Business Case

Executive Summary

Objective: The objective of this project is to reduce manual work in our UK payroll process by integrating our HR system, HiBob, with the payroll platform Pento.

Expected Outcome: The expected outcome of the project is a streamlined payroll process with reduced errors and administrative tasks, ensuring HiBob is the single point of truth for all employee data in the UK.

Problem Statement

Current Challenges:

• The current UK payroll process is highly manual, requiring data to be pulled from various sources and manually input into a spreadsheet.
• This manual process is prone to errors and is time-consuming, requiring significant administrative effort.

Need for Payroll Integration:

• Reduce errors in payroll processing.
• Minimize administrative tasks and manual data entry.
• Ensure accuracy and consistency in employee data management.

Solution Overview

What is Payroll Integration Project:
This project involves integrating our HR system, HiBob, with the payroll platform Pento to automate the flow of employee information directly into the payroll system. Additional payments (e.g., Gym, mobile phone duty) will be added manually.

Types of Payroll Integration:

• Full Integration: Automated transfer of all relevant employee data from HiBob to Pento.
• Partial Integration: Automated transfer of core employee data with manual input required for additional payments and adjustments.

Benefits of Payroll Integration

• Error Reduction: Automation reduces the potential for human error in payroll processing.
• Efficiency Gains: Streamlined processes free up administrative resources for other tasks.
• Data Accuracy: HiBob becomes the single point of truth for employee data, ensuring consistency across systems.
• Compliance: Improved accuracy and consistency in payroll data support compliance with UK payroll regulations.
• Employee Satisfaction: Timely and accurate payroll processing improves employee satisfaction.

Implementation Plan

Phase 1:

• Conduct a detailed analysis of current payroll processes and identify integration points.
• Configure HiBob and Pento for initial data synchronization.
• Train key personnel on new processes and system usage.

Phase 2:

• Perform initial data migration and conduct testing to ensure accuracy.
• Roll out the integrated system in a controlled manner, starting with a pilot group.
• Collect feedback and make necessary adjustments.

Phase 3:

• Full deployment across the UK payroll.
• Ongoing monitoring and support to address any issues that arise.

Cost Analysis

Initial Costs:

• Licensing fees for Pento.
• Integration and configuration costs.
• Training expenses for payroll and HR staff.

Operational Costs:

• Regular maintenance and support fees.
• Costs associated with any necessary software updates or enhancements.

ROI Estimation:

• Reduction in administrative labor costs.
• Decreased error rates leading to fewer payroll corrections and associated costs.
• Improved employee satisfaction leading to potential retention benefits.

Risk Assessment

Technical Risks:

• Data migration issues leading to potential inaccuracies.
• System integration challenges that could delay the project.

Mitigation Strategies:

• Thorough testing of data migration processes.
• Engaging experienced IT professionals to manage the integration.
• Developing a detailed project timeline with contingency plans.

Alternatives Considered

• Manual Process Improvement: Enhancing the existing manual process without full automation. This alternative would not fully eliminate errors or reduce administrative tasks to the desired extent.
• Third-party Payroll Service: Outsourcing payroll processing entirely to a third-party provider. This would incur ongoing service fees and reduce control over payroll data.

Conclusion and Recommendations

Recommendation: Proceed with the integration of HiBob and Pento to streamline payroll processes, reduce errors, and minimize administrative tasks. This solution aligns with our objective to make HiBob the single point of truth for employee data in the UK.

Next Steps:

• Finalize the project plan and secure approval from stakeholders.
• Begin Phase 1 activities, including detailed analysis and configuration.
• Schedule training sessions for HR and payroll staff.

Appendices

• Appendix A: Detailed Cost Breakdown
• Appendix B: Project Timeline
• Appendix C: Risk Management Plan
• Appendix D: Training Plan
• Appendix E: Data Migration Strategy

Prepared by: Payroll
Email: wayne.sheridan@gmail.com
Date: 01/20/2025