Introduction:

When we go live in SAP in middle of a financial year, we have some templates for uploading payments/statutory deductions etc. We need to follow some procedures and processes to correctly match the income-tax reporting of all the employees. Same way, when we implement time management (particulary absence quota/absence), we need to follow certain processes.

We also need to understand the terminology used in general & in SAP.

Terminology Used:

General Term                      SAP Term

1)Leave                         –>   Absence (IT2001)     

2)Leave Balance           –>   Absence Quota(IT2006)

3)Leave Encashment     –>  Time Quota Compensation (IT416)

4)Update Leave balance –> Time Quota Correction (IT2013)

Following are the important activities during the implementation of TM module:

From User side (or Client/Business/company):

1.List of Leave types and their characteristics.

2.List of Leave balances and their characteristics. (Some Leaves may not have balances like LOP – Loss of Pay etc.)

From Consultant Side:

1.Configuration of Absence Types

2.Configuration of Absence Quotas

3.Configuration of Quota Compensation.

Challenges in Mid-year:

In case of going live in beginning of a financial year, the client may usually have some reporting process on leave balances. In case of going live in mid-year, from the client side, we need opening balances of all the absence quota’s.

We generally use BDC or LSMW with templates of IT2006 & IT2013 to upload this data. When the number of employees are huge (say for example, 10 locations with 40,000 employees), then this process will be very complicated. So, we may needed to build some internal database and even write some small programs to create this intermediate opening balances of absence quotas using the client’s internal IT team. This may be required, if the client is not having a robust legacy leave accounting system (like SAP).

Is it possible to go-live with TM & PY with out complete Absence Quota generation process?

In some extreme situations, we may need to go-live with Payroll & Time management module with out quota generation configuration schema, due to the following reasons:

1.There are some leave polices are being revised by the client (internally), so they were unable to freeze the requirement on absence quota.

2.There is in-sufficient resource to provide exact cut-off leave balances (but client urges to go-live with other modules).

It is possible to go-live with TM & PY (with out Time Quota generation), but with the following limitations:

1.We must require absence records of un-paid absences (like LOP, unauthorised absences etc).This is required to correctly deduct the salary.

2.In case of Time quota compensation, we can use IT-15 wage types (and can be later adjusted with IT-2013 i.e time quota corrections).

Precautions to be taken by the client:

1.Once the client announces go-live of Payroll & Time with out Quota Generation Schema, they should test the quota generation thoroughly in a test system side by side and ensure that it is in-line with their requirements.

2.They also should ensure that, it is in-line with live system (once quota generation schema is completed and moved to production at later stage). We usually have some period for post-go-live support (say for a period of 1 year from the date of go-live). With in this time period, we must ensure that, the quota generation part is settled as per the requirements.

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1 Comment

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  1. sumit pradhan

    Hi

    Nice document !! 🙂

    There are quite a few documents on mid year go-live from payroll perspective.

    But I guess this is one of the first effort to points out the challenges for Mid year go-live from Time management perspective.

    (0) 

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