Transforming Core HR with SAP HCM’s PA and OM Modules
Keywords:
SAP HCM, Personnel Administration, Organizational Management, HR transformation, HR digitalization, GDPR compliance, employee data management, HR analytics.Abstract
Core Human Resources (HR) processes form the backbone of organizational efficiency, requiring robust systems to manage employee data and organizational structures effectively. SAP Human Capital Management (SAP HCM) enhances core HR through its Personnel Administration (PA) and Organizational Management (OM) modules, offering integrated solutions for employee data management, organizational hierarchy, and compliance. This paper explores how SAP HCM’s PA and OM modules transform HR operations by streamlining processes, enhancing data accuracy, and supporting strategic decision-making. Drawing on 2022 peer-reviewed literature and case studies from retail and healthcare sectors, the study evaluates the modules’ functionalities, benefits, and implementation challenges. The study finds that SAP HCM streamlines HR processes, reducing hiring time by 70% in a retail case study, while addressing barriers such as system complexity and change management. This analysis provides actionable insights for organizations seeking to leverage SAP HCM for core HR transformation.
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