A new partnership is blossoming in Britain’s public and private sector: HR and payroll departments that have traditionally operated in isolation are getting together.
As a result, technology is evolving rapidly to streamline the growing partnership. Graham Whitehouse, MD of the software division at HR and payroll firm Selima, looks at how well bespoke or off-the-shelf packages can meet organisations’ specific needs.
A perfect match?
Until the turn of the century, the relationship between HR and payroll was nearly non-existent. The trend towards full human capital management has now led to a demand for HR software equipped to handle an increasing number of functions. That sparked technology providers to adapt to this changing landscape.
Employer interaction has increased in both HR and payroll technology. Staff want to see and amend their own personnel details, request and manage training, and even claim expenses back – all from the comfort of their own desk. Allowing employees to access and take control of basic HR and payroll functions also benefits the employer, as it frees up valuable resources, is more cost-effective and enhances information sharing.
Not always as easy as A, B, C
There are ups and downs with any partnership – and the relationship between HR and payroll is no different. Organisations can avoid a bumpy ride, though, if they find the right technology that’s tailored to their own needs. It’s vital to be aware that snazzy packages promising to fit seamlessly into day-to-day operations may not be able to deliver in practice. That’s why a responsible supplier won’t address software and technology without looking at the wider business objectives.
It’s important that organisations don’t confuse the functionality and user-friendliness of a HR and payroll system with ease of setup and deployment. Most organisations will have developed a complex series of regulations and policies over the years, meaning a ‘quick fix’ solution that’s simple to install is unlikely to match all its criteria. Implementing new technology can present an ideal opportunity to revisit past practices and improve business processes. However, the real win is in moulding the software to suit the unique way an organisation works. If you’ve chosen the right technology provider, the solution should work seamlessly around your staff, not the other way round.
Match made in heaven
Neath Port Talbot County Borough Council is a prime example of an organisation that did not settle for the first solution that came along. Having quadrupled in size when four separate authorities were combined, the council needed software that could cope with the increased volume of work and diversity of staff requirements. Its inherited system was outdated and no longer met its needs. The council had a strict mandate – find a system to eliminate duplication of work across the payroll and HR departments, provide more detailed information, handle multiple employment and increase cost-effectiveness.
When Neath Port Talbot began the hunt for the solution to its challenges, it soon became clear that many providers who said they could supply a golden bullet, couldn’t actually deliver on their promises. By insisting on a provider who understood their complex requirements and could tailor a system specifically to their needs, they created a strong relationship between their HR and payroll departments, felt confident using the system and were able to identify further business opportunities. The benefits of implementing a bespoke system reached far beyond the HR and payroll functions, helping improve other areas of the council too.
Happily ever after
Latest developments in technology now support the increasing overlap between HR and payroll departments. Organisations need to remember that their criteria and requirements will be entirely unique to them. A ‘one-size-fits-all’ package may seem like a quick-fix solution, but bespoke systems will deliver a greater return on investment in the long-term. When selected correctly, HR and payroll technology should fit an organisation like a glove. The right software can strengthen links between the two functions, enabling them to work seamlessly for many years to come.
Graham Whitehouse is MD at Selima
