Measuring the maturity of your global payroll operation today can you help you reach your goal destination tomorrow, an NGA Human Resources executive said in the Global Payroll Management Institute (GPMI) webinar, “Assessing and Accelerating Your Global Payroll Maturity.”
Rob Hill, NGA’s Vice President, Enterprise Sales-UK at NGA, led his audience through a tool NGA uses to show companies where they stand in the global payroll realm.
“We had no toolset to actually measure where they are and where they wish to get to in the future,” he said. “This tool looks at measuring payroll maturity whether in a country, regional, or global across four areas we see as key—technology, business process, compliance, and business value.”
Hill said measuring global payroll maturity gives a company a framework to identify the current and ideal future maturity of its service; a model to allow discussion about the benefits of undertaking a global payroll project; and a way to measure the success of a global payroll project.
NGA’s technology assessment asks companies five questions, with answers ranked on a sliding scale from low-performing to industry best practice:
- Do you have a consolidated payroll system?
- Do you use self-service?
- Do you have a single source of truth for payroll reporting?
“This to me is probably the key behind global payroll,” Hill said.
- What is your payroll platform strategy?
- Is your payroll system integrated with HR systems?
In assessing business process maturity, NGA asks these five questions:
- Do you have standardized payroll business processes?
- How effective are your payroll business processes? Are they genuinely best practice?
- Outline your current type of service delivery model.
- What is the status of your process harmonization and transformation?
- Have you defined payroll cycles and calendars?
To assess compliance, NGA asks:
- How would you rate your current payroll compliance status?
- Do you run payroll audits in your organization?
- How regularly are payroll audits completed within your entity or company?
- Do you have a centralized compliance strategy?
He said companies’ compliance often is better in countries where they have high head counts and worse in those with low head counts or in less-developed countries.
Of these four questions, Hill said employee satisfaction is a key measure:
- How does your cost of delivering payroll compare?
- What is the business value demonstrated by the payroll delivery?
- What do you think is the customer satisfaction level of your employees with their payroll service?
- What is the quality of your current payroll teams?
NGA Human Resources, a global leader in helping organizations transform their business-critical HR operations to deliver more effective and efficient people-critical services, makes the tool available on its website.
“We’re not professing that this is the ultimate framework,” Hill said. “The point of this whole exercise is to be able to work through the framework, measure aspirationally where you wish to get to, and then actually be able to report proactively on your progress.”
GPMI Director of Instructional Design and Learning Development Nicole Smith hosted the webinar, which is available on-demand.