In this SAP HR Tutorial, you will learn What is SAP HR/HCM module, submodules, key features, and benefits of HR module.

What is SAP HR – Introduction to SAP HCM Module:

SAP HR (Human Resource Management) is also known as Human Capital Management (SAP HCM). It is one of the important core modules of ERP SAP systems that support all the processes of human resource management in the enterprise. It helps to automate the organization’s HR process of Payroll, Time Management, and employee data management.

SAP HR module helps to record the data from hiring an employee to its final termination in an organization. It stores the employee data such as designation, role, salary details, working shifts,  address, and so on.

SAP HCM Sub-Modules

SAP HR is divided into various sub-modules such as

  1. Organizational management
  2. Personnel Administration
  3. Time Management
  4. Payroll
  5. Personnel Development
  6. Recruitment
  7. Employee Self Service

Let’s discuss briefly SAP HR sub-modules.

1. Organization management:

 Organizational management (OM) is one of the important sub-modules of SAP HR and enables the organization to represent the organizational plan, analyze the current plan, create additional plans and create better workflow management.

2. Personnel Administration: 

Personnel Administration (PA) records essential employee information. It performs various administration tasks such as hiring the employees, personnel data, travel expenses, payroll accounting, and so on.

3. Time Management (TM):

Time management (TM) is one of the important sub-modules of HR and records the employee data related to attendance, absence, time evaluation, shifts, and so on.

4. Payroll:

SAP payroll (PY) process the payment that works done by employees. It includes wages, benefits, medical benefits, taxes, and so on. Payroll is integrated with other modules such as personal administration, time management, financial accounting, and so on.

5. Personnel Development:

Personnel development helps the organization to maximize the employee’s performance. The main objectives of personal development is to qualify the employees so that they meet the requirements, increase the employee’s motivation and productivity and reduce employee turnover.

6. Recruitment

It manages in recruitment of employees including job postings on job portals, application tracking, and final selection for the job.

7. Employee Self Service (ESS)

Enables the employees to access to self portal to access payroll, payslips, tax declarations, apply leaves. So with ESS, employees and managers can access and update the HR related information.

Benefits of SAP HR Module

By implementing the SAP HCM module, it can offer the following advantages to the organization

  • It enables the automation of the HR process and eliminates the manual work.
  • It ensures to follow the compliance as per the labour laws.
  • It helps in a better decision-making process with real-time analytics and reporting.
  • Tracking and improvement of employee satisfaction.

For more detailed about HR module, visit SAP HR/HCM Tutorials.