New trends descend on HR & payroll
Johannesburg, 2 Jul 2015
Employees are the heart of any business. This is especially true for mid-size enterprises, which must attract and retain the best talent if they are to hold their own against much larger competitors.
So says Anton van Heerden, MD of Sage HR & Payroll, who notes if enterprises are to take full advantage of their talent, they have to be able to manage it effectively and efficiently.
“This is why we’re seeing so many mid-size and large enterprises invest in powerful, simple and flexible HR management solutions to streamline their practices, improve efficiency and future-proof their businesses,” says Van Heerden.
Sage VIP and Synergy Group, in partnership with ITWeb, are conducting an online HR & Payroll Survey to gain valuable insight and perspective into the current strategies within South African organisations.
“It is important for organisations to seriously consider their HR and payroll automation strategies and the aim of the survey is to determine how South African organisations are faring when it comes to what motivates them to implement, upgrade or replace their HR and payroll solutions,” says Van Heerden.
He notes the survey is to also establish current market penetration of HR and payroll solutions within businesses.
Ashley Regenass, CEO of Synergy Group, adds: “This survey is needed to establish what the current uptake of automated and integrated HR and payroll is in South Africa.”
According to Van Heerden, there are quite a few trends that are being witnessed within the HR and payroll sphere such as compliance, payroll fraud, cloud computing, employee self-service and outsourcing.
He points out the regulatory and tax environment are becoming more complex. This trend is expected to continue, especially with pension fund reform on the cards, the possible introduction of national health insurance, and the Davis Commission’s reevaluation of SA’s entire tax system.
“More organisations are falling prey to payroll fraud. Many organisations are looking to the cloud to cut operational and capital costs. Employee self-service solutions give employees more convenience and finally outsourcing routine monthly payroll tasks allows organisations to focus on their core business more easily.”
When asked what challenges organisations face with regards to HR and payroll, Regenass advises that too many mid-sized businesses still store HR data in silos.
“Outdated HR systems with loose or no integration with accounting and ERP [enterprise resource planning] systems create inefficiencies and hamper visibility into business trends. Gaining visibility of HR performance is a growing challenge as well as statutory reporting,” says Van Heerden.
“A good solution will automate routine administrative tasks which helps companies to comply with regulations. Electronic processes also produce a wealth of data which enables HR to make better decisions.”
Regenass notes an effective HR and payroll system helps businesses to better manage their mobile workforce as well as improve efficiencies.
“An effective HR and payroll system will streamline compliance and help companies stay on top of the dynamic and changing HR landscape,” he adds.
Concludes Van Heerden: “By automating routine paperwork, HR departments will be able to focus more on issues such as training and development, performance management, employee retention, developing a positive business culture, and alignment of the HR strategy with the business strategy. This translates into a business advantage.”