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Personnel Today

Troubleshooter on global payroll options

by Personnel Today 4 Oct 2005
by Personnel Today 4 Oct 2005

I’m researching global payroll options. The difference in legislation and culture from country to country suggests it’s a minefield. How feasible is it?

It may be easier than you think. There is a large chunk of activity that’s as common to a payroll run in Beijing as it is in Budapest or Brighton. Yes, you have different tax regimes, different types of benefits, and in some cases, vastly different cultural attitudes that can impact the way payroll is managed internally. But fundamentally, many of the processes that link initial time reporting to final pay check printing are very similar.

In fact, one multinational company that manages payroll in Australia and the UK from the same central system believes that up to three-quarters of the core processes are common.

The success of multi-country payroll initiatives will depend to a large extent on how effectively organisations can leverage common processes and practices.

It’s not an easy project, but from a process perspective, you may have more of a headstart than you think.

Keith Rodgers is co-founder of Webster Buchanan Research, a market intelligence company specialising in human capital management www.websterb.com

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