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Never been a better time to integrate your HCM with global payroll

Apr 5, 2016  | Topic: Human Resources

Compared to many business functions, the HR department has, in recent years, been an early adopter of technology-driven approaches. If not for Customer Relationship Management (CRM), HR would have been the first to embrace Software-as-a-Service (SaaS) as an alternative to on-premise.

With the latest advances in global payroll technology, HR has yet another opportunity to enhance its technology-embracing credentials. Thanks to increased vendor investments into application integration, a much tighter collaboration between cloud-based Human Capital Management (HCM) and global payroll systems is now a reality.

No more large-scale transformation projects (please)

Traditional, global HCM and payroll change programs have been (and in many cases continue to be), prohibitively expensive. Larger organizations may have the stomach for such a big investment, but the complexity involved has often resulted in lengthy, monolithic transformations.

For a multinational company, the conventional approach would be a drawn-out integration project led by an external consultancy, which could take many months and a bottomless pit of funding to complete. As a result, the business case for integration is hugely underestimated.

Today, this concept is glaringly out of place when compared with what can be achieved so quickly with the Cloud. It would have been hard to imagine a few years ago that an integration project could be completed and ready to go-live in days as opposed to months or even years, with minimal testing and quality assurance. Thanks to the Cloud and its next generation of integration tools, this is no longer a pipedream.


Cloud integration

From a customer’s perspective, the integration of HCM and payroll systems can now be staggeringly simple. It’s a welcome development as a result of closer partnering between the key HR & payroll vendors. The Cloud has introduced much-needed standardization and with that has come pre-built, bi-directional integrations enabling data to flow freely between HCM and payroll systems.

With your HR and payroll systems in sync, double data entry becomes a thing of the past - cutting the workload of HR and payroll teams, as data should only ever need to be inputted once. Through automation, you can achieve greater reliability because the centralized data in your HR system will be the same data driving your payroll.

Whereas traditional, bespoke integration projects required customization for every single country, cloud technology and APIs (Application Programming Interfaces) means integration with the most popular SaaS HR systems need only be built once. Cloud-based solutions require significantly less system configuration, which drastically reduces the time-span of an integration project, and slashes the costs too.

Such significant savings may seem too good to be true, but they come with little need for compromise. It’s true that your organization is likely to need to embrace a degree of process re-engineering to fit with a standardized approach. Even here, there’s comfort to be found in the fact that your business will be adopting more best practice processes.

Finally, we can’t talk cloud integration without mentioning iPaaS (Integration Platform as a Service). These platforms support hybrid models that unify on-premise software with cloud-based processes. They are gaining a lot of traction because they enable faster deployments that are easier to develop and provide much-needed scalability.

iPaaS gives large enterprises a viable interim solution to bring a disparate, hybrid landscape together while the number of payroll providers used globally is reduced.

With cloud integration, the mammoth big-ticket integration projects will soon become a thing of the past. Now has never been a better time for global HCM and payroll integration.


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