Ensuring higher profits in 2019 means taking a hard look both at where you can grow and where you can operate more efficiently. An investment in payroll and Human Capital Management (HCM) software can be a good place to start.
Calculating the return on investment for such tools has to include consideration of your upfront costs, of course. But the soft costs of not digitizing your processes is a metric that many small and midsize businesses neglect to consider. How much are your current processes costing you?
The Overlooked Costs of Being a Digital Hold-Out
If you’ve got a well-paid comptroller taking time out of her day to answer payroll questions or access W2s, your costs may be far greater than you realize. If you’ve got employees devoting time to manual processes that could be put toward higher value tasks, that’s cost multiplied by the value of missed opportunities. If your inability to streamline your hiring processes is leaving you without a strong pipeline of job candidates, you could be paying in lost productivity and inflated recruiting expenses. If you’re not taking advantage of digital tools to improve the experience of your employees, you may be paying in employee turnover.
Those are all examples of variable costs frequently overlooked by business owners who resign themselves to what they believe is the “fixed” cost of providing
payroll and HR.
But it’s not just costs that may be hiding in your calculations. The ROI of payroll and HCM software has benefits that go beyond reducing the direct cost of inefficient labor. There are efficiencies that unlock benefits you may not have anticipated. Here are just a few:
Hidden Benefits of Digitizing Payroll and HR
- Happier employees: Digital tools like a mobile app that allows employees to clock in, request vacation days, review their pay stub or manage benefits from a phone or tablet are benefits that streamline the employee experience as well as your HR processes.
- More productive employees: Less time spent on tedious manual processes leaves more time for more valuable projects. (See Happier Employees)
- Data You Can Leverage: HCM and payroll software provide you with data and reporting capability that can compound your ROI by revealing trends and efficiencies you can use to improve your hiring processes, reduce waste or control overtime.
- Compliance Assurance: HCM tools can save you both the worry and significant consequences of being out of compliance with workplace laws and regulations.
The Value of Digital Hiring Tools in a Tight Labor Market
In addition to saving time and money, digital recruiting and applicant tracking is an investment that can keep your company on top in today’s competitive hiring environment.
HCM software can help companies find a quick and efficient match for job openings. Having an up-to-date and efficient system helps keep job prospects from being lured away, giving your company the competitive edge. The digital recruiting and applicant tracking provided by HCM software helps to streamline employee onboarding and allows employee data to be easily transferred from recruitment to employment.
Synergy of an All-In-One Approach
With the ability to integrate payroll, time and attendance, human resources, hiring and benefits enrollment, a system of payroll and HCM software yields benefit after benefit, in one easy-to-use platform that streamlines hire to retire and everything in between. Reduce errors and waste, end compliance worries and start thinking about what you will do with all of that extra time and energy.
More Than a Payroll Service
At SBS Payroll, we provide clients with the tools they need to increase efficiency, keep their employees happy and spend more time focused on growing their business. We are a leading provider of human capital management software in southern California. Our HR support services can streamline your processes, help you craft company policies and provide tools you need to stay up to date and in compliance with state, local and federal workplace laws. Our clients have access to additional solutions through our network of sister companies: Payroll Tax Management, Cachet Financial Services and Time Rack. Call today to find out how we can customize a solution for your company.