human resources & payroll process flowchart 1
Post on 04-Jan-2017
231 Views
Preview:
TRANSCRIPT
`
Human Resources & PayrollProcess Flowchart
Human Resources & PayrollProcess Flowchart
1. HR & Payroll – Staffing L6 to L11
2. HR & Payroll – Hire Personnel
3. HR & Payroll – Terminate Employees
4. HR & Payroll – Time Recording
5. Performance Management
6. PMP – Salary Increase
7. PMP – Bonus
8. C&B Process – Job Evaluations (JE)
9. Vacation Processing
10. HR & Payroll – Payroll Data Maintenance
11. HR & Payroll – Payroll and Payment
12. Accounting and General Ledger
1 – HR & Payroll – Staffing L6 to L11 Process Flowchart TA
Tea
m
C&
B M
an
ag
erH
irin
g M
an
ag
er
A
Start Yes
No
FHR Sends the job description and sends it to TA to post the vacancy on
“My Possibilities”
Headcount Planning in AOP or People
Planning (ad hoc hiring are also in place )
Is it new position or current role
change?
Hiring Manager completes a “Job Evaluation Form”, which outlines in detail
the job and the candidate skill requirements and sends It to FHR Manager
Job Evaluation
process
Job assessment is done by C&B if it does not exist in grid.
FHR Sends to TA team every Tuesday HC Authorization
Spreadsheet to get the Region/Sector approval to Post the job
HC Authorization Spreadsheet
Yes
The open position is posted for 10 calendar days on My Possibilities for Level 6+ To L11 after ensuring
that all necessary documents were received from FHR Manager
Were there any internal applicants?
TA Team review the applicant eligibility with C&B Team and the employee’s (internal applicant) FHR Manager. Further screening is conducted prior to
communicating the final list to FHR Manager. LOR is sent to rejected candidates at this stage
FHR receives the list of eligible applicants for interviewing and forwards accepted candidates
to the hiring Manager. FHR sends LOR to rejected internal candidates and Staffing sends
LOR to rejected external candidates
L10 & L11 external candidates will be required
to complete SHL Online Assessment
TA Manager gets the approval of the jobs from
Region/Sector
Is candidate suitable for The
job?
TA team starts/resumes external searchTA team will conduct phone screening
for external candidates
NOYesFHR Manager informs TA of
accepted candidate (For Internal and external candidates)
TA Team initiates LOU request to C&B Team (For Internal & external
candidates).
NO
FHR Signs LOU from responsible HR Director and Communicates
LOU to candidate
NEA Compensation Asst. Manager prepares LOU according to Compensation guidelines and NEA Compensation Manager reviews
LOU before sending it to FHR
NEA Compensation Asst. Manager sends LOU as PDF format to responsible FHR
011EGHRPHRSTMS(Supporting)
Selected candidate signs LOU and FHR infroms personnel to
update the employee’s personal file and system file
Did selected candidate accept
LOU?
Is this an internal candidate?
FHR informs C&B and TA to close the vacancy
NO
Yes
Yes
NO
1
2 – HR & Payroll – Hire Personnel Process Flowchart P
erso
nn
el S
pec
ialis
tH
R D
irec
tor/
FHR
/P
erso
nn
el
Spec
ialis
tN
ew H
ire
Pa
yro
ll Sp
eca
list
A
Start
Candidate is required to pass a pre-employment medical check-up and
submit hiring documents and experience certificates for issuing an
employment contract
END
1
Personnel Specialist prepares a contract of three copies, assigns an employee number
to the new hire and initiates the “CRT Form” including job details, salary, level
and date of employment
CRT Form
Approved LOU form is attached to the CRT form
(*1)
Social Insurance & Labor Office documents including a copy of the employment
contract are prepared by the Specialists and sent to Social Insurance Authority/
Labor Office after signing
All new hires are required to sign an employment contract and Code of Conduct within two weeks from
starting date. The employment contract is also signed by HR after the employee completes the mandatory hiring documents. Employment Contract and Code of Conduct
are kept in employee’s personnel file.001EGHRPHRHPMK
Specialists record new hire data except salary
(All employee data except payroll)
Payroll Specialist records the new hire salary on
INTERCOM (Payroll and Benefits data)
INTERCOM(*2)
INTERCOM(*2)
END
(*1) - On-boarding schedule is prepared and HR policies are accessible to all relevant employees.(*2) - Access to the payroll master file is restricted And only authorized users have access to Payroll master file based on on management authorization
with proper SOD (002EGHRPHRHPMK)
3 – HR & Payroll – Terminate Employees Process Flowchart FH
R/P
erso
nn
elC
&B
/Pa
yro
ll Sp
ecia
list
Dep
art
men
ts/E
mp
loye
e
A
StartEmployee or
company request the termination
Has the employee left at his own
will?
