. Providing incentives and goal-based awards to reduce
turnover on the project team. Another idea is to offer incentives to those
employees who are committed and hard working to achieving project goals.
These incentives could come in the form of a promotion, salary increase or
company benefits. This might make it easier for some people to dedicate
their efforts to the SAP project and be a motivation for others to join the
team. Costs of Upgrading The costs of upgrading might be an additional
reason why some organizations choose not to opt for mySAP HR. Having a
highly efficient, integrated and automated system versus an out-of-date stand
alone software. Again - the question that organizations need to find an
answer to, is whether it is worth buying a small Payroll or HR package
which might need to be replaced within the next 3 to 5 years, either because
it is not sophisticated enough for the needs of your business, does not offer
suitable integration or might be because it has become out of date and the
vendor can no longer offer technical support. The advantage of SAP's
software is that it keeps up with the latest technologies, laws and regulations
and your system will not need to be replaced. Upgrades are "mini" projects -
much of it can be done in-house. Upgrades are 'less painful" than
implementations mainly because employees are already familiar with the
product and much of the work can be done internally. Upgrades are not a
system replacement, but involve the implementation of additional
functionalities and the latest technologies. The costs of upgrading are trivial
compared to the costs of having to replace a system every few years. They
involve fewer, if any, consultants for a shorter period of time. Cost of
Software, Licenses and ESS Many mid sized organizations might be
reluctant to invest large sums of money into purchasing the software and
user licenses. The other question that arises is: should we purchase SAP if
we use it for HR only and Payroll only? Purchasing mySAP HR might not
be the right choice for small companies with few employees - but when a
company is large enough to realize their need for an integrated HR and

Payroll system, then the following analysis should help them justify the
investment. Calculating ROI and cost savings. To start evaluating cost
savings, managers need to analyze how much time is spent maintaining
personnel records, recording time, running and correcting payrolls,
maintaining training details on different spreadsheets etc. How much money
and resources are being used to pull information out of different systems or
converting data in order to run reports? How many double and triple entries
are being made just to preserve the integrity of multiple systems and
databases? After completing this exercise, managers should then look at the
savings attained by using mySAP HR, which provides timely information,
helps to spot levels of absenteeism, low retention, career progressions etc.
Company-wide reporting enables managers to be proactive rather than
reactive. Tracking and managing employees' training and development on a
single system enables them to internally promote and fill vacancies,
reducing recruitment expenses. By integrating external recruitment, position
requirements can be matched with applicant qualifications, also reducing
costs through decreased turnover. Downloading payroll results and other
cash flows out of payroll into accounting can be automatic through an
integrated system. This is only a brief review of cost savings that can be
achieved through mySAP HR. It also helps to justify a mySAP HR
implementation by estimating the ROI. However, attaching dollar values to
time saved in HR can be a difficult exercise. While it is fairly
straightforward to calculate expenses such as new software and hardware,
consulting fees and staff time, it is another story to calculate the benefits side
of ROI. As a starting point, executives need to look at obvious dollar savings
achieved through benefits and employee administration self-service, time
saved by running customized reports from one system etc. But to fully
evaluate how much money can be saved through SAP, executives need to
take a closer look into HR processes, the new functions mySAP HR offers to
re-engineer processes, the reduced number of people involved and shortened
steps in a transaction. One possible way of estimating ROI, is determining
how much time Managers, Hr and Payroll employees and IT support staff
spend on traditional processes, prior to the mySAP HR implementation, by
breaking down the steps and attaching dollar amounts to each step in the
process. Next follows an estimate of how much money can be saved by re-
engineering these processes with mySAP HR. The same exercise should be
conducted after go-live, to measure the improvements achieved. Intangible
benefits. Even though ROI is important, the importance of involving end
users up front and getting their input cannot be stressed enough. Employee
satisfaction contributes to the company's bottom line and has a direct impact
on employee retention, performance and profitability. Looking ahead:
mySAP HR as an investment benefiting the entire organization, not just HR.
MySAP HR can be extended to the whole organization. The advantage of
purchasing the software is that its functionality can be extended as needed. If
the primary objective was to have an integrated HRIS and Payroll system
and the implementation was successful, the next goal might be to implement
mySAP Finance and Controlling or Sales and Distribution. The more
familiar the organization will be with the software, the more likely it is to
add extra functionality, extending mySAP to the whole company in gradual
phases. Costs of Maintaining the System Another fear associated with SAP
is that the project never ends…that it requires continuous maintenance by
external consultants who charge for their services. Being self-sufficient will
reduce maintenance costs. This situation can be easily avoided by having
well trained users. If proper knowledge transfer occurs during the

implementation and adequate end user training takes place at the same time,
users will quickly come to know the system very well and be self-sufficient.
There will be situations where they need external help to solve a system
problem but, chances are, the user will first use other sources such as the
SAP online help. However, a good consulting firm would be willing to
provide remote support at no or a minor cost for their clients. Remote system
support is an item that should be discussed with the consulting firm prior to
project launch. Designation of an in-house support team. This is the
responsibility of the Steering Committee and Project managers. It is vital to
have an internal team of people providing technical support for the end
users. Usually, the team is composed of the former project team members
who know the system the best, together with IT. Continuous training of
users to ensure efficient and effective use of SAP. Training should not be
reduced to a number of sessions during the implementation and after go-live.
It is important that end users continually learn more about the system,
growing gradually independent of external or internal help. All Non
Standard Functionality Requires Programming and Costs Money and Time
Depending on your business processes, the standard delivered functionality
might not cover all your needs and programming is required. While this
might happen, the amount of custom programming (i.e. 'ABAP') and the
costs associated with it can be kept to a minimum. Identify all non-standard
processes required prior to implementation. If you do your homework
properly in the form of a needs assessment, all required system functionality
should be detailed in the RFP or RFQ (Request For Proposal or Quote) and
consulting firms will propose solutions. At this point, all business
requirements not satisfied by the standard mySAP HR functionality should
be identified and classified as essential and non-essential. Discuss each extra

functionality required with your consultant and evaluate alternative
solutions. Clarify up front how many days it requires implementing this
extra functionality and including this in your budget and project plan.
Wherever possible, opt for the standard mySAP HR solution.
ORGANIZATIONAL FACTORS Besides cost and time factors, a mySAP
HR implementation also involves organizational changes which might be an
painful thought for many people who are used to running operations a
certain way. SAP's Software Often Forces Organizations to Change Their
Business Processes While mySAP HR might involve a certain degree of
business process re-engineering this should be viewed as an opportunity to
improve business processes and making the organization more efficient.
Definition of business processes prior to project launch. To ease this process,
again - HR Professionals need to analyze their business processes prior to
project launch. Some HR departments might need a strategic consultant to
help them assess their business needs, and make process changes. Make sure
you know enough about your business and your HR needs to so that you can
ask intelligent questions when you interview consultant candidates. View it
as an opportunity. Your mySAP HR implementation should not be viewed
as an 'IT' project, and cannot be treated simply as a 'system replacement'. It
presents an excellent opportunity for the organization to change and replace
out-of date business practices, improve their procedures and align these with
the new system. MySAP HR will automate many processes and employees
will be able to carry out many of the administrative tasks on-line. This frees
up time to focus on strategy, keeping up to date with laws and retaining
human capital It is necessary to involve IT and HR departments in the
business process re-engineering process . SAP Often Involves A
Restructuring of the Organization While this can be the case, the

