Future Proofing Payroll
For a profession that is typically very stable and considered in its approach to change, payroll certainly appears to be experiencing a shift in how it is structured and delivered at the moment. It is understandable with added pressures on both payroll and HR teams in the current climate and there are varying approaches on how best to address this.
Paul Ganly - CIPP Payroll Manager
On the topic of change management - Your starting point is knowing your end goal and defining your timeframes. Strategically, when is best to time for the business to execute this? “When considering a new payroll system don't lose sight of what reports you are currently utilising and what improvements you are looking to achieve and plan accordingly. The system should be a platform on which to improve upon going forward. Some of the bigger HRIS and Payroll systems come with lots of bells and whistles but it's vital to get the fundamentals right and build from there. And remember those 5 P's: Proper planning prevents poor performance“.
Some organisations are looking to bring payroll back "in-house" in a bid to either reduce costs or take back control of their payroll function and improve employee experience while other employers are looking to push on with new or existing projects. In either scenario existing staff are often seconded onto projects for a period of time and there is then a requirement to "back-fill" those operational BAU payroll positions.
But what skills are we experiencing demand for right now?
Payroll Transformation - Whether it's automation or consolidating payrolls, process improvement appears to be top of the tree at the moment. Businesses are seeking tighter controls and more rigorous policies and procedures for both now and the near future.
Payroll /HRIS systems change - This is the sort of position that has often been offered to an external consultant but the trend at present is to utilise existing skill-set within the business and replace senior payroll staff or managers with interim solutions.
Bringing payroll back "in-house" - This is one for the stand alone payroll managers or senior specialists who are happy to work autonomously. Strong relationship management is a key requirement when dealing with a third party. Again though, establishing best practice and setting up processes is of vital importance.
International payroll - Whether its an established international business or a company looking to venture out to new countries as part of a growth plan international payroll experience has always been quite difficult to come by. Combine that with some of the above skills and finding the right candidate doesn't become any easier....unless your budget is a healthy one.
Process improvement and change management isn't a short-term fix so we don't see any reason why demand for these types of skills would suddenly change. Well, covid permitting of course.
What steps are you taking to future proof your payroll? And will that ensure payroll is fit for purpose right now as well as being scalable for the future?