Personnel Manager notifies labor court with management decision and investigation results to avoid
any future financial obligation
Is dismissal based on legal investigation?
NO Yes
Termination Request
Employee writes termination
request and signs
Yes
Personnel Manager notifies the employee in writing that contract will not be
renewed
NO
Personnel controls the form and sends it to employee to take it to relevant departments (Finance,
IT & Administration)
Clearance FormRelated Personnel Team
coordinates the approval process of “Clearance Form” & Social
Insurance documents
FHR conducts exit interviews for employees leaving
voluntarily
Personnel Manager initiates “Discharge Memo” indicating the
effective date of employee’s dismissal from the company
NEA Compensation Manager calculates the severence pay, if any, and any other payments, if applicable and gets the
approval of the responsible HR Director
Financial Controller reviews calculation and the supporting documents before issuing the
cheque to the employee and sends approval by email to NEA Compensation Manager
NEA Compensation Manager sends To FHR Manager and
informs MU Financial Controller of the calculation
The terminated employee is deactivated from the payroll system (termination date is
entered to the system)
Social Insurance Specialist informs the Social Insurance Authority to
terminatE employee’s social insurance duration
Payments are made to the terminated employee separately not
during monthly payroll payments
FHR Manager informs Payroll Manager & Personnel manager
Monthly Notification is sent to IT, Administration and Security teams to revoke system and
physical access rights from resigned, terminated and dismissed employees
012EGHRPHRTEMS (Supporting)
END
END
END
4 – HR & Payroll – Time Recording Process Flowchart Em
plo
yee’
s Su
per
viso
rP
erso
nn
el S
pec
ialis
tEm
plo
yee
Scope: Non-sales Staff
Start
END
Employee fills out the “ Leave Request Form”
Employee signs at the security and notifies the supervisor who confirms
employee’s attendance
Employees swipe timecard at the beginning & end of
their work day
Leave Request Form
Time keeping data is extracted to an excel sheet
Did employee forget to bring or swipe the card?
Vacation process
Yes
NO
Shift Attendance Sheet including hours
worked
“Shift attendance sheet” including absent employees is prepared by Supervisor and sent to Personnel Specialist with all forms
(overtime forms etc.)
Overtime Sheets
At the end of the month, overtime sheets are approved by department manager and immediate manager
Payroll Process
Checks the attendance record data against approved Shift
attendance Sheets, and forms
Personnel specialist corrects or edits the attendance record indicating cause of
change based on approved documents
Does attendance record need to be corrected or
edited?
