15 Jul Governance and Leadership in a Payroll environment
This paper warrants an extensive analysis of the role of governance and leadership with specific reference to a payroll environment.
In doing so one needs to consider what is unique about a payroll environment and why one needs governance and process to effectively provide oversight and control. Once this is established you can consider the importance of governance and flowing from this the role of leadership in a payroll environment.
What then is payroll and what is the environment within which it operates?
Payroll can be summed up as the calculation, based on contractual, legal and statutory rules that determine what an employee is due to be paid, deductions to be made from an employee and the amounts due to statutory and other beneficiaries, the basis upon which these amounts are determined and the timing and frequency of such payments.
The environment as referred to above is subjected to various legislation combined with adherence to statutory requirements. In addition privacy of data under the POPI and recently launched GDPR has become of paramount importance to employers and employees alike.
Payroll has further been escalated to a high priority function within organisations given the above and combined with the fact that employee costs are more often than not the highest individual line item on a Company’s income statement.
In my follow up I will discuss who owns Payroll within organisations? Finance or HR and some propositions of each.