Describing Simplifications in SAP HCM Time Recording with SAP S/4HANA

Objective

After completing this lesson, you will be able to describe simplifications in SAP HCM time recording with SAP S/4HANA

Explaining SAP S/4HANA

History: From SAP Business Suite powered by SAP HANA to SAP S/4HANA

Timeline showing SAP' S/4HANA's evolution from 2011-2015. Key milestones: SAP HANA, SAP BW powered by SAP HANA, SAP Business Suite on HANA, SAP Simple Finance on HANA, leading to SAP S/4 HANA in 2015.

With the launch in 2011 of SAP Business Suite powered by SAP HANA, SAP was the only software vendor in the market at the time to allow SAP Business Suite customers to bring together transactions and analysis into a single in-memory platform. In less than two years, over 1,850 customers acquired SAP Business Suite powered by SAP HANA to run their businesses in real time, making it one of the fastest-growing products in the history of SAP.

With SAP Business Suite powered by SAP HANA, SAP’s product approach has been to port applications on the SAP HANA platform and optimize the code, which improves the performance of business processes and reporting activities and, as a result, improves performance on relational databases. SAP HANA represented a new database alternative for existing customers who required only a simple database migration.

On February 4, 2020, SAP has announced an innovation commitment for SAP S/4HANA until the end of 2040. This means that until 2040, there will always be at least one release of SAP S/4HANA in maintenance.

SAP S/4HANA solutions overview, covering Sales & Marketing, Finance, Manufacturing, Supply Chain, Service, Asset Management, R&D/Engineering, Sourcing & Procurement, and Human Resources features.

SAP S/4HANA, launched in 2015, is the next generation business suite that helps lines of business and industries to run simple. SAP S/4HANA delivers simplifications (customer adoption, data model, user experience, decision making, business processes and models) and innovations (Internet of Things, Big Data, business networks and mobile-first) to help businesses run simple in the digital economy. SAP S/4HANA combines the most recent innovations (including SAP HANA and SAP Fiori UX) into a new suite that caters to a digital, networked economy.

SAP S/4HANA creates unique opportunities to run your day-to-day business in real-time using industry best practices and enables you to redefine the following business practices:

Business decision

Acquire insight on any data from anywhere in real-time: planning, execution, prediction and simulation are done on the fly for faster business impact.

Business processes

Focus on essential tasks in real-time and change business processes as needed.

User experience

SAP Fiori UX is available for any device: desktop, mobile, and tablet.

The following SAP S/4HANA editions are available:

SAP S/4HANA, on-premise edition

This edition offers a business scope that is similar in terms of coverage, functionality, industries and languages to the current SAP Business Suite. Within this scope, SAP S/ 4HANA also includes the transformational simplifications delivered with SAP Simple Finance (SAP Accounting powered by SAP HANA) as well as a planned integration with SuccessFactors Employee Central and the Ariba Network.

SAP S/4HANA, cloud edition

This edition covers specific business scenarios for the marketing line of business and for the professional services industry as well as the most essential scenarios to run an entire enterprise in the cloud with a digital core including finance, accounting, controlling, procurement, sales, manufacturing, plant maintenance, project system and product life cycle management, plus integration with SuccessFactors Employee Central, Ariba Network, SAP C/4HANA, Field Glass, and SAP JAM. Note that SAP JAM will be replaced by SAP Build Workzone.

SAP S/4HANA Cloud essentials edition (ES) is commonly used by net new customers who want the full cloud approach with regular quarterly upgrades that include new configuration and new software. It is also used for subsidiaries alongside SAP on-premise implementations.

SAP S/4HANA Cloud extended edition (EX) has the advantages of the cloud with more flexibility and control. It has standardized infrastructure processes, services and SLAs. There is a minimum number of users.

Explaining HCM for SAP S/4HANA

SAP product lines for Human Experience Management (HCM)

Image comparing SAP SuccessFactors to SAP HCM for SAP S/4HANA, focusing on their approach to HR innovations. SuccessFactors emphasizes major, future-oriented investments, while HCM focuses on selective enhancements.

SAP can offer customers a deployment choice for their Core HR solution needs: On-premise (or private cloud managed service) or public cloud. While most new HR system implementations tend to be cloud for many regions, on-premise is still a preferred method in some regions and industries.

HCM on-premise solutions

Timeline showing support for SAP products: SAP S/4HANA Compatibility Pack from 2020-2025, SAP ERP HCM from 2020-2027, and SAP Human Capital Management for SAP S/4HANA from 2023-2040.

SAP offers continuity and investment protection for HCM on-premise customers in the following way:

  • The solution will be based on SAP ERP HCM with selected SAP HANA database related enhancements.
  • This option is intended to serve those customers who are not yet ready to partially or fully transform their HR processes into a cloud-based model.
  • The future of digital HR in the cloud is powered by SAP SuccessFactors.

