In a recent blog, we defined Multi-Country Payroll Outsourcing (MCPO) and explored its benefits for SAP SuccessFactors Employee Central customers. iXerv has been at the forefront of MCPO since the introduction of the SAP-certified iXerv/Celergo Payroll Connector and we wanted to share some of the things we have learned along with way. So if you are looking at Employee Central but aren’t sure what to do with your payroll, here are a few questions that might help you decide whether MCPO is right for your payroll landscape.
Do you have smaller (< 1,000 employees) payrolls in different countries?
If you recall from the last blog, MCPO is typically defined as a solution for payrolls of around 1,000 employees or under (give or take). Even if these smaller payrolls reside in one of the 41 countries (as of Q1 2017) currently covered by Employee Central Payroll, their size usually dictates that they are too small to justify the cost or effort involved in an Employee Central Payroll rollout. For example, your 5,000 person payroll in Brazil might be a great candidate for Employee Central Payroll, but your 500 person payroll in Mexico might not justify the cost. MCPO addresses this by providing a full-service, end-to-end third party payroll solution for the smaller countries that integrates with your Employee Central system just like your larger payrolls.
The following map shows you how MCPO, when combined with Employee Central Payroll availability, offers payroll coverage for Employee Central customers in over 140 countries. Click on the image to view it more closely.
Is figuring out how to integrate payroll data with SAP SuccessFactors Employee Central holding up your decision to move to EC?
We have encountered many companies that desperately want to move to Employee Central, but don’t want to lose integration with their global payrolls. As we covered previously, integration with Employee Central is one of the primary benefits to using MCPO for many customers. With the iXerv Payroll Solutions MCPO offering, you only have one integration across all of your MCPO countries. This greatly simplifies things if you thought you had to split your smaller payrolls across multiple payroll vendors or were thinking of tackling the payroll integration yourself. An MCPO model ensures that payroll integration will not be an impediment to moving to Employee Central.
Is your potential payroll implementation timeline giving you headaches?
MCPO payrolls are outsourced, so implementations are less costly, less time consuming and less resource-draining for customers. Unlike traditional ERP payroll implementations that are usually done sequentially and can take months or years, multiple MCPO country implementations can usually be done concurrently in weeks or a few months. This means that your global payroll rollout timeline is greatly shortened by an MCPO model. It means fewer headaches, too.
Do you feel burdened by dealing with multiple local payroll vendors around the globe?
iXerv offers its MCPO solution in more than 140 countries with a single global payroll provider. This means that you have one vendor, one contract and one interface, regardless of how many MCPO countries are in your payroll landscape. For companies that have dozens of smaller payroll countries, this is a huge win.
These are just a few of the more common questions that impact the decision to use MCPO. We hope you found this helpful and we welcome your feedback anytime. In a future post, we will discuss the iXerv/Celergo Payroll Connector to show how it integrates data and payroll processing statuses into Employee Central.
Do you have questions about cloud payroll or want to learn more about how payroll interacts with Employee Central? Contact us here.