In 2009, an exhaustive and comprehensive study including 100 large, medium and small sized business both domestic and international were studied to evaluate the various components of a highly productive, cost effective and efficient payroll processing department. This study integrated Workplace Management for the first time (Cheek 20)
Failing to create, maintain and adhere to these goals will ultimately result in a it platform that is irrelevant, ineffectual and cost ineffective. Currently, there are six, well established, principles that drive the creation of an adequate Information Technology platform within payroll departments of large, medium and small sized businesses (Greengard 51)
However, there are five reasons that are the penultimate of reasons why companies are opting to utilizes SAAS across all departments of their organization, including payroll and human resources. The first of these reasons is the most obvious, to save money (Maynard 3)
There are many opportunities for using it to increase the productivity of payroll processing within organizations. The rapid growth of Software-as-a-Service (SaaS) continues to fuel adoption of payroll processing applications in small and medium business (Roberts, 24, 25)
These platforms will be discussed for their scalability, technical abilities and overall projections to improve productivity in the area of payroll processing. Payroll often costs companies tens of thousands of productive hours per year and tens of thousands of dollars to process, not counting the correction of errors and the more complex tasks of managing tax reporting (Tinsley, 37, 38)
Reducing Payroll Costs: In many organizations, payroll is one of their largest expenses. In fact, in small businesses, "salaries and wages typically account for 60% to 80% of a small company's expenses" (Richmond, 2009)
This strategy consolidates tasks into a shared services environment, allowing the organization to perform the same number of tasks but with reduced human capital overhead costs. Many organizational support services are good targets for this type of cost-savings options, including: payroll, HR, accounts payable, and benefits (Rist n
These workers, often known as consultants, are perfect for filling short-term organizational needs and to reduce costs. These workers are not direct employees of the organization and therefore do not have taxes withheld or matched, nor do they received fringe benefits owed to other employees (Stevens & Karpinsky, 2009)
He created follow-me-home teams of developers who study how consumers and businesses use their software, so he can engrain into his company's culture the insights and intelligence needed to make applications that are useful, meaningful and relevant (Singer, 2007). Part of these research studies indicated that both consumers and businesses were interested in Software-as-a-Service (SaaS) approach to delivering applications over the Web (DeFelice, 2008)
Since then SaaS as a delivery platform for applications has proven to be one of the most cost-effective there is, with CRM software Company Salesforce.com reaching over $1B in Sales (Katzan, Dowling, 2010)
The integration to Quicken and QuickBooks is also bidirectional, so the taxes paid can be reported back into a company's financial statements too. The bottom line is that a Payroll Administrator using Quicken and the SaaS-based Online Payroll will be able to get more accomplished while saving their company money (Schulz, 2009)
The CFOs are the audience or sampling frame of the research effort, specifically those in small and medium businesses with sales less than $25M per year. SaaS has evolved from being tested on pilot programs to being used in mainstream accounting, finance, sales and service functions and has emerged as the fastest growing platform for IT services globally (Kugel, 45, 46)
There are many opportunities for using IT to increase the productivity of payroll processing within organizations. The rapid growth of Software-as-a-Service (SaaS) continues to fuel adoption of payroll processing applications in small and medium business (Roberts, 24, 25)
Payroll vs. Productivity: The Role of Information Technologies (IT) Project Description Payroll often costs companies tens of thousands of productive hours per year and tens of thousands of dollars to process, not counting the correction of errors and the more complex tasks of managing tax reporting (Tinsley, 37, 38)
Generally, the main purpose of this technology involved in the architecture is to promote connectivity between offices with regards to payroll system and streamline information flow relating to payroll services and practices. Quality Software Applications The second important type of technology involved in the architecture is quality software applications, which must be integrated into the architectural framework for effective functioning of the payroll system (Bragg, 2004)
As previously mentioned, this architecture is largely dependent on employees' data for effective functioning. Since employees will be required to provide confidential and sensitive information that will be stored in the payroll system, concerns regarding potential violation of privacy and confidentiality are likely to emerge (Erisman, 2006)
This process requires identifying a suitable type of architecture, types of technologies to be involved, and addressing any ethical issues that could emerge with the new architecture. Type of Architecture for the New Payroll Application The process of selecting an appropriate payroll application and architecture has become critical and widespread as ever before because organizations of all sizes are increasingly looking to build and/or upgrade new payroll software solutions (Fairchild, n
This component plays a crucial role in the architecture because it is the central point for aggregation of data that comes from multiple sources within the network and payroll program. The main objective of the wide area network in the WAN Payroll System for the payroll program for this company is ensure connectivity between the users of the payroll program and the applications that are linked to several local area networks in the different offices (Khan, 2009)