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Rostelecom Reinvents HR, Fast-Forwards Digital Transformation Company-Wide

Feature Article | March 14, 2017 by Susan Galer

After a series of mergers quadrupled Rostelecom’s employee population to over 140,000, the Russian-based telecom provider addressed the daunting challenge of modernizing a complex environment of disparate HR systems.

Using SAP SuccessFactors solutions, Rostelecom is introducing digital HR services directly supporting employee recruitment and development that will help achieve its transformation to digital services and platform leadership in Russia.

“Our HR strategy is based on the assumption that a huge company like ours can’t be flexible and agile without agile HR processes and talent management. Our customers need digital services, so we made that our internal working principle as well,” said Nikita Cherkasenko; Head of Assessment, Training, and Development at Rostelecom. “We chose SAP SuccessFactors solutions for their flexibility and innovativeness. When you buy SAP SuccessFactors solutions, you also buy into SAP’s cloud vision and market leadership.”

Rostelecom is already seeing results from bringing in SAP SuccessFactors solutions including SAP SuccessFactors Employee Central, SAP SuccessFactors Performance & Goals, SAP SuccessFactors Succession & Development, SAP SuccessFactors Compensation, SAP SuccessFactors Recruiting, SAP SuccessFactors Onboarding and SAP SuccessFactors Learning.

Having equipped managers with personal goals and career plans in sync with overall organizational objectives, decision-makers at Rostelecom expect to achieve 30 percent time savings from streamlined performance management processes – covering the entire implementation costs. Following the introduction of SAP SuccessFactors Recruiting, most of Rostelecoms’ new-hires have brought the digital skills needed to meet the company’s growth objectives. Here is how the company is making this incredible transformation.

When you buy SAP SuccessFactors solutions, you also buy into SAP’s cloud vision and market leadership

Common Platform Turbo-Charges Top Talent Recruiting  

Rostelecom began its transformation journey with SAP SuccessFactors Recruiting. Centralizing processes on a common platform eliminated complex, time-consuming manual steps.  For the first time, hiring and recruiting managers have the same set of competencies and criteria for assessing candidates, making the entire process much more transparent and effective while enabling the company to attract better candidates. Just as important, the software helps Rostelecom attract more qualified candidates with critical digital skills.

“We used to have issues recruiting candidates, and then having to send them back to the market,” said Cherkasenko. “We have dramatically increased the number of competencies we gain with new candidates.”

Nikita Cherkasenko, head of Assessment, Training, and Development at Rostelecom, explains in the above vide, how easy-to-use digital HR services are critical to his company’s market leadership. 

Data Transparency Increases Employee Trust, Engagement

In a country as large as Russia, having a clear overview of employee capabilities can make all the difference.  Skills that a manager in Siberia has might be needed in St. Petersburg or vice versa. Rostelecom is using SAP SuccessFactors Employee Central to build one database that delivers this level of transparency.

“Senior managers and key employees drive 80 percent of the business, so we needed more precise job profiles for them. We can now manage their careers and performance in a more sophisticated way,” says Cherkasenko.

Employees can view this kind of change with suspicion. That’s not the case at Rostelecom. When the company announced the launch of SAP SuccessFactors and preparations began, there was already a 13 percent increase in employee engagement compared to 2014.

“Once we fully implement all the solutions, we expect to see the next increase in involvement and satisfaction,” noted Cherkasenko.

Learning Full Speed Ahead

With 73 training centers across the country, Rostelecom’s priority moving forward is to improve employee learning opportunities. Rostelecom plans to replace previously disconnected, manual approaches with SAP SuccessFactors Learning to organize, store, and deliver training more effectively.

“We have a lot of catching up to do in training,” said Cherkasenko. “The most important goal for the nexttwo years is to train more people in digital services, agile software development, and project management.”

With SAP SuccessFactors, management now has the simplified, standardized HR processes employees and managers need to reach company goals.

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