Monthly follow-up “Form2”
Once all aproved edits have been keyed into the monthly follow-up excel sheet “Form2” and open exceptions items have been resolved, the monthly
follow-up sheet “Form2”is ready to be processed to Central Payroll
Personnel Specialist receives daily attendance records and
exceptions and update the monthly follow-up excel sheet
Yes
NO
END
No “Start”
5 – Performance Management Process Flowchart O
BJE
CTI
VE
SETT
ING
Top
-do
wn
-ap
pro
ach
MID
YEA
R
REV
IEW
(M
YR)
YEA
R-E
ND
PER
FOR
MA
NC
E D
EVEL
OP
MEN
T &
FO
CA
L P
OIN
T R
EVIE
WR
EVIE
W
Employee / Employee’s manager / FHRs
Start
OMD ensure that ALL English Speaking L6+ employees have completed their objectives on the system. FHR Managers ensure that
all Arabic Speaking L6+ have completed their objectives. FHR Managers ensure that All L6+ English Speaking employees who were hired after the deadline of objective setting were added to MyAccess
and OMD ensure that they have completed their Objective 004EGHRPHRPMMK
English Speaking L6+ Employees upload PDR on myAccess while L6+ Arabic
Speaking employees send PDRs (word doc) to FHR Managers via email and
manager sends PDR to FHRs
Each director cascades Department objectives to his/ her direct reports and agree on their objectives
L10+ managers cascade Dept. objectives to their direct reports
and agree on their objectives
L6+ managers cascade Dept. objectives to their direct reports
and agree on their objectives
Manager and Employee meet to discuss YTD performance and
any changes to objectives taking place during MYR
Employee Adds self input of progress against
each objective
After getting alignment of Manager, employee reflects the changes on
doc. and Manager adds his/her comments where necessary.
English speaking L6+ employees submit MYR on system (MY Access) and Arabic Speaking L6+
employees complete their comments on Word Doc and send PDR to direct managers & FHR Managers
Final list of PDR ratings
FHR Manager reviews PDRs and Ratings and -if required- meets with Employee’s
direct manager on PDR quality and calibration of performance ratings
Executive Committee (OMD, Super FHR, Function Heads, and GMs)
meet to calibrate a selected sample of PDRs as per OMD criteria
Employee adds YE self input, reviews with direct Manager and submits it
on MY Access System
Manager reviews employee self input,
provides comments and proposes ratings
Super FHR Manager reviews PDRs and Ratings and meets with Function
Director on PDR quality and calibration of performance ratings
Second level Manager reviews ratings and confirms PDR to be
routed to direct manager for final rating confirmation and submission
to the employee
OMD communicates to Direct Managers to confirm YE Manager Review to be
routed for second level manager for approval
OMD Sends final list of PDR ratings to C&B team to prepare Comp. Letters
Compensation Manager calculates the merit and other salary increases/adjustments, reviews the data with NEA C&B Manager,
obtains the approval of BU HRD for the changes and any exceptions and issues the Comp. Letters and then sends them to FHR Managers
For Arabic Speaking L6+ employees, FHRs provide Managers with Compensation
Letters with final ratings including a disclaimer confirming that employee has
reviewed manager’s comments
Manager and employee meet for PDR discussion.
Manager & Employee Signs Comp. Letter and sends signed original to FHR
Manager
FHR Sends Comp. Letters to Personnel to be kept in
employees’ files
Signed Comp. Letter
OMD monitor if focal point review process is complete and signed PDRs are sent back to HR
004EGHRPHRPMMK
Final Salary List
Payroll Processing
After PDR discussion with direct manager, English Speaking L6+ employee, signs PDR Form on My
Access system
END
6 – PMP – Salary Increase Process Flowchart M
ark
etin
g &
Pla
nn
ing
Tea
ms
Ma
rket
ing
Te
am
A
Start
END
Salary Ranges/ Merit Matrix
Salary structure / Merit matrix (Level Ranges, principles of C&B) is approved by region
and sector
Salary Analysis including expected inflation rate for current and next year, company and market data is performed by NEA C&B Manager
Is increase for L6+
Merit increase as well as guidelines are passed on to FHR
Managers for completion of promo and equity in accordance
with set guidelines
Compensation & Benefits manager prepares the merit increase, promo and equity tool and NEA C&B
manager reviews it. Merit Increase percentage is determined by either government special increase
and/or merit matrix; whichever is higher
FHR Managers review the file including the titles, levels, increases,
etc. to ensure that all changes are made as per set guidelines
Compensation & Benefits Manager checks requests for
promo and equity and ensures alignment with set guidelines
NOFinal list of PDR ratings
& Merit Matrix Yes
Compensation & Benefits Manager ensures alignment with set budget for merit increase and present final outcome to Mgmt
team for approval
Compensation & Benefits Manager sends final salaries To Payroll team ccing MUs GM to reflect changes to
the Payroll System
Payroll enters the newly approved salaries to the system and sends the final version to
Compensation & Benefits Manager ccing NEA C&B Manager and MUs HR Directors
Compensation & Benefits Manager reviews the Payroll report versus the merit file to ensure that all changes
were reflected accurately and sends approval to Payroll ccing MUs HR Directors and NEA
Compensation & Benefits Manager
Payroll obtains the approval of MU HR Director to transfer
the salaries to the banks
New Compensation Letters
Individual merit payments are processed.
