HR project management case study

Establishment and offshoring of HR services to a Shared Services Center (SSC) in Hungary

Country: Germany / Hungary

Industry: Telecommunications, Manufacturing

Company: GmbH, €10.9 billion revenue, ~14,000 employees

Team: 40 FTE

Duration: ~2 years

Scope: Transfer of HR services tasks to a Shared Service Center (SSC)

Initial situation:

>>> The company decides to centralize HR services for its international subsidiaries in an HR Shared Services Center (SSC)


Project:

>>> Analysis of the market environment regarding potential locations, laboratory arbitrage, etc.

>>> Process analysis "Lift & Shift" versus personnel requirements

>>> Review and decisions regarding the socially responsible, transparent reduction of the local workforce while respecting all legal and operational requirements

>>> Information to the works council regarding the operational change pursuant to Section 111 of the Works Constitution Act

>>> Drafting the social plan and negotiating with the works council

>>> Information event for the employees of the department

>>> Socially responsible reduction of staff based on the social plan over a period of 2 years

Project result

>>> "Lift & Shift" process defined and documented
>>> Knowledge transfer successfully completed

>>> Quality assurance in the SSC through local support


Added value for the company / ROI

>>> HR SSC fully functional after two years with acceptable results despite increased staff turnover in Hungary