The Future of HCM Technology Wim Valstar, SAP SuccessFactors

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1 The Future of HCM Technology Wim Valstar, SAP SuccessFactors

2 The future of HCM technology. The globalised workforce of today is driving HR organisations to look to technology and thought leaders for solutions and suggestions. Hear about the future of HCM technology from the no-nonsense perspective of Wim Valstar at SuccessFactors, and gain practical guidance for your organisation.

3 The Future of HCM Technology Wim Valstar, Vice President Sales & Strategy Employee Central EMEA 24 November 2014, Birmingham

4 Unprecedented Pace of Change 5B middle class growing to 5 billion will strain resources 1B people in social network will rewire business and personal boundaries Millennials will transform customer demands and the workplace New + Disruptive business models will accelerate change and innovation 15B web-enabled devices by 2013 will create intelligent universe Data Doubling every 18 months create opportunities and risks for value creation 75% New enterprise IT spend will be cloud-based or hybrid by SAP SE or an SAP affiliate company. All rights reserved. 4

5 Out Innovated. Couldn t Simplify. 52% of the Fortune 500 firms since 2000 are gone 2014 SAP SE or an SAP affiliate company. All rights reserved. 5

6 Rapid State of Change 2014 SAP SE or an SAP affiliate company. All rights reserved. 6

7 Change is in the air for HR Five generations and impact of millenials create new workforce dynamic Simplify & standardize to increase HR flexibility Just-in-time workforce pools of talent with >33% contingents Talent management still a top 3 CEO priority

8 The Amount of Contingent Labor Increases In FY2012, we had an average of 46,370 employees working in more than 100 locations worldwide. We had an average of 78,813 contractors globally BHP Billiton 2012 Annual Report Over the course of 2012, Shell employed an average of 87,000 people in more than 70 countries * In 2012, around 400,000 contractor staff worked for Shell. ** * Shell Annual Report 2012 ** Royal Dutch Shell PLC Sustainability Report 2012 Source: Thomas Otter: 21st century workforce: How core HR systems need to adapt to the changing workforce SAP SE or an SAP affiliate company. All rights reserved. 8

9 Fundamental shift in the composition of the workforce Temporary/agency workers Statementof-work (SOW) consultants Employees Contingent workers 30%-50% of total workforce comprises nonemployees Independent contractors 2014 SAP SE or an SAP affiliate company. All rights reserved. 9

10 Are Millennials Different or Just Younger? How the year you were born affects work Job interests change based on career stages What you are willing and able to do often changes as you get older Past experiences influence future expectations If you were born after 1985: Social technology and virtual jobs have always been part of work Women have always been more than 50% of the workforce There has always been a shortage of skilled employees in Healthcare and Science, Technology, Engineering, and Math (STEM) Careers 2014 SAP SE or an SAP affiliate company. All rights reserved. 10

11 Are Millennials Different or Just Younger? and a dangerous myth: What millenials want is fundamentally different from what other generations want Data collected going back to the 1920s indicates that what people want from work has not changed much Respect and fair treatment Challenging and meaningful work A sense of financial stability, growth and long-term employment security A reasonable level of work life balance 2014 SAP SE or an SAP affiliate company. All rights reserved. 11

12 To execute successfully at today s rapid business pace, re-thinking HR strategies is a must Expansion into new markets: how to find the right talent Multigenerational, globally diverse workforce: how to engage them Accurate and global workforce data: how to plan and measure Ever-changing legal requirements: how to stay compliant

13 Today s HR challenges require a modern approach A consolidated foundation of end-to-end global processes across all HR functions Support of new ways of how people do things for increased engagement Technology to connect and extend HR processes and data across the enterprise The ability to transform workforce data into insight and impact 2013 SAP AG or an SAP affiliate company. All rights reserved. 13

14 Yet, Traditional HR Systems Inhibit your Ability to Impact Results Low adoption by managers and employees Too many vendors / Technology stacks Traditional Systems = slow to evolve Backward-looking only Not tied into business data Updates are too slow, complex, and costly to absorb 2014 SAP SE or an SAP affiliate company. All rights reserved. 14

15 Technology is Transforming the World of Human Resources 70s & 80s Era of personnel administration 80s & 90s Creation of HRIS platforms 90s & 00s Rise of talent management Dawn of integrated HR systems 2014 SAP SE or an SAP affiliate company. All rights reserved. 15

16 Technology is removing constraints that have limited HR for decades 2014 SAP SE or an SAP affiliate company. All rights reserved. 16

17 Leveraging the Cloud (SaaS) Decrease time to value Faster deployment Reduced implementation costs Leverage existing investments Increase agility to respond Always on the latest version No upgrade planning and budgeting

18 5 Success Factors Unique combination of 5 key HR enablers Business Strategies Workforce Analytics Compelling & Modern User Experience Business Outcomes Talent & Core HR Applications Content State of the Art Technology

