Top Reasons for Moving from SAP ERP HCM Payroll to SAP SuccessFactors Employee Central Payroll
This expert paper details key considerations in a decision to move from existing on-premise SAP HCM Payroll to SAP SuccessFactors Employee Central Payroll. Download the DocumentSAP SuccessFactors Human Experience Management SuiteTop Reasons for
Moving from
SAP ERP HCM Payroll
to SAP SuccessFactors
Employee Central
Payroll
Moving from
SAP ERP HCM Payroll
to SAP SuccessFactors
Employee Central
Payroll
2 | 5
Considerations for Migrating to SAP
SuccessFactors Employee Central Payroll
With SAP SuccessFactors solutions, your organization can focus on simplifying and optimizing payroll.
Because of that, many companies using the on-premise SAP ERP Human Capital Management (SAP ERP
HCM) solution for payroll are considering if a move to the SAP SuccessFactors Employee Central Payroll
solution makes sense for their business.
Each organization is at a different place in their journey to the cloud, and payroll is an area where there
are many factors to consider. Here are the key considerations:
Maintain investment in SAP payroll
With a move to SAP SuccessFactors Employee Central
Payroll, your organization can solve an area of need –
without the large-scale rip and replace that would be
required with a net-new payroll implementation.
Investments that you've already made in the SAP solution
for payroll, such as business rules, calendars, wage type/
pay components, reports, interfaces, and much more, can
be kept and migrated.
This means your organization does not need to worry
about re-doing critical payroll calculations, rewriting
interfaces, and re-doing configuration – as it would if you
were starting from scratch. You can keep employee data
and history, including payroll results. This results in
significant time- and cost-savings compared to a new
payroll implementation.
Considerations for Migrating to SAP
SuccessFactors Employee Central Payroll
With SAP SuccessFactors solutions, your organization can focus on simplifying and optimizing payroll.
Because of that, many companies using the on-premise SAP ERP Human Capital Management (SAP ERP
HCM) solution for payroll are considering if a move to the SAP SuccessFactors Employee Central Payroll
solution makes sense for their business.
Each organization is at a different place in their journey to the cloud, and payroll is an area where there
are many factors to consider. Here are the key considerations:
Maintain investment in SAP payroll
With a move to SAP SuccessFactors Employee Central
Payroll, your organization can solve an area of need –
without the large-scale rip and replace that would be
required with a net-new payroll implementation.
Investments that you've already made in the SAP solution
for payroll, such as business rules, calendars, wage type/
pay components, reports, interfaces, and much more, can
be kept and migrated.
This means your organization does not need to worry
about re-doing critical payroll calculations, rewriting
interfaces, and re-doing configuration – as it would if you
were starting from scratch. You can keep employee data
and history, including payroll results. This results in
significant time- and cost-savings compared to a new
payroll implementation.
3 | 5
Reduce total cost of ownership
With cloud software, organizations can focus on their key
businesses and get out of the infrastructure hosting
business. SAP SuccessFactors Employee Central Payroll
provides an opportunity to reduce your total cost of
ownership (TCO) with payroll, and keep the consistency
you have enjoyed with SAP for one of the most critical
enterprise business functions. Opportunities to reduce
TCO:
• Get rid of on-premise hardware or expensive
hosting costs
• Reduce ongoing technical upgrade costs by
standardizing payroll, eliminating code conflicts that
require significant analysis, and testing for every upgrade
• Reduce resource costs for your organization if you have
an external application management provider as
upgrades will be handled by SAP
• Opportunity to realize the benefits of a consolidated
system with a single vendor (for example, you have
acquired companies, or expanded into new regions and
have a fragmented payroll model)
Figure 1: Pre-payroll monitoring
Reduce total cost of ownership
With cloud software, organizations can focus on their key
businesses and get out of the infrastructure hosting
business. SAP SuccessFactors Employee Central Payroll
provides an opportunity to reduce your total cost of
ownership (TCO) with payroll, and keep the consistency
you have enjoyed with SAP for one of the most critical
enterprise business functions. Opportunities to reduce
TCO:
• Get rid of on-premise hardware or expensive
hosting costs
• Reduce ongoing technical upgrade costs by
standardizing payroll, eliminating code conflicts that
require significant analysis, and testing for every upgrade
• Reduce resource costs for your organization if you have
an external application management provider as
upgrades will be handled by SAP
• Opportunity to realize the benefits of a consolidated
system with a single vendor (for example, you have
acquired companies, or expanded into new regions and
have a fragmented payroll model)
Figure 1: Pre-payroll monitoring
4 | 5
Future proof
SAP SuccessFactors Employee Central Payroll is based
upon SAP ERP HCM payroll solution, but has its own
unique code line and specific innovations.
In addition, a dedicated payroll landscape also allows you
to dictate the timing and terms of your upgrades, rather
than being restricted by other business areas.
Figure 2: Joule AI copilot
A move ensures that all the latest SAP
functionality is available, including the use of
Joule, our artificial intelligence copilot.
Future proof
SAP SuccessFactors Employee Central Payroll is based
upon SAP ERP HCM payroll solution, but has its own
unique code line and specific innovations.
In addition, a dedicated payroll landscape also allows you
to dictate the timing and terms of your upgrades, rather
than being restricted by other business areas.
Figure 2: Joule AI copilot
A move ensures that all the latest SAP
functionality is available, including the use of
Joule, our artificial intelligence copilot.
Simplify and innovate
Many organizations implemented their existing payroll
system over a decade ago. Much has changed since then,
and there are likely opportunities to simplify and
standardize payroll functions.
SAP has released much new and innovative functionality
– such as our payroll control center – that allows for
significant efficiency gains. It may make sense to revisit
payroll holistically, and move to a standard, optimized
cloud system.
Figure 3: SAP SuccessFactors
mobile application
Studio SAP | 73884enUS (24/01)
© 2024 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
Learn more
SAP is focused on helping existing customers of SAP ERP
HCM move to SAP SuccessFactors solutions. Request a
demo today!
Many organizations implemented their existing payroll
system over a decade ago. Much has changed since then,
and there are likely opportunities to simplify and
standardize payroll functions.
SAP has released much new and innovative functionality
– such as our payroll control center – that allows for
significant efficiency gains. It may make sense to revisit
payroll holistically, and move to a standard, optimized
cloud system.
Figure 3: SAP SuccessFactors
mobile application
Studio SAP | 73884enUS (24/01)
© 2024 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
Learn more
SAP is focused on helping existing customers of SAP ERP
HCM move to SAP SuccessFactors solutions. Request a
demo today!