4/18/2014

SBI accrues annual savings of Rs 400 crore with HRMS implementation - InformationWeek IT news & articles

SBI accrues annual savings of Rs 400 crore with HRMS implementation

InformationWeek, December 5, 2013 Spearheaded by S.K. Mishra DMD and CIO, SBI, the HRMS project has released a significant quantum of manpower at SBI previously engaged in mundane manual tasks and has significantly brought down the paper work
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4/18/2014

SBI accrues annual savings of Rs 400 crore with HRMS implementation - InformationWeek IT news & articles

When the State Bank Group began rolling out its HRMS project, the overall objective was to centralize and automate the banks entire HR process, leveraging technology in the domain to unleash the potential of its workforce of 290,000 employees across 21,600 branches and 182 foreign offices. The project aimed to automate the entire HR process right from recruitment to retirement. Though initially started with payment of salary, more and more services have been brought under the ambit of the system over time. Services like reimbursement, Provident Fund (PF) reimbursement, annual appraisal reporting, performance appraisal, leave and attendance, tour approval, online guest house booking etc., have been released. From the management perspective, HRMS is helpful in providing MIS data on a real-time basis, which has helped in faster, informed decision making. An HR Dashboard has been made available to various departments, which provides HR-related details like present assignment, present grade, etc. This data is available along with analysis on retirement/recruitment, administration, hierarchy, and cluster-wise analysis, which eases the job of policy makers in taking administrative decisions. Innovations have been added overtime to better leverage automation. For instance an interface has been developed with the core banking system (CBS), which helps in the verification of employee credentials. More than 75 percent employees of the bank are CBS users in various capacities. The creation/ deletion/activation/de-activation of users in the CBS prior to HRMS were done on the basis of manual requests received from the offices. The HRMS now takes care of this issue, deactivating CBS access when an employee retires, automatically. The Banks Email Service (EMS) has also been integrated to the HRMS for this purpose. All employee financial claims, including salaries and all type of reimbursements are processed through the HRMS. The number of such claims processed is around 15 lakh every month. Automation of PF settlement has paved the way for easy settlement of terminal benefits to employees on their date of retirement itself. Earlier SBI was out of funds to the tune of Rs 225 crore at any moment due to PF settlement. With the new HRMS, instant settlement ensures the release of these funds for the business. HRMS now ensures that a standard set of rules are applied across geographies and the HR policy is uniformly implemented, bringing transparency. A unique Help Portal is made available to get updated information at one place like FAQs related to services available, approved hospitals, guest houses/ holiday homes, entitlements, circulars, service rules etc. The project has released a significant quantum of manpower previously engaged in routine, mundane manual tasks. The HRMS project has also helped in ensuring the optimum utilization of banks infrastructure like training centers and guest houses etc. Among other innovations, approvals for leave and tours can be done through mobile phones/iPads by the controllers who are busy or on the move. The HRMS project has reduced paperwork significantly. SBI intends to bring all HR functions under the ambit of the HRMS system in days to come. Taking a cue from State Bank of India, 5 Associate Banks viz. State Bank of Bikaner & Jaipur, State Bank of Hyderabad, State Bank of Mysore, State Bank of Patiala and State Bank of Travancore have shifted to the HRMS platform. SBI gains due to sharing of cost and associate banks use the total infrastructure at a nominal cost, without spending much efforts on developments, testing and roll outs. HIGHLIGHTS Estimated annual cost savings of above Rs 400 crore for the entire bank Additional Rs 225 crore freed up for business by bringing efficiency, shortening turnaround time for PF
http://www.informationweek.in/informationweek/case-study/286577/sbi-accrues-annual-savings-rs-400-crore-hrms-implementation 4/11