14 September 2020 - Reading time: 2 Minutes
The role of the modern finance leader is much more than just assessing financial performance and monitoring cashflow. Nowadays, a good financial leader takes stock of the whole organisation to make sure every aspect is aligned to business goals.
By reviewing operations across the entire business, finance leaders get a clear overview of which outputs are contributing to the overall success of the organisation and which areas are leading to inefficiency and losing value.
Quite often, the payroll function is left to the HR department to manage. Yet, agile financial leaders have realised that payroll is business-critical, prioritising investment in technology and automation through SaaS or outsourced solutions.
During the pandemic, organisation’s payroll operations were stretched to breaking point, and in some cases beyond. Many organisations discovered that on-premise, antiquated payroll systems simply wouldn’t cut it. Yet they still needed to pay their employees accurately and on time.
Payroll is one of the highest value functions in any organisation and employee salaries are often the largest company expenditure. Although it has a people-focused element, payroll involved a great deal of complex calculations and knowledge of tax rules and legislation that might be more efficient sitting with the trusted finance team with input from the HR department.
Historically, organisations fall into the trap of exclusively operating within their teams, rather than with others within their organisation. This can prevent departments from sharing valuable information, which could be helpful to other departments, and the whole business. Yet it pays dividends to consider data and information from a wealth of sources across the business. Bringing the finance, payroll and HR functions together could create advantages for both parties and ultimately create more accurate, compliant and efficient payroll processes.
Payroll is more complex than you might have initially thought. In the last year alone, there have been 24 projects covering different statutory changes announced by the Government. This hundreds of individual work items from user applications through to calculations, to reporting and integrations. Although the 2020/21 tax year has been unusual because of the Brexit result and a global pandemic, having confidence that your organisation has qualified individuals who can monitor and identify change and that interact with government departments directly, or you outsource payroll to a supplier that does.
Organisations must have strong internal policies to avoid any financial risks and promote transparency and audits of payroll data must be conducted regularly. This could fall on the financial team to do, or you could outsource the responsibility by working with a managed payroll provider. A reputable provider will conduct regular audits themselves, so you don’t have to pay for the cost, or the time spent, to do so.
Now, we’re not suggesting finance, payroll and HR need to band together and restructure the organisation. This change can happen without destroying your company’s org chart. You can make huge digital transformation by investing in integrated cloud-based technology to help you collaborate more effectively.
Instead of piecing together data from a variety of sources, finance can smash these siloes with a business-wide integrated approach that aligns with the goals and strategies of other departments. A single solution that is built around a finance architecture will provide a detailed analysis of performance across the whole organisation.
As finance leaders switch to a scenario-planning mindset, the importance of having robust and reliable payroll solution is clear. By utilising integrated technology that aligns your HR and finance systems, you can get a complete picture of the business to help drive your future growth and improve one of the most high-value functions in your business: payroll.
In an increasingly globalised world, there is a vast array of opportunities for businesses to explore. For companies looking to expand their international reach, payroll is one of the biggest consideration factors. Operating in multiple countries has its fair share of challenges: each region has its own local legislative requirements, and complying with these is crucial in maintaining both reputation and revenue.
Here are the five advantages why outsourcing your payroll should be your next move20 January 2021
Managing an international workforce involves various specialist tasks, such as declaring taxes to foreign administrations, monitoring complex labour laws and elaborating attractive reward systems. That’s why most companies outsource these error-prone tasks. Both local and global HR providers can make a big difference, but remember to make well-considered choices. If you’re looking to truly bridge literal and figurative language gaps, a global partner with vast local expertise is your go-to option. Here’s why.17 June 2020
The SD Worx team has been busy! Not only did the team exhibit and present at UNLEASH Paris 2019, but we also launched our brand new Global People Services offering for the mid-sized market across Europe.
Global People Services is the first integrated HR and payroll service focusing on the mid-market in Europe.
