Nearly two years ago, a large international commercial bank came to us with the brief to “design, build and deliver an integrated, highly secure, standardized and compliant global HR and payroll infrastructure.”
The five primary objectives were to;
Far from a simple project in complexity, it was made easier because the client really understood its own business case for outsourcing its HR and global payroll processes.
At the time of engagement, the bank had nearly 50,000 employees, working in almost 1,000 offices and branches in nearly 50 countries, most served by local HR and payroll process and with varying degrees of consistency.
At our first meeting, the Head of GM-HR Shared Service Center at the bank said to us;
“We recognize that the most efficient way to manage multi-country HR and payroll processes is to outsource it. We have local systems and processes, and this makes it difficult to both manage and to accurately report without intensive manual data input. It also creates complexities for our many employees whose careers cross countries.”
Operating in a highly regulated industry, the bank couldn’t afford any people processes, data or compliance risks to impact on its own customer services, even more so with the arrival of GDPR.
In discussion, the client was in full agreement with the findings of the 2017 Global Payroll Complexity Index (GPCI) report, published last autumn by NGA HR in partnership with the leading payroll associations. The report shows that at least 65% of companies state legislative and HR & payroll updates and on-going compliance as the number one payroll complexity challenge.
This compliance challenge they were keen to remove.
As the Global Payroll Complexity Index report highlights that payroll is no longer just about paying people. It’s about data, the analytics, storage and security of personal information.
This is one of the growing reasons why more and more international organizations, including retailers, financial services and manufacturing companies, are coming to us to manage their multi-country HR and payroll processes – to remove the risk of handling and securing the data.
The project, at this point, will see the bank’s HR and payroll processes for nearly 30 offices across Europe, Asia, and the USA, standardized and centrally managed for absolute consistency, performance and security.
By aligning and outsourcing HR and payroll, the bank no longer needs to worry about its technology framework. Its focus is purely on its banking business.
We are giving them the assurance that its back-office HR and payroll processes are compliant with legislation in each location, employees are paid correctly and on time, and that the technology supporting these vital employee engagement processes is both well maintained and continually evolving with the benefits of innovation.
The project team, a real partnership between bank IT staff and experts and consultants from NGA HR, agreed on the design and build timeline for the transformation project and are moving forward with a clear set of objectives and measurables.
On completion, NGA Global Payroll with NGA hrX exchange technology will have integrated the technologies in all locations, using the combined skills and expertise of NGA HR’s global and local NGA HR service delivery centers.
To maximize the user experience, NGA HR’s SAP SuccessFactors XtendHR productivity apps including MyPay, MyDocs, askHR, and MyForms, built on SAP’s Cloud Platform, will be integrated in the cloud solution and accessed via the consumer-style, channel of choice, front end.
According to the feedback of the client, no other provider in the selection process could match the scope, expertise, and experience of our global yet local service delivery capabilities, our competitive and clear pricing, or our team’s proactive and straightforward approach from the first meeting, with our consulting team, on.
We are centrally managing the project teams from Frankfurt and have local expertise in each location to ensure country specifics are addressed.
After an initial five-month planning process to ensure policies, security and data protection were all in line, phase one started last November in APAC and is now nearing completion.
What does the future of global payroll look like for your business?