Payroll as a function is owned by the Accounting/Finance department in most of the organizations. Their responsibilities with respect to payroll include ensuring if all employees are paid at the right time, reconciling payroll data, depositing and reporting taxes. They also take care of wage deductions, record keeping and verifying the reliability of pay data. They deliver payroll checks, calculate reimbursements, bonuses and maintain compliance with tax laws. HR functions are all related to employee engagement and managing human resources. There is a lot of cross-border responsibilities to be shared between HR and finance. The data integrity, data transportation, workflows between the two departments have always been a challenge.
In this era of cloud-based systems, this integration is possible seamlessly. Cloud-based HR software and payroll software India (Click Here) have transformed many businesses by simplifying the cross-border workforce management between HR and Finance, have allowed to combine data and intelligence among them and helped reduce workflows drastically. This has only made shifting to the cloud a strategic necessity.
Need for data sharing
Cloud computing has become an absolute need today with organizations, as it has become essential to share data and communication between HR and Finance. Government regulations regarding overtime, bonus, gratuity, benefits and many other labor laws have forced policy driven interactions between HR and Finance. Real-time access to data has been enablers for businesses to make real-time decisions. When a top-level executive is defining business strategies, he would need an understanding of talent needs and the HR teams need a vision of the budget needs for each team. So, with disconnected systems, a real-time big picture is not available to the organization. This has been only possible because of the integrated cloud-based HR software.
Data sharing enables policy reforms within the organization
Benefits and compensation are key factors to retain employees in this age when the war for talent is at its peak. This obviously requires combined strategizing from HR and Finance. Embedded analytics provided with the integrated HR, payroll software and online attendance system today is able to make use of the combined data intelligently to address the needs of the organization. This combined data intelligence has been a source of numerous policy changes for the best of the employers and employees. Concepts like paid time off, student loans and many other new age benefits and perks have been because of the efficient data sharing and analytics available with the technology today.
So, with these integrated systems, businesses are able to work out a detailed what if scenario and base their decisions based on that analysis. For example, they can easily figure out the financial implications of a re-organization or determine the headcount for a new business unit. In a nutshell, get used to cloud computing!