What will Brexit mean for the social security rights of UK nationals currently working in other EU states, and of nationals of the remaining 27 member states now in the UK? Will these cross-channel workers benefit, for example, from state pension contributions they made in the UK and vice versa if they return to their countries of origin?22 October 2019
In addition to the launch of Global People Services, we’ll also be running two sessions of our own at this year’s conference – and trust us, they’re too good to miss!21 October 2019
One of the highlights of our UNLEASH calendar is certainly the launch of our one-stop solution for core-HR and payroll’s current and future needs: Global People Services. The offering opens a new category for the mid-size market, with an integrated single source of truth for HR & payroll, rolling out for the 15 countries in Europe.18 October 2019
What happens when you combine payroll and core-HR together with new technologies? The potential insights into business operations become greater and more valuable than ever when informing business decisions across all areas of the business.25 June 2019
September: the month that children dread as they make their return to school after the freedom of the long summer months. But for adults, especially those in the payroll industry, after the quiet summer period September should be a time to be motivated and to adopt that ‘back to school’ thinking. It’s important for teams not to be stagnant. In the ever-developing payroll industry, adaptability is key and so learning shouldn’t stop just because you’ve left school—in payroll and HR it’s all about continuous learning.18 September 2018
The multinational payroll industry is set to be worth 4.8bn by 2021, yet, despite the evident power of payroll, only a third of multinational organizations have a global payroll provider. Instead, they rely on a disparate selection of multiple local providers and therefore have no access to collated data or a clear insight into their employee attrition, engagement, or retention.30 August 2018
Is your HR and payroll team feeling the heat this summer? With the weather heating up, most of us want to get out and enjoy the sun or escape on a holiday. However, with more staff members out of the office, this can mean that the payroll team might be running on reduced numbers. And, typically, less team members results in a higher workload for those in the office. This is where HR and payroll technology can help, giving HR teams a well-deserved summer holiday.3 August 2018
The HR and payroll industry is in a constant state of change. New laws and regulations are introduced around the world, some of which—including GDPR—change the way the whole organization handles its processes and services.26 July 2018
Summer is finally here—and before long it will be over. HR and payroll teams face various challenges over the summer months, from increased staff holiday to keeping track of summer interns and flexible working.16 July 2018
Payroll data. How often do we stop and think about how important it is to a business? Although payroll is often viewed as a back-office function, it is an essential part of any organisation, and is much more than just payslips.5 July 2018
The multinational payroll market is growing at an impressive rate, with the entire payroll services market expected to reach 4.8 billion by 2021. The demand for international payroll services are increasing, due to the heightened need for compliance to local laws and legislations, and a demand for more comprehensive technology. However, even though the payroll market is growing, many organisations still aren’t unlocking the power of payroll.3 July 2018
The results of SD Worx’s recent international survey are in! With 1,500 respondents from nine European markets, the survey reveals that up to 87% of business leaders are now asking for employee data to inform business decisions—HR and payroll data is now being regularly used by business leaders.11 June 2018
Payroll is a vital part of any organisation, whether it’s a local business or a multinational corporation. A simple payroll error can cause a large amount of damage, so getting it right is essential.
30 March 2018
With more and more employees relying on technology and flexible working than ever before, the world is becoming increasingly connected and globalised. However, with this new reliance on global working, what do HR and payroll teams need to consider when implementing payroll for multinational companies?7 March 2018
Technological advancements are helping to turn a vision of digitally accessible, automated payroll processes into reality. Here’s five predictions for the future of payroll:5 December 2017
A recent survey carried out by SD Worx revealed that out of 4,000 European employees surveyed, 44% had been paid late by their employers and 48% of those that had been paid late had also been paid incorrectly. The research exposes several risks for businesses associated with not paying their employees correctly: let’s explore the top three.13 November 2017
Businesses in every industry have been affected by the way that we now rely heavily on technology. Technology is now a part of everything we do – both at home and work—and in order to stay relevant in today’s world, all industries must continue to be innovative and remain up to date with technological advancements, especially in the workplace.19 October 2017
If someone was to ask you how much your payroll operations cost, would you know the answer? It seems like a straightforward question, yet the answer for many HR professionals is often hard to pinpoint. Understanding – and therefore being able to make future projections – about how much your payroll costs requires a clear appreciation of various business components.10 October 2017