The Power of One: Realizing the Potential of a Single Global Payroll Solution
If you are running international payroll for an organization with employees spread across the globe, how are you managing these multiple payrolls? In one recent survey of payroll professionals, the answer paints a picture of a very disjointed operation where many work with several local payroll providers with little or no connection.
As the authors of the report note, EMEA, APAC, and LATAM continue to be areas where payroll provider consolidation is a challenge, with concerns around country specific capabilities a significant contributing factor to the lack of consolidation.
Source: Deloitte Global Payroll Benchmarking Survey 2020
However, when organizations elect to deploy a single global payroll solution, the benefits are overwhelming. If the right global payroll provider is selected, they address and reduce the concerns over legal compliance to local and regional employment and tax legislation.
What are the main benefits of a single consolidated international payroll solution?
Standardization of reports
Managing a large dispersed workforce and dealing with different time zones, employment legislation, and languages is no easy task. What can make workforce management exponentially more challenging is doing so with internal processes that are different and inconsistent.
Having access to standardized reports with information that allows you to compare like to like means that departments and your CFO, CHR, can get the type of data and reports that enable them to perform their jobs better.
For example, the Immedis global payroll platform offers a selection of payroll reports including a ranked variance that allows you to see on one screen the differences in pay amounts per month per pay group and even gets into the granular details such as pension and other benefits.
This means that at a glance, the CFO can see and understand why there are differences in headcount costs and the sources of such disparities.
Download the Immedis Platform Brochure to learn more about our in-built reporting capabilities.
Better Employee Experience
Everyone is talking about the Great Resignation, the current trend of large volumes of people leaving their current employers to pursue new opportunities. This mass movement can create significant issues for payroll teams as they deal with the impact of employees going and onboarding new hires. How fast an organization can get a new employee on its payroll with the correct benefits and tax deductions will be key to the new employee’s success and the organization’s ability to attract new talent.
A single global payroll solution that also offers employees the same payslip experience both the ability to enter their detail is also critical. Empowering employees to enter their personal and bank details and keep this information updated also reduces the likelihood of errors. And saves the payroll team’s time, leaving them to work on more strategic tasks.
Consolidation of payrolls
Moving to a global payroll software means you no longer have to manage multiple payroll services, with their systems and internal processes. The ability to have everything funnel into one system offers cost savings and makes global payroll processing simple by eliminating inefficiencies of numerous interactions.
There is also the added advantage of having all the payroll data at your fingertips rather than having to wait for a local payroll provider in potentially a different time zone to collate a report for you. Now you can generate the desired reports that represent the entire enterprise on your schedule and with the Immedis global payroll platform, in real-time.
Ensuring that you meet all your tax and employment requirements for a global workforce is a daunting task. One way that reduces this headache is having greater oversight of your multi country payroll through a single source of truth. Unifying multi country payroll, regardless of location, and managing them in one platform offer payroll operations increased peace of mind. They can see for themselves all that is needed to pay employees in each location and can monitor to check it is being implemented.
Country Specific Information
Immedis takes global payroll processing and compliance a little further. The Immedis Platform houses Country Specific Information directly in the platform, providing a detailed payroll database of employee information fields required for each country’s tax and benefit calculations and compliance requirements. This is coupled with functionality that prompts where gaps in employee information exist (known as Perpetual Validation).
Immedis works with internal teams and a network of local experts to continually incorporate and update the data fields needed in the platform. For example, an employee’s residency status, religion, and employee type are required to run payroll in Singapore successfully. Immedis CSI captures these field requirements on each employee record and provides built-in advice regarding what to enter into specific fields and the format this information should take.
Improve data security
Payroll data is highly sensitive information – no one wants to have their bank details exposed to the wrong individuals. However, we also know that many payroll teams use email to transfer payroll files, opening them up to the risk of a costly data breach.
When you work within a payroll platform certified by the International Standards Organization ISO and meets both Soc and Sox requirements, you can have the assurance that you are reducing any chance of a data breach or for your employee data to be shared with the wrong person.
Meet the needs of an mobile workforce
Partly in response to Covid, and partly due to evolving technology, today, in some industries, workers can choose where they work from. The remote or digital nomad trend gains ground each year, and organizations will need to adapt to such a seismic change in the workforce.
Payroll teams must be able to set an employee up in the payroll and facilitate that while the person may be in one country, they are employed in another. Having a single payroll process equips payroll operations with the flexibility necessary to enable such a scenario.
Optimize payroll data
Finally, there is the significant potential, and opportunities it unleashes for payroll and the business of global oversight and cost visibility in one accessible system. The possibilities are endless, from workforce future modeling to financial planning. The inherent value of having all your workforce data stored in one global payroll software is immeasurable.
Further reading: IDC Analyst Brief, The Case for Global Payroll ConsolidationBack to all posts