The 7 Benefits of Integrating Your Payroll with HCM
What is a house without a kitchen? It fills your home with warmth and the delicious smell of food, bringing your loved ones together.
I love to cook, but my kitchen is in shambles right now. The dishwasher isn’t unloaded, the counter is cluttered, and there’s no food in the pantry or refrigerator. It brings down the entire morale of my apartment.
When everything is scattered, the kitchen can’t flow smoothly (and I can’t cook).
Think of payroll like the kitchen: without it, you won’t have a business, just like you wouldn’t have a house. You have to pay your employees for them to work, just like you have to have a kitchen in order to cook.
When your payroll is a disjointed process, and you are overloaded with admin tasks, it can take away from what you need to focus and invest in as a business, like your culture or leadership.
Payroll can be intimidating for a new business or startup, but it’s equally as stressful for a growing small or midsize company. An employee may wear a second hat for processing payroll, resulting in errors and late paydays if they aren’t experienced.
Late or inconsistent paydays result in a disgruntled team. Your employees are vital to building your business; after all, you can’t have a house without a kitchen.
Integrating payroll with your HCM system will streamline payroll processing – but it doesn’t stop there. Let’s look into the seven other ways it can help you and your team get one step better every day.
1. It streamlines self-service for employees.
According to a recent Paychex study, 73% of full-time workers in the United States expect their employers to provide self-service so they can manage their HR information.
Giving your team access to an easy-to-use self-service portal is a great way to boost employee engagement and satisfaction. It empowers them to access and control critical HR information on their own time.
For example, whenever an employee needs to pull up a pay stub or track down benefits information, a single login and a user-friendly platform make the process less frustrating.
2. It makes onboarding efficient and fast.
Quickly bringing on and training a new hire in fast-paced industries is vital. A unified HCM and payroll system helps you streamline your onboarding program.
All of an employee’s key documents live in one place, eliminating redundancies and the need to rekey information. Creating an effortless onboarding experience can help the organization grow faster without increasing the burden on HR.
For example, a new employee can fill out paperwork, tax information and set up direct deposit – all before their first day on the job. This means less time spent on administrative duties, and more time spent training and introducing them to their new team.
3. It reduces HR’s workload.
Nearly 3 out of 5 workers believe they could save 6+ hours per week if repetitive tasks like data entry were automated.
Whether you’re onboarding new hires or updating employee records, automating repetitive tasks reduces time spent on data entry. This helps prevent burnout and gives your HR professionals more time for higher-value activities.
An advanced and integrated HCM and payroll solution help you realize the value of automating critical but time-consuming HR tasks.
4. It enhances data accuracy.
There is less opportunity for error when one system collects payroll and HR data. Moreover, the data gathered can provide deeper insights and improve decision-making by helping your HR department stay informed.
It also allows human resources to focus on managing your team and conducting better performance reviews. They can keep an eye out for poor performers, and spot when your best employees deserve a promotion.
As a result, you improve your workplace culture, reduce turnover, and gauge the pulse and wellbeing of your team.
5. It supports the paperless office.
When HR and payroll activities go unchecked, they can quickly generate excessive paperwork. A streamlined, cloud-based solution for payroll and HCM helps your clients eliminate paper pay stubs and distribute other essential documents in digital formats.
This saves you money from printing, but more importantly, helps your office go green by reducing its environmental footprint.
6. It improves data privacy.
HR data is highly susceptible – social security numbers, tax forms, and bank information can put you and your employees at risk. All data needs to be stored as securely in a few places as possible.
A single integrated solution offers more protection than a paper trail of emails, printouts, and PDFs. It unclutters your desk and reduces risk.
Having sensitive employee data in one system makes it easier to ensure data security, compliance, and privacy. Plus, you get to ditch those dusty file cabinets and make room for some sweet new office furniture.
7. It offers greater visibility.
When you integrate your payroll with an HCM system, you can improve data access and provide robust reporting for your HR professionals.
Customized dashboards enhance visibility across your business, creating a cohesive approach to human resources. With metrics and analytics at a glance, your HR leader will be empowered to identify issues quickly, recruit better employees, and gauge your team’s performance.
Get back to doing what you love.
When my kitchen is clean, I can pour my energy into making a delicious meal. I don’t have to worry about the dirty dishes or my vacant pantry of important ingredients. I grab what I need, turn on some music, and get back to doing what I love.
Think of payroll the same way. It’s what retains your employees, who are the lifeline of your business. You don’t want to wade through paper trails, remind yourself to process payroll, and worry about compliance – it takes you away from your real passion.
Integrating your payroll with an HCM system improves your team’s experience, from their first day on the job to when it’s time for them to get a promotion. It centralizes their data, empowers them to access their information, and eliminates the stress on your HR manager.
At Whirks, we strive to help you get one step better every day, so you can get back to doing what you love: running your business and leading your team.
Did you know that there are more ways an HCM system can support HR? Read this article to understand how the right software can strengthen your human resources department – and get them back to doing what they love.