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Swisscom’s external workforce management program delivers strong business outcomes and €3.5 million in savings.

Swisscom is a leading telecoms and IT company headquartered near the Swiss capital Bern, with around 21,500 employees. Partly owned by the Swiss Confederation, the company delivers mobile, broadband and TV services across Switzerland. Its Fastweb subsidiary is one of Italy’s biggest broadband providers.

 

SOLUTIONS IMPLEMENTED

External Talent Management  
Services Procurement


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MAIN GOALS

  • 360-degree visibility of external workers
  • Compliance with HR, accounting and business rules
  • Better risk management
  • Cost savings

Swisscom leads the way in external workforce management

 

As part of the report Services Procurement Insights 2019: The Big Reveal, SAP Fieldglass identifies 11% of respondents that outshine others in their strategy and vision for managing their non-payroll workers and services providers. Swisscom is one such Pacesetter.

Download the report to learn more about Swisscom and the other progressive companies that excel in managing their external workforce.

 

THE CHALLENGE

SEARCHING FOR EFFICIENCIES

In preparation for entering the corporate market, Swisscom decided to combine its Telecoms and IT divisions to form a new Enterprise Customers unit, to better address the needs of this market segment.  

The merger shone a light on differences between how the divisions sourced and managed the external talent that accounts for 30% of Swisscom’s total workforce – of which 26% are engaged on a Statement of Work (SOW) basis and 4% as contingent workers. Historically, the Telecoms division hired workers for its retail operations and call centers using SAP ERP, whereas the IT division used a homegrown system to hire developers and consultants. In each case, the process was manual and time-consuming, and Swisscom was eager to adopt a more efficient way of working.

Swisscom decided to implement a single solution for engaging and managing external talent. Its aim was to gain a clear view of total spend, and to boost visibility and efficiency. In addition, the company wanted to standardize rates for each role across all divisions.

THE SOLUTION

HITTING THE GROUND RUNNING

Swisscom began using the SAP Fieldglass external workforce management solution to manage its contingent workforce, and later extended the solution to manage services providers working on an SOW basis. Swisscom is currently working to build a total of 14 integrations connecting SAP Fieldglass with other systems, such as its SAP Ariba procurement solution. During the deployment and integrations, the Swisscom and SAP Fieldglass team worked carefully to avoid disruption of established business processes.

Today, Swisscom manages €105 million in contingent spend and €132 million in SOW spend using SAP Fieldglass. The company aims to quadruple SOW spend managed in SAP Fieldglass to over €527 million within two years – meaning that this spend will be managed with greater visibility and rigor.

THE RESULTS

ENHANCED VISIBILITY AND TIGHTER SECURITY

Swisscom’s SAP Fieldglass deployment has delivered eye-opening visibility into the external workforce. For example, the company can now drill down into each department’s external workforce and see how long each person has worked for Swisscom.

Implementing SAP Fieldglass also enabled Swisscom to benchmark rates against similar organizations. By researching and optimizing rates, the company has unlocked impressive cost savings of more than €3.5 million.

Furthermore, Swisscom has tightened control of security. For example, if an individual needs special clearance to work with major banking clients, SAP Fieldglass handles the process automatically. Additionally, Swisscom has improved governance and ensures that security details for external workers are recorded.

Deploying SAP Fieldglass has also enabled Swisscom to improve the experience for candidates and suppliers. Rather than relying on phone and email communication, external workers and services providers now have access to a portal through which they can see available roles, upload applications, process timesheets, obtain reports and liaise with the relevant Swisscom teams.

How the Numbers Add Up for Swisscom

Savings and improved compliance for Swisscom after implementing the SAP Fieldglass VMS:

  • €3.5+ million savings
    Swisscom achieved over €3.5 million in savings by using SAP Fieldglass to research and optimize rates.

  • 4x more spend managed in SAP Fieldglass
    Within two years, Swisscom aims to quadruple SOW spend managed in the SAP Fieldglass solution from nearly €132 million to over €527 million, gaining greater visibility of cost.

 

FUTURE OUTLOOK

WORKING TOWARDS HARMONIZATION

Swisscom’s SAP Fieldglass deployment is a major milestone on its long-term vision: to obtain a comprehensive view of total spend driven by SAP Ariba, SAP Fieldglass and other applications.

In addition, the company aims to reap greater value and insight from its analytics solutions and reporting suites. To gain richer insight into individual workers, Swisscom is considering implementing the SAP Fieldglass Worker Profile module, which would enable the company to track each external worker at a granular level.

What makes Swisscom a Pacesetter?

Swisscom takes four key actions highlighted in our research:

Did you know that 44% of companies experience digital security breaches with services providers sometimes, frequently or nearly every engagement?  

See more surprising findings from our new research and learn how to unlock more value from your services providers.