restructuring can actually help reduce costs. With the new mySAP HR
system in place, HR and payroll departments need to work together -
mySAP HR alone will not allow HR to increase the contributions it makes to
the bottom line of the organization. Costs need to be reduced and processes
optimized - this can only be achieved by having all key players work at the
same centralized location, rather than being gathered around different
offices. The overhead for several decentralized HR departments versus one
centralized department need to considered as well as the fact that a
centralized department will allow the consistent application of HR practices
across the entire organization Employees Have to Perform Different and
New Tasks Which Causes Stress and Resistance to Change Some project
team members and employees will undergo a certain degree of strain during
the mySAP HR implementation. These include job strains associated with
new responsibilities, apprehensions related to losing their job over the new
technology, having to learn something they are unfamiliar with, having to
work on the mySAP HR project on top of performing their normal job,
having to work with new and different people, having to work in a different
office, having to work with external consultants telling them what to do, etc
Project preparation essential to deal with change management issues. To
deal with these issues, it is vital to clearly define roles and responsibilities of
all parties involved in order to set expectations. It is also advisable to
appoint an internal Change management consultant who knows the
organization and its employees and who has the trust of these employees. To
avoid the panic and rumors associated with redundancies, talk to you
employees, being truthful and clarifying the situation. Another commonly
asked question is: How Will mySAP HR Fit In With Other Existing
Systems? Interfaces can be built and there are essentially two aspects to the
interfacing of SAP and non-SAP software. First, SAP offers various types of
object-oriented, functional, batch, and message-based interfaces, including
interfaces for electronic documents. Secondly, with the Business Application
Programming Interfaces (BAPIs) SAP has standardized the business
meaning, of interfaces, in addition to offering interface compliance with
technical industry standards, including EDI, CORBA, and XML. The BAPIs
can be brought to your favorite programming language and development
environment. Also, SAP has found a solution to one of the traditionally most
costly and time-intensive implementation tasks: migrating legacy systems.
In the past, the costs of data migration have accounted for up to 20% of the
total cost of a mySAP HR implementation project. This cost has now been
reduced thanks to the Data Transfer Workbench tool enabling data transfer
data without little, if any SAP programming. MySAP HR's Functionality Is
Iincomplete Or Not stable Enough; Some Areas Of Iit Are Too New And
Unstable Some parts of mySAP HR are new and have a history of instability
(net payroll & tax reporting in particular). Much of the difficulty in these
areas though is a result of a mix of poor implementation, lack of user
training, and trying to force-fit existing business processes into mySAP HR
instead of changing them to work better with mySAP HR. Payroll and tax
reporting are very complex processes and are often the most difficult items
to address in a mySAP HR implementation. Most companies are reluctant to
change their payroll and payroll tax processes, and without a full
understanding of how mySAP HR's payroll operates they often encounter
problems. Taking the time to understand mySAP's process and then fitting
current processes into the mySAP framework can almost always prevent the
problems. The payroll portion of mySAP HR does work well, but as with
any automated payroll system it is complicated and requires that you fully
understand how to use it. Once again, your success in this area rests on
thorough user training, making appropriate business process changes, and
leveraging experienced SAP Payroll consultants. CORRECTLY
IMPLEMENTED, THERE'S NOTHING TO FEAR Companies should not
be afraid of implementing mySAP HR - by avoiding certain pitfalls and
paying attention to crucial factors such as clearly defining the project scope,
having the whole company fully committed, supportive Line managers, a
fast decision making policy, a competent project team and well trained users
- you can implement mySAP HR with minimal costs within an optimum
time frame. This new technology will make your organization more
efficient, strategy focused and ultimately more profitable, fit for today and
tomorrow's economy
Office
Imaging Integration
HR
information
Workflow system Security
Mail Org. Management
Recruitment
Manage-
Internet
Personnelment
Compensation Travel System
cost manage- Expenses Management
planning
Incentive Time mentPayroll Industry
wage Management Solution
Workforce Master Benefits
planning Data EIS
Personnel Training &
Lo
Is
Development Event
gi
ia
st
Reporting
nc
ic
Analysis
na
s
Fi
ANALYSIS
INFOTYPES
1.What are info types ?
Infotypes, known as information types are units of human resources

information formed by grouping related data fields together. These are
represented in the sap hr system by a unique 4 digit number eg. Personal
Data (0002), Address (0006) etc. All customer infotypes fall in the number
range from 9000 to 9999. The fields in the infotype would vary based on the
country grouping for eg. if any employee belongs to country grouping 10
then he would have the SSN no field in the Personal Data infotype which
would not be seen in same infotype for country grouping 99.
1. 0000-0999 Personal Administration (HR Master Data)

2. 1000-1999 PD Infotypes ( OM etc)
3. 2000-2999 Time Infotypes
4. 4000-4999 Recruitment Infotypes
PERSONNEL ACTIONS& HIRING ACTION
What are personnel actions? What is the transaction for executing personnel
actions? Personnel Actions are the events of an employee’s employment
history within the organization beginning from hiring an employee to
termination of the employee.Each of these events need specific information
to be captured. This is achieved in sap hr by grouping together infotypes
called as infogroup which appear one after another in sequence to
capture/change information in the infotypes whenever the personnel action is
executed. Personnel Actions are executed by transaction pa40.
What are the important info types for a hiring action? The important
infotypes for executing a hiring action are.
1. 0000- Actions
2. 0001- Organizational Assignment
3. 0002- Personal Data
4. 0003- Payroll Status ( this is automatically maintained by the sap system
and not required to be maintained in the info group for hiring)
5. 0006-Address
6. 0007-Planned Working Time ( This should always be maintained before

infotype 0008 Basic Pay)
7. 0008- Basic Pay
8. 0009- Bank Details
9. 0016-Contract Elements
10. 0041- Date Specifications
11. 2006- ( For annual leave & sick leave)
IMG & PROJECT IMG
What is IMG? What is its importance? What are the functions you can
execute using IMG? What is customizing? What does customizing support?
How do you create a Project IMG? What are project views?
IMG means the implementation guide. The configurators would customize

the sap hr system as per the customer requirements in the img. In the img
you can create project img’s which limit the customizing nodes to the
requirement of the projects and for each project img you can create multiple
views like MM,SD,HR etc to get more specific. To go to the implementation
guide or img from the sap easy access menu ,you have to enter transaction
spro in the command line.
ENTERPRISE & PERSONNEL STRUCTURE
What is an enterprise structure?
The enterprise structure is one of the HR structures. The HR enterprise

