Benefits of Payroll Software Automation using EmpXtrack

1,365 views

Published on

Benefits of automation of Payroll Systems: This analysis shows how to save costs to the tune of $150,000 per year using software such as EmpXtrack

Published in: Business, Economy & Finance
0 Comments
2 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total views
1,365
On SlideShare
0
From Embeds
0
Number of Embeds
145
Actions
Shares
0
Downloads
18
Comments
0
Likes
2
Embeds 0
No embeds

No notes for slide

Benefits of Payroll Software Automation using EmpXtrack

  1. 1. Automating the Payroll Function and its ROI
  2. 2. What will we look at? How organizations are managing their human capital assets and the challenges being faced V/S The best practices The different metrics and How organizations can save costs in the payroll function Copyright 2013 | Saigun Technologies Pvt. Ltd. 2
  3. 3. Elements of ROI Data Gathering Processing Disbursement and Reporting This is a report This is a report It contains some relevant information. some relevant It contains information. The quick brown fox jumps over the lazy dog. The quick The quick brown fox jumps brown fox lazy dog. The the over the jumps over quick lazy dog. fox jumps brown the brown The qu ick over foxlazy dog. over qu ick lazy jumps The the brown dog. The quick over the lazy brown fox fox jumps jumps over the lazy dog.fox dog. The quick brown The quick over the lazy dog. jumps brown fox jumps over the lazy dog. The quick brown fox jumps over the lazy dog. Copyright 2013 | Saigun Technologies Pvt. Ltd. To understand the complexities involved in payroll processing and gaining deeper insights into challenges being faced, we further analyzed many other companies across multiple industry verticals, different employee types (blue collared, white collared, management) and found a median effort for each of the sub-processes 3
  4. 4. Sub-Process General Number of Full Time Employees (FTE) required • • Data Gathering Processing Disbursement and Reporting Number of time records processed in one year Number of Employee Validation Errors seen during the year for time records which will require corrections and authorizations at multiple employee levels Time for adding a new employee to the system with salary structures and all other required data Time for removing a terminated employee from the payroll system • • • Number of payroll transactions processed Cycle time for audit of payroll prior to disbursement Number of manual checks disbursed • • • • Number of payroll related queries No of payment errors Cycle time to process a payroll error Time for creation of reports which are submitted on a monthly, quarterly, half-yearly and annually per employee • • • Copyright 2013 | Saigun Technologies Pvt. Ltd. 4
  5. 5. An Example The example below refers to the results for a mid-sized organization with approximately 1,000 employees across multiple locations. The results are the total time spent in one year for processing monthly payrolls. Process Manual Payroll Best Practices Number of FTE for managing the payroll process 3.48 employees 0.57 employees Number of time records processed manually 43,500 5,200 Number of Employee Validation Errors seen during the year for time records 350 4 Time for removing a terminated employee from the payroll system. 3.5 days 1.5 hours Number of payroll transactions processed 18,500 16,500 Number of payroll related queries 982 177 Number of manual checks disbursed. 50 or more 12 or lesser No of payment errors 56 7 Cycle time to process a payroll error 7.5 hours 0.3 hour Cycle time for audit of payroll prior to disbursement 230 hours 60 hours Time for creation of reports which are submitted on a monthly, quarterly, half-yearly and annually per employee 1050 hours 75 hours Cost for Processing Payroll USD 190,750 USD 27,550 Copyright 2013 | Saigun Technologies Pvt. Ltd. 5
  6. 6. Performance Based Targets We further analyzed the intangible benefits (some of which had cost implications as well) of using our web-based software. Some of these are: No need to print pay-slips: Employees can view their pay-slips online and these are emailed automatically as well for their records. Minimum payroll related queries post processing: Allows the accounts/HR to complete many more important tasks. Minimum impact when salaries change: Update at a single place is reflected automatically. This avoids reprocessing of payroll. Low impact when new employees are added: For example – for a multi-locational organization with distributed hiring, it becomes difficult to process payroll for new employees. Minimum impact when employees quit Automatic updates to tax tables when the need arises Automatic updates to tax tables when the need arises Archiving of Payroll data for statistical analysis in respect of different employee types Copyright 2013 | Saigun Technologies Pvt. Ltd. 6
  7. 7. www.empxtrack.com Thank You Copyright 2013 | Saigun Technologies Pvt. Ltd.

×