Beloved child, as you know, has many names, and outsourcing of payroll is just such a child. BPO payroll , or business process outsourcing payroll , is simply about outsourcing the payroll function. But what really lies in this? And why should you care?
Bjorn Bakken - Wikipedia
We've had a chat with Saribas Director , Bjørn Bakken, to find out more about what BPO really is, why this is something we in Sariba do, and not least; why this is something all medium and large companies should consider.
And if you're wondering why we should listen to exactly Bjørn's opinions on this, it's because he was responsible for the development of Sariba's BPO service. He therefore knows very well what he is talking about.
What exactly is BPO payroll , Bjorn?
BPO payroll is, in short, the outsourcing of the payroll function . It's about you, as a company, getting an external actor to do as much as possible of the processes related to payroll processing for you. By going for a BPO solution, you get a professional partner payroll , and you can free up both time and resources internally. BPO gives you cost-effective payroll administration and you get access to professionally up-to-date and competent resources. In other words, it is about outsourcing as much of the business processes as possible .
And what is BPO not ?
Here it is important to emphasize that you never put out everything you have payroll to become a BPO partner, it is simply not possible. You as a company are still responsible for that input to payroll is correct. This can, for example, apply to input about salary changes, input about variable allowances and deductions, or it can be input about absences that have salary implications. Someone in your company must ensure that the supplier has the correct information in their systems so that payroll will be correct. Having a smooth collaboration between the right people at your place and your BPO supplier will therefore be essential.
My contention is that BPO payroll is a risk-reducing measure
What exactly is delivered in a BPO service?
What we do is take over all processes that can be automated . An example of this is automatic pay rise. We, as a BPO supplier, are of course responsible for the actual wage production, control of wage drift and all subsequent processes.
Here's what we do:
- Produces payroll
- Make checks
- Creates a report which is sent to the customer
- Make corrections based on feedback on the report in the section above
- Provides final payroll run
- Pays out payroll
- Provides all reporting
- Sends out pay slips
- Is both 2nd and 3rd line support on inquiries from employees
What you do:
- Makes sure the input is correct
- Follows up processes that cannot be automated
- Review and approve the salary basis so that we can start the final salary run
Who is BPO payroll for?
I would say that BPO payroll is for medium-sized and large companies that want to secure themselves, in terms of competence, capacity and the company's development . If, for example, your company is growing rapidly, it is the BPO provider's responsibility that they have enough resources to handle the increased workload this will lead to payroll . Here, we, as a BPO supplier, simply have to be prepared to be able to scale up at short notice.
But what about winnings, Bjørn?
There are some clear benefits associated with BPO payroll . My contention (and working theory) is that BPO payroll is a risk-reducing measure . You free yourself from factors such as competence and capacity.
Should a key person in your payroll department become ill, you could quickly have a problem. If the same thing happens at your BPO supplier, we have several competent colleagues who can cover the absence.
Another gain lies in efficiency . We produce payroll more effectively within the given framework, because we this is what we do. We do this for many customers and we have optimized processes and routines.
And how do you know if it's a success?
You can measure this by looking at the costs. The invoices from your BPO payroll provider + the food for the person you work with payroll with you should over time become less than when you drive payroll self.
Why has Sariba chosen to bet on BPO payroll ?
We at Sariba work hard to be a supplier that can deliver everything you need within payroll and HR. We have over 20 years of experience in this field, and we see that the needs of our customers vary. This is especially true when it comes to payroll. What our customers have in common is that they are all concerned about quality and that they want an excellent HR system, which of course they get with us.
When it comes to payroll , we see that different customers want different solutions. Some want a very good and robust pay system , where they drive themselves payroll , which we are more than happy to help them with, while others want to outsource the payroll process.
In order to be able to offer everything our customers need, we offer both, and we are very proud of that.