There are times when back office functions like Human Resource, Payroll, and Data Entry are overlooked in a company. However, this shouldn’t be the case because these roles essentially serve as the administrative backbone of any business. When these tasks are managed well, it sets the company up for success by boosting productivity and keeping costs low.
Building a quality back office team in-house, in this case a payroll service team, may be challenging especially if you don’t have access to world-class talents in the industry. When it comes to hiring people who will take care of your employees’ salaries and taxes, it is important to choose only those who are skilled and experienced in order to avoid delays, inefficiency in accomplishing tasks, and overall low quality service.
Outsourcing is a great alternative you can resort to when looking for professionals to handle your payroll functions since outsourcing providers have access to specialists that can add value to your back office. More than that, here are other advantages to outsourcing your payroll team:
Save time and resources
Hiring payroll management professionals in-house can take up a significant amount of time and money with the long and costly process of recruiting and training people as well as purchasing software and supplies they might need. When you outsource, these will all be eliminated and you are ensured that the salaries and benefits of your employees are paid out in a timely manner each and every month.
Avoid mistakes and compliance issues
One of the most significant benefits of outsourcing your company’s payroll needs is the compliance to constantly changing tax regulations. You don’t have to worry about paying US IRS penalties due to late payments and miscalculation errors because your outsourcing partner will make sure that payments are always made on time. In line with this, it is recommended to look for a provider that has a system setup that will automatically pay and file the salaries and taxes for you.
Focus on what you do best
When you outsource your payroll service team, you free yourself and your staff of the time-consuming tasks of calculating wages and salaries, withholding income taxes, paying out company and employee contributions and more. This gives you the opportunity to focus on revenue-generating activities like business growth strategy, marketing, and customer service, and other core competencies that will help you reach your goals better, equating to business sustainability and stability.
Is it safe?
While advantages of outsourcing payroll services are plenty, there are also some disadvantages to be aware of such as security issues, privacy concerns about employee data, and lack of service quality or timely reporting. But the right outsourcing partner is ISO 27001 and 9001 certified and GDPR, and DPA2012-compliant to ensure data protection and omit security breaches. Of course, these can all be prevented by partnering with a trusted and reputed outsourcing provider with a >60 Net Promoter Score.
Net Promoter Score (NPS) helps businesses gauge the quality of the customer service offered by outsourcing companies. Organizations can use NPS to assess which BPO is best to partner with because this score shows loyalty trends and growth revenue outputs. In a way, NPS represents the primary way customers survey their experience because it means that their clients are happy, and this results in customer loyalty and retention, making a high NPS a critical trait any outsourcing company should have. When used correctly, NPS (of at least 60%) can tell you how well the BPO is performing, how often they resolve issues, and if their clients are satisfied with their experience.
When you’re aiming for business stability, team up with a solutions partner that makes your process, their process. The right outsourcing partner ensure:
- Operational excellence
- Having a great back office team
- Industry experience
- Operational cost savings of up to 70%
- Information and data security
- >60 Net Promoter Score: Sense of security and peace of mind
Partnership with Infinit-O
Infinit-O’s mission is to create endless opportunities for your company to realize its full potential.
Infinit-O Key Benefits:
We can build you a great, high-performing Payroll and other back office teams:
- HR Compensation & Benefit Specialist
- HR Data Management Specialist
- HR Employee Engagement Specialist
- Employee Relations Officer
- Recruitment Specialist
- Payroll Specialist
- Data Entry Specialist
Let’s work together to build a great HR Team.
Start small. Exceed expectations. Think infinitely. Think Infinit-O.