{"id":16853,"date":"2022-03-28T20:37:17","date_gmt":"2022-03-28T15:07:17","guid":{"rendered":"https:\/\/cigniti.com\/blog\/?p=16853"},"modified":"2022-12-01T13:19:54","modified_gmt":"2022-12-01T07:49:54","slug":"migrate-on-premise-sap-hcm-cloud-hxm-sap-successfactors","status":"publish","type":"post","link":"https:\/\/www.cigniti.com\/blog\/migrate-on-premise-sap-hcm-cloud-hxm-sap-successfactors\/","title":{"rendered":"Why Migrate From On-Premise SAP HCM to Cloud Based HXM-SAP Success Factors?"},"content":{"rendered":"

On-Premise SAP Human Capital Management (HCM) was considered one of the most powerful Human Resource Managements (HRMs) until the relevance and necessity of cloud-based SAP SuccessFactors came into the picture.<\/p>\n

The two most prominent reasons for the growing popularity of cloud-based (Software as a Service) SaaS applications are (1) changes in the Gen Y and Gen Z workforce at offices, and (2) the developing culture of remote work.<\/p>\n

Gen Y and Gen Z are different from baby boomers, who want a transparent, process-oriented, and hassle-free system at the office and don\u2019t think much about changing their employers if they face any glitches in the administration.<\/p>\n

Human resources are considered one of the most important assets of every business.<\/p>\n

Recruiting, onboarding, engaging, and retaining employees in a cut-throat competitive market is becoming a critical success factor.<\/p>\n

Only the highly engaged employees, for whom the companies\u2019 loss equals their loss, make a genuine effort to provide the best Customer Experience (CX) in the market. Employees desire good Human Experience Management (HXM) in exchange for their hard work.<\/p>\n

HRM has progressed from the traditional offline mode to cutting-edge HCM via on-premise SAP HCM and now to the unavoidable cloud-based SAP SuccessFactors.<\/p>\n

Apart from the reasons we discussed above, SAP\u2019s declaration of the year 2025\u00a0as its deadline for providing support to SAP HCM and the global outbreak of the deadly coronavirus play the role of catalyst in aggravating the inevitable switch towards the cloud-based SAP SF.<\/p>\n

Amidst the high tide of COVID waves, on-prem HCM is falling decidedly short of what today\u2019s businesses need to remain competitive. The economic lockdown has highlighted a simmering need among business units for a customizable and mobile HR management platform that works hassle-free with high efficiency even if most employees are working from home. Legacy HR systems simply can\u2019t work smoothly in this suddenly changed work ambiance.<\/p>\n

The revolutionized concept of providing unparalleled human resource experience is exactly what SuccessFactors, a cloud-based Human Experience Management (HXM) suite, promises to deliver.<\/p>\n

SAP SF is one step closer to achieving complete transparency in all aspects of recruiting, training, payroll, compensation, performance management, engagement, productivity, and increasing business value in the workplace.<\/p>\n

Cloud is the future for the industry<\/strong><\/p>\n

As per the studies by “Synergy Research Group,” the cloud infrastructure market is growing fast, and companies have already started jumping their workloads from on-premises to cloud-based platforms. Cloud infrastructure spending surpassed on-prem spending in 2020 for the first time by a wide margin.<\/p>\n

New data shows that enterprise spending on cloud infrastructure services has plunged to a record high and is continuing to ramp up aggressively. In 2020, the demand for cloud platforms grew by 35%, reaching almost $130 billion. And spending on software and data center hardware has dropped by 6% to just under $90 billion.\"Enterprise<\/strong><\/p>\n

Reasons: How do digital HXM solutions from SAP fix all the loopholes present in the legacy HCM software?<\/strong><\/p>\n

    \n
  1. Allows for meaningful, end-to-end experiences based on how different people work and what they need to be their best version<\/li>\n
  2. Enhanced core HR\u00a0with enhanced configurability and localization<\/li>\n
  3. Time Tracking,\u00a0a cloud-based solution\u00a0for advanced time and attendance capabilities<\/li>\n
  4. Continuous Feedback Loops \u2013 consistently monitor and optimize key moments across the employee journey<\/li>\n
  5. Deep and strategic HR capabilities to align HR with business goals across breadth and depth<\/li>\n
  6. Secure multi-cloud infrastructure that allows new levels of performance and resilience in future development<\/li>\n
  7. Fully customizable and accessible for remote work from anywhere at any time, with the ability to begin at any time.<\/li>\n
  8. Fully scalable with global and local regulations in over 100 countries for HR and 46 countries for accelerated payroll services in the cloud<\/li>\n
  9. Allows to build and integrate apps to extend HR capabilities based on unique needs.<\/li>\n
  10. A recognized leader with a proven history of a successful track record of providing quality HR across all industries, sizes, and geographies<\/li>\n
  11. Hassle-free data integration between on-prem and the cloud<\/li>\n
  12. Deliver strategic, deep mined insights to HR and leaders and help them make critical business decisions<\/li>\n
  13. Work in tandem with the rapidly changing needs of your workforce with the latest technology<\/li>\n<\/ol>\n

