SuccessFactors for Human Capital
Management in Professional Services
December, 2013
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Dynamics in the Professional Services Industry
Affecting HR
Industry trends putting increased margin pressure on firms
Client Sophistication
Operational Efficiency
 Increased customer service
expectations
 Strict service level and contract
requirements
 Demand for increased visibility
and faster invoicing
 Lack of standardization of
procurement processes
 Lack of speed and accuracy in
subcontractor invoicing
 Insufficient allocation of costs to
projects or contracts
Globalization
Productization of Services
 Sub-contractor risk management
 Local, near shore, and offshore sourcing
for optimal sourcing mix
 International growth, resulting in
supplier and commodity challenges
 Leveraging networks to identify
new client opportunities
 Responding rapidly to increase
project profitability and customer
satisfaction
© 2014 SAP AG. All rights reserved.
2
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Implications of Professional Services Dynamics on HR
Retention challenges as the market picks up and employees
have other options
Establish focus and accountability, resulting in clear
correlation between performance and pay
Without the right resources, organizations could miss out on
wins or fail to deliver services, resulting in lost revenue
opportunities
Loss of key talent
Recruitment and training of multichannel workforce requires
multichannel strategies
© 2014 SAP AG. All rights reserved.
3
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Best Practices for HR in Professional Services
Establish and communicate clear business goals
Create clear linkage between compensation, succession,
and development based on performance
Establish and promote social business strategy to foster
knowledge sharing and innovative collaboration
Optimize workforce of near, off, and best shore resources
Accurately match supply of your talent to the demand
© 2014 SAP AG. All rights reserved.
4
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Professional Services and the Cloud Imperative
96%
Of professional services industry companies
surveyed believe cloud computing will
transform their organization and/or industry
88%
Of professional services industry companies
surveyed expect a major impact on
company performance within five years
56%
Of professional services industry companies
surveyed see cloud computing as a driver for
innovation and differentiation
Source: SAP Performance Benchmarking,
© 2014 SAP AG. All rights reserved.
5
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SAP Cloud Solutions Power Operations Across
Professional Services
SOCIAL People-to-People Collaboration
MANAGED CLOUD
LINE-OF-BUSINESS CLOUD APPLICATIONS
SUITE ON
HANA
PEOPLE
BW ON
HANA
CUSTOMER
MONEY
SUITE
SUPPLIER
BUSINESS
MARKETPLACE
CUSTOMER
APPS
PARTNER/
ISV APPS
BUSINESS NETWORK BUSINESS TO BUSINESS COLLABORATION
SAP HANA CLOUD PLATFORM
APP DEV & INTEGRATION SERVICES | DATABASE SERVICES | INFRASTRUCTURE SERVICES | INTEGRATION
From the front to the back office enabled in the cloud
© 2014 SAP AG. All rights reserved.
6
Dynamics
SAP Cloud Innovation
Why SAP?
Next Steps
Challenges in Professional Services
With talent supply chain for the HR lead
Attract and hire the best talent quickly
(14)%
Decrease in turnover
Develop or buy the right skills
(33)%
Reduce attrition
Decrease in hire date
to billable
Workforce optimization
1%
Match client demand to supply
Of revenue returned
with adoption of
SuccessFactors
Source: SAP Performance Benchmarking
© 2013 SAP AG. All rights reserved.
7
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SuccessFactors, an SAP company
Delivering one set of HR solutions across the entire employee lifecycle
SuccessFactors delivers
Social
Collaboration
Recruiting
Learning
Core HR
HR
Analytics
 Streamlined and collaborative
recruiting
 Clear, accurate, and consistent
performance reviews
 More effective leadership due
to better success plans
Performance
Content
Integration
Extensibility
SuccessFactors is a “Leader” in Gartner’s Magic Quadrant and a “Leader” in Forrester’s Wave
© 2014 SAP AG. All rights reserved.
8
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SuccessFactors Employee Central (core HR)
Next-generation core HR system of record in the cloud
HR transactions and onboarding
Recruiting
Learning
Social
Collaboration
Core HR
HR
Analytics
Position management
Time-off management
Reporting, compliance, and
auditing
Performance
Localized for over 50 countries
and over 35 languages
Content
Integration
Extensibility
Global payroll for over 20
countries
“When they got to deal with HR data at a strategic level, you could see the lights go on. The senior
leaders really bought into the process and they’re absolutely delighted with what we can do.” – Rupert
Brown, Vice President of Human Resources
© 2014 SAP AG. All rights reserved.
