Managing the Human Resources and especially payroll of employees is a crucial function of any organization. Payroll administration is a time-consuming activity which does not generate direct revenues. But it is very important for any organization however big or small that all employees get paid accurately and in a timely fashion. This will look like a a daunting task if done manually. Thanks to the ever evolving technology, this challenging task can easily be automated by the human resource department with the help of advanced HRMS/ Payroll software.
According to the American Payroll Association, the payroll automation reduces the costs of the invoice and paycheck errors by 80%
The latest and advanced Payroll software are changing & more importantly easing out the whole process of human resource administration. This article aims to give a perspective on 5 Growing Payroll Software Trends which are likely to continue in 2018:
1. Cloud-Based Payroll Dominance
Now-a-days organizations are switching to cloud-based payroll software because of their cost efficiency. On-premise payroll software may require initial investment (depending on the service provider) such as server, hardware and experienced IT staff for the maintenance & to ensure the uninterrupted functionality of payroll software. But the cloud-based payroll software is hosted and maintained by a third party. There are numerous advantages of cloud-based technology such as software gets automatically updated, simplified data entry, your data is backed up, and the software can be accessed with mobile apps. According to a survey conducted by Deloitte in 2014, 14% of organizations had cloud-based payroll software and 26% more were considering cloud technology.
2. Access of Payroll Software on Smart Devices
Smart devices are dominating the way employees communicate. According to a survey conducted by Research Company Gartner Google’s mobile operating system overtook Microsoft’s Windows as the most common operating system in 2012. The mobile responsive payroll software let the employees 24/7 access to payroll and HR information. This system helps to bind every member of the organization on a common forum and enables the member to access the payroll software remotely making it anytime anywhere access.
3. Human Resource Integration
Many of the human resource department functions are similar to the payroll functions. If the human resource is integrated with the payroll software, it will have a better impact on organizational drivers and will also engage the employees in a better way. Integrated software system means that there is no double entry implying a single database for your organization which can be used by different departments. The integration also gives a holistic bird’s eye view of the HR department right from the On-boarding process to Training & Development and Performance management.
4. Data-Driven Strategic Decision Making
Manual data entry is not only tedious and time-consuming process but there are higher chances of errors. A payroll management software you help get you 100% accurate and error-free data. The data can be used for high-level human resource analytics which can help to take the strategic decisions about recruitment, training, retention, talent management, compensation management and performance management. According to The Wall Street Journal organizations are using these data to predict which employees are most at risk of leaving their jobs. Payroll software categorize, arrange and organize the vast repository of employee data and help organizations to make a better strategic decision about the human capital management.
5. Software Customization
Payroll software customization is one of the latest trends. Every business is unique and ready made software may not meet all the specific business requirements. Functions and objectives of human resource department are influenced by the strategic mission of the company. To meet the requirements while being aligned to the organizational vision, HR department should go for a software that can be customized as per their requirements & responsibilities.. Tailor made solution eliminates the risk of non-compatibility with the processes and allows effortless management of payroll of different kinds of employees such as full time, part time, freelancers and retired.
HR department is continuously evolving and adopting the latest trends in the industry and hence these trends of HRMS/ payroll software are very likely to continue in 2018. It is always good to transfer the repetitive and mundane tasks to automation available so and employers will have more ways than ever to manage and utilize the payroll information and make the information accessible to their employees in just a few clicks.
This post has been contributed by our guest author Ms. Nidhi Raghuvanshi from Software Suggest and edited by Mr. Divya Kumar Gupta from Focus Infosoft.