Effective personnel cost planning in SAP
Budgeting of personnel costs in a large enterprise is a very complex process, considering its multistage nature, the involvement of many parties (financial and controlling employees, line managers, HR departments, etc.), and particular data sensitivity (changes in planned salary and employment).
A response to these challenges is the SNP EmployeeCostPlanner solution, developed based on the experience gained while working with large organizations that use SAP HR. The tool supports the complicated personnel cost calculation process, with particular attention to the specific issues connected with this process, such as rapid modelling of remuneration systems, creating variants, variability of assumptions, and data confidentiality.
SNP EmployeeCostPlanner’s innovation lies in its usability. For example, it contains a simple dashboard available through a web browser, in which line managers can enter data for their employees.
In particular, SNP EmployeeCostPlanner supports the following tasks:
- Preparing business assumptions for planning
- Building a basic personnel cost plan (automatically based on the data from SAP HR)
- Fast distribution of personnel cost plans to managers (line managers) and planners
- Data entry for line managers (in an application available through a browser)
- Consolidation of a comprehensive personnel cost plan
- Support for the iteration in cost planning – corrections, reconfirmations involving financial staff and line managers
- Analyses of the plan on each stage, and support for a multidimensional analysis of the financial impact of changes in personnel costs
From a technical perspective, the solution consists of a set of standard SAP functionalities, ABAP extensions and the aforementioned web application for line managers. SNP EmployeeCostPlanner allows for the development and adjustment of functionalities to meet the expectations and character of an organization.