6 Strategies for Secure Payroll Processing and Fraud Prevention

In the past, many businesses would follow a traditional approach by siloing their human resources (HR) and payroll responsibilities into two separate entities. While that may work for some organizations, many others are looking into the benefits of combining payroll and HRIS technology.

Organizations of all sizes are producing, collecting, sharing, and storing business-critical data in various ways to stay competitive. Since payroll systems and HR share much of the same data, it makes sense for organizations to consider combining these two technologies into a single, automated solution.

The Benefits of Combining Payroll and HRIS

1. Reducing Administrative Time Constraints and Burnout

HR professionals spend significant time on routine, repetitive data entry tasks, which limits their ability to focus on more productive strategies. With a combined system for both payroll management and HRIS, a company’s critical data is accessible and transferable at the click of a button. Data related to benefits administration, payroll, taxes, staff reviews, and more are consolidated, making it easier for managers and administrators to focus on the bigger picture.

2. Saving Trees

HR operations such as applicant tracking, benefits management, and onboarding generate a large amount of paperwork, which can overwhelm administrators. Integrating payroll with these modules allows managers and administrators to access information through one shared database, reducing the need for paper. With information organized and available in the cloud, paper usage is dramatically reduced.

Scenario:

If an employee wants to add critical illness insurance to their benefits package, updating this information in HR will automatically make the required changes to that person’s payroll. This removes the need for additional paperwork, thus saving trees.

3. Simplifying Employees’ Access to Important Information

Combining payroll and HRIS enables organizations to use employee self-service technologies, such as employee portals. Employees can quickly access information about PTO accruals, sick time, payroll, benefits, and tax deductions. This increases employee satisfaction and reduces the administrative hours needed to assist employees in finding information.

4. Enhancing Security and Ensuring Accuracy

Using multiple technology solutions can lead to data inaccuracies and increased security risks. Multiple people inputting the same information across different applications increases the risk of errors, which can be costly to fix. Organizations using more than one cloud-based solution are also at higher risk for security breaches.

With payroll and HRIS data stored in the cloud within a single system, organizations have better control over sensitive data such as Social Security numbers, compensation, benefits, and address information. Fewer hands inputting data across multiple platforms reduces the likelihood of security risks.

The Arcoro platform offers scalable solutions for ERP consultants and payroll service providers, including Payroll and a full Human Capital Management platform in one solution. The HCM platform includes modules for:

• ​Payroll
• ​Applicant Tracking
• ​Benefits Management
• ​Employee Self-Service
• ​Performance Management
• ​Reporting
• ​Surveys
• ​Talent Management
• ​Time and Attendance
• ​Time-Off Tracking
• ​Workflow Management
• ​EZSign (electronic signature)

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