PA, Personnel Administration, is where all the threads of Human Capital Management come together. The linchpin here is the personnel master record, which exists for every employee. This “digital personnel file” replaces paper-based procedures and ensures that all personnel data is available in an up-to-date form at all times.
In addition to general employee master data such as personnel number, name and address, information such as organizational unit (department), pay scale and pay scale group is stored. Each of these entries is assigned a validity period, creating a history over time.
This chronological assignment ensures a high level of transparency and traceability of changes. Overall, SAP HCM significantly relieves the HR department of administrative tasks, freeing up time for more strategically important tasks such as recruiting and personnel development.
An important personnel administration sub-module that is therefore worth mentioning is “Personnel Cost Planning and Simulation (PA-CP)”. Based on personnel master data, payroll results and other data sources, PA-CP enables transparent and systematic personnel cost planning.
In addition, various scenarios such as salary adjustments or staff additions and departures can be simulated. Restructuring of the organization can also be taken into account in the planning. Furthermore, the planning results can be transferred directly to Controlling (CO) as a basis for financial planning.