TECHNOLOGY
data entry clerks. Starter and leaver processes, employee changes, time management and absence capture are increasingly being completed electronically by business themselves. Payroll needs to encourage, promote and support this and adapt its processes to harness data, maximising automation to minimise data entry. Automation will revolutionise our profession by eliminating all of those routine tasks or tasks where a computer can do something better than a human. However, unlike bookkeeping, for example, payroll is a discipline that involves significant and complex legislation. Add to this the diverse policies and rules each employer operates and it is difficult to see how automation will eliminate the need for payroll professionals. With a relatively stable paid workforce in the UK, automation may ultimately reduce the number of people involved in the profession, but those individuals have a fantastic opportunity to promote their skills and knowledge and the profession. Laura Hughes: I believe that as a result of automation, HR and payroll professionals will spend more time on advisory or consultative work, rather than simply processing data. The dynamic of the day job will shift, but there will always be a need for a human to interpret the data, particularly when the data deals with some of the most personal aspects for an employee – including their pay. No matter how much of the payroll process is automated, you will need that human element to interpret and advise on the data. We’ve already seen some of our clients implement their own robotic processes to automate simple tasks in the payroll cycle, such as moving reports from their payroll software into PayDashboard via robotic process automation. They have achieved huge efficiency savings as a result and improved accuracy. Functions such as payroll have been highlighted as being among the most affected by automation. What can be done to prepare for changes? Jaspal Randhawa-Wayt: One of the biggest issues is changing the mindset commonly found in traditional professions like payroll, that because ‘things have always been done this way’ there is
no need to change. Automation is an inevitability and those organisations that are not willing to adapt will only be left providing an inferior employee experience compared to their competitors. ...desktop or installation-based software – will really struggle to keep up with developments in automation Changing this mindset is all about involving payroll professionals directly in the process of change. This means clearly communicating the benefits that automation can bring to the organisation and its staff. It also means working with them to determine which areas of their roles are likely to be taken up by automation, and to identify opportunities to upskill in other areas where they can add strategic value. This will hopefully help to alleviate some of the concerns they will harbour about the future of their jobs. Sharon Looney: For years on end, there’s been much talk about the need for HR to become more ‘business-savvy’. Beyond that, the challenge for HR is to upskill as data analysts and master the art of HR data collection, analysis and interpretation. We need to also develop the skills to apply this insight to guide HR initiatives and measure their success. We need to use evidence- based key performance indicators to elevate the HR discussion to the right level of strategic relevance. Becoming more ‘tech-savvy’ and armed with the right HR technology, professionals
can truly draw direct lines between their initiatives, their data and overall business performance outcomes. We must become competent at presenting this insight at board level. This as well as building the skill and competence to build and integrate remote teams, mediate disputes, build collaboration and enable performance across a digital landscape. Richard Rowell: We must view payroll as a professional service. Yes, there are tools to automate and make the task of processing payroll easier but our value as professionals doesn’t come from our ability to enter data and calculate PAYE [pay as you earn]. As with our professional counterparts in accountancy, legal and HR, our value comes from detailed understanding of complex legislation and being able to translate that to the businesses we work in and for. Whether payroll can become truly strategic within a business, I’m not sure. It would depend on the business, but at the very least payroll needs to align itself with the business strategy. Laura Hughes: It is vital that if payroll teams want to take advantage of automation, they need to get their house in order early when it comes to the software systems that they are using now. Some legacy payroll products – particularly the desktop or installation-based software – will really struggle to keep up with developments in automation. Cloud-based solutions with open APIs to connect to other systems have a huge advantage in the race to automation. But it can take months to implement a new payroll system, so if payrollers want to truly take advantage of automation then they need to ensure they are utilising the right software now to provide a platform for this. n
| Professional in Payroll, Pensions and Reward | February 2020 | Issue 57 40
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