structure composition depends upon the hr administrative, time and payroll
functions for that company. It comprises the client, company code, personal
area, personnel subarea and the organization key. The hiring action assign an
employee via infotype 0001- Organizational Assignment to the enterprise
structure. The enterprise structure is the enterprise perspective of an
employee.
What is a personnel structure?
The organizational personnel structure describes how the employee is

positioned in the organization. This is an individual perspective of an
employee in an organization. It comprises of the employee group, the
employee sub group and the organization plan (org unit, position, job) for
that employee. The hiring action assigns an employee via infotype 0001-
Organizational Assignment to the personnel structure.
What is the highest level of the enterprise structure?
The client is the highest level of the enterprise structure.
What is company code? Is it defined in HR? If not where is it defined?
The company code is an organization unit(this is different from the hr

organization unit. Different modules like SD, MM, etc have their own
organization structures with their own organization units) which has its own
balance sheet and profit and loss account and is defined in the FI module.
What are personnel areas and its functions?
Personnel (( Please note the spelling -> its Personnel (group of people)and
not Personal(Individual)) Area is the sub division (understand these two
words) of the company code and can represent a functional area or
geographical location.These play a very important role in the time and
payroll configurations. Each personnel area is unique to a company code
(mark these words) and is represented by a 4 character code.
What are personnel sub areas and its functions?
The further divisions (understand this word) of a personnel area are defined
as personnel subareas. The functions are similar to the personnel area. Each
personnel subarea too is unique to a personal area (mark these words) and is
represented by a 4 character code.
How is an employee in the HR Master data linked to a company to which he

belongs?
EMPLOYEE--->PERSONNEL AREA--->COMPANY CODE---

>COUNTRY GROUPING-->CLIENT
Can a personnel area be assigned to many company codes?
No. A Personnel Area can be only assigned to one company code. Many
personnel areas can be assigned to the same company code but the vice versa
is not true.
What are the indicators defined by personnel sub areas?
The indicators are all personnel sub area groupings for hr, time, payroll
which are very critical to the sap hr implementation. They are also used
tolimit HR authorizations.
How do you categorize the employee groups?
Employee groups are categorized based on employee/staff regulations of

work and pay such as
1. Active
2. Retiree/Pensioner ….. and so on.
These are also used to limit HR authorizations.
What are employee subgroups and what are the indicators set up using
employee subgroups?
Further division of the employee groups are called the employee subgroups
such as under employee group 1-Active you could have employee subgroups
such as AA–Hourly wage earner, AH–Salaried Employee …. And so on.The
indicators are all employee sub area groupings for hr, time, payroll which
are very critical to the sap hr implementation. They are also used to limit HR
authorizations.
Employee groups are two character and employee subgroup are two
character representations in the IMG. Do you support this statement?
False. Employee groups are one character and employee subgroups are two
character representations.
In the HR Master data where are planned working times for an employee
seen?
IT 0007- Planned Working Time using transaction pa51 – Display time data
Do I need to give country assignment to personnel sub areas in customizing?

If true support the statement and if not what’s true?
No. You do not need to give country assignment to personnel sub areas. You
need to give country assignments to the employee subgroups on assigning to
employee groups in the enterprise structure.
HR MASTER DATA & ORGANIZATION MANAGEMENT
What are the various objects in an organizational plan?. How does any
company use an organizational plan?
1. Tasks
2. Job
3. Position
4. Organizational unit
5. Cost Center etc
The company organization structure and reporting structure is represented

through the organization plan. The active plan version is the current plan
version and the other plan versions are considered as various planning
stages.Used for manpower planning. Normally plan version"01" is always
made the active plan version.
How do you integrate OM and PA? If integration is active what happens

when a position is entered in IT 0000.? What else does the system default?
Can these values be changed? What is this called?
Integration of OM and PA is possible through the integration switch setting

in table T770S which is PLOGI ORGA 1. If the integration is active and the
position is entered in IT0000 during a hiring action , than in IT0001 the
following are automatically defaulted
1. Percentage
2. Job Key
3. Org. Unit.
These values are greyed out and cannot be changed. This is called account
assignment.
Are cost center assignments hierarchical? Where do you assign these in

OM?
Cost center assignments are hierarchical. You assign these in the account
assignment for OM objects. If your org unit in the lower hierarchy does not
have a cost center assignment , than it will be assigned the cost center of the
upper hierarchical org unit till one is found. For a position, if the cost center
is not assigned, it will be assigned the cost center of the org unit to which the
position belongs and if not found here, than it will be assigned the cost
centre of the upper hierarchical org unit till one is found. These assignments
can be overridden by the cost distribution (IT 0027).
What are attributes of objects? Is vacancy a common attribute for all

objects?
Attributes of an object are the properties of the object by which it is

described. The OM objects have some common attributes like Description,
Relationship, Account Assignment , Work Schedule etc and some unique
attributes like Vacancy assignment which is only for the OM object position.
What are the other additional organizational assignments?
The other additional organizational assignments are assigning the employee

to administrators in org assignment infotype 0001.
Name the three administrators? How do you default these in IT0001?.
The three administrators are
1. Personnel Administrator
2. Payroll Administrator
3. Time Administrator. Besides these the employee can also be assigned
to
4. Group Administrator
5. A Supervisor.
These are defaulted through the feature PINCH.
What is organizational key? How many bytes/characters does itconstitute?

How can it be defined? What is it mainly used for?
An Organization key is a 14 character code that could be formed by the

combination of parts/whole of certain field values in the org assignment
infotype (0001) eg employee group, subgroup, personnel area, sub area, org
unit etc. It is used for authorizations.
What are employee attributes and how are they classified?
The employee attributes are all the information pertaining to that employee.
They are typically classified according to the HR structures to which the
employee belongs such as organization structure, pay structure, and are
stored in form of well defined and related information called infotypes.
FEATURES
What are features? What is the transaction for features?
Features are objects those that default values by quering different enterprise,
personnel or data structure fields. The transaction code for features are pe03.
What are the features to default and in which info type ?
1. Work Schedule Rule

