The Cloud provides an ideal opportunity to conveniently manage employees around the world.
Expanding a business globally is no easy feat. There are many factors that need to be carefully considered such as language, customs, cultures and, most importantly, legislation. Each new office that is opened in a new country will present a unique set of regulatory requirements that need to be adhered to. To manage all these complexities, multinationals typically have to enlist the help of a local service provider in every country of operation. In particularly difficult situations, companies have to establish incountry payroll teams to get their new offices off the ground. This creates an enormous amount of extra administration for the HR team. On top of business as usual, they now have to manage expat and local employees across multiple locations, plus, work closely with procurement to source and then oversee trusted suppliers in each country.
Fortunately, innovative technological developments offer an alternative solution. The advent of Cloud-based global payroll software means that international companies can now manage their payroll needs from one home-base. In other words, no more individual contracts with multiple service providers – just one payroll platform that consolidates the entire company’s global payroll needs.
Stay ahead of the competition
International companies operate in a very competitive business environment. Time is a valuable commodity and employees need to spend it well. Laborious, administrative tasks like updating reports, spreadsheets and reviewing contracts, eats up a lot of time that could be better spent elsewhere. A Cloud-based global payroll platform liberates HR teams from onerous administration, and gives them more time to work on more strategic areas like succession planning and expansion.
However, this is not the only way a global payroll platform gives companies a competitive advantage. An automated Cloud-based payroll system also provides businesses with better access to critical information. Regardless of where the Payroll Manager is based, they can log in and pull all the data they need in real-time, from any device at any time.
Another benefit of a centralised system is that it gives HR and payroll teams a holistic view of the company at all times. They no longer have to chase individual offices for information. Company leaders have immediate access to market insights and can make strategic decisions faster, which greatly enhances their competitive position. Cloud-based payroll software can also keep companies up-todate all local legislative requirements, ensuring that compliance is maintained at all times.
Enhance team work
Cloud software has transcended geography. It doesn’t matter where in the world two colleagues are based; they can work together on a project without any disruptions or duplications. Email, while great for many reasons, is not an ideal collaborative tool as document updates can easily get lost or filed incorrectly.
With Cloud-based payroll software, various teams based in different countries, can work together on a project in real-time. This enhanced collaboration creates an agile working environment that is far more responsive and productive. To boost their efficiencies even further, companies can also integrate their global payroll with other business systems, for example, accounting. While this may cause some alarm, Cloud technologies are in fact, very secure. What’s more, a global payroll provider that is ISO27001 certified has the security knowledge and expertise to help keep corporate networks safe – over and above basic password protocol and user authorisation.
The benefits of a global payroll system are significant. However, to enjoy them all with as little frustration as possible, businesses do need to plan the implantation process carefully. The first step is to assess the company’s current technology. If the payroll system is already on the Cloud, then moving to a global platform will be easy. Of course, if it’s not yet on the Cloud then the company will need to update its software. To minimise all potential issues, companies must choose the right provider that can manage the migration seamlessly. The provider of choice must also offer a robust, cross-border solution that covers all the relevant countries. Each country of operation will present its own legislative requirements and the business will need to ensure that it’s compliant with them all. To move to a global payroll platform as quickly as possible, and with little to no issues, it pays to implement a change management programme. Employees are not always enthusiastic about change but the sooner they are on board with the new system, the better for the business. Training, communication and access to information are all crucial to ensure fast adaption.
A Cloud-based global payroll system is an incredibly efficient solution for HR teams managing multiple offices around the world. With access to real-time data and insights from any location, these professionals can perform with superior intelligence and speed. This makes them more agile and strategic: a significant competitive advantage for any growing international business.
Bruce van Wyk is a Director at PaySpace, payspace.com.
This article appeared in the December 2017 issue of HR Future magazine.