Payroll should demand a voice in the HR SaaS conversation

Posted by Michael Gretczko, and Brian Proctor on January 25, 2016.

Moving to a global HR SaaS platform can be a truly transformational event for an organization, yet payroll executives are increasingly recognizing that their voices are essential to realize the true value of the HR SaaS investment. While many of these leaders have developed global payroll strategies, they are now insisting that payroll impact assessments be conducted to confirm that the new HR SaaS will result in a globally integrated payroll solution that meets organization and employee expectations for usability and data quality.

Employee experience

Nearly every business case we’ve seen recommending an HR SaaS investment highlights improved employee experience and effective talent management as critical business justifications for the need to change. Leading organizations are investing heavily to improve both their internal and external employer brands. To adopt an HR SaaS solution without resolving payroll-related employee usability and data quality issues resulting from duplicate data entry into multiple systems runs the risk of significantly eroding the employee experience.

Key takeaway: Payroll speaks for the end-to-end employee experience with HR/payroll when evaluating proposed HR SaaS solutions.

Global integration

While leading HR SaaS and global payroll outsourcing providers are investing heavily in their payroll integration capabilities, product maturity varies greatly depending on geography served, payroll provider, and SaaS solution. Understanding the global integration capabilities available in the marketplace is essential to selecting the right HR SaaS solution and deployment strategy. Driven by time-to-value considerations, many organizations focus their initial HR SaaS deployment on markets that produce the most revenue and geographies that have the largest workforce, but the selected solution’s global integration capabilities are key enablers of that approach.

Key takeaway: Payroll speaks to the functionality of solution payroll integration capabilities for key geographies, payroll outsourcing vendors, and legacy payroll systems.

Services delivery

Employee inquiries, shared data elements, and integrations associated with an HR SaaS deployment significantly impact the payroll service delivery model and contribute to the need for a defined global payroll strategy. Establishing employee ticket tracking capabilities, error resolution protocols, and service level agreements are essential to maintaining data integrity across the HR and payroll solutions while also providing the appropriate flexibility to enable payroll accuracy and timeliness.

Key Takeaway: Payroll speaks to the need for a harmonized service delivery approach across the selected HR SaaS solution and multiple outsourced and insourced payroll providers.

Moving forward

While many organizations considering the move to a global HR SaaS platform fail to involve payroll at the early stages of project strategy and planning, it is clear that this needs to change.

Forward-thinking payroll leaders are demanding formal impact assessments of alternative HR SaaS solutions to confirm that payroll-specific aspects of employee experience, global integration, and service delivery are properly factored into the final decision.

Join us to continue the conversation on LinkedIn.

Michael Gretczko is a principal in Human Capital at Deloitte Consulting LLP and is the US leader for its Human Resources Service Delivery (HRSD) practice. He focuses on large, complex global business HR transformation.
Brian Proctor is a director in the Human Capital practice at Deloitte Consulting LLP and is the US leader for its Global Payroll practice. He focuses on large, complex global payroll transformation.

Leave a Reply