2. Pay Scale Data
3. Wage Type Model
4. Administrator groups
Work Schedule Rule SCHKZ - IT0007
Pay Scale Data TARIF - IT0008
Wage Type Model LGMST - IT0008
Administrator groups PINCH - IT0001
Number Range Intervals
Number Range Intervals NUMKR( which infotype??You try and

answer this one)
What is ABKRS?
ABKRS is the feature that defaults payroll area
What are the two ways of maintaining features?)
The two ways of maintaining features are use using the table method or the
tree method.The experienced sap hr consultants prefer the table method of
configuring a feature whereas those who worked on 4.6 and later prefer the
tree method.
What is the infotype to store personal data for an employee?
Infotype 0002 – Personal Data is used to store personal information of an

employee. In some countries you could use infotype 0077- Additional
Personal Data.
Where are the default values for working hours per period taken from in IT
0008?
Taken from Infotype 0007- Planned Working Time. (Try and answer from
which field???)
Maintaining a feature or its structure
 In the Development(DEV) Client, use transaction PE03 to change a

feature's decision table. You can use either a tree structure view or a table
view. For a beginner the first one is easier to understand.
 A feature provides a return value based on the decision tree using the
values at the time of execution. It is similar to a PCR (or a payroll calc rule)
or a decision table which many people would be familiar with.
 A feature uses a data structure which is populated by the program
before calling the feature. A feature may use all or some of the fields in its
structure. You can see which fields can be used when you go to
change/maintain a feature and then navigate to the structure. The feature /
structure screen shows the usable fields highlighted. If you need to use a
field not used currently, then highlight or select it. Then save it and
regenerate. Then the feature's decision table can be changed to use the new
field/s.
 The same applies if you want to use a different structure. The program
that uses or calls the feature will fill the new structure, provided the data is
available in the program / module / function / routine.
 After changing the decision table and saving it in a transport, generate
the feature. Generating the feature is required when you change it manually.
Then move the transport to Quality Assurance(QA) or User
Acceptance(UAT), Production and other clients. Moving transports to
another system/client will automatically result in generating the feature in
the target client. In older SAP versions like R/3 3.0 it was required to
generate after transport.
 Feature is a client dependent object though it generates a program and
client dependent customzing transports (not workbench transports) are used.
For example, if you have a Development System with separate Dev clients
for different companies, then it nneds to be maintained in the development

client for that company.
One development system is used for Company A client 100 and Company B
client 110. Then the features need to be separately maintained in the relevant
system and transported to the corresponding QA & Prod clients.
 Generating a feature will result in generating a subroutine pool
member. This subroutine is called by the calling program in real time.
For example, LGMST feature will result in /1PAPA/FEATnnnLGMST,
where nnn is the system client number.
PAYROLL
Payroll Simulation
Why is employee subgroup grouping for pcr significant for payroll?
What does collective agreement provision determine? How do you depict

different payments in the system 28.What does employee subgroup grouping
for CAP allow you to assign?
The Personnel Calculation rule allows one wage type to be processed in

different ways in payroll and these different ways are through the ESG for
PCR and ESG for CAP. The ESG for PCR classifies which employees are to
be paid on an hourly or monthly basis. The ESG for CAP further classifies
these employees based on their Collective Agreement Provision as industrial
workers or salaried workers (based on their worker/union agreements.)Try
and understand the esg grouping for pcr and esg grouping for cap and how
basic pay infotype behaves for these hourly, periodic and monthly
agreements.
What is payscale type and payscale area?
These are used to assign the collective agreement types and areas to an
employee via infotype 0008- Basic Pay. Eg payscale type “01” -> Metal
Industry and payscale type “01” -> North Region
You assign payscale types and areas to
1. Company code
2. Payroll area
3. Employee subgroup
4. Personnel subarea
You assign payscale types and areas to personnel subareas under the node in
the img Check Assignment of Pay Scale Structure to Enterprise Structure
What are wage types? How wage types are broadly classified? How do you
set up wage types? What are slash wage types? Why are wage type groups
used? Give some examples of wage type groups. What is transaction pu95?
Where in the IMG do i ensure that the wage types are associated with the
enterprise and personnel structure.? Where are all wage types stored? Are all
wage types permissible for all info types ? If Yes or NO support statement?
What are the wage type characteristics that can be defined? How do you
valuate wage types? Where do you configure this in the IMG? What are
module name and module variant? Explain significance of TARIF ,

SUMME and PRZNT in regards to indirect valuation?
Wage types are payroll objects used to store payroll components which
include the amount, number and rate. SAP has standard model wage types
for different country versions and depending upon your payroll
implementation you should copy model wage types from the correct country
versions only.
The wage types are broadly classified into primary/dialog and

secondary/technical or slash wage types. Dialog wage types are those in
which you can store values in the wage types through the permissible payroll
infotypes. The technical or slash wage types are those wage types that are
create during the payroll run only eg /101 – Total gross amount, /550 –
Statutory Net, /559 – Bank Details.
Wage types are permitted to be stored in payroll infotypes only if these are
added to the wage type groups. Eg Basic Pay IT0008 has wage type group
0008. Please note that not always do Infotype no = wage type group.
Transaction pu95 is used to edit wage type groups. You need to assign the
wage types to the respective employee sub group groupings and personnel
subarea groupings wherever configuration permits for the wage types to be
associated with the enterprise and personnel structure. All wage types are
not permissible for all infotypes( refer wage type groups concept).
The wage type characteristics are attributes of the wage type as to what is
permissible and not permissible, what are the maximum and minimum value
limits , what are the units permissible, whether they are to be valuated
directly ( values entered) or indirectly ( values as a reference to other wage

type values).
You valuate wage types directly or using indirect valuation. You configure
these in the wage type characteristics and the corresponding indirect
valuation tables where the corresponding wage types from where the indirect
values are figured out(these need to exist). Module names are names given
to different types of modules that valuate wage types according to certain
criteria eg TARIF, PRZNT etc. Variations in the module valuation process
are further provided by the specific module variants. For eg for TARIF
module the variants could be A, B, C and D. TARIF provides valuation
according to payscale group or/and level, SUMME & PRZNT are valuation
using the basic pay(IT0008)wage types . The 'SUMME' module corresponds
to the 'PRZNT' module except that the value of the wage type to be valuated
indirectly is always the entire basic pay.
PAY INCREASE IN SAP HR
Briefly explain the two different ways to perform pay increase? In dynamic
pay increase what are variants A, G, D, E, T , C and R?
The two ways are
1. Simple pay scale increase using report RPU51000 which increases the
wage types in customizing
2. Standard pay scale increase where the wage types entered in IT0008
can be automatically increased and the history of the wage types in IT0008
are also updated.
• Variant A ->Increases a wage type in IT0008 to an absolute amount
• Variant G->Increase total pay in IT0008 to an absolute amount
• Variant D->Increase by a difference by value or percentage.
• Variant E->Valuate according to another pay scale group
• Variant T->Add a new wage type to IT0008
• Variant C->Delimit an existing wage type in IT0008
• Variant R->Replace one wage type by another in IT0008
Only one variant can be defined for a wage type. You need to maintain table
V_T510D in the customizing and run the program RPITRF00 to carry out
the standard pay scale increase.
Make sure that you test your configuration and the execution of the report
RPITRF00 only in the test system, run payroll test cases and take user
acceptance before transporting these changes to the Production. It is highly
recommended that you always do this in the supervision of a senior
consultant with good sap payroll experience.
INFOTYPE ATTRIBUTES
What are the info type attributes?
The attributes of the infotype are
 The Text describing the infotype

