Finalist: 2024 Best Run Human Capital Management

City Beach: Driving HCM integration, accelerating onboarding and enhancing learning. With a collection of HRM challenges that highlighted the need for a more robust and integrated system – one that could streamline its HR functions and bring about a much-needed transformation in managing its workforce and resources more effectively. Download the Document

SAP Australia and New ZealandBest Run Awards 2024
Best Run SAPIndustry WebsiteProduct and Services Featured SAP SolutionsRetail https://www.citybeach.com/au/Fashion apparel and accessories SAP SuccessFactors (Employee Central,Employee Central Payroll, Recruiting,Onboarding, Learning, and Integrations)City Beach is a leading Australian youth fashion retailer with a clothing and accessories line that features casual fashion, surf and skate wear. Established in 1985in Brisbane, the company has since expanded rapidly, reflecting its popularity and the demand for its products sourced from hundreds of popular local and globalbrands.Today, City Beach operates 67 stores across Australia (as well as a comprehensive eCommerce store) and employs more than 2,500 team members nationwide,with up to 4,500 team members at Christmas. Known for its high energy store environments and active engagement with the youth market, the company hascarved out a significant niche in Australia's competitive lifestyle retail landscape, making it a go-to destination for fashionable, lifestyle-driven apparel andaccessories.City Beach faced a collection of HRM challenges that highlighted the need for a more robust and integrated system one that could streamline its HR functionsand bring about a much-needed transformation in managing its workforce and resources more effectively.Driving HCM integration, acceleratingonboarding and enhancing learningCity BeachHuman Capital Management
ChallengesBefore implementing SAP SuccessFactors, City Beach faced several operational challenges that significantlyimpeded its HR processes. The company relied on multiple systems, including a time and attendance system thatdoubled as its HRIS platform.The recruitment tool integrated within the HRIS was inadequate and City Beach had to disable it, compelling HRstaff to manage out of system recruitment processes. This not only hampered application rates but also mademanagers’ jobs more cumbersome.The company’s workflow from hiring to onboarding lacked a systematic process, where a patchwork system ofthree different dashboards was needed to manage daily compliance and monitor various functions. To extract therequired information, data from multiple spreadsheets was exported and manually combined, which was time-consuming and a source of frustration across the business.The onboarding process itself was clunky, taking between three to five business days to complete, furthercomplicated by poor management of recruitment compliance-related activities.The HR team also faced significant difficulties in maintaining clear communication with other parts of the businessdue to the old system’s lack of transparency and real-time data availability. Updates had to be manually preparedand were often based on manipulated data, resulting in inefficiencies and potential inaccuracies.Other major issues were the absence of a learning platform and numerous payroll system inefficiencies, withlimitations not equipped to handle the specifics of the Australian market.
SolutionThe decision to implement SAP SuccessFactors at City Beach was driven by the HR team's prior experience withthe platform at other companies. Recognising its strong reputation among HR professionals and its capability todeliver a fully integrated HRM system, the team felt confident that adopting the solution would be a smart movefor the business.Five modules of SuccessFactors were implemented in 10 months. To facilitate a smooth adoption process, theHR team put together tailored communication plans to address the unique needs and information adoptionpatterns across City Beach’s Head Office, Distribution and Retail business units.In addition, City Beach utilised a solution, which was originally developed by EPI-USE as part of an SAPInnovation event and has since been refined into a product for use as a value add to implementations. TheCompliance Integration Solution aids tax and super compliance by integrating data captured in recruiting andonboarding and reusing it across Employee Central and Payroll.The timing for the rollout was crucial, as it was planned leading up to the holiday season, a critical period forhiring when the business onboards between 1,500 to 1,600 new team members from August to November inpreparation to meet Christmas demand.It was crucial that the rollout of SAP SuccessFactors at City Beach wasn't just on schedule but also left enoughtime for familiarisation and training. The effort paid off with the new system allowing the business to bring 1,700new hires on board, making it the largest and most efficient hiring campaign to date.
Impact85% login/usage rate and over70% mobile adoption.66,000courses completed through theLearning module.1,700new team members onboarded for the2023 Christmas hiring campaign, themost effective to date.In the initial rollout of SAP SuccessFactors, City Beach observed excellent engagement, achieving an 85% login rate within the initial weeks, a significantachievement given the challenges faced. Adoption of the mobile application stands at over 70%, reflecting its importance in a company where a large portion ofthe workforce is active on the retail floor.One of the standout impacts of implementing SAP SuccessFactors has been on learning and development within the company. There's been a dramatic increasein participation, with over 66,000 courses completed since the system went live. This was something that the company couldn’t previously track or scale due tothe lack of adequate metrics and a framework in its former systems.In-house training coordinators now have the tools to structure comprehensive learning pathways for team members, enhancing the development opportunitiesavailable within the company. This shift not only aligns better with how City Beach operates but has also led to considerable cost savings and improvedefficiency. The ability to develop, publish, and manage content internally without the reliance on external parties has transformed their training processes,offering a richer experience for employees.The new system has drastically improved onboarding times, with records showing some new hires being onboarded within 15 minutes, from application to signingthe contract. This swift process is a record-setting improvement from the previous norm of three hours or more.Additionally, the integration with other systems through API has been smooth, further increasing the efficiency of operations across various platforms within thecompany. Other departments across City Beach are now eager to develop learning content, recognising the tangible benefits and positive impact it has had onthe organisation through HRM channels.