SAP’s global cloud momentum continues to thrive as demonstrated in the tech giant’s recently released 2022 First Quarter Financials, reporting double-digit growth in both cloud revenues and current cloud backlog. In Korea, the German software enterprise’s multi-cloud strategy was reinforced last year with the unveiling of SAP’s first data center in the country to address the growing demand for cloud solution services.

Most recently, SAP Korea has forged several collaborative partnerships with both private and government sectors to promote cloud adoption. Following the joint partnership with Microsoft and Doosan for the development of the “Delightful Digital Workplace”, which will integrate the tech firms’ solutions including SAP Sales Cloud and SAP S/4HANA, SAP Korea has reinforced its alliance with Naver Cloud for a public sector summit and with the Korea Chamber of Commerce and Industry for the digital training programme of the Ministry of Employment and Labor and the Vocational Competency Review and Assessment Service.

SAP in Korea Advancing the Public Sector’s Cloud Adoption

In October 2020, SAP Korea and Naver Cloud has established a strategic alliance for public cloud collaboration to support the South Korean government’s transformation into an “intelligent government” leveraging SAP S/4HANA and SAP HANA solutions on the Naver Cloud platform. Almost two years after the agreement, the two companies reinforced their pledge to back the government’s transition to the cloud by hosting the Cloud Transformation Summit on the 29th of April. (InsideSAP Asia often references articles from websites in other languages to bring you as much information as possible.)

The event was centred on fostering the public sector’s private cloud adoption and transition to SAP ERP cloud to keep pace with today’s ever-changing market landscape. The summit was held a month after the announcement of the Ministry of Public Administration and Security to accelerate cloud computing conversion, including policies and guidelines that align with the current market and post-COVID environment.

Kim Tae-chang, Executive Vice President of Naver Cloud’s Cloud Business, explained that the summit hosted by Naver Cloud and SAP Korea intends to support domestic public institutions’ seamless transition to the private cloud to enable them to efficiently and effectively respond to fast-changing market requirements.

“The era has come when organisations, whether corporations or public institutions, must have digital capabilities that can respond flexibly to situations such as the Coronavirus,” he emphasised.

“It is very encouraging that SAP Korea collaborates with NAVER Cloud, which has received KISA certification, to present a model that enables public institution customers who are currently building and operating SAP ERP to implement a private cloud-based ERP system,” said Sang-il Yoon, Head of SAP Korea’s Public Service Division. “SAP Korea will actively support the digital transformation of Korean public institutions by providing cloud-based solutions such as SAP BTP and Rise with SAP based on its experience in supporting the digital transformation of various domestic companies.”

The summit was graced by SAP Korea CEO Shin Eun-young, who gave the opening remarks; Yoon Dae-kyun, a professor of software at Ajou University, who gave a keynote speech on ‘Suggestions for Revitalising the Public Sector’s Cloud’; and Min-seok Kang, Deputy Director of Naver Cloud’s Public Works Department and Hyeong-cheol Kang, SAP Korea partner, who both presented each company’s cloud strategy to support the public institutions.

SAP Young Next Cloud Academy

In collaboration with Korea Chamber of Commerce and Industry and through the K-Digital Training Programme by the Ministry of Employment and Labor and the Vocational Competency Review and Assessment Service, SAP Korea will be launching the SAP Young Next Cloud Academy, a completely free, hands-on cloud-based education programme.

To be held 5 days a week from the 20th of June to the 9th of December, the 6 -month project -oriented training course will be taking in 125 participants from the Seoul area and 25 from the Busan area. Supported by veteran active-duty consultants as programme instructors and mentors, the participants are expected to learn about:

• Developing various cloud-based applications leveraging PaaS-based cloud platforms
• Development of Private/On-Premise application for a hybrid cloud application harnessing PaaS cloud
• Utilise various platforms and development functions provided by the PaaS cloud platform 
• Develop applications operating in the actual cloud

“The goal of education and project mentoring provided by SAP is to nurture ready-to-use talents who can develop and operate software in various cloud environments after completion,” said Lee Hoon Kang, Vice President of SAP Korea’s Cloud Success Services Division. “In a self-study of people who have been employed after completing the talent nurturing project conducted since 2018, 90{aa282f308afcc222aaa21b0478c79e01a8fedd01972e2180867097bd93930f22} job satisfaction and 91{aa282f308afcc222aaa21b0478c79e01a8fedd01972e2180867097bd93930f22} practical fit of the curriculum were excellent. We will do our best to train experts in the domestic software sector by making full use of the experience and know-how it has accumulated.”

The deadline for programme application is on the 26th of May.

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During the CES 2022 event, which showcases breakthrough technologies and global innovators, industry leaders Microsoft and SAP joined Doosan in a panel discussion where they talked about the process of building the “Delightful Digital Workplace” to put people at the center of the experience by integrating Microsoft Teams with SAP’s suite of intelligent solutions, including SAP SuccessFactors, SAP S/4HANA, and SAP Sales Cloud. (InsideSAP Asia often references articles from websites in other languages to bring you as much information as possible.) The three companies worked on developing Doosan’s continuous performance management ability in a co-innovation project to ensure agility within the organisation, improve the overall employee engagement, and increase team collaboration globally.

Jill Popelka, President at SAP SuccessFactors, believes there has to be a change in company culture in order to respond to changes in the global work environment, such as the new hybrid work arrangement. Expounding on the recently launched platform, she said that the “Delightful Digital Workplace” highlights how technology can help to drive more people-centered working practices and increase workforce resilience.

“It will also help create a more personalised experience for employees, increase employee productivity and satisfaction, and foster a culture of providing feedback,” Popelka added.

