PEOPLE PROCESS · PROCESS MAP

What is Hire to Retire?

Explore how SAP supports workforce planning, recruiting, employment, development, time, pay, and eventual separation.

How the process works

H2R is the connected employee lifecycle from workforce design to a controlled departure. Each stage hands trusted data and clear responsibilities to the next, while effective dating preserves what changed, when, and why.

1. 01

   Plan — Workforce structures define where work belongs before a person is hired.

   Legal entities, business units, departments, jobs, positions, locations, and cost objects connect people decisions to security, workflows, payroll, and reporting.

   Example: A new warehouse shift is approved, positions are created under the correct department, and each position inherits location and cost center.

2. 02

   Recruit — Recruiting moves an approved vacancy from sourcing through selection and offer.

   A requisition describes the role, approvals, hiring team, and candidate criteria. Applications, interviews, assessments, offers, and compliance records form the selection trail.

   Example: A planner position is advertised internally and externally; the accepted offer transfers approved data into onboarding.

3. 03

   Onboard — Onboarding turns an accepted offer into a ready worker and complete employment record.

   Personal, job, bank, tax, benefit, equipment, and policy data are collected with appropriate access. Tasks coordinate HR, manager, IT, payroll, and the new hire.

   Example: Before day one, the employee completes tax forms while IT receives a role-based equipment and access task.

4. 04

   Develop — Talent development connects goals, feedback, skills, learning, performance, and internal opportunity.

   Managers and employees maintain goals and development plans; reviews and learning evidence support fair decisions without replacing human judgment.

   Example: A buyer’s development plan links a negotiation goal to training and a future senior-buyer role.

5. 05

   Pay & exit — Time, payroll, benefits, and separation complete the employment lifecycle.

   Approved time and recurring pay feed payroll calculation, statutory deductions, payment, posting to Finance, and employee statements. Offboarding ends access and settles final obligations.

   Example: A leaver’s final payroll includes unused leave, equipment return is tracked, access ends on time, and payroll posts to Finance.