    Difference between SAP HCM and SAP SF<\/strong><\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
    Features<\/strong><\/td>\nOn-premise <\/strong><\/td>\nCloud based<\/strong><\/td>\n<\/tr>\n
    Ease of Use<\/td>\nLarge learning curve<\/td>\nIntuitive, modern and experience based<\/td>\n<\/tr>\n
    Efficiency<\/td>\nHR- intensive processes<\/td>\nMobile-first with native self-service processes, experience based<\/td>\n<\/tr>\n
    Toolsets & Integration<\/td>\nDeveloper reliance<\/td>\nSimplified business tools strategically designed for HR<\/td>\n<\/tr>\n
    Innovation<\/td>\nCustomers\u2019 responsibility to apply and use<\/td>\nAutomatic semi-annual release cycles with constant innovation<\/td>\n<\/tr>\n
    Workflows<\/td>\nRequires specialized workflow<\/td>\nBusiness-friendly tool<\/td>\n<\/tr>\n
    Mass Updates<\/td>\nOften, requires custom processes<\/td>\nSAP-provided tools<\/td>\n<\/tr>\n
    Extensibility<\/td>\nTechnical and time-consuming<\/td>\nSimplified framework to easily extend the system<\/td>\n<\/tr>\n
    IT<\/td>\nReliance on IT<\/td>\nNon reliance on IT<\/td>\n<\/tr>\n
    Installation<\/td>\nLocal installation required, hardware and software<\/td>\nNon-local installation required<\/td>\n<\/tr>\n
    Extra workforce<\/td>\nWorkforce is required to maintain hardware<\/td>\nNo workforce is required to maintain hardware<\/td>\n<\/tr>\n
    Economical<\/td>\nCostly to maintain, regular hardware and software upgradation and services<\/td>\nComparatively less cost to maintain, cloud-based SaaS (software as a service) platform<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

    \u00a0<\/strong><\/p>\n

    SAP Cloud UI Benefits over SAP GUI<\/strong><\/p>\n

    Below is an example that exhibits the flexibility of SAP UI.<\/p>\n

    Comparison between on-prem and cloud-based platforms.<\/strong>
    \nFor SAP HCM<\/strong><\/p>\n

    NEW HIRE<\/strong>:<\/p>\n

    Need to follow the hectic Navigation path and work based on Info types.<\/p>\n

    Personnel Action (New Hire)-PA40, below is the list of Info types to be maintained in the hiring processes.\"New<\/strong><\/p>\n

    \"Personal<\/strong><\/p>\n

    SAP SF (SuccessFactors) or SAP SuccessFactors human experience suite<\/strong><\/p>\n

    NE HIRE<\/strong>:<\/p>\n

    No Info types or T codes, user friendly screen. Users can design ports according to the business demand.<\/p>\n

    \"Admin<\/p>\n

    \"Add<\/p>\n

    \"Biographical<\/p>\n

    \"Employee<\/p>\n

    On-Premise Testing Vs Cloud Testing<\/strong>\u00a0<\/strong><\/p>\n\n\n\n\n\n\n
    Testing Focus<\/strong><\/td>\nOn-Premises Testing<\/strong><\/td>\nCloud Testing<\/strong><\/td>\n<\/tr>\n
    \u00a0Validation on Functional side<\/td>\n\n
      \n
    • Validating component functions and\u00a0 \u00a0system functions as well as service\u00a0 \u00a0features<\/li>\n<\/ul>\n<\/td>\n
    \n
      \n
    • SaaS\/Cloud service functions\u00a0 \u00a0end-to-end functions<\/li>\n<\/ul>\n<\/td>\n<\/tr>\n
    Testing on Security<\/td>\n\n
      \n
    • Function-based security features<\/li>\n
    • User privacy<\/li>\n<\/ul>\n<\/td>\n
    \n
      \n
    • SaaS\/Cloud security features,\u00a0 \u00a0including monitor and\u00a0 \u00a0measurement<\/li>\n
    • User privacy in diverse clients<\/li>\n<\/ul>\n<\/td>\n<\/tr>\n
    Testing on performance and reliability<\/td>\n\n
      \n
    • Performed in a fixed test\u00a0environment<\/li>\n
    • Online monitor and evaluation<\/li>\n<\/ul>\n<\/td>\n
    \n