 The fields that make up the infotype
 The subtype for the infotype whether mandatory when creating the
infotype
 The time constraint for the infotype
 The retroactive accounting triggers for time and payroll
 Entries in the payroll past are permissible or not
 Org assignment(IT0001) check for the employee required or not.
 Date settings for creation and selection of the infotype e.g. the
infotype should always be created with end date equal to 31.12.9999.
 Technical details of the infotype such as single screen no, list screen
no, activate list entry or not, the dialog module, structure and consultant
database table connected to the infotype and something which we do not
notice and that’s the field Applicant (database)TAB which contains the
name of a database table for an applicant infotype.
 Infotype views
 Country assignment/assignments of infotype
These are all defined as per requirements in the standard infotypes provided
by SAP but when you are defining custom infotypes in the 9000-9999 series
range you need to make sure you correctly define the attributes required for
the custom infotype.
CHANGING HR DATA AND IMPACT
Some questions you ask yourself? How good is the HR administration in

your organization? Do you consider HR as a service industry? How come it
felt by many that HR folks come across as arrogant and rude? Is this due to
lack of proper processes, information and systems, lack of manpower or lack
of initiative?
My answer to the question is that it is a combination of all factors and

companies are paying attention to all but the last factor and that is
initiative.Do not companies pay the sales personnel huge bonus/incentives
for achieving their targets?Are not the employees in finance paid incentives
for closing the year balance sheets on time? Than why is there no
bonus/incentive for the HR folks for doing a good job such as meeting
recruitment targets, managing retention and an evergrowing requirements of
employees doubling their count every year and much more?This needs deep
thinking ? After all HR folks are human too. But than again as HR folks lets
try and keep our cool and not let our stress and frustrations rub on the
employees. Lets try and give our best and hope for the best.
BACK AGAIN TO INFOTYPES
What naming conventions are the info types subject to? Where are the info
types relevant to retroactive accounting for payroll and time management
defined? What are the significance of field triggers in retroactive
accounting?
Infotypes are defined by 4 digit numbers and follow the following naming
convention
 0000-0999 -> PA Infotypes

 1000-1999->PD infotypes ( which includes OM)
 2000-2999-> Time Infotypes
 4000-4999-> Recruitment Infotypes
 9000-9999-> Customer defined infotypes
So whenever you are searching for a customer defined infotype make sure
your search is restricted between 9000 -9999.The infotypes relevant to
retroactive accounting for payroll and time infotypes are defined in the
IMG . Personnel Administration-->Customizing Procedures-->Infotypes--
>Define fields relevant for retroactive accounting--> Retroactive accounting
relevance for payroll and time per IT
Under this node you define for each infotype the following:- 1.Check if no
organizational assignment exists for the employee in IT0001-Organizational
Assignment and throw an error, warning or no message.
2.Maintenance of this infotype is permissible, permissible with warning, or

not permissible after the employee has left the organization (employee in
inactive status).
3.Entries in payroll past are permissible, not permissible or check for entries
in the payroll past are infotype specific.
4.Infotype is not relevant for retroactive accounting, change in the infotype

triggers retroactive accounting or retroactive accounting is field-dependent
according to table T588G where the fields whose change in values should
trigger retroactive accounting are defined. Hence you can see the
significance of field triggers in retroactive accounting where retroactive
accounting for a given infotype can be restricted to changes in the past to
certain fields of the infotype.
64.What do you need to do in the IMG to specify certain info types for
certain countries only?
SPRO-->Personnel Administration-->Customizing Procedures--> Assign

infotypes to countries
TCLAS-THE CONCEPT
What is TCLAS = A and TCLAS = B?

 TCLAS=A -->Transaction Class for Master Data (Personnel
Administration)
 TCLAS=B-->Transaction class for Applicant Data (Recruitment)
This transaction class has confused a lot of functional consultants and you
just need to understand that whenever you write a dynamic action, if you are
writing one for Master data then use TCLAS=A and if for Recruitment use
TCLAS= B before you begin writing the code for the dynamic action. Let us
compare the Personnel Administration infotypes and Recruitment Infotypes.
 Personnel Administration :
 IT0000 – Personnel Actions
 IT0001- Organizational Assignment
 IT0002-Personal Data…and so on
 Recruitment
 IT4000- Applicant Actions
 IT0001- Organizational Assignment
 IT0002-Personal Data.. and so no
If you can see above both the personnel administration and the recruitment
modules use a lot of the similar infotypes to store data . You can verify this
by going to the PA infotype through pa20 , choosing IT0001 and choosing
any field and that press key <F1> to view technical details and you dothe
same when you go to display applicant master data under transaction data
through pb20 where you choose any applicant , select and view infotype
Organizational Assignment (IT0001) and than press key<F1> to view
technical details.
In both the cases you will see the same tech specs for IT0001 of Personnel
Administration and IT0001 for Recruitment. So how should your dynamic
action, BADI or any program know which infotype 0001 to choose , whether
Personnel Administration or Recruitment. That is where TCLAS comes in
use.
When you choose TCLAS= A you are referring to all infotype tables
PA0001, PA0002 ,… PA* And when you choose TCAS = B you are
referring to all infotypes tables PB0001,PB0002,… PB*
Now my friends I am sure you folks will never forget what TCLAS is all
about. Sometimes when lost in deep thought, it helps scratching you
head)might activate your grey cells)
UGR,INFOTYPE MENUS & INFOGROUPS
What are infotype menus or info menus? Are they user group dependable?.
Q 69.What setting do i need to make for a SAP user to see that he has the
relevant infotype menus?
Infotype menus are menus that you see when you
1. Display HR Master Data (transaction pa20)

2. Maintain HR Master Data (transaction pa30)
Infotype menus are user group dependable and you can have different
infotype enus for different user groups.To make sure that a user is able to see
the appropriate infotype menu you need to make sure that in the user
parameters of the sap hr user (use transaction su3), you maintain the user
parameter UGR=<usergroup value>. Typically in most of the
implementations you may see that the UGR =<usergroup value>=<country
grouping value>, however there is no hard and fast rule for that states that
this applies everywhere.
There are four steps that you need to understand here
Step 1: Here you need to assign the define the infotype menus for different
user groups. The node for this is Personnel Administration--> Customizing
Procedures--> Infotype Menus-->User group dependency on menus and info
groups
Step 2: Here you need to assign the infotypes to the infotype menus for
different user groups. The node for this is Personnel Administration--
Customizing Procedures-->Infotype Menus-->Infotype menu
Step 3: The Main infotype menu’s are defined and assigned to a reference
user group. A reference user group is that UGR parameter value that should
be referenced or considered if UGR is not maintained for the sap hr user.
Personnel Administration-->Customizing Procedures-->Infotype Menus--

