#1 HR Strategy For a Strong Rebound: Align HR & Payroll

hr strategy

Liz Strikwerda

Content strategist and corporate blogger (2000+ posts). Her work has been featured on G2's Learning Hub, Human Resources Today, CloserIQ, Better Buys and over 500 business websites. She plays bluegrass mandolin and enjoys hiking in the red rock wilderness of southern Utah. Connect with me on LinkedIn

You’re getting back on your feet after an economic smackdown. Inefficiencies pose an existential threat. Your business rebound HR strategy is to unify systems. As you do, you will save time, money, and energy.

This will allow you to focus on other critical issues as the pandemic continues to shape our lives. These include employee safety and mental health. New sick leave and FMLA obligations. Qualifying for government small business relief.

What issues are employers and HR professionals dealing with?

hr strategy


How do you unify systems and eliminate waste?

Your business recovery HR strategy hinges on two key components:

  • Eliminate HR silos
  • Reduce waste

What is a business silo?

A silo is any entity or process that captures and uses data without sharing it with other departments or systems. An HR silo is a subset of Human Resources data that exists within one team or software application. HR silos are absurdly inefficient and opaque, and thereby stifle growth, innovation and workforce morale.


What HR silos are bringing your business down?hr strategy

People functions have evolved separately in corporate America. This is due to many factors. These include traditional organizational structures. A ‘that’s not my job’ mindset. The hyper-specialization of business software has played a role. As well as the challenges of integrating disparate systems.

Silos in any department hamper success. But they are especially harmful in HR. HR processes affect all employees. Thus, they impact every department. (Unless, of course, the department is run solely by robots.) This is true for businesses of all sizes in every industry.

Payroll is a common HR silo. It often lives in accounting, outside of core Human Resources. Hiring and onboarding have also been isolated. Some companies even track employee time and PTO in different systems. As a result, inefficiencies have become entrenched. When your business was humming along with a strong economy, they may have been relatively small, though ever-present annoyances. You swatted them away like pesky flies.

6 Key Findings About HR Inefficiency

As we consider HR silos, let’s look at some numbers from industry research.

  1. “The average cost of labor every time an employee fills out a timecard is $9.37. For a company with 100 employees, that’s $937 in employee time every pay period.” (Ernst & Young)
  2. “Administrative burden (58 percent) continues to pose a much bigger burden than the actual financial cost of federal taxes (38 percent) for small business.” (National Small Business Administration)
  3. “Processing payroll takes more than an entire day at 72 percent of the organizations surveyed.” (Accounting Today)
  4. “Leakage of time is a big problem in professional businesses–with over 38% of potential billable revenue lost to untracked time spent in emails, meetings and by delays in filling in timesheets. Businesses that can address this issue and solve it stand to gain handsomely with a revenue boost of up to 61%. (Accelo)
  5. “It costs $15.14 each time a manager verifies the accuracy of an employee timecard.” (Ernst & Young)
  6. “1 in 4 small business owners report spending more than six hours each month handling payroll taxes internally.” (National Small Business Administration)

Retool, Retrench, and Rebuild Framework

For many U.S. companies, the second half of 2020 is all about rebuilding and reinventing. Those who create an HR strategy will rebound more quickly. People management without a cohesive plan won’t meet the moment.

How do you eliminate HR silos?

The solution is a Human Resources Management System (HRMS) with payroll integration. It has everything you need to transform workforce management. An HRMS includes:

  1. Payroll data import
  2. Hiring and applicant tracking
  3. Onboarding/offboarding
  4. HR management
  5. Time and attendance
  6. Employee scheduling
  7. Mobile Location Management: remote clock in, geo-tracking, geofencing
  8. Employee engagement: manager check-ins, recognition wall, anonymous suggestion box

HRMS With Payroll: A Unified Solution

Introducing WorkforceHUB. Say goodbye to frustrating disparate systems that don’t talk to each other. No more manual data entry and duplicated work. Eliminate the hassle and errors of paper timesheets.

Let’s discuss the HR functions unified in WorkforceHUB.

PAYROLL INTEGRATION: WorkforceHUB eliminates the need to collect and record timecards, calculate hours or transfer data to payroll. You won’t dread the end of the pay period anymore.

This also simplifies administering new emergency paid sick leave and expanded FMLA. If you received a Paycheck Protection Program loan, it will be easier to verify payroll expenses for loan forgiveness.

How does payroll data import save employee time and effort?