9
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SuccessFactors Talent Solutions
Attract, develop, and retain a 21st century workforce
Thoughtful onboarding
Recruiting
Learning
Social
Collaboration
Core HR
HR
Analytics
Performance
Proactive learning
Performance and goals
Succession and development
Compensation and rewards
Content
Integration
Extensibility
Recruiting
“We have the ability to open up or restrict our courses as much as we need to. Plus, SuccessFactors
really lets us redesign and rework the standard reports to do whatever we need to.” – Andre Walter,
Instructional Designer, North American Region
© 2014 SAP AG. All rights reserved.
10
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SuccessFactors Workforce Analytics Solutions
Make confident business decisions with powerful workforce insights
Recruiting
Learning
Social
Collaboration
Core HR
HR
Analytics
SuccessFactors Workforce
Analytics: Drive fact-based
business decisions with over 2,000
predefined workforce metrics and
KPIs
Performance
Content
Integration
Extensibility
SuccessFactors Workforce
Planning: Plan your future
workforce based on business need
and trends, such as global talent
shortages
“With the information revealed from the SuccessFactors analytics tool, we are now armed with the
knowledge we need.” – Bob Myer, Senior Vice President and Chief Human Resources Officer
© 2014 SAP AG. All rights reserved.
11
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SAP Jam: Social Business Collaboration
Bring people together to solve business problems and drive results
Recruiting
Learning
Social
Collaboration
Core HR
HR
Analytics
Performance
Empower employees to work and
communicate more effectively
Connect your customers,
partners, and employees with
information, applications, and
processes
Drive results in your social
network and your applications
Content
Integration
Extensibility
“SuccessFactors is enabling HR to have better business conversations with the local CEOs. Our HR
leaders can now have a much more meaningful and structured conversation, supported by real
business insight.” – Riccardo Sebastiano Piaggi, Group Head of Organization
© 2014 SAP AG. All rights reserved.
12
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Beautifully Designed to Engage and Empower Everyone
Anytime, anywhere, wrapped in social
© 2014 SAP AG. All rights reserved.
13
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Modular, Deployed at Your Pace
Start anywhere, go everywhere
 Start: Solve an
immediate pain point
(e.g. learning)
 Group: Leverage
more than one to
solve a bigger pain
(e.g. core
HR + onboarding)
 Replace: Move all
HCM to the cloud
Use these 2 points
 Leverage
on- to
only if selling
premise
HCM
HCM installed
investments
base
Start Here
Recruiting
HR
Analytics
Onboarding
Start Here
Learning
Start Here
Succession
and Development
Core
HR
Performance
Compensation
and Goals
Content
© 2014 SAP AG. All rights reserved.
Start Here
Social
Collaboration
Start Here
Start Here
Workforce
Planning
Payroll
Start Here
Integration
Extensibility
14
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Leveraging the Best of the Best to Deliver a Future-proof
HCM Roadmap
Situational – use to reinforce that the power and
strength of SAP is behind the SF solution
#1
Enterprise Applications
#1 Cloud HR Software
40+ years of business
10+ years of cloud HCM.
software leadership
supporting 15000 global
HCM customers
25 million users to provide
ongoing feedback and
validation
© 2014 SAP AG. All rights reserved.
15
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Deliver Proven Results: Transform Human Capital
Management with SuccessFactors
Generate
Cost Savings
Increase
Productivity
Deliver
Strategic
Alignment
(15.2)%
3%
5.5%
1%
Decrease
in turnover
Average increase in
productivity
Increased focus
on priorities
Revenue added
back to profit
13.7%
4.9%
17%
Increase in internal
job fill rate
Increase in high
performers
Increase in
right training
(13.8)%
14%
1-8+
Decrease in low
performers
Increase in project
completion
Weeks faster
communication
© 2014 SAP AG. All rights reserved.
Produce
Business
Results
16
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Kleinfelder
Execution Gap
 C-level executives reaching retirement age
 No system to facilitate manager training
 Career development was disconnected from talent management systems
Results and Adoption
 Performance reviews now occur at all levels
 Compensation is now tied to performance
 Culture has shifted to emphasize performance
 Significant cost savings with learning management online delivery
“
As an employee owner of Kleinfelder, we are really proud of what we
do and the people we have working for us. And we are equally as proud
to partner with an organization like SuccessFactors.