>Determine choice of infotype menus-->User group dependency on menus
and info groups.Here the Main Infotype menu 01-Personnel Administration
would be used to assign the infotype menus for Display/Maintain HR Master
Data.
Step 4: In this step you would assign the infotype menus defined by you to
the main menu for a particular user group. In order to define which infotype
menus would you choose for the display/maintain HR master data you need
to assign those infotype menus to the main menu 01-Personnel
Administration.
Personnel Administration-->Customizing Procedures-->Infotype Menus--

>Determine choice of infotype menus-->Infotype menus
To make it more simpler, the sap user 1 may see different infotypes in
display /maintain master data than sap user 2, or to simplify it further lets
consider we are having a global implementation and for countries like
Germany( country grouping/user group value 01) and USA (country
grouping/user group value 10). We could have same/different infotype
menus with ame/different infotypes required to be accessed and maintained
by a sap hr user in Germany than a sap hr user from USA. In this we will
assign UGR=01 to the sap hr user from Germany and UGR=10 to the sap hr
user from USA.
As functional hr consultants, whenever sap hr roles and authorizations are

assigned to sap hr super users, coordinate with the basis team to ensure these
parameters are assigned before you ask the super users to start testing or go
live in production. You could make a mention of this in the sap hr user
manual and train the sap hr users on setting the user group parameters.
TIME MANAGEMENT
Time Management in SAP HR/HCM is all about recording all of the

employees times, working and non working relevant to the organization ,
specific union agreements which decide the working hours of the employees,
their breaks, their off days , their holidays , their overtimes , their
compensatory offs, their leave entitlements and leaves etc. In a typical
factory environment which has thousands of employees, you can picture
employees coming in shifts, swiping their smart cards or punching buttons
into sophisticated electronic clock systems or the older clock systems with
punch cards to record their every movement when they enter the plant or
leave it. You got a time office which monitors these times and analyzes
these times to make sure that the employees follow the time rules and
regulations as per their union agreements or contracts. In many countries
time records are stored as archives for a decade or more to settle labour
disputes when these records need to be produced in the labour department or
the law office so make sure that you have a correct archive strategy for all
old time records and dont dispose them away.
Pos. time recording
INFOTYPES IN TIME MANAGEMENT
Time Management in SAP HR is mainly categorized into
 1>Negative Time
 2>Positive Time .
 A> Personnel Time Events
 B> Plant Data Collection (Incentive Wages)
 3> Shift Planning
 4> Cross Application Time Sheet (CATS)
 5> Time Managers Workplace

 6> Time Workflows through ESS & MSS
 7> Time Integration to Other Components
Planned Employee Times
 0007-Planned Working Time ( The most important info type)
Actual Employee Times
 2011- Time Events (Automatic recording through time recording

machines)
 2002-Attendances (Manual Entries)
Positive Time Infotypes
 0050-Time Recording Info

 2002-Attendances
 2011-Time Events
 2012- Time Transfer Specifications
 2013 -Quota Corrections
Deviations to Employee Times
 2001- Absences
 2002-Attendances
 2003-Substitution
 2004-Availibility
 2005-Overtime
Entitlements
 2006-Absence Quotas
 2007-Attendance Quotas
Time Related Payments
 0416- Time Quota Compensation

 2010- Employee Remuneration Info
What do we mean by planning or planned?
Sounds very simple but try deciphering it and you realize its not that simple
to explain. The nearest that I felt I could get was “Building a framework
(plan) of what is to be done in the future using resources over a period of
measure (such as time)”.
A plan could be a sequence of instructions, a drawing, a map etc.
People, Infrastructure, Machines & Capital could broadly qualify as

resources.
Planning is done by individuals, teams, departments, organizations, nations

and even groups of nations.
What is done now could be an execution of a plan of the past. What is done
in the past is history. What could be possibly done in the future is a forecast.
What is the manner in which the execution of the plan is heading

considering, the past, present and the future is a trend and this is very
significant for any organization for strategic planning whether it’s the sales,
production, employee retention or costs.
To be able to define a trend its very important to have accurate data for the
past and present and for this again we need good information technology
systems of which HR Information systems such as SAP HR play a very
important role.
PLANNED WORKING TIME(INFOTYPE 0007)
So what do we mean by planned working time? Split the words as “planned”

and “working time” I am sure you will be now be able to come up with this
answer.
Planned Working Times are working times which are planned for an
employee in advance such as the shifts the employee is to work, the breaks
the employee gets during these shifts, the off days (such as weekly off days)
and the holidays applicable to the employee. These planned times are stored
as work schedules which are generated through what is known as the work
schedule rule which includes all the recipe or rules for generating these
planned times. The work schedule rule is assigned to the employee in
infotype IT0007(Planned Working Time) or defaulted using the feature
SCHKZ. The recipe includes
 1>The daily working times(including flexitimes) with break times

stored in the Daily Work Schedule
 2> The pattern of daily work schedules to be followed repeatedly over
a period of time such as days or months stored in the Period Work Schedule
 3> The Holidays that fall on those days which the employee is eligible
due to his/her union or collective agreement stored in the Holiday Calendar.
These holidays can be movable or fixed. The Holiday Calendar is assigned
to the personnel subarea grouping to which the employee belongs.
 4> The Day type and the selection rule (or recipe making rule). The
day type indicates what type of day is that employees daily work schedule
i.e
 “0” regular working day and paid to work
 “1” A weekly off day and paid for that off day
 “2”An Off Day and not paid for this off day.
 “3” A special day
The selection rule XX helps you to build a rule such as you want all days
from Monday to Friday be of day type 0 and all Saturdays and Sundays
declared as of day type 1 when you are generating the work schedule for a
work schedule rule that includes this selection rule XX.
Once all the above are defined and assigned to the work schedule rule( the
recipe), generation of the work schedule (the final dish ) is carried out . This
could be for a period of months or years . Normally work schedules are
generated for a few years in advance.
To know more about shifts refer to the wikipedia which gives some good
information about what shifts are, their history etc.
Do we generate the work schedules for individual employees?
The answer is typically No. The work schedules are generated for the
employee sub group grouping and personnel sub area grouping for work
schedules. These groupings and the assignment are a part of the img.
However, there could be an exceptional case of only one employee
belonging to one employee subgroup and one personnel sub area (naturally)
which could be again grouped into only into one employee subgroup
grouping and one personnel sub area grouping.
 1.Can we assign the common work schedules to different employee

sub grouping
and personnel sub area grouping?
 2.Is it alright to create the Basic Pay infotype (IT0008) before

creating(IT0007) Planned Working Time ? Does your payroll run for that
employee?
ACTUAL TIMES
 What do you mean by actual times? Where are these stored for an
employee?
 Actual times means “real times” or times that are recorded as true.
In sap hr the actual times are recorded in the infotype (IT 2011) called Time
Events.Mark the word “Event” since this is important to identify movement
or the employee in the organization such as when did the employee come in
(called clock in) and left for lunch(start of break) , came back from
lunch(end of break) and left for the day(clock out) . In case the employee
applies for absence at the time recording terminal than he/she would select
an absence/attendance reason linked to an absence or attendance. If I did not
have the events and only the times would that make any sense to me? Actual
times are also recorded as number of hours in the Attendances Infotype(IT

