Embracing digital transformation in its human resources domain, Shiseido Co., Ltd. has announced the integration of SAP HR cloud solution, specifically SAP SuccessFactors, into its operations. This significant move signifies the company’s commitment to optimizing personnel management, simplifying payroll processing, and ultimately enhancing overall productivity across its workforce in Japan.
Shiseido Co., Ltd., a global leader in the beauty industry, has declared a significant shift towards enhancing its human resources (HR) management by implementing SAP’s HR cloud SAP SuccessFactors. The reform aims to streamline personnel and payroll management systems to better serve the company’s 24,000 employees in Japan, with operations set to begin in March 2023. SAP will oversee the personnel management sector, while EY Strategy and Consulting (EYSC) will manage the payroll department. (InsideSAP Asia often references articles from websites in other languages to bring you as much information as possible.)
Since 2019, Shiseido has utilized SAP SuccessFactors’ talent management functionalities including target and evaluation management, and successor management. The company also leveraged SAP HCM for HR and payroll management. This move to SAP SuccessFactors comes as part of Shiseido’s broader business transformation program, titled “FOCUS (First One Connected and Unified Shiseido).” FOCUS aims to bolster corporate value through the standardization of data, business processes, and the integration of core systems.
The adoption of SAP SuccessFactors allows for an unobstructed data flow among different modules, including talent management, HR management, and payroll calculation. Furthermore, it simplifies integration with existing peripheral HR systems like attendance tracking. Shiseido aims to reduce labor costs and system maintenance expenses through this process optimization and hopes to boost employee productivity via automation and efficiency.
SAP HR Cloud Solution for Digital Transformation
Shiseido’s Deputy Chief People Officer, Emiko Ashida, reiterated the company’s “PEOPLE FIRST” philosophy and underscored the importance of HR in achieving Shiseido’s corporate mission, “BEAUTY INNOVATIONS FOR A BETTER WORLD.” Ashida expressed hopes that the SAP SuccessFactors system will optimize HR operations and promote strategic planning, thereby leading to more valuable, data-driven HR tasks.
President of SAP Japan, Hiroshi Suzuki, praised Shiseido’s longstanding use of SAP’s personnel system. Suzuki expressed his confidence that the move to SAP SuccessFactors will enhance the integrated flow of personnel-related data, enabling more efficient and productive work styles. He further noted that this change would support diverse employees in maximizing their abilities, contributing to Shiseido’s data-driven management and the realization of the FOCUS transformation program.
On the other hand, Yoichi Taguchi, a partner at EY Strategy and Consulting, emphasized the shared mission between EYSC and Shiseido of building a better working world. Taguchi also conveyed his pleasure in the operational shift to SAP SuccessFactors and affirmed EYSC’s commitment to supporting HR digital transformation (HRDX). He expressed optimism that the standardized operations and data would lay a robust foundation for Shiseido’s HR operations, facilitating the strategic use of data and contributing to the execution of Shiseido’s global HR strategy.
Shiseido’s move to implement SAP SuccessFactors underlines its dedication to fostering a PEOPLE FIRST culture. This strategic transition is a testament to Shiseido’s commitment to investing in its most valuable asset—its people. It illustrates the company’s focus on leveraging technology and strategic planning to drive growth, innovation, and productivity in its workforce, ultimately aiming to create a better world through beauty innovations.