19 Comprehensive Talent and Core HR Applications Drive efficiency, compliance, and HR strategy execution Recruiting and Onboarding Learning Performance & Goals Compensation Succession & Development Competencies, Skills, Best Practices Core HR and Payroll: Employee Central Employee Record Organizational Management Payroll Shared Services Time Sheet Global Benefits

20 Content Increase effectiveness of HR programs and strategies Pre-defined Talent Questions Industry-specific Job Descriptions Job Families Skills Catalog Competencies Catalog Learning Reports and Dashboards International and Country-specific Reports 19,500+ Unique HR Content Elements Workforce Analytics Metrics Core HR Workflows Assessment Coaching Assistant Assessment Writing Assistant Goals Catalog Compensation Benchmarking Recruiting Best Practices Templates Compensation Metrics and Reports Live Compensation Dashboards

21 Workforce Analytics Use data to align your HR strategies with your business strategies Business Strategies Shape HR Strategy with Workforce Planning Reliable and credible data foundation 2,000+ metrics and best practices Assess HR Strategy with Workforce Analytics Business Outcomes Benchmarks against peers

22 Compelling and Modern User Experience Maximize usage and support how people work Consumer-grade Social Collaborative

23 State of the Art Technology Flexibility to implement and deploy according to your unique needs One of the largest and most sophisticated cloud platforms in the world Open Scalable Extensible Connect as necessary Scale as you grow Create unique-to-you processes Powered by SAP HANA

24 Truly Global Unparalleled global experience for your globally expanding business Global Presence In-country product managers to track legal changes Localization 177 countries with local time zone, currency support and business rules 71 countries localized for Employee Central 28 countries localized for Employee Central Payroll Languages 37 languages for processes and documentation Support 24/7 support across globe Data Privacy Support for local employee data privacy and security regulations Regional Data Centers Distributed global organizations and centers of expertise in Asia, North America, and Europe Partner Ecosystem Over 1,000 certified implementation consultants across the globe

25 2014 SAP SE or an SAP affiliate company. All rights reserved. 25

26 EMPLOYEE CENTRAL 2014 SAP SE or an SAP affiliate company. All rights reserved. 26

27 2014 SAP SE or an SAP affiliate company. All rights reserved. 27

28 Delivering Total Workforce Management 2014 Fieldglass, Inc. All 2014 SAP SE or an SAP affiliate company. All rights reserved. 28

29 Contingent Workforce Management Design Concepts (Commitment and Release TBD) Lab Preview SAP CONFIDENTIAL Org chart enhanced to display total workforce (employees and contingent workers) 2014 SAP SE or an SAP affiliate company. All rights reserved. 29

30 Contingent Workforce Management Design Concepts (Commitment and Release TBD) Lab Preview SAP CONFIDENTIAL Contractor profile with data relevant to contingent workers 2014 SAP SE or an SAP affiliate company. All rights reserved. 30

31 Contingent Workforce Management Design Concepts (Commitment and Release TBD) Lab Preview SAP CONFIDENTIAL Onboarding View 2014 SAP SE or an SAP affiliate company. All rights reserved. 31

32 Contingent Workforce Management Design Concepts (Commitment and Release TBD) Lab Preview SAP CONFIDENTIAL Contingent Workforce Selection Process 2014 SAP SE or an SAP affiliate company. All rights reserved. 32

33 The SAP SuccessFactors advantage Make the move to the cloud at your own pace You do not have to rip and replace your existing on-premise applications. Cloud-only providers do not give you this option 10+ years cloud, 40+ years on-premise integration expertise We have multiple cloud and on-premise deployment models to suit your needs today and in the future Integration content and tools, built and maintained by SAP We own both ends of the software and make code changes to deliver simplified, seamless integrations that reduce business risk and cost for you

34 Enter the cloud the way you want to no rip and replace required Full Cloud HCM Cloud HR Core HR (Employee Central), Talent Solutions, Workforce Planning and Workforce Analytics Delivered and Maintained Integration SAP ERP Talent Hybrid Talent Solutions, Workforce Planning, Workforce Analytics Delivered and Maintained Integration Core HR SAP ERP Side-by- Side HCM Talent Solutions, Workforce Planning, Workforce Analytics Subsidiaries Cloud Core HR Cloud Core HR Delivered and Maintained Integration Core HR SAP ERP Headquarters

35 The Future of HCM Technology Engage Simplify Execute Blending global and industry expertise with the 5 key successfactors needed to maximize employee engagement and drive better business outcomes 2014 SAP SE or an SAP affiliate company. All rights reserved. 35

36 Thank You SuccessFactors Proprietary and Confidential 2014 SuccessFactors, An SAP Company. All rights reserved SAP SE or an SAP affiliate company. All rights reserved.

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