Not all payroll systems are made the same. Learn about the 3 aspects that your payroll system should have.
Like the general workforce, HR roles are evolving to become more strategic and less administrative. As an employer, for HR professionals to efficiently and effectively deliver greater value to the workforce, you will need to ensure that your HR teams are moving towards delivering strategy instead of paperwork.
How do you pick the right payroll system for you, and what do you have to look out for? Here, we point out the top three considerations you should make to choose the right payroll system for your company.
1. A user-friendly payroll system makes HR work easy
Payroll encompasses and manages many different administrative tasks, so a payroll system is here to make the lives of employees and employers like you a lot easier. That means picking software systems that are easy to use and are accessible across multiple devices.
For increased convenience, look out for a payroll system that allows you to troubleshoot any slight issues by yourself. If best practices in user experience design and built-in mechanisms are in place, even non-technical staff should be able to configure the software to your company’s needs in a few simple steps.
Use these guiding questions to help you decide on a good payroll system:
- How long will it take my employees to learn and operate the payroll system?
- Does the payroll system allow for self-troubleshooting or must I always contact support every time a problem occurs?
- How long does an update take? Will the downtime affect my business, and in what ways?
2. Top-notch security prevents expensive security breaches
Aside from user-friendliness, security protocols in a payroll system are vital to protect all sensitive data. Everyone with access to the software should only be able to get the data that they need and use, and this should be adjusted according to their roles and responsibilities. This helps to protect your company and your employees’ data from accidental or purposeful cyberattacks.
If you overlook security, it can be a very expensive mistake. According to IBM, the cost of an average data security breach in 2021 is USD 4.24 million. The cost has never been higher in the past 17 years, which just goes to show that the issue of data security cannot be neglected especially for software like payroll systems.
How would you know if a payroll system is secure and reliable? The answer is to look for payroll systems with high certification standards, releases regular updates on product improvements, and is focused on the needs of companies like yours with a responsive customer feedback system in place. Systems like these are most likely to put your mind at ease.
3. Automation of administrative tasks saves your company’s time and dime
Automation in a payroll system is the greatest time saver for companies. With the ability to help you onboard, manage and pay your employees automatically, HR professionals get to cut down on unnecessary paperwork and costly mistakes in administration. In Singapore, this means helping you manage your employer and employees’ CPF contributions and income tax, which can be a hassle to deal with manually.
Be sure to also look out for payroll systems that have embedded business intelligence. This feature helps you automatically generate reports, simplify your workforce, and keep up with any updates in compliance across the countries that the software applies to.
Needless to say, automation is one of the key reasons driving payroll system adoption in most companies–especially when the payroll system covers all regions that organizations have employees in.
In this regard, PEOs can make a significant difference in helping you choose the best payroll system for your company. They are able to offer accurate business advice on selecting regional payroll systems, helping you reduce the use of third party solutions and the incursion of additional cost.
At AYP Group, we believe in helping our customers succeed with simple, swift and smart-tech-enabled HR solutions. We are an award-winning leader in HR outsourcing, PEO and payroll outsourcing solutions. Founded in 2009, we have a strong regional presence in Asia with local offices in seven different countries. Our local payroll experts have processed more than 500,000 employees’ payslips with our cloud HR management system. We have helped more than 100,000 companies expand in Asia with our expertise in hiring, onboarding, payroll and tax administration, benefits management and HR process automation.
Click here to contact our HR consultants.