2002).
We saw that actual times are recorded either in infotype 2011( Time Events )
or in the Attendances infotype (2002).
When do we decide which infotype should we choose to capture the actual

times?
The answer is it depends upon whether you want to capture the actual clock
in and clock out times for the employees and use them for processing in time
or payroll ,then you can use infotype 2011.
If you are integrating your time recording terminals to the sap system, then
you need to have CC1 certified time recording systems which can talk to sap
.Data such as personnel time events and employee expenditures are passed
from sap to these terminals and vice versa through the CC1 interface
(Communication Channel One Interface). CC1 interface is an sap certified
interface and a
all vendor time recording systems claiming to integrate with the sap system
need to be CC1 certified. These systems transfer data to the sap systems and
vice versa through the ansynchronous ALE transfer in form of IDOC's or
realtime using BAPI's.
The sap certified interfaces are CC1- HR (Human Resources) CC2 –PP
(Production Planning) CC3-PM (Plant Maintenance) CC4-PS (Project
Systems) CC5-PP-KAN ( Used for Material Planning using KANBAN)
What happens when you have time recording systems but not CC1 certified
and you want to integrate to sap ?
Well provided that these are not punch card systems, and are electronic time
recording systems that record the time events into a computer database/file
such as access database or excel, then these can be periodically uploaded
through batch jobs into the sap time events infotype 2011 using an abap
conversion program to convert the data to suit the sap system.
If you are not really worried about processing the clock in clock out times
and are more interested in gathering the number of hours that the employee
has spent at work , his overtime hours and other attendances then infotype
2002 (Attendances) is used.
DEVIATIONS IN TIME MANAGEMENT
What do you mean by deviations? Where are these stored for an employee?
A deviation in simple English means “doing different from whats planned” .

You promise your spouse a movie and our boss whose married for ages and
probably does not watch movies and only thinks work makes you sit late.
You “deviate” your plans and you change your plans to dinner in a fancy
restaurant (if its not the end of the month) or maybe the roadside food stalls
with a walk on the beach.
Similarly, when you are deviating from your planned working times( defined
in IT0007) such as going for training or simply being absent ( you called in
sick) or you got up in the morning and just did not have the energy to go to
work or your in laws are to be picked up from the airport ( you took a casual
leave/half-day leave and your boss is shaken but not stirred ( Bond I
apologise) .You store all of these in time infotypes ( training – attendance
infotype (2002) , casual and sick leave – absence infotype(2001),
Substitutions-- infotype (2003))
These deviation times get superimposed on the planned times of the

employee and become his/her personal work schedules. Substitutions are
typically shift substitutions or position substitutions where the differential
payment could be made to that employee working on that shift or position.
With this background I will talk about negative time and positive time. I am
honest to admit that this is the most ridiculous words coined for time
management and I prefer to avoid using this and use time evaluation or no
time evaluation instead. We will talk about this the next time.
Till than, have a great weekend and don’t deviate . (Bosses have a heart
folks)
NEGATIVE AND POSITIVE TIME IN TIME MANAGEMENT
Before I move to negative and positive time let me ask you a couple of
questions?
 1>Is Overtime (recorded in IT2002/IT 2005) a deviation? When do

you record overtime in IT 2005?
 2>Lets say that you have recorded the clock times of an employee
using time recording systems and he/she has come and gone as per planned
times for that day of work than do you superimpose these times on the
planned times?
Coming back to positive and negative time, let me ask you another question.
This is for those who would be implementing time management in sap.Are
you going to use time recording systems to record employee clock times and
upload to sap(IT 2011 Time Events) ? I hear an equal number of ayes and
nays
 Those who say ayes. These are the folks implementing positive time
recording (or so called positive time management).
 Those who say nays. These are the folks implementing negative time
recording (or so called negative time management).
So what’s positive or negative about the time management ?? The ayes and
nays…..
The answer that look at the time management status = 0 for negative time
recording is not exactly accurate. What do we than say about time
management status = 7 or 9?? where time management status TMSTA is
maintained in infotype 0007 (Planned Working Time) . These employees
who have time management status 7 or 9 still assume that their planned
times in IT0007 are their working times (besides the deviations) and do not
have their clock in clock out times recorded in IT 2011 but however, they
use time evaluation to generate absence quotas or shift differential wage
types, overtime wage types etc.
In other words you still have negative time recording but you use time
evaluation.
That’s why I prefer to stick to differentiate employees as those that have

time evaluation and the others that don’t to make life simple.
TIME EVALUATION
Coming back to those two questions the answers are 1> Overtime is a
deviation since it is not a part of your regular working hours. IT 2005 is used
to record approved overtimes. 2> The answer is does it really matter since
both times are the same so you would compare(mark this word very
carefully) these recorded times with your planned working hours for that
employee on that day and say "Hey, there is no difference. Lets leave things
as they are" This comparison is the principle of time evaluation. If the times
go different on comparison ( recorded times being more or less than planned
times) you want to know the following 1> What are there different times?
Ans : Less or more than the planned times. 2> How do i process these
normal and different times? Ans : Less - Absence More - Overtime 3> How
do i valuate these normal and different times? Ans : Absence - Pay or Not to
Pay? Overtime -> At what rate to pay for what hours of overtime 4> Do i
store all these times for historical information? Ans : Time clusters.
To do all these you need to build in processing and valuation rules in time
management and payroll. for eg . If the Overtime hours are worked on a
weekday - than pay 1.5 times the regular hourly pay rate if the Overtime
hours are worked on a holiday - than pay 2 times the regular hourly pay rate
If the Overtime hours are worked on a weekend - than give time off credits
( via absence quota) if the Overtime hours are worked on a holiday and
weekend - than pay 2 times of the regular hourly pay rate and give time off
credits too and if no Overtime worked and employee not absent - pay regular
rate if employee absent ... and so on
You build these rules in the customizing tables as well as payroll and time
schemas which call functions which in turn call pcrs or personnel calculation
rules. The personal calculation rules build the processing logic using
operations and operators.
The schemas are called by driver programs ( payroll driver programs for
payroll which are country specific and RPTIME00 for time evaluation).
Time evalution programs are run before running payroll so that the time
credits and time wage types created which these get valuated in the payroll
run.
 When the TMSTA status = 0 in IT0007, this means no time evalution

is permitted.
 When the TMSTA status = 1 in IT0007, this means time evalution is
to be carried out.
 When the TMSTA status = 7 in IT0007 , than time evaluation is used
just for absence quota generation. This status is similar to TMSTA = 0 , the
only difference being that time evalution is permitted for absence quota
generation.
There are other TMSTA status but the above ones are the significant ones.
The typical time evaluation schemas are
 TM00 Time Evaluation with Personnel Time Events ( used with

