The Great
Transformation Guide
ADP has authored a series of thought-provoking articles exploring the relationship between organisations and
payroll. From the HR and payroll challenges of global expansion to the rich resources of payroll data; from
the payroll skills shortage to the true cost of inefficient processes; this series helps to identify and solve
obstacles and appreciate and embrace the ever-greater asset payroll can become to companies navigating a
treacherous business landscape.
Supported By
Inefficient payroll processes: a hindrance to growth plans?
According to ADP's recent report, 'Guide to your company's payroll maturity', organisations worldwide are working hard to improve operational efficiency and cut costs, to benefit their longer-term business performance in the post-pandemic landscape.
"Despite economic uncertainty, many companies remain focused on growth with M&A in particular expected to remain higher than before the pandemic although down from the highs of last year. Whether growing organically or via M&A its essential to identify and deal with inefficient business functions." Says Virginia Magliulo, President ESI at ADP "underperforming, fragmented payroll processes are top of the list."
"A dysfunctional payroll process is an obstacle to a company's speed to market, undermining growth strategies and impacting revenue targets." Magliulo adds, "So when establishing operations in new countries payroll should make a strategic contribution to expansion plans."
ADP's potential of payroll: Global payroll survey 2021, revealed that almost a third (32 percent) of senior individuals in organisations of over 1000 employees globally identify "access to greater reporting analytics, for reliable insight that can truly inform company strategy and planning" as a clear benefit that a payroll transformation could help them deliver.
In a survey of senior payroll professionals around the world,
75%
said they were unable to manage payroll 100% effectively.
Now is the time to optimise payroll
The inherent Structural problems in many payroll operations exposed by the pandemic revealed the real threat to morale, the possibility of bad press and the regulatory challenges from not paying employees correctly. This saw organisations desperately trying to build resiliency into their payroll operations and with it the urgency for it to become more data-driven and strategic, as opposed to unpredictable and reactive, in order to future-proof their business.
ADP suggests that employers:
- Invest in tech for efficiencies that cut costs and risk
- Improve efficiency to optimise payroll - that means cost efficiency too
- Review internal payroll structures - to help deliver the best possible service to employees and support business plans
Consult ADP's guide to pinpointing your payroll maturity level and identify exactly where you are on your HR digital transformation journey so you can set up a springboard for global growth success.
Download
The Guide to your company's payroll maturity
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