HCM, Performance Management 01

Technical Data
Technical Name of Business Function	HCM_OSA_CI_1
Type of Business Function	Enterprise Business Function
Available as of	SAP enhancement package 4 for SAP ERP 6.0
Technical Usage	HCM Self-Services
Application Component	Objective Setting and Appraisals (PA-PD-PM)

With this business function, you can use the improved functions of the cross-application Tool for Appraisals, Evaluations, and Surveys as well as a wide range of new features to optimize the appraisal processes in your enterprise. The business function has the following advantages:

It provides your enterprise's managers and employees with user-friendly interfaces for efficiently and quickly recording and editing all the required information in a predefined Performance Management process. The settings required for the process that are already available in the system enable you to implement the application easily and in a time-efficient manner.

The application provides talent management specialists with user-friendly interfaces for creating and editing corporate goals and core values as well as assigning them to groups of people, such as organizational units.

It provides your enterprise's managers an employees with user-friendly interfaces for convenient creation and editing of team goals as well as easy assignment of these goals to individual people, such as the employees in a team. It is also possible for employees to conveniently assign their individual goals to their organizational unit.

It enables managers to suggest a mandatory course (for example, one that is required to attain a certain goal) within the appraisal document.

Caution Caution

See SAP Note 1239426.

End of the caution.

Prerequisites

You have installed the following components as of the version mentioned:

Type of Component	Component	Only Required for the Following Functions
Software Component	EA-HR 604
SAP NetWeaver	SAP NetWeaver – Adobe Document Services 7.01	Predefined Performance Management Process Creation and Cascading of Corporate Goals and Core Values Creation and Cascading of Team Goals
SAP NetWeaver	SAP NetWeaver – Internet Graphics Service 7.01	Predefined Performance Management Process Creation and Cascading of Corporate Goals and Core Values Creation and Cascading of Team Goals
External product	Adobe® Flash® Player 9	Predefined Performance Management Process Creation and Cascading of Corporate Goals and Core Values Creation and Cascading of Team Goals
Portal Content	Business Package for Manager Self-Service 1.41 Business Package for Employee Self-Service 1.41 Business Package for Talent Management Specialist 1.40

You are familiar with the appraisal process as well as the required tool.
You use the Objective Setting and Appraisals application component in your back-end system.
We recommend activating the business function CA, Appraisals, Evaluations, and Surveys (CA_HAP_CI_1) if you want to use any of the following:
- Web application for Creation and Cascading of Goals
- Enhanced integration of Performance Management and SAP Learning Solution

In Customizing for Objective Setting and Appraisals, you have made all necessary settings.

Features

SAP Web Application for a Predefined Performance Management Process

You can use a predefined, clearly structured Performance Management process in which the majority of the required settings are already found in the standard system. The role executing the application, such as manager or employee, is taken to the initial screen of the SAP Web application intended for that role. The process comprises the following phases:

Planning
In the planning phase, goals for the enterprise, the organizational unit, the team, and the employee can be definied. For example:
- The manager defines team goals and cascades them to his or her employees
- Managers and employees define and discuss employees' individual goals

Review
During the review phase, goals are re-examined and updated, if necessary. This can include:
- Managers and employees reviewing and/or discussing employees' individual goals
- Employees assess the extent to which they have fulfilled their individual goals

Appraisal
In the appraisal phase, performance, such as that of the employee, is assessed and rated. Afterwards, managers can compare the performance of the employees in their team using a calibration or they can display a simulation of employees' compensation in a graphic or table.

SAP Web Application for Creation and Cascading of Corporate Goals and Core Values

In the appraisal process, you can conveniently create and edit corporate goals and core values as well as assign them to the relevant group of people.

Example Example

Talent management specialists assign corporate goals and core values to relevant organizational units.

End of the example.

SAP Web Application for Creation and Cascading of Team Goals

In the appraisal process you can conveniently create and edit team goals as well as assign them to relevant employees.

Example Example

Managers create team goals and cascade them to employees.

End of the example.

You can also link individual goals for each employee to the higher goals in the appraisal process. For example:

An employee sets his or her individual goals.

The employee assigns selected individual goals to the team's goals.

Overview of All Goals in the Appraisal Document

In the yearly appraisal process, corporate goals, core values, and team goals are generally defined before an employee's individual goals are set. To improve the overview of all goals (both corporate-wide and individual ones), you can provide managers and employees with an overview of all goals right in the appraisal document. This is only possible if you have made the required settings in the appraisal catalog.

Enhanced Integration of Performance Management and SAP Enterprise Learning

The already existing integration was enhanced as follows:

Managers can enter a mandatory assignment (for example, a course required for attaining an individual goal) for an employee in the employee's appraisal document.

The employee sees this mandatory assignment in his or her appraisal document. The employee can then search for the course in the Learning Portal and book the mandatory assignment to fulfill the individual goal.

The administrator makes the settings requried to do this in the appraisal catalog.

See also:

For more information, see the release note HCM_ASR_CI_1: HCM, Performance Management 01 (New).

You can find information on the tool in the documentation for the business function CA, Appraisals, Evaluations, and Surveys (CA_HAP_CI_1).

For more information, see SAP Library for SAP enhancement package 4 for SAP ERP 6.0 under Start of the navigation path SAP ERP Central Component Next navigation step Human Resources Talent Management Objective Setting and Appraisals (Performance Management) End of the navigation path .