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    ERP HCM Enterprise Compensation

    Management

    SAP enhancement package 4 for SAP ERP 6.0

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    SAP 2008 / Page 2

    1. Planning Overview (higher-level managers)2. Notifications (workflow / managers)

    3. Additional Reports (HR/IT)

    4. Additional Configuration Options (HR/IT)

    Agenda

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    SAP 2008 / Page 3

    Planning Overview

    In many organizations, multiple managers plan and control the individual planning

    scenarios as well as the budgets spent during the planning process. Lower-level

    managers tend to focus on the planning of their employees, whereas higher level

    managers concentrate on management/allocation of the planning budgets as well asthe planning of their direct reports.

    To support managers in the planning process, a new Planning Overview was

    developed.

    The Planning Overview allows for more of an organization-centric view of the

    planning process, which is also particularly helpful for higher level managers

    who have multiple subordinate planning managers.

    The Planning Overview supports multi-level approval by organizational unit.

    ***Please note: Current standard functionality for one-level up approval and approval

    on employee level can sti ll be util ized. The new Planning Overview is an option forthe approval process.

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    SAP 2008 / Page 4

    Planning Overview All in One Customizing

    Select which new functionality to

    enable such as:

    multi-level approval, notification

    generation, and allowing entering of

    approval/rejection comments by

    managers during planning process.

    Specify which

    organizational

    data should bedisplayed.

    Select what budget

    information should be

    displayed.

    Specify whether higher level

    manager are allowed to view

    and/or edit planning ofsubordinate managers.

    Select whether spent

    amounts should bedisplayed (in case budgets

    are not used).

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    SAP 2008 / Page 5

    Planning Overview

    The new Planning Overview supports the manager in:

    viewing the current status and the progress of the compensation planning,

    viewing the budget usage or spent amounts, cumulative or individually,

    reviewing, approving and rejecting compensation planning, and finding responsible managers.

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    Planning Overview

    The manager can display information about a specific planning manager by clicking on the

    corresponding link.

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    Planning Overview

    If budgets are used for the compensation planning and the appropriate settings are made in

    the customizing for the planning overview, the budgets are shown as in the screenshot below.

    In this case the option Display for All Employees has been chosen, which leads to aggregated

    values.

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    SAP 2008 / Page 8

    Planning Overview

    A higher-level manager can display the compensation planning of his subordinate managers

    by clicking the button Review Details. The following window, which is a simplified version ofthe normal planning screen, appears:

    Please, note that if the

    customizing is set up so

    that higher-level

    managers can edit thecompensation planning

    data, the data fields on

    this screen are ready

    for input.

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    SAP 2008 / Page 9

    Planning Overview

    Display Progress:

    The user can quickly view the progress of the compensation planning using the planning

    overview. Since this only provides the current status of the planning process, the user can

    view the progress for a single organizational unit via the Planning Progress popup whichcan be shown by clicking the button Display Progress.

    The window shows the progress of the selected compensation planning as well as notes

    that have been entered during approval or rejection. The communication data of theplanning manager is also available here.

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    SAP 2008 / Page 10

    1. Planning Overview (higher-level managers)2. Notifications (workflow / managers)

    3. Additional Reports (HR/IT)

    4. Additional Configuration Options (HR/IT)

    Agenda

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    SAP 2008 / Page 11

    Notification Functionality

    Upon activating the notification functionality in

    customizing, the following actions will generate

    notifications:

    The report Notify Managers has been executed for aspecific compensation review (managers are notified

    to begin the planning process)

    A manager completes the planning (all employees are

    submitted and all subordinate planning units are

    approved). His/Her one-level-up manager is notifiedthat the planning is ready for approval.

    A higher-level manager approves the planning of one

    of his subordinate managers. The subordinate

    manager is notified.

    A higher-level manager rejects the planning of one ofhis subordinate managers. The subordinate manager

    is notified.

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    SAP 2008 / Page 12

    Notification Example Execution of Report

    Notify Managers

    Timothy Hayes receives a

    notification that the compensation

    planning 2008 has commenced.

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    SAP 2008 / Page 13

    1. Planning Overview (higher-level managers)2. Notifications (workflow / managers)

    3. Additional Reports (HR/IT)

    4. Additional Configuration Options (HR/IT)

    Agenda

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    SAP 2008 / Page 14

    List of New Reports with EhP4

    Prepare Organizational Units for Compensation Planning (RHECM_PREP_ORGUNITS_FOR_PLNG) This report locates units, within the organizational structure, to which no eligible employees are assigned for a selected compensation review.

