Be it a passionate salesman or an ambitious accountant, at the month end all professionals need money to support their living. Thus Payroll is arguably one of the most important processes for an employer. Even concepts like Employee Engagement, Motivation & Productivity indirectly depend upon the success of Payroll. However, Payroll is also one of the most complicated and time-consuming activity which makes it extremely prone to computational errors.
Being a computational activity mostly repetitive in nature, it was one of the first HR processes to leverage Technology in order to save time & effort. While the Small & Medium scale Businesses continued to do it manually or with datasheets, the greater business world woke up to the revolution of using dedicated Payroll software applications. Some employers with even deeper pockets, Outsourced Payroll with mixed results. However, the latest & emergent trend of Human Resource Management Systems (HRMS) has truly revolutionized Payroll for all business enterprises irrespective of size or sector. Be it the Business leaders, Subject matter experts or Researchers across the globe, all agree that it’s the trend to stay and rule.
The advantages of processing payroll with an HRMS like PeopleWorks are enlisted below:
- Fraction of the time – As the entire process is automated, it only needs a fraction of the time as compared to manual of automated datasheet processing. Being on cloud, it can also be done from anywhere, anytime.
- Multiple Payroll Processing Cycles – All the variables for a payroll processing cycle like total number of employees, frequency of payroll and even the different categories of contractual pay like hourly or weekly wages are all accommodated in a single payroll. Such huge amounts & varieties of data are almost impossible to process manually.
- Fewer errors – Minimizing human intervention also reduces the chances of costly human errors which are tough to correct. With the level of automation used in an HRMS, even the chances of user manipulation are less.
- Reduction of Paperwork – Being the most noticeable benefits of processing payroll via an HRMS is the reduction of paper floating around the office. In addition, there is no need to notify payroll when an employee adds a benefit because once the benefit is added by the HR administrator, the payroll deduction is added on its own, thus eliminating the additional paperwork that would have been required by payroll otherwise.
- Automatic Updating – HR and Payroll share the database which enables Automatic Integration and details updation of new employees or ex-employees. This frees up the HR & Accounting staff to concentrate on other priorities.
- Ensuring Legal Compliance – All salary computations are done while considering the various compliance clauses like Professional tax, Income tax, Provident Fund and many such voluntary or statutory deductions.
- Specialized Reports – Managerial decision making in most cases demand specialized reports which contain more than just the employees’ names and their corresponding payroll information. Consolidated reports also contain all of the employees’ information and benefits data, as well. Such actionable reports need a lot of time for datasheet or manual payroll processes. With PeopleWorks such reports are more interactive and visually pleasing, much easier to collate and need only a couple of seconds to make.
- Last minute changes – Last minute changes in manual payroll would throw off all calculations and need more time & effort. While with automation, even last minute changes can be accommodated without any fuss.
- Forecasting – Business and payroll automation enables you to forecast your exact expenditures in different areas with the click of a mouse. If you’re planning to hire new resources or invest in something else, you can simply calculate.
- Backing up data – Along with payslips, Year-end reporting is also usually automated, and all other miscellaneous reports are digitally archived in case copies are needed later.
PeopleWorks is a cloud-based employee lifecycle management solution which manages all aspects of an employee’s life from hire to retire. With its integrated Payroll module, it helps both employers and employees to leverage all the ten advantages mentioned above. By letting your HR staff reduce time-spent on non-value adding jobs, promoting Employee Self Service and reducing your operational dependency on Paper, our solutions help you achieve Growth Uninterrupted.