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Five considerations when rolling out HCM Management of Global Employees

by The Tip Doctor

May 4, 2011

Tip Doctor, Insider Learning Network.

This SAP ERP HCM tip comes from an article written by Mark S. Jackson, a manager at Accenture. The advice was posted in May 2010 to HR Expert, the leading independent online knowledgebase for professionals who manage and support SAP HCM activities.

Many global implementations require the ability to allow employees in the SAP ERP HCM system to go on an expatriate assignment or on a permanent country reassignment. In this situation, implementing the Management of Global Employees module may be an advantage, but there are certain factors to consider regarding configuration, payroll/time processing, and HR processes.

Whether you’re planning to include Management of Global Employees in a new or existing implementation, consider the following during the design phase:

  • Personnel structure – Use of Management of Global Employees depends on two assignments for a specific global employee at a given time. You need to modify employee group/employee subgroups to have separate identifiers for inpatriate (host) and expatriate (home) records.
  • HR processes – A review of HR process documents for global employees is required to ensure the new concepts are applied. For instance, Management of Global Employees allows the ex patriate planning process to be entered into the SAP ERP HCM system. This lets the user enter data for expatriates who either do or do not go on an assignment.
  • Reporting/interfaces – Using Management of Global Employees allows users to leverage the PNPCE logical database. You may want some custom reports/interfaces to use the PNPCE selection screen (see Figure 1). The PNPCE logical database incorporates both Organizational Management and PA-related data and utilizes the database where Management of Global Employees and CE are based. In the case of an upgrade, you should review all custom reports and modify them to support the PNPCE screen. If you decide to use a PNPCE selection screen, be sure to add the person ID to the selection so you can query it against the employee’s global ID.

Figure 1
Sample PNPCE screen

  • Personnel actions – Management of Global Employees-related actions such as expatriate planning, expatriate activation in host, and expatriate activation in home needs to be incorporated into the design based on requirements.
  • Payroll/time – Based on the current scope, activating certain components of Management of Global Employees enables the use of different payroll and time schemas. On existing projects, this can be a major effort and should be reviewed carefully because different payroll schemas need to be used. Also, payroll processing could be more complex as payroll data can be shared across country assignments within a payroll run. If an employee is on several personnel assignments within the same payroll freque ncy, but different payroll areas, the assignments are processed together by payroll area. However, if the home/host records are in different payroll frequencies, the employee is processed in separate payroll runs.

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