SAP S/4HANA does not include a native HCM solution, the next generation solution for HR is SAP SuccessFactors.

Customers who desire to keep HCM on-premise have two options – they can stay on SAP Business Suite 7.0 or move to SAP S/4HANA on premise (leveraging the SAP S/4HANA Compatibility Pack for SAP HCM).

Current dilemma – Mainstream Maintenance for the Business Suite / SAP ERP HCM ends in 2025. In addition, the usage rights for SAP S/4HANA Compatibility Pack will expire in 2025.

As the rest of the Business Suite does not have the same customer demand as HCM, and as a prolongation of the SAP S/4HANA compatibility packs is not an option, we have defined a new option that assures our customers extended support for HCM on premise independently of the Business Suite.

We decided to support these customers’ needs, by offering a new HCM on-premise option.

Migration Options

Timeline showing transitioning from SAP ERP HCM to SAP S/4HANA, adopting SAP SuccessFactors by 2040. It highlights timelines for mainstream to extended maintenance from 2025 to 2027.

If you are doing a system conversion (a) or upgrade (b) to SAP S/4HANA 2022 and want to use SAP HCM for SAP S/4HANA the following information must be taken into account:

Step 1

In the first step, a technical transition to SAP S/4HANA 2022 takes place. Technically, HCM is automatically in the so-called Compatibility Pack. Please keep in mind that already existing HCM simplifications can apply here as well. These can be found by executing an SAP Readiness Check for S/4HANA or in the Simplification Item Catalog. See also the Compatibility Scope Matrix in SAP Note 2269324.

Step 2

In a second step, the business function for SAP HCM for SAP S/4HANA (H4S4_1) must be activated in the switch framework. Before switching on the business function H4S4_1 please read SAP Note 3200799 carefully and check if simplifications apply.

In general:

The check can be executed before or after the conversion or upgrade to SAP S/4HANA 2022 with the SAP Readiness Check for SAP S/4HANA. SAP HCM for SAP S/4HANA specific simplifications (listed in the preceding tables) will be part of the SAP Readiness Check for SAP S/4HANA at a later point in time. If simplifications apply, the affected functionalities must be replaced by their alternatives, if applicable. After switching on the business function, SAP HCM for SAP S/4HANA is activated and features can be used.

Please review the following resources for more information:

SAP Human Capital Management for SAP S/4HANA

Image listing SAP modules related to Personnel, Payroll, Talent, Time Management, and Public Sector. Modules include SAP Learning Solution, Payroll, Shift Planning, and Personnel Cost Planning.

In the image you can see that the most recent component of an HCM topic is supported.

If you want to read up a bit, the blog of Ralf Wagner about continuous updates and the following blogs are recommended:

Ralf Wagner

SAP Human Capital Management for SAP S/4HANA now available as part of the SAP S/4HANA 2022 release

Danielle Larocca

What is SAP HCM for S/4HANA On-Premise (H4S4)?

Rajarajeswari Kaliyaperumal

H4S4 Vs SAP HCM Compatibility packs – High-level overview

Summary

Text outlining SAP's strategy to encourage ERP HCM customers to migrate to SAP SuccessFactors or SAP S/4HANA, offering tools for an upgrade-like migration to protect customer investments.

To get started, we recommend the following SAPNotes:

SAP Note 3091160: SAP HCM for SAP S/4HANA – General Approach and Strategy

This SAP Note provides you with advance information on how to use the planned SAP Human Capital Management for SAP S/4HANA (in the following called SAP HCM for SAP S/4HANA), release 2022.

SAP Note 3217773: SAP HCM for SAP S/4HANA – General Information for Simplifications

In general, from a technical perspective, the transition to SAP HCM for SAP S/4HANA will be seamless/non-disruptive. If none of the SAP HCM Local Version simplifications listed next affect your current SAP HCM configuration, there is no action required. SAP HCM Local Version functionalities affected by simplification are listed in the blog in the following table: "Table 1 - Simplifications in SAP HCM for SAP S/4HANA for SAP S/4HANA 2022 on-premise edition and SAP S/4HANA Cloud Private Edition".

Consider the following resources as well:

Simplifications in SAP HCM Time Recording with SAP S/4HANA

Screenshot showing SAP HCM infotypes 0005, 0083, and 2005 marked as deprecated. Alternatives include IT2006, IT0416, and IT2007. Details in SAP Note 3091160 dated 11/05/2024.

Screenshot of SAP Note 3091160 highlighting deprecated interfaces (CCI, BAdls) and their alternatives (HR-PDC, BAdI: PT_ABS_ATT_COUNTRY) in SAP HCM for S/4HANA.

Note

Refer to the mentioned SAP Notes for more Details.