”
Mary Jane Riccardi, Senior Learning and Development Manager
© 2014 SAP AG. All rights reserved.
17
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Integrity Staffing Solutions
Execution Gap
 With Amazon.com as a primary client, Integrity Staffing/ISS is tasked with filling over
60,000 warehouse positions across the U.S. during the holiday season, but lacked the
multi-faceted yet integrated technology to do this efficiently
Results and Adoption
 Visitors: 285% increase
 Applications: 243% increase
 Talent community: 373% increase
 Search engine traffic: 650% increase
 Aggregator traffic: 54% increase
 Career site traffic: 212% increase
“
Utilizing their incredible technology and expertise, we were able to hire over 60,000
temporary contractors in an eight-week time frame – no small feat. Additionally, we
now have gathered valuable information about the buying habits of our applicant
base. We now have knowledge that will significantly reduce waste in advertising
spend going into this year. I would choose SuccessFactors all over again.
”
Todd Bavol, CEO
© 2014 SAP AG. All rights reserved.
18
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Best-run Customers in the Cloud
1.2 million
connected companies
from 190 countries
collaborating on >$600
billion worth of commerce
annually. That’s 3x-50x
the size of any other
business network
© 2014 SAP AG. All rights reserved.
30 million
Cloud users
2 million
Cloud deployments
19
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SuccessFactors is the clear leader among analysts
Gartner’s 2013
Magic Quadrant for
Talent Management
Suites
The Forrester
Wave™: Talent
Management,
Q1 2013
The leader in all six
IDC Integrated Talent
Management
MarketScope
Reports for 2012
The leader in the
2012 Nucleus
Research HCM
Value Matrix
Source: Gartner “Magic Quadrant for Talent Management Suites”, March 2013; Forrester Wave for Talent Management, March 2013
© 2014 SAP AG. All rights reserved.
20
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Unmatched SAP expertise and traction
19 out of the
Top 20
Professional services
firms run SAP
12,000+ customers worldwide
Midmarket makes up 70% of
customer base
Deep industry-specific
capabilities
Embedded, preconfigured
best practices
Clear industry roadmap
© 2014 SAP AG. All rights reserved.
Consulting,
Audit, and
Tax
Accenture
Atos
Crowe Horwath
Deloitte
KPMG
PwC
Wipro…
IT Services
CSC
Dimension Data
IBM
Infosys
Itelligence
MindTree
Savvis
Softtek…
21
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SAP: Your Technology Partner for Co-innovation
SAP for Professional
Services:
SAP customers represent 19 out of
Top 20 professional services firms
Creating tightly integrated, end-toend business solutions
Leveraging key breakthrough
Innovations
40 years of value for professional
services firms
© 2014 SAP AG. All rights reserved.
22
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Next steps
Experience
Contact
Engage
Initiate
it yourself at the next SAP
event near you or check
out SAP global events, or
solutions for professional
services
your account team to
schedule a meeting
with SAP in Design
Thinking workshops
SAP contact Name
Contact: your SAP contact
the benchmarking
process with a free value
assessment at
© 2014 SAP AG. All rights reserved.
valuemanagement.sap.com
SAP Mail address
23
Thank you
Contact information:
F name MI. L name
Title
Address
Phone number
© 2013 SAP AG or an SAP affiliate company. All rights reserved.
SAP + SuccessFactors
Delivering a combination of unique capabilities
#1 Core HR
#1 Talent Management
 41 years of business software
and solutions experience and
expertise
 10+ years experience in the cloud,
delivering enterprise-class SaaS
 15,000+ SAP HCM customers
 Unmatched multi-country
availability: 51 countries provided
by SAP + 28 by SAP partners
 3,500+ customers/~15 million
users
 Largest cloud customer with 2
million users
 34 languages – customers in 168
countries
This presentation and SAP‘s strategy and possible future developments are subject to change and may be changed by SAP at any time for any reason without notice. This document is provided without a
© 2014 SAP AG or an SAP affiliate company.
reserved.
warranty ofAll
anyrights
kind, either
express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement
25
Why hybrid?
