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HR's Next Top Model

by Sylvia Strangfeld | SAPinsider

November 1, 2012

To make sound organizational transformation decisions that will keep your company competitive, your HR data must be accurate and up to date. Fortunately, the SAP Organizational Visualization application by Nakisa enables you to manage and improve the accuracy of the data in your SAP ERP HCM core, and model and prepare for organizational change. With confidence in your data and a visual model, you can drive informed decision making with solid business evidence, and communicate organizational changes effectively to increase employee buy-in.
 

Today’s business world is nothing like it was a decade ago — or even just two years ago. Businesses are more complex and marketplaces are moving faster than ever before. With the pace of change showing no signs of slowing down, it seems that enabling organizational agility, once the hallmark of only the top organizations, is now a must have for all. To remain competitive, businesses need to be able to scope, analyze, and execute organizational transformations with increased speed and precision. As an HR professional, you need to be able to easily model and remodel the organizational structure to keep pace with these changes.

However, you might face a barrier preventing you from being able to make agile organization changes and model updates: your data. It is only possible to make sound organizational transformation decisions if your HR data is accurate and up to date. Often, though, there is simply too much information. And the absence of solid data can have costly side effects. A recent study by The Data Warehousing Institute estimates that “data quality problems cost US businesses $600 billion each year.”1 To avoid such costly business mistakes, HR professionals are seeking to be able to:

  • Gain an accurate picture of the impact of organizational changes
  • Obtain relevant data to ensure that they can make the right decisions quickly
  • Make decisions today that will become immediately visible and align with the strategic goals of tomorrow
  • Effectively collaborate with key business decision makers
  • Clearly communicate organizational changes to gain workforce commitment

The good news is that the SAP Organizational Visualization application by Nakisa comprehensively supports an organizational transformation strategy and makes these goals achievable.

SAP Organizational Visualization enables you to manage and improve the accuracy of the data in your SAP ERP Human Capital Management (SAP ERP HCM) core, and model and prepare for organizational change. With confidence in your data and a visual model, you can drive informed decision making with solid business evidence, and communicate organizational changes effectively to increase employee buy-in.

Take Control of Your HR Data

With an increasing amount of complex and disparate data silos, it is becoming more and more difficult to obtain the right information you need to make fact-based decisions. SAP Organizational Visualization offers a built-in data quality management tool that enables you to create a rolling data auditing program proven to reduce manual effort and increase effective decision making. The tool combines the visualization of key data, for on-the-spot data validation, with automated diagnostic audits. Managers can establish data-checking rules to enable fast auditing of vast amounts of SAP ERP HCM data, and a “gamified” data quality scoring system can help motivate your teams to manage their own data, expanding the responsibility of data quality management beyond HR. 

Leverage Advanced Organizational Modeling Capabilities

Building on this solid foundation of core data, SAP Organizational Visualization also offers a system to mitigate the operational risks associated with organizational transformations. Whether you are working on a departmental reorganization, a major merger, or an acquisition, delivering data in an intuitive format is vital to its usability. A recent Aberdeen study found that “tools to help with visualization, quality, and data enrichment will bring additional trust to the data and make HR insights an integral part of business review, just like financial and operational data.”2

And with so many changes happening simultaneously, “modeling while you operate,” that is modeling and re-modeling the organization to keep up with change while still managing the business day to day, is really the only option to stay ahead. To help, SAP Organizational Visualization uniquely provides a wide gamut of organizational change management capabilities to SAP ERP HCM users. These features enable you to assess risk and make accurate organizational changes while staying agile.

Using SAP Organizational Visualization, you can dynamically model what-if scenarios based on current organizational data and analyze the effect of changes immediately by using real-time analytics to benchmark against key performance indicators (KPIs) such as budgets, salary totals, and headcounts (see Figure 1). You can also synchronize and merge changes from the live structure into the model, share annotated scenarios with colleagues for review and approval, and automatically write-back approved changes to the SAP ERP HCM system. This controlled write-back process ensures minimal disruption to business operations and enforces a disciplined process while ensuring optimal transparency and alignment.

SAP Organizational Visualization's drag and drop functionality lets you view metric updates as you model in real time
Figure  1 SAP Organizational Visualization's drag and drop functionality lets you view metric updates as you model in real time so you can save and share the models, analyze potential consequences to KPIs, and write back approved changes to SAP ERP HCM

Spreading the Word

With a more fluid organizational structure and changes happening so rapidly, it is more important than ever before for corporate HR departments to share a clear picture of the organization and to enable role-based employee access to relevant HR information. SAP Organizational Visualization’s easy-to-navigate and automated organizational chart not only brings HR data to life, but fosters workforce communication and engagement across the enterprise. Offering this level of transparency gives your employees a sense of organizational unity and a way to stay connected wherever and whenever, which can mean the difference between employee commitment or demotivation caused by shifts in the organizational structure.

Staying on Top

No matter how good your organization is at keeping up with the pace of change, if your business decisions are not firmly rooted in a solid foundation of data, carefully modeled and assessed for operational risk, and clearly communicated to the organization, you run the risk of failure. By extending the value of your existing investments, you can stay truly agile. SAP Organizational Visualization offers a comprehensive organizational modeling solution that can support your organizational transformation strategy with cutting-edge simulation, analytical, management, and collaboration tools to help you stay on top.

To learn more about how SAP Organizational Visualization by Nakisa can help your organization, visit www.sap.com/lines-of-business/hr/organization-visualization/index.epx.

Sylvia Strangfeld (sylvia.strangfeld@sap.com) is  Solution Owner for Organizational Management and the SAP Organizational Visualization application by Nakisa. As such, Sylvia is responsible for driving roadmap integration between SAP and Nakisa.

Romeo De Leon (romeo.deleon@nakisa.com) is Vice President of Product Strategy at Nakisa. In this role, Romeo is responsible for defining Nakisa’s overall solution roadmap and driving product innovation.

The Data Warehousing Institute, “Data Quality and the Bottom Line: Achieving Business Success through a Commitment to High Quality Data”. [back]

Aberdeen Group, “Human Capital Management Trends 2012: Managing Talent to Lead Organizational Growth” (January 2012). [back]

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