Transforming Human Resources at Novartis: The Human Resources Informations System (HRIS)
rP os t
CASE: HR-22
DATE: 01/14/04
op yo TRANSFORMING HUMAN RESOURCES
AT NOVARTIS: THE HUMAN
RESOURCES INFORMATION SYSTEM (HRIS)
Since the early days of the merger, we knew we would need a significant effort to transfer the new company into a high-performance organization.1
—Daniel Vasella, MD, Chairman and CEO, Novartis AG
INTRODUCTION
tC
Since the merger of Ciba-Geigy and Sandoz that created the Swiss healthcare and pharmaceutical company of Novartis in December 1996, CEO Dan Vasella had begun the transformation from two slow-moving, functional silos into one high-performance company.
The initial post-merger integration was successful in terms of financial performance but people were feeling stretched, so the HR function had a daunting challenge ahead.
Do
No
By 2003, the HR organization and its people had made significant progress toward the goal of becoming a “premier talent machine by 2005.” Norman Walker, who joined in May 1998 as the head of HR, had several priorities in his 2000 HR strategy – talent management, organizational development and strengthening, reward and recognition, winning team spirit, and core processes and IT support. By 2003, the first four were either in place or under way. A significant priority remained, which was to implement a firm-wide Human Resources Information System (HRIS) that would convert many of the transaction-based HR core processes to an Internet-based system.
The eight-member ECN (Executive Committee Novartis) had approved the CHF 78 million
(Swiss Francs) capital appropriation request for the global HRIS project in September 2002, and the effort to create a computer-based system had begun. This change had the potential to transform the HR function and how it related to line management. Given the fundamental changes that would take place, the ECN wondered if the HR organization was ready for this
1
Private communication, August 5, 2003.
Irene Wang prepared this case
CASE: HR-22
DATE: 01/14/04
op yo TRANSFORMING HUMAN RESOURCES
AT NOVARTIS: THE HUMAN
RESOURCES INFORMATION SYSTEM (HRIS)
Since the early days of the merger, we knew we would need a significant effort to transfer the new company into a high-performance organization.1
—Daniel Vasella, MD, Chairman and CEO, Novartis AG
INTRODUCTION
tC
Since the merger of Ciba-Geigy and Sandoz that created the Swiss healthcare and pharmaceutical company of Novartis in December 1996, CEO Dan Vasella had begun the transformation from two slow-moving, functional silos into one high-performance company.
The initial post-merger integration was successful in terms of financial performance but people were feeling stretched, so the HR function had a daunting challenge ahead.
Do
No
By 2003, the HR organization and its people had made significant progress toward the goal of becoming a “premier talent machine by 2005.” Norman Walker, who joined in May 1998 as the head of HR, had several priorities in his 2000 HR strategy – talent management, organizational development and strengthening, reward and recognition, winning team spirit, and core processes and IT support. By 2003, the first four were either in place or under way. A significant priority remained, which was to implement a firm-wide Human Resources Information System (HRIS) that would convert many of the transaction-based HR core processes to an Internet-based system.
The eight-member ECN (Executive Committee Novartis) had approved the CHF 78 million
(Swiss Francs) capital appropriation request for the global HRIS project in September 2002, and the effort to create a computer-based system had begun. This change had the potential to transform the HR function and how it related to line management. Given the fundamental changes that would take place, the ECN wondered if the HR organization was ready for this
1
Private communication, August 5, 2003.
Irene Wang prepared this case