SAP SuccessFactors HR Transformation – Lassila & Tikanoja Oyj (L&T)

Lassila & Tikanoja Oyj (L&T), a key service company for revitalizing the circular economy, has recently implemented a significant digital HR transformation and implemented the new HR Master personnel information system SAP SuccessFactors.

The reason behind the move was the company’s effort to improve data quality, reduce manual work and make the recruitment process more efficient. L&T, which employs more than 7,000 people in Finland and recruits more than 3,000 employees every year, has used the power of digitalization to create more value for its customers, employees and shareholders.

Tiina Repo, responsible for L&T’s personnel information systems, explained the company’s goals: “Our old HR system had reached the end of its life cycle. We needed an updated tool for our managers that would support team management with better data visibility and more transparent processes. Our employees’ self-service opportunities were also an important priority.”

Several factors influenced L&T’s decision to choose SAP SuccessFactors. The company already used SuccessFactors for recruiting and learning management, but Repo emphasized that it was not a given that it would be their new centralized HR cloud solution. The system had to meet their future digitalization roadmap, be flexible enough to support multiple employee groups, and be available on mobile devices to serve workers in the field. They make up more than 80 percent of L&T’s personnel.

“Taking into account the maturity of the organization and the realities of team resources, the possibility to implement modularly was necessary. In addition, we required that the new tool is built on modern and sustainable technology and that it is data secure and GDPR compliant. In our evaluation, SAP SuccessFactors emerged as the best option because its modular implementation and improved self-service tools are the best fit for our environment,” Repo said.

Early benefits

L&T has already seen improvements in data usability and analytics possibilities after cooperating with Gavdi Finland in the implementation. The new system also offers better visibility and management of processes, which are implemented on a single platform. Repo commented: “We only have a short period of experience at this stage, as we implemented the system a few months ago, but we can already see that the usability of the data and the analytics possibilities have improved. Putting these opportunities into practice and making them available to front-line employees with concrete reports and dashboards that support management is one of our important goals this year.”

Cooperation with Gavdi was characterized by good team spirit and efficient remote cooperation, thanks to which the project was successfully completed. “We had really great consultants from Gavdi supporting us in our implementation project. They were very interested in finding solutions to our business needs and problems,” said Repo.

Advice for future cloud-based HR transformation projects

For organizations planning their own cloud-based HR transformation, Repo emphasizes the importance of getting support from both business and ICT management. The project affects both and is not “just” an HR project. Preparation for integrations and data migrations should not be underestimated, and end-user training and support should be planned in advance.

“Start data quality improvement efforts months before the planned production migration, as data and data quality can be one of the significant risks during the transition,” Repo advised. He also urged organizations to actively analyze and utilize new opportunities and improvements that version updates bring, and not to forget end-user training and support after the project ends.

L&T’s digital HR transformation is an inspiring example for organizations that want to utilize the power of cloud-based HR solutions. With SAP SuccessFactors Employee Central and SAP SuccessFactors Performance & Goals, L&T is now better equipped to manage the employee experience and help the business manage people and their performance.

Hilppa Rautpalo, HR Director of L&T Group , says that the key to the success of the project was the management’s commitment to the project, an excellent internal project team and effective cooperation with external partners. “The implementation of the HR master personnel information system for more than 7,000 employees is a big change that requires both a long-term commitment to the project from the organization and significant support for change management during implementation. Our project shows that with good planning and cooperation, it is possible to implement such a significant ICT project on schedule and within budget. The business functions now have better visibility of the personnel and we are able to make solutions by analyzing the data – the implementation of SAP SuccessFactors has been a significant step on our way to improving the digitalization of HR”.

By focusing on improving the work ability of its employees and offering jobs to people struggling with employment, L&T increases its positive social impact. The new HR system not only streamlines the company’s operations, but also supports its commitment to employees and improves the employee experience, which has a direct positive impact on the profitability of business operations.

Information about Lassila & Tikanoja Oyj

Lassila & Tikanoja is a service company that implements the circular economy in practice. Together with our customers, we keep materials, properties and factories in productive use for as long as possible, and we improve the use of raw materials and energy. This is how we use the circular economy to create added value for our customers, our personnel and society more broadly. Achieving this also means an increase in value for our shareholders. Our goal is to continuously increase the carbon footprint of our operations, our positive climate impact. We carry our social responsibility by taking care of our personnel’s ability to work and by offering jobs, for example, to those who have difficulty finding employment. L&T, which operates in Finland and Sweden, employs 8,371 people. Turnover in 2022 was 844.1 million euros. L&T is listed on Nasdaq Helsinki.