In the HFS Top 10 SAP SuccessFactors Services, 2019 report, we spoke with 15 service providers and more than 30 client references. From that research, we gleaned the top five critical success elements that clients and service providers tend to neglect.

In this POV we outline the main trends in this market, followed by advice to both clients and service providers. For example, some clients that deployed at least one module of SAP SuccessFactors may not use—or even understand—the full potential of what they have implemented. Many clients said that they had sought an alternative service provider for help with maximizing their investment.

#1: Optimize your SAP SuccessFactors deployments

Trend

Some clients that deployed at least one module of SAP SuccessFactors may not use—or even understand—the full potential of what they have implemented. Many clients said that they had sought an alternative service provider for help with maximizing their investment.

Advice to clients

Stop considering your SAP SuccessFactors deployment as a like-for-like upgrade of your old system. SAP SuccessFactors is a collection of best practices in human resources (HR), so be open to embracing new processes and ways of working. Also, insist that your service provider explains the functionalities in depth. Finally, remember that you can engage the same provider or an alternative one to help you to realize the full value of your deployment at a later date.

Advice to service providers

Ensure that clients understand all the functionalities of their implemented module(s) and how they should use them.

#2: Prioritize organizational change management

Trend

Organizational change management continues to be a crucial issue for clients, as they are often moving from on-premise Microsoft Excel-based or even paper-based systems to the SAP SuccessFactors cloud solution. Many service providers focus on optimizing user adoption, such as HCL, IBM, NGA Human Resources, and Wipro.

Advice to service providers and clients

Do not ignore the importance of organizational change management in SAP SuccessFactors deployment projects. Focus on continued user adoption and feedback programs to maximize the use of SAP SuccessFactors, because, without them, the project has been a failure.

#3: Consider SAP SuccessFactors in your overall HR transformation context 

Trend

It is becoming increasingly apparent that clients should position their SAP SuccessFactors deployments in the context of their enterprise-wide HR transformation strategies. It may sound obvious, but some clients still view an SAP SuccessFactors project as a technical point implementation of specific functionalities.

Advice to clients

To support a holistic HR transformation, you should have access to the latest research about the future of workplace trends and benchmark against enterprises recognized as cutting-edge in their HR processes. A service provider with general HR experience is best placed to share best practice processes and thinking with you.

Advice to service providers

Consider forming client teams with both general HR and SAP SuccessFactors experts. In fact, most of the service providers in this research encourage their HR experts to work with their SAP SuccessFactors services consultants. In some cases, this may even be the same business unit, such as at Deloitte. Cross-functional teams can provide significant HR process knowledge to clients. 

#4: Make sure you can manage release management cycles

Trend

SAP SuccessFactors has quarterly releases of new module functionalities. Clients must actively adopt these. They may have thought that they can manage new releases in-house but keeping abreast of developments in and implications of the quarterly new releases of the modules is proving difficult for most.

Advice to clients

Do not underestimate the importance, skill, and time that release management may take. If you insist on managing this in-house, ensure that your deployment partner trains your internal administrators on the process. Using a service provider for release management is a sensible option as they should understand all technical and business aspects of all new releases, which is essential. You do not have to use your deployment partner for this, as any SAP SuccessFactors partner should be able to deliver this service.

Advice to service providers

Provide consultative assistance at new release stages, but not just about what the client should do technically to adopt the new features. It should also include the business value and implications of adopting or not adopting any new features.

#5: Keep abreast of SAP SuccessFactors service provider capability updates

Trend

The service provider competitive landscape changes frequently as the result of acquisitions, mergers, or even service provider re-organizations that enhance the delivery and value of its service capabilities to clients. Examples include:

• Deloitte adding more than 50 experts with its acquisition of Emeritis, a specialist consultancy out of Belgium;
• IBM’s investment in its Talent and Transformation business unit, which integrates IBM’s HR expertise with its various application services capabilities, including SAP SuccessFactors;
• Cognizant’s acquisition of Frontica Business Solutions in Norway in 2016, which has strengthened its HR BPaaS service offerings;
• Ongoing partnership relationships by all SuccessFactors service providers to add geographic or other specialist delivery or capabilities.

Advice to clients

Always execute a thorough RFP for all service partners, and do not assume that your latest information reflects current capabilities. This is critical for both incumbent partners and new providers you might be considering.

Advice to service providers

Make SAP SuccessFactors aware of any enhanced delivery and offerings capabilities, including any re-organization of your SAP SuccessFactors practice that positions it in a more holistic HR transformation context. Many prospective clients ask SAP SuccessFactors for service provider recommendations, so it is imperative to keep the software vendor up-to-date on your latest capabilities and investment plans.

The Bottom Line: Maximize your SAP SuccessFactors investment—or don’t invest at all

Service providers and clients must adopt a holistic approach to an SAP SuccessFactors deployment to ensure ongoing success.  A limited focus on purely a technical implementation of discrete modules can be a waste of money in the long run.