One of the most complex yet indispensable functions of the Human Resources department of an enterprise is payroll processing. It needs a high level of accuracy as even a single miscalculation may lead to heavy losses for the enterprise, not to mention losing employee faith.
As an enterprise grows its business, its needs too increase with time which brings to light the necessity for reliable enterprise payroll services. Implementing a fully integrated on-site payroll software to optimize payroll operations helps in increasing efficiency. But having a cloud-based enterprise payroll system takes it to another level as there is greater reliability and security.
Here are six reasons why your enterprise should migrate to a cloud-based payroll system:
1. Makes payroll process more efficient:
An on-premise payroll system requires a lot of maintenance and significant resources for processing data. It requires multiple systems which makes the whole process very time-consuming.
When an enterprise switches to an intuitive cloud-based system, it eliminates the need for maintaining excel sheets, automates all mundane manual tasks and simplifies the complex activities. This enhances the efficiency of all payroll related tasks.
This automation also eliminates the risk of human error in the payroll process. Even small errors in the process can lead to big confusions that delays in payments and salaries, making people question the credibility of your business. With automatic calculations made by a computer algorithm, you can rest assured that such a situation will never come to pass.
2. Secure and centralized data storage:
Payroll process requires a lot of data for calculations like employee attendance records, tax-related data, incentives, yearly bonuses etc. It can get difficult and chaotic to collaborate with other departments for this information.
A cloud-based payroll system integrates all the various systems and stores all the information in a centralized location. All the departments can access real-time data effortlessly and authorized access controls ensure the security of data. Click here to read more about how a cloud based payroll system can protect your business’ data.
Moreover, the security of this data is not dependent on the physical systems present in your office. Being stored on the cloud, your data is protected, no matter what happens.
3. Saves time and cost:
A major portion of an HR management professional’s time goes into processing employee payments, maintaining payment records, collecting and verifying reimbursement proofs, replying to queries regarding salary calculations, etc. A cloud-based payroll system saves the time required for all this with an employee payroll portal.
Through this portal, employees can submit proofs on their own as well as view their salary information, which eliminates the need to communicate with the HR about it. Apart from saving time, it also saves a lot of money since the whole process is paperless.
This saved time can further be applied to improving other HR and operational processes. With more efficient systems in place, your organisation, as a whole, will be able to function with more efficiency, reducing the strain and pressure on your resources and employees.
4. Timely payments:
One of the major reasons for employee dissatisfaction is receiving inaccurate or late payments. It is the responsibility of the human resource department of an enterprise to avoid such a situation as it may lead to high employee turnover.
A cloud-based payroll system automates the payroll process of an organization so employees get paid accurate salaries always on time which builds their faith in their employer. This keeps them loyal towards their organization and ensures they work longer in their jobs.
After all, getting paid on time is perhaps the least that an employee expects from the organisation they are working for. Delays caused in something as basic as payment of salaries can seriously damage the reputation of any organisation. When such blemishes on your organisation’s reputation can be easily avoided with automated payroll processing, you must consider getting a payroll processing software.
5. Easy access of payroll data:
The in-premises payroll system requires manual and regular updates by an enterprise’s IT department. Switching to a cloud-based system ensures automatic updates. There is no need for back-ups at regular intervals as everything is available online.
This ensures that the payroll information can be accessed from anywhere in the world in real time. With just a single click, you have detailed insights into past and present payroll records.
This means all the stakeholders and other individuals at your organisation that are influenced by the way payroll is processed, can track the progress and the authenticity of the process. The entire process can be verified at different stages by different people, regardless of whether they are physically present.
6. Easy and accurate reporting:
Manual payroll processes and reports are prone to human errors. These errors could be due to incorrect time and attendance tracking records or simply due to wrong information being entered manually.
With a cloud-based payroll system integrated with a time tracking software, it becomes easy to get real-time reports that are insightful and accurate. The ability to get your hands on accurate reports with detailed analytics facilitates better decision-making.
Time tracking data can help managers and organisational leaders identify major time wasters and productivity bottlenecks. With this information, they can design solutions and processes that result in more efficient production of work. Moreover, this information can also be utilised to make informed decisions about automating certain business processes.
As a rule of thumb, the processes that are first automated are the ones that have the least significant contribution to your business’s bottom line, fall out of your businesses’ areas of core competency, and require repetitive, monotonous work.
A scalable and secure cloud-based payroll system helps you perform all your payroll related functions in just a few steps. This not only makes the process highly efficient but also significantly reduces your enterprise’s carbon footprint.
Moreover, the data obtained from the attendance and time tracking abilities of a payroll processing software can be incredibly helpful in improving the overall productivity of your organisation and its employees.
When you and your employees are able to do more in less time, you will be able to boost your revenues and keep your employees happy, all at the same time.