Employees clock in and out with web-based and physical time clocks, WorkforceHUB tracks their hours and tallies them as they accumulate. As mentioned in the Key Findings listed previously, the average cost of labor every time an employee fills out a timecard is $9.37. For a company with 100 employees, that’s $937 in employee time every pay period.

How does payroll data import save manager time and effort?

Employee time makes up part of the savings. Let’s talk about your managers. With WorkforceHUB, they don’t need to correct paper timesheets. Remember, it costs roughly 15 bucks every time a manager needs to investigate and correct a problem. This includes missing punches and addition errors.

Granted, your managers will need to approve the digital timecards, but far fewer will need corrections. The data is calculated from actual employee punches. The timecards won’t have errors due to faulty memory when employees enter hours after the fact. They also won’t have errors due to employees intentionally fudging their hours on paper timesheets. If you use the schedule lockout feature in WorkforceHUB, your employees can’t clock in early or clock out late. The upshot? You will save money the very first pay period and every pay period after that!

How does WorkforceHUB recoup billable time?

Perhaps you are a professional services company that bills employee or contractor time to clients. As mentioned, research shows that over 38% of potential billable revenue is lost to untracked time spent answering emails, in meetings and by delays in filling in timesheets. We already outlined the savings created by eliminating paper timecards. Let’s talk about emails and meetings.

With the WorkforceHUB mobile timekeeping app, it’s easy for your employees to clock in when they are answering emails from home after business hours. The same goes for tracking time in meetings at a client’s office. They can clock in as they walk into the building. Or when they take a client call while sitting in a junior high auditorium waiting for their daughter’s dance recital to begin.

WorkforceHUB has job codes that help track time to the right client. Collect payment for all billable time. Process payroll in minutes instead of hours. Verify payroll expenses for PPP loans. Stop buying Advil in bulk. Make your employees happy.

APPLICANT TRACKING: Hire smarter and faster. 63% of small businesses use applicant tracking to gain a hiring advantage. If you are recruiting the old-fashioned way, you are going to struggle. WorkforceHUB will help you find your next star employee. The mobile-friendly platform allows candidates to apply on their phone. Customizable questionnaires pre-screen candidates. In-app texting lets you engage with candidates using their favorite communication method. Video interviewing creates a 100% remote hiring process.

ONBOARDING: You don’t need to manually enter new employee information. Interactive forms and e-sign allow new hires to do paperwork online. Secure manuals and online training support remote employees. Administrators track progress easily.

EMPLOYEE SELF-SERVICE: Let your employees manage their information. They want to do it. And, frankly, they are better at it. This includes direct deposit, W-4, paystub and address. They can check their PTO balance when they are at home planning a vacation. Request shift changes without texting a manager. Your employees will be more engaged, efficient, and productive.

hr strategy
ALERTS, NOTIFICATIONS, TIMECARD APPROVALS: ‘Intelligent’ clocks (hardware and web-based) make time tracking easy and accurate. Avoid unplanned overtime. Prevent off-schedule hours. Reduce missed punches. Restrict clock ins that occur outside a pre-set geofence. Improve compliance. Reduce payroll bloat and hours theft.

SHIFT PLANNING: Keep shifts fully staffed with drag-and-drop schedule building. Set overlap and overtime alerts. Self-service shift-swapping makes life easier for your employees. Set notifications. Keep the right people in the know.

MOBILE AND REMOTE: With WorkforceHUB, this is the year of ‘HR in your pocket.’ (2020 isn’t a complete bust!) Your employees always have access from remote locations. Log in from any browser. Keep everyone connected regardless of where they are working.

hr strategy

Let’s recap the benefits of a single HR solution:

  • Operate on a smaller labor budget
  • Free up time to support both remote employees and those returning to a completely different office
  • Eliminate HR silos, duplicated work, and fragmented management
  • Attract top talent that recently came on the employment market due to widespread layoffs and business failures
  • Use analytics to guide decisions across departments
  • Employee self-service boosts productivity and morale–especially for remote and mobile workers
  • Simplify new emergency paid sick leave, expanded FMLA, FLSA and local workplace laws
  • Streamline transactional HR processes so you can focus on rebuilding your business

Companies across the globe are facing a new reality filled with economic volatility and business uncertainty. While certain industries are impacted more than others, the next several business cycles will favor those organizations that have built up a measure of resilience and agility across their core areas. Aberdeen Group

Talk to a SwipeClock HRMS specialist for more information about how our software works with your payroll system. We integrate with the most popular payroll platforms and may be able to build an integration for you if we don’t already have one.

WorkforceHUB meets the unique challenges of rebuilding your business during a pandemic and slow economic recovery. Schedule a WorkforceHUB demo today.

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