
Streamline HR Operations with SAP Success Factors for Effective Human Capital Management
Large organizations face unique challenges when it comes to managing their workforce. With thousands of employees spread across different regions, handling human resources (HR) can become a complex task. It involves recruiting the right talent, encouraging employee development, maintaining employee records, managing compensation, and much more. As the needs of these large organizations grow, the demand for a comprehensive and effective Human Capital Management (HCM) solution also increases.
A unified HCM solution that can manage all aspects of the employee lifecycle is essential for effective workforce management. SAP SuccessFactors offers a cloud-based suite that addresses these complex needs. It helps streamline various HR functions while ensuring employee satisfaction, making it an indispensable tool for large organizations.
What is SAP Success Factors?
SAP SuccessFactors is a leading cloud-based talent management and HCM software suite. It is designed to help organizations manage all aspects of their HR operations, including recruitment, employee performance, HR analytics, payroll, and learning activities. By bringing all these functions into one platform, SAP SuccessFactors allows businesses to effectively manage their workforce and focus on growth and success.
Founded in 2001, SuccessFactors was later acquired by SAP in 2012. This acquisition allowed SAP to extend its cloud-based HCM functionality and become a significant player in the talent management and HR space. Since then, SAP SuccessFactors has evolved into the SAP SuccessFactors Human Experience Management (HXM) Suite, providing employees with individualized experiences that go beyond traditional HR practices.
SAP SuccessFactors follows the Software as a Service (SaaS) model, meaning that organizations can easily access its services without the need for extensive on-premises infrastructure. It is highly scalable and compatible with various existing systems, making it accessible to organizations of different sizes and industries. Today, SAP SuccessFactors serves more than 220 million users across the globe.

6 SAP Success Factors Features Your Business Can’t Live Without
SAP SuccessFactors comes with a wide range of features that streamline HR processes and improve workforce management. Here are six key game-changing features that will streamline your HR processes:
1. Employee Central
Employee Central is the core HR hub within the SAP SuccessFactors suite. It serves as the system of record for employee information, storing data such as addresses, salaries, and benefits enrollment. This module allows both managers and employees to have easy access to relevant data, enabling employee self-service and streamlining HR operations.
Key functionalities include:
- Employee Self-Service: Employees can update their personal information, view pay slips, and request time off without HR intervention. This saves time for HR teams and empowers employees to manage their own data.
- Manager Self-Service: Managers can access team-related data, approve leave requests, and monitor performance metrics directly, which helps in making informed decisions quickly.
- Compliance and Data Management: Employee Central maintains compliance with local labor laws across different countries, making it easier for organizations to manage diverse workforces.
2. Performance and Goals Management
The Performance and Goals module helps organizations manage employee performance effectively. It provides a platform for setting goals, tracking progress, and reviewing employee performance in real time. This feature allows managers to provide continuous feedback and helps employees align their goals with organizational objectives.
Key functionalities include:
- Goal Setting and Tracking: Employees and managers can set clear, measurable goals and track progress throughout the year. This alignment helps ensure that individual contributions support broader business objectives.
- Continuous Performance Management: Managers can give real-time feedback, schedule regular check-ins, and acknowledge accomplishments. This keeps employees engaged and helps them stay on track with their development.
- Performance Reviews: The module provides templates for conducting structured performance reviews, ensuring consistency and transparency throughout the organization.
3. Employee Central Payroll
Employee Central Payroll is designed to simplify payroll management for organizations operating in multiple regions. It automates payment processing and consolidates payroll operations into a centralized platform that can be accessed globally. This ensures accurate and timely payroll processing with minimal errors.
Key functionalities include:
- Automated Payroll Processing: Payroll calculations are automated, which reduces manual errors and ensures timely payments for employees in different locations.
- Global Payroll Capabilities: The module is localized for over 48 countries, which means organizations can handle complex regulatory requirements without needing multiple payroll systems.
- Integration with HR Functions: Employee Central Payroll integrates seamlessly with other HR functions like time management, benefits, and employee data, providing a unified payroll experience.
4. Learning Management System
The Learning module in SAP SuccessFactors enables organizations to create a culture of continuous learning. It provides a platform for supervisors to create and assign courses to employees, track their progress, and encourage learning and development throughout the organization. By offering social and mobile learning options, employees can participate in training at their own convenience.