TMSTA = 1)
 TM01 Time Evaluation for Work Schedule Deviations ( used with
TMSTA = 9)
 TM02 Time Evaluation for External Services Management ( used

with TMSTA = 8)
 TM04 Time Evaluation Without Clock Times (used with TMSTA = 1
when times are recorded in IT2002)
 TQTA - Generate Absence Quotas( used with TMSTA = 7)
Time evaluation is a subject on its own and this forum is for beginners so we
do not want to add more complications here.
STATISTICAL ANALYSIS
Integrated
Solution
FI
SD Financial
Sales Acctg.
MM CO
Materials Controlling
Mgmt
PP AM
Production
Planning
R/3 Asset
Mgmt
QM Client / Server PS
Project
Quality System
Mgmt
PM WF
Plant Workflow
Maint.
HR IS
Human Industry
Resources Solutions
Multinational Use
Business Engineering
CONCLUSION
PROJECT SCOPING
All projects are time defined based upon agreed business requirements.
Delivering what has been agreed upon is what the consultants need to focus
upon. Do not try to deviate from what is defined unless agreed upon by the
customer and the project team. Save the frills, fancies and anything extra for
the enhancements.SAP projects cost a lot of money and the estimation is
based on work to be done. A project's success depends on meeting the
objectives, goals and requirements for what the project endeavor was carried
out within the defined time lines. If the project deviates in cost, quality and
time , it indicates that what was defined as required by the customer is not
being met. Deviations to projects makes the project team loose
motivation and interest, disturbes human resource planning for other
projects when they are to be released from the existing projects and
begin work on the other projects. In short it creates a chaos besides
financial losses.Many of us are in consulting and we need to understand
the bottomline- time is money. If your projects make profit, your
company makes profit and you too profit. This should be your motto.
So remember and drill this in your mind that requirements for an sap
hr project are to meet the company’s goals and objectives in initiating
the project and clearly not what the sap hr user or even for that matter
the sap configurator fancies or wants.The success of the sap hr project
is only when the project sponsor states that it is a success.
Interface from Fidelity update 401k % on IT 0169
RECENT DEVELOPMENTS
Until recently, despite the extensive variety of reports to choose from, unless
users had some experience it was often difficult for occasional users such as
HR co-coordinators to use the tools efficiently. However, via its
ENJOYSAP initiative, SAP has provided a much simpler, intuitive and
flexible user interface for reporting. These developments were prompted by
many suggestions SAP received from customers about how report definition
might be simplified. New graphical controls in screens provide many
options for organizing reports more flexibly and attractively. Data can be
displayed in lists or graphs, the tree control makes it easier for the employee
to see the levels analyzed in a hierarchy and HR users can even design and
create their own graphs to show table data from a report.
Recommendation
Often times, global enterprises have been faced with the challenge of
harmonizing international data, organize its resources and respect corporate
culture. For companies to optimize the aforementioned benefits of
globalization, internal global organization and corporate culture must be
well defined. Global corporations that are ready to remain vibrant in this
competitive global marketplace must be ready to comply with international
standards, procedures, rules and legislations and at the same time respect
localization specifications. For organizations thinking of a global roll out
template, it is expedient to say that the global view of the roll out template
must be clear to all countries involved. The ideal composition ratio of the
template setting to the local setting should be 4:1.
Care must be taken in choosing an implementation topology. The
implementation approach adopted by a global enterprise should portray key
global indices such as organizational structure and business processes. This
is because multinational companies that are not strategically positioned to
manage and control their international operations cannot benefit from the
global economies of scale. Although, SAP technologies can be used to solve
challenges that come with globalizing your business operations, it is
recommended that SAP enhances it support for business globalization
especially as it relates to more country versions, more language versions and
enhanced time zone management.

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SAP HR or SAP Human Capital Management (HCM) is one of the largest

When trying to decide whether to choose mySAP, or an HR specific

increasingly frustrated with the external consultants and costs started to

performance, compensation and benefits; being able to run customized

members should be properly introduced and it is very helpful to organize

procedures. Having an implementation partner with technical excellence in

and understanding a methodology. Whether an organization decides to

and to ensure effective teamwork. Extensive Training Required 'MySAP HR

Consultants can be expensive - but paying attention to a number of factors,

the most effective way of keeping costs to a minimum: choosing consultants

Management and Payroll Phase 2: Personnel Development, Recruitment,

company is large enough to realize their need for an integrated HR and

well trained users. If proper knowledge transfer occurs during the

be identified and classified as essential and non-essential. Discuss each extra

Restructuring of the Organization While this can be the case, the

1.What are info types ?

Infotypes, known as information types are units of human resources

1. 0000-0999 Personal Administration (HR Master Data)

PERSONNEL ACTIONS& HIRING ACTION

6. 0007-Planned Working Time ( This should always be maintained before

IMG & PROJECT IMG

IMG means the implementation guide. The configurators would customize

ENTERPRISE & PERSONNEL STRUCTURE

What is an enterprise structure?

The enterprise structure is one of the HR structures. The HR enterprise

What is a personnel structure?

The organizational personnel structure describes how the employee is

What is the highest level of the enterprise structure?

The client is the highest level of the enterprise structure.

What is company code? Is it defined in HR? If not where is it defined?

The company code is an organization unit(this is different from the hr

What are personnel areas and its functions?

What are personnel sub areas and its functions?

How is an employee in the HR Master data linked to a company to which he

EMPLOYEE--->PERSONNEL AREA--->COMPANY CODE---

Can a personnel area be assigned to many company codes?

What are the indicators defined by personnel sub areas?

How do you categorize the employee groups?

Employee groups are categorized based on employee/staff regulations of

These are also used to limit HR authorizations.

Do I need to give country assignment to personnel sub areas in customizing?

HR MASTER DATA & ORGANIZATION MANAGEMENT

The company organization structure and reporting structure is represented

How do you integrate OM and PA? If integration is active what happens

Integration of OM and PA is possible through the integration switch setting

Are cost center assignments hierarchical? Where do you assign these in

What are attributes of objects? Is vacancy a common attribute for all

Attributes of an object are the properties of the object by which it is

What are the other additional organizational assignments?

The other additional organizational assignments are assigning the employee

Name the three administrators? How do you default these in IT0001?.

The three administrators are

These are defaulted through the feature PINCH.

What is organizational key? How many bytes/characters does itconstitute?

An Organization key is a 14 character code that could be formed by the

What are employee attributes and how are they classified?

What are features? What is the transaction for features?

What are the features to default and in which info type ?

1. Work Schedule Rule

Number Range Intervals

Number Range Intervals NUMKR( which infotype??You try and

ABKRS is the feature that defaults payroll area