Letters are delivered to FHR Managers to deliver
them to employees
Compensation & Benefits Manager obtains the salary change audit report in March (L6+) and July (L5-) and compares it to the final approved updated increases
005EGHRPHRPMMK
Compensation & Benefits Manager issues Comp. Letters with the new salary changes
7 – PMP – Bonus Process Flowchart P
ayr
oll
C&
B D
epa
rtm
ent
Bonus
Start
END
Compensation & Benefits Manager prepares the Final
bonus list for all L6+ employees
Payment Process
NEA C&B Manager reviews the final bonus list and BU
HR Director approves it
Compensation & Benefits Manager calculates the bonus amount for Level
6+ employees in line with management bonus policy
Final list of PDR ratings
Bonus Guidelines
Payroll sends the final list to NEA Compensation Manager for review before sending the
file bank
NEA C&B Manager sends the final bonus list to Payroll to update the
system
Payroll Updates the system with the final approved
bonus and sends the file to C&B for review
Compensation & Benefits Manager approves the final file and confirms to Payroll
to send to the bank
Payroll sends the final approved file to the
bank
8 – C&B Process – Job Evaluations (JE) Process Flowchart FH
Rs
C&
BD
epa
rtm
ents
Reg
ion
/BU
A
Start
END
Identify need to evaluate existing Job and/or newly
created job
Review job evaluation format to ensure that all job accountabilities &
job dimensions are covered
Compensation & Benefits Manager conducts individual job interviews/
assessment with the FHRs
Evaluate jobs using the Hay tool
finalize JE
L9- JE is approved by the BU, L10 / L11 are only sent to Region for review and
approval. Band1+ jobs are sent to Region to complete JE process and approval
JE is approved
Job will remain at same level
Line Manager completes a “Job Evaluation Form” which outlines in
detail the job and candidate skill requirements and sends it to FHRs
Communicate final approved job level to
the FHR
Compensation & Benefits Manager ensures in Q2 & Q4 that proper
approvals have been obtained for job evaluations
006EGHRPHRJEMK
Yes
No
9 – Vacation Processing Flowchart P
erso
nn
el S
pec
ialis
t P
ayr
oll
Dep
arm
ent
Emp
loye
e/Em
plo
yee’
s M
an
ag
erA
StartEmployee Manager approves the form
manually
Employee fills out the vacation form
manually
Vacation Form
Personnel specialist In each location enters vacations to The HR System (INTERCOM) for each
employee manually By end of the month
On a quarterly basis, Payroll Specialist/ Manager sends accrued vacations by cost
center to GL
Based on updated vacation balance for each employee, accrued vacations are calculated quarterly and do not include
future vacations
Accounting and General Ledger
Personnel Specialist generates vacation report
Employee delivers approved form to the Personnel Specialist
On a monthly basis, the HRSS Payroll Quality Assurance Manager checks the calculation of vacation days. Quarterly, the related accruals
are calculated automatically by the system and sent to Finance016EGHRPHRVPMK
Based on labor law, vacation balance is settled every 3
years or according to company rules
Time recording process
Time records show absence of
employee On a monthly basis the location (HO, Plant or DC) Personnel Head/Manager checks
accuracy of vacation records and ensures that they are accurately reflected in the HR
System007EGHRPHRVPMKAt the year end, Personnel specialist Adhere to the
year end closing date (10Jan) and all received vacations related to last year must be recorded to
HR System before the closing date.