Meanwhile, Mala Anand, Corporate Vice President of Customer Experience and Success at Microsoft, maintained that hybrid work allows for new levels of experience in both the traditional workplace and at home, but it necessitates a better employee experience across the board. In terms of Microsoft’s contribution to the development of digital workplace solutions, she explained:

“Microsoft supports collaboration and productivity improvement of its employees through collaboration and experience platforms such as Teams and Viva, while Microsoft and SAP provide innovation and insight through long-standing, trust-based cooperation.”

“Delightful Digital Workspace is playing an important role in fostering a high-quality employee experience,” Anand emphasised.

Internally, Microsoft also achieved a milestone in its HR department with the successful completion of SAP SuccessFactors Employee Central implementation in 109 countries last year. Running on Microsoft Azure, the SAP SuccessFactors solution is now the single HR platform for the multinational technology company’s 140,000 employees.

Doosan Develops the “Delightful Digital Workplace” with Microsoft and SAP

Doosan Group is one of several Korean companies that have deployed SAP human resource management solutions to unify its HR processes, achieve integrated talent management, and support data-driven workforce decisions. It is one of the first major corporations in the country to leverage the Human Experience Management (HXM) system of SAP SuccessFactors, in addition to other cloud-based solutions such as Microsoft 365, a subscription-based evolution of Microsoft Office.

In the CES 2022 conference, Myeong-Hwan Oh, Executive Vice President of Corporate Digital Strategy and COO of Doosan Digital Innovation Unit at Doosan, shared that the company created the “Doosan Digital Lean” to provide a digital-centric work environment that quickly responds to external changes and a set-up where employees can advance their work methods and experience.

As part of the partnership, SAP, Microsoft, and Doosan worked together to provide SAP SuccessFactors’ 24/7 performance management process and digital workplace solutions, and SAP Success Factors Work Zone, in an environment integrated with Microsoft Teams. According to Oh, the internal work environment within Doosan is enhanced through regular performance management using the “Delightful Digital Workplace”.

Furthermore, SAP focused on the adoption of user-centered innovation methodologies, application development, and user experience (UX) design during implementation. On the other hand, Microsoft concentrated on Microsoft Teams app development’s technical advice to deliver a better UX.

“Based on this experience, we will do our best to apply this experience to Doosan Digital Innovation’s external business to improve the employee experience of other companies,” Oh revealed.

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In an online press conference held on the 28th of April, SAP Korea CEO Lee Seong-yeol has highlighted that SAP SuccessFactors is used by more than 7,000 corporate customers globally. It has also been announced that businesses across different sectors in Korea — from large companies to small and medium-sized enterprises, not-for-profit organisations, and start-ups — have already introduced SAP human resource management solutions. This includes Doosan Group, KB Kookmin Bank, Hyundai Mobis, Amorepacific, Lotte Chemical, and Kakao Enterprise.

“As Korean companies have started to adopt cloud-based solutions in the past three years, our supply performance is growing rapidly this year and last year,” Lee shared.

Meanwhile, SAP SuccessFactors Domestic General Manager Park Se-Jin emphasised that SAP SuccessFactors is an integrated solution that effectively reflects the business needs of companies with flexibility and scalability supporting all aspects of HR. He further said:

“It is a global solution that can respond and is being used smoothly in Korea. We provide a stable and successful SAP SuccessFactors solution implementation and operation to our customers by establishing a support organisation made up of experts and implementation partners.”

Leveraging SAP Human Resource Management Solutions

SAP Korea also stated in the digital event that SAP SuccessFactors supports local payroll processing in more than 100 countries, including Korea. By strengthening its customised support for Korean companies, it has now established its position in the domestic HR solution market. 

As the first company to introduce SAP SuccessFactors in the country, Doosan Group deployed SAP human resource management solutions to achieve integrated talent management, unify its HR processes, and support data-driven workforce decisions. According to the Korean global conglomerate, it has also built a Human Experience Management (HXM) platform to provide optimal experiences for employees by additionally applying Qualtrics’ experience management module.

Meanwhile, KB Kookmin Bank is also carrying out a project to implement an HR platform. It is the first commercial bank in the country to embrace SAP SuccessFactors’ cloud-based HR solution. A representative from KB Kookmin Bank said that they have selected SAP SuccessFactors solutions based on its global standard of HR process innovation and commitment to improving employee experience.

Furthermore, Hyundai Mobis has been utilising the SAP SuccessFactors Performance and Goals Solution since 2019 while Amorepacific, Lotte Chemical, and Kakao Enterprise are all working on additional HR digital transformation projects after the successful introduction of SAP SuccessFactors to their organisations.

SAP SuccessFactors’ solutions that actively promote HXM-centered technical support by reflecting requirements specific to domestic customers have also been discussed in the online conference. General Manager Park explained:

“The latest artificial intelligence (AI) machine learning education recommendation function implemented in English will be supported in Korean from the major update next month. In addition, requirements specific to domestic customers are actively reflected in the solution. We will support the functions necessary for Korean customers and support them so that they can be included in the SuccessFactors standard platform.”

‘Close the Employee Experience Gap’ Survey Results

In the online press conference, SAP Korea also revealed the results of the “Close the Employee Experience Gap” study that was commissioned by SAP SuccessFactors, Qualtrics, EY, and Forrester Consulting in February.

The global survey of 900 full-time employees and 900 HR decision-makers suggested that employee experience is beneficial to the entire corporate business. It has been indicated that the number of HR managers who say employee experience is the most important aspect of their HR strategy has nearly tripled over the last two years.

HXM provides differentiated experiences according to the way employees work, aiming to help improve work engagement and performance. Emphasising that HXM, which considers human resources as the center of an organisation, is the future of HR innovation, CEO Lee said:

“SAP SuccessFactors is the best solution for businesses with high resilience. It is meaningful to share insights on global experience management and introduce HR digital innovation strategies based on this.”

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