When it comes to HR and payroll, you have a few alternatives as a security company. You can do it all manually in-house, but this would result in a massive effort and a high danger of costly blunders. Payroll can be outsourced to a bookkeeper or CPA. As long as you can trust the person or agency you’re outsourcing to, this is an expensive but relatively stress-free option. Finally, you can select an HR and payroll service provider in the form of HCM software.
What is HCM software?
HCM is an abbreviation for Human Capital Management. It is software for your business that integrates human resources and (typically) payroll solutions.
HCM software is a significant improvement over manual solutions such as Excel spreadsheets or notebooks. The best HCM solutions provide you the gift of automation to save you countless hours on the job while also assisting you in avoiding compliance blunders that may cost you thousands of dollars in fines.
Unfortunately, not every HR and payroll service will provide you with the best answer for your security company. Some services will not be appropriate for your company’s size, while others may lack an installation program that will get you up and running with your HCM system.
To save hours of work while developing your firm, you must select the best HR and payroll supplier. They are your growth partner, and selecting the proper one demands serious consideration. You must ask the appropriate questions.
Is the HR and Payroll Service Compatible with your Business?
The most important factor to consider when selecting a possible HR and payroll partner is compatibility. As with any relationship, you must ensure that your spouse is a good fit. Consider the following characteristics when selecting HR software.
1. Expertise on Industry Challenges
HR and payroll difficulties are specific to the security sector. Guards and your business as a whole are subject to specific restrictions. Preferably, you want an HCM software and payroll service provider who can meet your industry-specific requirements and has worked with other security companies.
2. Size
You should also ensure that the human resource software you’re utilizing is appropriate for your company’s size. Certain software vendors solely cater to Enterprise-level enterprises, which are unlikely to be suitable for your security operations. You must also determine whether the service provider is suitable for your expansion ambitions. Can they scale with you, or are they best suited to your current size?
3. Payroll and Labour Expertise
Years of expertise dealing with HR and payroll leaders are required for the correct payroll and human resources software vendor. It takes time to fine-tune a software solution that fits their needs, which can only be obtained through a long and direct interaction with leading professionals.
4. Integrations
Security operations frequently make use of Security Workforce Management Software (SWMS). If this is the situation for your company, you would profit immensely from an HR and payroll supplier that interacts easily with your SWMS. This configuration has various advantages. With an integrated HR and payroll system, you can avoid re-entering employee information and have any changes made in one piece of software quickly reflected in the others.
Your schedules can be prepared in the back end, validated by software on the front end, and delivered to payroll for processing following approval. This would dramatically reduce payroll processing time while automating common processes that would otherwise take hours.
5. HR and Payroll Software Implementation
You need a partner, not a seller, with your service provider. Inquire about their implementation strategy. Is excellent training and adoption included, and is the final goal to produce confident users? Or does it appear that the individual assisting you will be more concerned with upselling?
Your schedules can be prepared in the back end, validated by software on the front end, and delivered to payroll for processing following approval. This would dramatically reduce payroll processing time while automating common processes that would otherwise take hours.
6. Implementation Rollout
Before you begin, you should understand the HR and payroll software implementation timeframe and the fees associated with each stage. Will your system be launched all at once or in stages? Check to see if your prospective HR and payroll firm can offer you with a few references so you can inquire about how the implementation went.
When you get started, you’ll need to know what’s expected of you and what data you’ll need. Your provider will often want department names, job categories, deductions, and particular employee information such as Social Security numbers and home addresses.
7. Platform Usability
Platforms for HR and payroll frequently appear attractive in a demo but are not necessarily intuitive when used directly. A quality service provider should offer software that is user-focused and meets staff members where they are: on a mobile device. Each platform you take into consideration need to offer robust support for mobile apps.
8. Employee Self-Service
Your time is valuable, and you don’t want to waste it faxing schedules or pay stubs to your guards. Your platform should enable employees to obtain that information on their own and should be flexible enough to provide your security personnel with what they require based on your company’s specific needs.
9. Security Functionality
Multi-factor Authentication (MFA) is a critical security feature for any business that wants to safeguard sensitive data such as employee details. Ascertain that the HR and payroll platform includes this security element, as well as the option to enable for social sign-in (SSI). You want to be safe yet don’t want to upset your staff. MFA will be made easier by SSI.
10. HR Reporting and Analytics
The last thing you want to do is make one of your stakeholders wait for a report. With a completely integrated platform, you should always be seconds away from an up-to-date report. And your software should be able to provide you with accurate analytics that are easy to read and answer business-critical questions. Do you need to compare yourself to your competitors? Your programme should make this comparison quick and simple.
11. HR and Payroll Compliance
Paying personal income taxes is nothing compared to the difficulties that small businesses face. Company taxes may be a headache, with fines hovering around every corner for any mistake. In fact, 77% of small businesses think income taxes increase their costs (National Federation of Independent Business).
As a business owner, you must follow ACA, equal opportunity, fair labour, federal, state, and local tax laws, among other things. A minor misstep, such as wrongly classifying an employee, might get you in hot water with the IRS. A startling 30% of businesses misclassify personnel, risking fines or worse (National Employment Law Project).
In today’s corporate environment, finding an HR and payroll service provider who can help you stay compliant is crucial. While HR compliance tools and software can assist reduce risk, clever automation will ensure that if you are not in compliance, you will receive helpful notifications.
12. Audits
If you are subjected to an audit, your software provider should be able to supply you with the reports you require right away. A excellent service will include IRS reporting so you don’t have to worry when you receive that dreaded audit notice in the mail.
There is one more factor to look for in your HR and payroll service provider, and it is rather clear.