    We recommend that you execute this report before planning begins for a compensation review if organizational units that lack eligible employeesare subject to that review.

    This information is used within the Planning Overview to suppress irrelevant information from being displayed - for example, reviews for which amanager is not responsible, or organizational units that have no eligible employees for a specific review.

    This report influences the display of employees solely within the Planning Overview.

    Notify Managers (RHECM_NOTIFY_MANAGERS) Execute this report to notify planning managers that the compensation planning cycle has commenced, meaning that they may begin to enter

    data during the selected compensation review for their organizational unit and, where applicable, subordinate units.

    Display Compensation Planning Progress (RHECM_DISPLAY_PROGRESS) This report provides detailed status information for the compensation planning process, for analyzing the progress of the planning on

    organizational unit level.

    Display Compensation Planning Changes (RHECM_DISPLAY_CHANGES ) This report provides detailed tracking data for all changes performed on infotype 0759 records.

    Summarize Compensation Planning Changes (RHECM_SUMMARIZE_CHANGES) This report provides a summary of changes performed on infotype 0759 records. It provides calculated values that show how the compensation

    values developed during planning and how they deviate from the guideline.

    Adjust Compensation Process Records (RHECM_ADJUST_0759) This report provides ability for performing Mass Changes and Mass Deletions on infotype 0759 records.

    Delete Compensation Planning History Data (RHECM_DELETE_HISTORY_DATA)

    This report is used to delete the data stored in the employee- and process-history tables after a compensation review has been finished. It is notpossible to delete these tables for a review which is still in progress.

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    SAP 2008 / Page 15

    Report: Display Compensation Planning

    Progress

    This report is used to evaluate the contents of the process-history table.

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    Report: Display Compensation Planning

    Changes 1

    This report is used to evaluate the data stored in the employee-history table. (The record of

    infotype 0759 of this employee has been modified / created / deleted)

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    SAP 2008 / Page 17

    Report: Summarize Compensation Planning

    Changes 2

    This report is used to summarize the data stored in the employee-history table.

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    SAP 2008 / Page 18

    Report: Summarize Compensation Planning

    Changes 3

    The calculated examples will be explained with this example:

    The screenshot below shows the output of the report Display

    Compensation Planning Changes for the employee Linda Stevens,

    to explain the values in the output above.

    The column First PlannedAmount (highlighted in red)

    shows the values in the IT

    0759 record, that were firstsubmitted.

    The column Current

    Amount (highlighted ingreen) shows the most

    current values in the IT0759 record.

    The column Guideline

    Amount (highlighted in blue)

    contains the values, thatwould be determined by

    applying the guideline for

    that particular employee,

    compensation plan and -review.

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    SAP 2008 / Page 19

    Report: Adjust Compensation Process Records

    This report provides ability for performing Mass Changes and Mass Deletions on infotype

    0759 records.

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    SAP 2008 / Page 20

    1. Planning Overview (higher-level managers)2. Notifications (workflow / managers)

    3. Additional Reports (HR/IT)

    4. Additional Configuration Options (HR/IT)

    Agenda

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    SAP 2008 / Page 21

    Mass Change for Guideline Matrix Values

    Navigation: Transaction SM30 Table/View: V_T71ADM23Assign Matrix Values

    Choose which valuesof the matrix to adjust

    Specify adjustmentamount

    Specify date of

    adjustment

    Display of

    existing matrix

    values

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    SAP 2008 / Page 22

    Rounding Rule: Configuration per Currency as

    Delta-logic to Existing Configuration per Plan

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    SAP 2008 / Page 23

    Rounding Rule: Configuration per Currency as

    Delta-logic to Existing Configuration per Plan

    Rounding formula

    detail screen

    In the compensation plan attributes a

    new option for specifying a roundingformula for a plan is available.

    For salary adjustment plans, theadditional option round in payroll

    frequency is available

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    SAP 2008 / Page 24

    CELGP (Compensation Eligibility Grouping) and CGDGP

    (Compensation Guideline Grouping) Enhancements

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    SAP 2008 / Page 25

    CELGP (Compensation Eligibility Grouping) and CGDGP

    (Compensation Guideline Grouping) Enhancements

    Create a newnode in the

    decision tree

    Select

    Compensation

    Plan as

    additional

    decision field

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    SAP 2008 / Page 26

    Flexibility to Determine Employee Currency

    via IT0001, IT0008 or Customer IT via BAdI.

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    SAP 2008 / Page 27

    Enhanced Integration With Performance

    Management

    Link in compensation planning appraisal results can be displayed as text as well as

    links to employee appraisal documents.

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