A journey to the cloud for every customer, at your own pace
Make the most of your
investment
Take advantage of easy
implementation
A roadmap that fits your
future
 Complement and extend your
on-premise core HR applications
 Replace applications as
needed; no need to switch
everything overnight
 Strong roadmap of
enhancements and new
functionality, with huge R&D
investment to ensure successful
delivery
 Use a phased approach to
transform your organization
 Deploy an integrated suite of
talent management applications at
your pace
 Proven today – hundreds of
customers already run
SuccessFactors and the SAP
Business Suite
© 2014 SAP AG or an SAP affiliate company. All rights reserved.
 Benefit from increasing
integration of SAP and
SuccessFactors
26
SAP HCM hybrid scenarios and on-premise options for
core HR and analytics
Needs some speaker notes but this section to be used
with HCM install base only
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SAP HCM customers: Extend your On-premise
Investments to our Cloud
SAP will continue to support on premise
solutions and existing customer
investments.
Customers can leverage existing on
premise investments and extend with
cloud talent and workforce analytics
solutions.
SAP has delivered pre-defined
integrations between the on-premise and
cloud solutions to enable faster and
more effective implementations.
© 2014 SAP AG. All rights reserved.
28
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SAP ERP HCM: Core HR and Payroll
Organization management
Build, maintain, and align organizational structures
HR administration
Improve insight into the workforce with a foundation of consistent, accurate data
Benefits enrollment and administration
Support development and management of employee benefit plans
Payroll processing
Process and enable accurate, on-time payrolls across the enterprise
Employee self-service
Improve employee productivity by automating processes
Manager self-service
Increase productivity and reduce operational burdens
HR shared services
Deliver accurate, consistent, and timely responses to employees and managers
SAP Employee File Management by OpenText
Consolidate, centralize, and search employee documentation
SAP Organizational Visualization by Nakisa
Plan and model organizations, view organizational charts
© 2014 SAP AG. All rights reserved.
29
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SAP ERP HCM: Time and Attendance
Time planning and forecasting
Base decision making for capacity planning on demand forecasts
Shift, roster, project optimization
Optimize demand coverage, shift creation, and execution
Time scheduling and analysis
Manage service execution with time analysis and automatic
scheduling
Workforce mobility services
Gain accurate and on-time resource allocation for critical
organizational procedures
Time and absence calculation
Optimize work schedules, time allocation, and absence
management for payroll processes
SAP Workforce Scheduling and Optimization by
ClickSoftware
Improve workforce efficiency with forecasting, planning, execution,
and analysis
© 2014 SAP AG. All rights reserved.
30
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SAP HCM Analytics
Embedded analytics
Interactive visualization within the context of specific transactions focuses
attention on areas of greatest need
Executive HR reporting
Reporting cockpit to enable HR executives and business partners to monitor
key HCM metrics and react to trends quickly and effectively
Advanced HR analysis
Drill down into details and explore your workforce data to answer questions,
uncover problems, and validate hunches more quickly
Operational headcount planning
Align workforce plans with financial budgets. Reduce time spent on
budgeting and improve the accuracy of the budget by providing one
integrated process for all stakeholders
© 2014 SAP AG. All rights reserved.
31
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
SAP ERP HCM
Strategy and direction
Globalization
Consumability
In-Memory Computing
Continued investment
Optimize how
people do things
Leverage the performance
of SAP HANA
 Consumer-grade
 In-memory transactional
analytics
 Process efficiency in 50+
countries
 Out-of-the-box global
compliance
© 2014 SAP AG. All rights reserved.
 Anywhere, anytime
 Optimized payroll process
32
Dynamics
SuccessFactors
Why SuccessFactors?
Next Steps
Cloud transition scenarios for SAP customers
Leverage existing investments, connect with delivered integrations
On-Premise Solutions
Cloud Solutions
Talent Hybrid
Two-Tier HCM
Cloud
Core HR
Talent Solutions,
Workforce Planning,
Workforce Analytics
Talent Solutions,
Workforce Planning,
Workforce Analytics
Cloud
Core HR
Subsidiaries
Full Cloud HCM
Cloud HR
Core HR (SuccessFactors
Employee Central)
Talent Solutions
Workforce Planning and
Workforce Analytics
Delivered and Maintained Integration
Headquarters
Core HR
Core HR
SAP ERP
SAP ERP
© 2014 SAP AG. All rights reserved.
SAP ERP
33