END
Start
10 – HR & Payroll – Payroll Data Maintenance Process Flowchart C
&B
/Per
son
nel
/P
ayr
oll
Spec
ialis
tC
&B
/ F
HR
s /
ITD
epa
rtm
ents
/HR
Emp
loye
e M
ng
.H
R M
ng
.H
R D
irec
tor
A
Start
Personnel Specialist enter/ update the records based on
the personnel change request in INTERCOM
Management review and approval of personnel data change request
in line with policies and procedures
Personnel Change of Status Form
C&B updates/approves the personnel salary data in
accordance with position level and salary scale
Requestor or HR department initiates the related form for the change of
employee data ( e.g promotion, termination, new hire, transfer etc.)
Payroll Specialist updates the employee Salary Data
002EGHRPHRHPMK
Need identified to change employee
data
Is it salary related ?
Yes
NO
Master File edit change report is printed and
reviewed
On monthly basis Compensation & Benefits Manager extracts Salary Changes Audit report from the system
and reviews changes for L6+ and L5- employees against the related supporting documents
008EGHRPHRPDMK
On annual basis, BU HO Personnel Manager reviews employee master file against most
recent time records and approved attendance to ensure employee existence
014EGHRPHRPDMS
Comply with NEA confidentiality guidelines
INTERCOM(Payroll and
benefits data)
11 – HR & Payroll – Payroll and Payment Process Flowchart C
entr
al P
ayr
oll
Fin
an
ce
A
Start
Bank net payment list is generated by the system
Payroll Manager runs the payroll calculation. The payroll system automatically calculates payroll
PMP- Salary Increase
MU Finance Controller and second authorized signatory’s approval of bank net payment list before the transfer is
made to bank
Salary increase report is entered manually to
INTERCOM
Payroll enters the time records and additions/
deductions to INTERCOM
Payroll receives files for time records and payroll
deductions/additions from locations
Payroll Analysts review data entered to the system and payroll manager opens
wrong entries only for correction003EGHRPHRPPMK
Management review and sign off by Payroll Quality Assurance Manager of gross to gross reconciliations in addition to review of gross to net reconciliation
and comparing it to the final bank transfer009EGHRPHRPPMK
Payment is executed
Payroll slips are generated from the system by the Payroll Operations
Manager and provided to all employees to support pay receipt
Biannually checks are performed by the tax consultant to make sure that the salary tax is properly calculated
and deducted from employees010EGHRPHRPPMK
INTERCOM(Payroll and
Benefits Data)Start
12 – Accounting and General Ledger Process Flowchart
Pa
yro
ll Sp
ecia
list
Per
son
nel
(Co
mm
issi
on
P
aym
ents
)
Fin
an
ce a
nd
C
&B
Ma
na
ger
(An
nu
al B
on
us
Acc
rua
l)
Pa
yro
ll &
GL
Tea
m(U
nu
sed
Va
cati
on
A
ccru
al)
GL
Tea
m
Payroll JournalGL Payroll Journal
Payroll JournalPayroll Journal is
generated by the system per cost centers
Payroll and Payment Process
Payroll Operations Manager sends the
Payroll Journal to IBM
Start INTERCOM(Payroll and
Benefits Data)
SAP GL
Payroll Data is uploaded to SAP and
journal is created in GL
Management review and approval by GL Manager of INTERCOM
Payroll Journal, and Payroll Summary against GL
END
Annual Bonus accrual is calculated whenever a change
in the bonus matrix occurs
Salesperson commissions calculation is approved by Regional Sales Director in
PCE and in CFI by Sales Director
Calculation is sent to GL Department via e-mail (MS Excel
format on the basis of cost centers)
Bonus accrual calculation is prepared by finance based on planned % and C&B is notified
Sales Objectives are sent on a monthly basis to the Commission
Specialist in CFI and PCE
Commission Specialist calculates commission based on actual results
received from Finance
Payroll and Payment Process
Vacation Processing
Manual Journal entry is processed for vacation accrual by GL Manager
Manual Journal Entry is processed monthly for Bonus
accrual by GL Manager
Manual Journal Entry is processed monthly for Commissions Accrual
by GL ManagerStart
Management review and approval by GL Manager of manual journal entries
of accruals relating Employment Payroll (unused vacation, bonus, commissions)
END
top related