SAP HR Core Functions for China rapid-deployment solution

1. SAP HR Core Functions for China rapid-deployment solution Solution Summary

2. Implement a foundation for your HR processes • The solution provides the foundation for your HCM solution across the organization management, personnel administration, time management and payroll management. • The solution facilitates enterprise organization structure management, employee info and lifecycle management, time data entry and evaluation, run payroll and post to FI. • The solution meets China HCM legal requirements, such as Social Insurance, Supplementary Insurance, Individual Income tax, PHF. • Do you struggle with any of these issues? • Lack of consolidated data due to diverse HR IT landscapes • Fragmented, inefficient manual processes, leading to inefficiencies and data inconsistencies • Manual reconciliation of local legacy systems • Risk of noncompliance with local and global regulatory requirements • Excessive IT costs due to management of legacy systems and upgrades • High levels of administrative work, keeping HR professionals from focusing on strategic work

3. Business process scope covered Consistent, accurate data Reduced risk of non- compliance Human Resources Automated HR processes Lower IT cost Improved HR utilization Single system of record for China HR processes for better workforce planning and reduced cost

4. Benefits for you • HR service satisfaction: increased employee and manager enablement • HR professional utilization: reduced administrative tasks • HR IT costs: simplified IT landscape • Enables companies to control time management processes flexibly and efficiently • Flexible time data capturing mode and automatic time data processing; • HR efficiency: automated, efficient processing of the employee payroll This rapid-deployment solution will help you to • improve efficiency and compliance with consistent, accurate data from one consolidated system • streamline processes, seamless integration with SAP ERP, build foundation that can grow with the organization locally and globally • reduce risk and increase transparency, build foundation to grow your HCM vision with legal compliance in China • lower IT costs with a flexible technology, on a single instance for China • enable HR staff to focus on more mission-critical initiatives

5. SAP HR Core Functions for China rapid-deployment solution - Business Processes • Period End Processing • Maintain Transfer Action • Create Org Unit • Create Position • Check Vacancy Position • Maintain Hire Action • HCM Reports • Maintain Time Data(PA61) • Maintain Employee Master Data • Maintain Time Data(CATS) • Time Data Approval • Create Absence Quotas • Transfer Time Data to Related Components • Evaluate Time Data • Payroll Processing • Posting to FICO • Off-Cycle Processing • Maintain Time Data(PTMW) Payroll Administrator Employee Time Administrator Personnel Administrator Org Administrator Manager

6. SAP HR Core Functions for China rapid-deployment solution – Software Scope Organization Management Personnel Administration Time Management Payroll • 563 New Hire/Rehire Administration • 560 Maintain Organization Structure • 562 Personnel Management for Limited HCM 566 Payroll and Post Payroll Processing • 559 SAP ERP Reporting for HCM 567 Organizational Change Administration • 568 Leave of Absence (LOA) Administration • 569 Employee Separation Administration • 564 Time Entry • 571 Time Administration • 576 Retroactive Payroll Processing • 572 Time Processing-Cross Application Timesheet(CATS) • 577 Off-Cycle Processing • 573 Time Evaluation Processing • 580 Period End Closing for HCM • 570 Maintain Employee Information

7. What’s included – solution scope (1) • Maintain Organizational Structure • To complete processing of Organizational Changes as required by the Enterprise. • Personnel Management for Limited HCM • To create an employee mini master record for time recording and travel management purposes. • New Hire / Rehire Administration • The typical processes used to Hire candidates and Rehire employees using Hire Personnel Actions. • Organizational Change Administration • The typical processes used when changing positions or changing a person’s pay. • Leave Of Absence (LOA) Administration • The typical process used when employees take leaves of absence (LOA). • Employee Separation Administration • The typical process when an employee has decided to retire from the company or has been terminated. • Maintain Employee Information • The typical process used to create and maintain employee master records which contains all personal data, time data, benefit data and payroll data.

8. What’s included – solution scope (2) • Time Entry • Offer three methods of entering time data: Manual, Cross-Application Time Sheet (CATS) and Time Manager’s Workplace(TMW). • Time Administration • The typical processes used in HCM Time Management to review and process quota balances. • Time Processing – Cross Application Timesheet • The additional processing steps necessary for time recorded using the Cross Application Time Sheet (CATS). • Time Evaluation Processing • Evaluate employee time including overtime, holiday time, shifts, time off entitlements (quotas), etc. It is recommended that time evaluation always be processed immediately prior to processing payroll to ensure consistency in the results.

9. What’s included – solution scope (3) • Payroll and Post Payroll Processing • To calculate the gross and net pay, execute and manage payroll processing which encompasses (starting payroll, payroll corrections). Full integration and payroll posting to SAP FI/CO. • Retroactive Payroll Processing • To calculate the when there is a change of earnings for the past, payroll results need to be recalculated to correct tax and earnings amounts. The system performs a retro-calculation of payroll results when you make a retroactive master data change that affects an employee's past earnings. If changing the master and time data of an HR master record for a pay period for which the payroll has already run, the existing payroll results must be rechecked during the next regular payroll run and then included in the payroll again. The system automatically performs retroactive accounting for the payroll past. • Off-Cycle Processing • To complete processing of employee Off-cycle Payroll. Run payroll for payments including bonuses and other one-time payments, advance payments (multiple pay periods), and absence payments (days within a payroll period). Execute a correction payroll when changes have been made to an employee's master data. Process payroll data for a check that was manually created outside of the system. View an employee's payroll history.

10. What’s included – solution scope (4) • Period End Closing for HCM • The closing operations component helps you prepare and carry out the activities required for daily/month-end and year-end closing in payroll. For this purpose, the system provides a series of standard reports that can be used to generate evaluations and analyses of payroll. • For year end closing a number of payroll tax reports can be generated using tax reporter functionality. • SAP ERP Reporting for HCM • Allow organizations to perform on demand reporting using the HR ad-hoc query tool, assists organizations with performing audits in HR. • Note: 1734678 SAP ERP RDS for HCM Core for China V1605

11. SAP HR Core Functions for China rapid-deployment solution V1.605 for go live in 10~14 weeks • Offers enterprises of all sizes the opportunity to implement core HCM software at a fixed price • Provides you with a preconfigured, scalable SAP ERP HCM solution to build on in the future • Includes optional, global back-end configuration settings for HCM core processes and forms • Dramatically reduces the time required for implementation A special step-by-step guide describes each activity during the deployment

12. Software requirements • SAP enhancement package 5 for SAP ERP 6.0 • SAP NetWeaver Business Client 3.0 • SAP Solution Manager 7.1

13. SAP Rapid-Deployment solutionsThe fastest way to run your business better