AusNet: Reenergizing the employee experience and workplace with modern HR capabilities in the cloud
Explore how AusNet’s team keeps the lights on with SAP
A critical supplier of gas and electricity to over 1.5 million people in Victoria, Australia, AusNet Pty Ltd transformed its HR operations to focus on employee experience. Reshaping its legacy HR systems with a modern and integrated HR suite in the cloud from SAP SuccessFactors solutions, AusNet can better support an agile workplace and meet employees’ needs.
| Industry | Region | Company Size | Partner |
| Utilities | Melbourne, Australia | 1,300 employees | IBM Consulting |
reduction in HR administration time.
faster to create a new position in the HR system.
separate business processes unified in one HR system.
Head of People Systems and Enablement, AusNet Pty Ltd
Transforming legacy HR processes with robust functionality in the cloud
AusNet Pty Ltd is a large, diversified energy network business based in the state of Victoria in Australia with over $A12 billion of regulated and contracted electricity and gas network assets. Serving more than 1.5 million customers, the company owns and operates three core regulated networks, including the electricity transmission network in Victoria, an electricity distribution network, and a gas distribution network. It is one of only five electricity distributors and one of three gas distributors in the state.
The company is committed to providing safe, reliable, and affordable energy and acting in the best interests of its employees and customers. AusNet also regards accountability and team unity as essential values in its role in delivering Victoria’s electricity network and transition to renewable energy.
During a routine HR compliance review, AusNet identified an issue relating to the coverage and application of one of its workplace enterprise agreements, finding there were underpayments to some employees. Remediation activity then followed over the next 12 months.
To enhance employees’ trust and satisfaction, the company sought to simplify and update its HR systems. AusNet wanted to create future-ready processes, help ensure ongoing wage compliance, and accurately determine the relationship between specific job roles and enterprise agreement entitlements. As part of this initiative, AusNet found additional opportunities to improve its HR architecture. At the time, the company used three legacy HR systems and had limited control over the interoperability of specific functions. Its disparate systems, siloed data, and time-consuming manual processes combined to create a suboptimal user experience, hampering productivity for the leadership team and employees. Managers were unable to determine whether talent applications met business requirements, while employees had difficulty accessing basic information, such as pay slips.
Intent on avoiding further inaccurate employee payments and noncompliance, AusNet set about transforming its HR processes.
People Systems Lead, AusNet Pty Ltd
Modernizing HR to improve compliance and employee support
Seeking a modern HR system to support an engaging employee experience, AusNet was impressed by the innovative functionality, native integration capability, and intuitive interface offered by SAP SuccessFactors solutions. The move to this cloud-based HR suite would also allow AusNet to solve multiple problems simultaneously.
For the implementation of SAP SuccessFactors solutions, AusNet partnered with IBM Consulting, using the consulting giant’s proprietary accelerator for utilities to achieve the project’s aims over just ten months. In this time, AusNet centralized HR and time tracking management with the SAP SuccessFactors Employee Central and SAP SuccessFactors Time Tracking solutions. IBM also guided the implementation of the SAP SuccessFactors People Analytics solution as well as the SAP SuccessFactors integration center tool.
In parallel, with a focus on enhancing its talent management capabilities, AusNet adopted the SAP SuccessFactors Compensation solution, allowing it to automate variable pay calculations and build and manage reward and recognition programs. It also deployed the SAP SuccessFactors Performance & Goals and SAP SuccessFactors Succession & Development solutions, linking the talent management modules with the SAP SuccessFactors Employee Central solution to centralize control.
With the SAP SuccessFactors Employee Central and SAP SuccessFactors Time Tracking solutions, AusNet can strengthen business resilience through data management efficiency and solid regulatory compliance while remaining flexible to pivot in the future. And with the implementation of various recruitment and performance modules, the company can offer a more engaging employee experience at all levels of the business.
The company has also mitigated the risk of future underpayments and breaches of wage compliance, thanks to the automatic provisioning of entitlements for eligible employees. With the time tracking solution, AusNet’s employees submit timesheets, corresponding with accurate payments. What’s more, they have the convenience of completing leave applications and other routine tasks through a dedicated mobile application.
Taking advantage of increased efficiency and self-service capabilities provided by SAP SuccessFactors solutions means AusNet’s HR team has more time to focus on strategic initiatives. And managers can run story reports in SAP SuccessFactors People Analytics for useful insights into employee data to prioritize areas of investment and improvement.
Head of People Systems and Enablement, AusNet Pty Ltd
Gaining strategic and competitive value from HR
AusNet’s investment in SAP SuccessFactors solutions clearly demonstrates its commitment to its people. With a robust and innovative HR system to provide a single source of truth and accurate employee data, AusNet has minimized the risk of noncompliance and underpayments. The company has also strengthened control over HR processes, including employee agreements, salary approvals, industrial award interpretation, data security, and the management of audit findings.
As employee and financial data is no longer siloed, the leadership team has greater access to insights into pertinent issues, such as pay disparity and excessive overtime. The team can also open communication pathways to determine the best way to further support employees.
And with smooth HR workflows in place of manual processes, there’s less time spent on administration, thereby improving overall productivity. Previously, the creation of a new position in the legacy HR system required three levels of approval and took up to two weeks to take effect. Now, this same process takes just one day to complete.
With direct access to relevant data for reporting, forecasting, and recommendations on wage negotiations and productivity, the HR team is in a position to add more value to the business. And with business rules embedded in the new HR system, AusNet has confidently removed bias from its hiring and performance management processes while adding credibility to HR departmental decision-making.
AusNet’s energized self-service culture has also greatly improved employee satisfaction and engagement with HR. The introduction of a mobile app means its people can conveniently complete timesheets and other common transactions on the go, while enhanced transparency has rebuilt employee trust in the accuracy of the compensation process. And with the HR team’s transactional workload cut by 50%, AusNet is expecting approximately $A2.1 million in savings over five years.
Building on its brand as an employer of choice
On the near horizon, AusNet plans to continue working with IBM to further build its brand as an employer of choice by creating long-term value for employees and customers alike. The company’s ambitions also involve achieving operational excellence and accelerating company growth and efficacy.
As one of its first priorities, AusNet intends to focus on refining its onboarding process by taking advantage of the advanced capabilities offered by the SAP SuccessFactors Onboarding solution.
Featured partner
IBM Consulting is a global leader and SAP platinum partner. Building a trusting and mutually beneficial relationship with AusNet over a seven-year commercial partnership, IBM supported AusNet throughout the process of implementing SAP SuccessFactors solutions. The creation of a modern, centralized, and future-ready HR function serves as a foundation for AusNet to continue its critical role within Victoria’s energy network.