Key functionalities include:
- Custom Course Creation: Supervisors can create tailored learning programs that align with the organization’s goals. This ensures that employees receive relevant training that directly impacts their performance.
- Social and Mobile Learning: Employees can access training materials from their mobile devices and participate in social learning through discussions and peer-to-peer interaction. This flexibility encourages higher engagement.
- Progress Tracking and Reporting: Managers can track employee progress in real-time, ensuring that learning goals are met and that employees are developing necessary skills.
5. Recruiting
The Recruiting module in SAP SuccessFactors helps businesses attract and hire the best talent. It streamlines the entire recruitment process, from creating job postings to evaluating candidates. The module includes tools like Recruiting Management, Recruiting Marketing, and Recruiting Posting, each designed to facilitate different aspects of the hiring process.
Key functionalities include:
- Recruiting Management: This feature allows HR teams to create job requisitions, screen applicants, and manage the interview process all in one place. This ensures a consistent and structured hiring approach.
- Recruiting Marketing: Organizations can promote job openings on social media, build SEO-optimized career websites, and reach out to candidates proactively. This feature helps attract top talent by enhancing the employer brand.
- Collaborative Hiring: The platform supports collaboration between HR teams and hiring managers, allowing multiple stakeholders to review candidates, share feedback, and make hiring decisions collectively.
6. People Analytics
People Analytics provides actionable insights into workforce data, helping HR and business leaders make informed decisions. This module utilizes SAP Analytics cloud technology to create reports, dashboards, and perform predictive analysis. By understanding workforce trends and behaviors, organizations can make strategic decisions that enhance employee satisfaction and retention.
Key functionalities include:
- Workforce Reporting: HR teams can generate detailed reports on employee demographics, performance, and turnover. This helps identify patterns and make data-driven improvements in HR strategies.
- Predictive Analysis: People Analytics provides predictive insights into workforce trends, such as future skill gaps or potential attrition risks. This enables proactive workforce planning.
- Customizable Dashboards: Managers can use customizable dashboards to visualize data that matters most to them. This empowers leaders to track key metrics and make timely, informed decisions.
Success Factors Deployment Models and Pricing
SAP SuccessFactors offers flexibility in deployment through various models, allowing organizations to choose the one that best fits their needs. The four primary deployment models are Talent Hybrid, Core Hybrid, Full Cloud HCM, and Side-by-Side.
The Talent Hybrid model is suitable for organizations that already use SAP ERP or SAP S/4HANA for core HR functions but want to integrate SuccessFactors for talent management. This model offers a smooth transition to the cloud without replacing existing core HR processes.
The Core Hybrid model is used when an organization runs Employee Central in the cloud but maintains payroll or time management functions in SAP ERP or SAP S/4HANA. This allows businesses to take advantage of the cloud-based HR features while retaining familiar on-premises systems for specific functions.
The Full Cloud HCM model spans the entire SAP SuccessFactors suite, including Employee Central Payroll. This is typically chosen by organizations that are new to SAP and looking to adopt a fully cloud-based HCM system without maintaining on-premises components.
The Side-by-Side model is an option for organizations that want to run both SAP ERP HCM and Employee Central in parallel. This setup allows data synchronization between the systems while maintaining separate master records for different groups of employees.
Pricing for SAP SuccessFactors is based on a subscription model, typically charged per employee per month. Costs vary depending on the number of features used and the size of the organization, making it scalable for large enterprises. However, there is a significant implementation cost that organizations should consider, as well as additional charges for advanced features.
Partner with CogentNext for a Successful Implementation
SAP SuccessFactors is an invaluable tool for large organizations looking to simplify HR processes, improve workforce management, and create a positive employee experience. With its wide range of features, from payroll and learning management to performance tracking and analytics, it provides everything needed to manage human capital effectively.
If you’re considering implementing SAP SuccessFactors in your organization, CogentNext is here to help. Our expertise in SAP solutions ensures that your implementation is seamless and tailored to your unique needs.
Get in touch with us today to learn how we can support you in making the most of SAP Success Factors for your business.