The key path
- SAP SuccessFactors is a subscription-based and cloud-based human capital management (HCM) platform.
- As a leading HRIs (Human Resource Information Systems) platform, it offers many features for enterprises with complex, global workforks.
- The platform offers high scalability and flexibility, thanks to its modular architecture, enabling enterprises to adapt to their evolving HR needs.
- To enhance decision-making, leaders can use comprehensive workforce analytics to identify workforce trends, skills and talent gaps.
- The platform enables organizations to establish a culture of continuous improvement and learning through certifications, training sessions and calendar reminders.
An overview of SAP success factors
As companies increasingly focus on developing talent, the importance of a human capital management (HCM) platform cannot be overstated. Advanced HCM solutions offer businesses a competitive edge by streamlining the management of teams, assessing workforce capabilities and fostering sustainable success. SAP’s Success Factors is one of the top HCM platforms, offering a number of sophisticated features for performance management, employee learning and development (L&D), payroll, core HR functions, and more.
What is SAP Success Factor?
SAP Success Factors is a leading cloud-based HCM software. It consolidates data about employees and their capabilities, and enables employers to gain comprehensive insights for better decision-making. At its core, SAP SuccessFactor is a comprehensive HRIS suite designed to manage the entire employee lifecycle, including payroll, talent management, workforce analytics, and HR administration tools.
Basic features and functionality
SAP Success Factors offers full customization, allowing you to select the components you need to manage your workforce. Its main features include the following:
- Employee Central
It acts as a central HR database, collecting workforce data and making it easily accessible for various HR processes, including managing employee records and ensuring compliance. - Recruiting and Onboarding
The platform provides comprehensive HR solutions for attracting and developing talent, including onboarding and performance management features that enable leaders to effectively manage their employee lifecycle. - Managing performance and goals
SAP Success Factors enhances ongoing performance management with goal tracking, real-time feedback, and performance reviews, and aligns employee goals with the organization’s goals. - Learning Management
L&D is a core component of the platform, providing training administration and certification tracking features that support personalized learning paths and ensure employees can grow effectively. - People analytics
The platform’s dedicated people analytics portal enables workforce management, planning, and analytics using analytics, customized planning, scenario modeling, and other AI-powered features. - HR functions
The platform provides a unified hub for salary planning, payroll, self-service, attendance tracking and other core HR operations.
SAP Success Factor Pricing Structure
SAP Success Factors are priced based on the components and features you select for use on the platform. It also includes package add-ons that cover functions like talent acquisition and career development. Hence, it is advisable to contact their sales team to get an accurate price and plan your budget effectively. The base price for SAP Success Factors is $18 per month, and all pricing plans work on a per-employee, per-month basis. Here’s what the base package includes:
- Contract period of 1 to 3 years, with auto-renewal.
- Flexible time and attendance tracking.
- Features of centralized workforce management.
- Automated Global Payroll Processing.
- Automation of HCM with SAP Build.
- AI-enabled HR self-services.
Strengths of SAP Success Factors
SAP Success Factors offers multiple benefits to help businesses establish more effective workforce management and planning. These include:
Comprehensive HR suite in the cloud
From core HR to talent management, employee experience management, and payroll features, SAP SuccessFactor offers comprehensive HR solutions in one cloud platform, so you don’t need to juggle multiple tools.
Scalable for global enterprises
The platform supports multiple currencies, languages and country-specific regulations, while also offering a modular architecture that enables adaptability to evolving HR needs. Therefore, it is ideal for organizations that want to scale globally.
Strong analytics and compliance features
The platform provides robust analytics and reporting capabilities, enabling HR leaders to gain valuable insights into workforce trends, talent gaps and performance indicators. Additionally, it includes compliance tools to ensure operations comply with GDPR, HIPAA, and other important regulations.
Integration with the SAP ecosystem
SuccessFactors seamlessly integrates with existing SAP systems, such as S/4HANA or SAP ERP, creating a seamless ecosystem to ensure seamless data flow between departments when managing finance, payroll and other functions.
Key Considerations for SAP Success Factors
Despite its advantages, SAP success factors also have some drawbacks that you should be aware of before making a decision.
High cost of ownership
The platform requires a minimum contract size of 1000. Combined with the per-employee rate, SAP Success Factors pricing plans tend to be more expensive. Implementation and ongoing support can add significantly to these costs, which are much higher than mid-market alternatives.
Complex implementation process
While this platform can be complicated to implement initially, experimentation, careful planning, and a clear rollout strategy can take months or even years.
Best suited for businesses
Small businesses and local teams may find this platform overwhelming, given its many features and high price. Because the platform is designed for large enterprises, small businesses may need to use multiple vendor solutions to meet their specific needs.
Dependence on external consultants
Platform complexities often lead companies to hire third-party consultants for effective implementation, ongoing support, and customization of features to meet specific needs.
How to Choose the Right SAP Success Factor Plan
Choosing the right SAP Success Factors pricing plan for your business depends on some action on your part.
Identify the essential modules for your business
Determine if you need core HR and payroll modules, analytics, learning and development, or workforce planning. Understanding your essential needs will help you choose the right plan for your budget.
Assess employee headcount and regions
As the platform follows a per-employee pricing structure, carefully review your active head account to select the right plan. If you have regional teams, additional compliance and licensing can add to your monthly costs.
Ask about bundle packages and discounts
You can reach out to their sales team to discuss addons and discounts. Negotiate for the best rates and consider possible bundle options for the most cost-effective plan.
Compare with alternatives
Finally, it is important to compare the top alternatives, especially for medium-sized organizations. Consider checking out competitors like Workday and Oracle HCM. Check out their features, user experience, monthly costs, and integrations to determine which option best suits your business needs.
Questions
The base price of SAP Success Factors for each employee is $18/month. Depending on the add-ons you choose, this price may vary.
The minimum contract size for SAP Success Factors is 1,000, starting with its base plan.
Although SAP indicates a basic pricing plan, there may be a lack of transparency regarding add-ons. Consequently, you need to request a quote for budgeting based on your workforce needs.
No. SAP Success Factors come with premium pricing due to the additional costs of per-month, per-employee structures and add-ons. This is generally not affordable for medium or small businesses.
Platform costs are hidden, such as one-time implementation fees, data migration fees, implementation consulting, and ongoing maintenance or support, which are added to the basic monthly subscription price.
