Does a PEO help with the HR Payroll company strategy?

The term payroll has been used in different ways, sometimes it refers to the money that is paid to employees who receive a salary for the work they do and It can also refer to the department that manages payroll or the software that is used to process all activities related to this area, the last one is the most common and is an essential part of every organization.

It’s not very common to read payroll and strategy in a single sentence, actually most of the time payroll is just considered a back office support function to make sure employees are paid accurately and on time, but nowadays companies of different sizes know there must be a change. 

Does a PEO help with the HR Payroll company strategy?

Strategic means using different insights in order to make better decisions, it’s about using the data to help in important business decisions so, having a PEO as a partner means you will be checking out and pulling the data and after that you´ll have a better idea at the time you need to give an answer to questions like which are the best profiles, performance, retention and careers evolution.  

The fact is payroll can provide a lot of value to organizations, delivering meaningful operational statistics and identifying actionable trends, also delivering key business information.

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Examples of strategic actions organizations can make

1 | If the company is looking for expansion and more collaborators, the right payroll data can provide good information about the cost of the new workforce, information about different salaries needed and if it’s sustainable over the time.  

2 | With HR and payroll working together you can get accurate salary projections (compensations ranges and trends).

3 | Analyzing data the right way can help us have a clear scenario so you know if you need to hire new staff or not in the near future. On the other hand, you can predict employees reaching burnout levels, among other projections.

5 | Maximice reporting capabilities to improve the company payroll process. Payroll strategy decisions can be driven by understanding how your organization’s payroll process measures activities, which are the main metrics considered and more.

Working with a PEO means you can spend extra time and resources on compliance. HR Payroll professionals don’t have to worry about keeping up with all HR actions throughout the day, like payroll management, taxes or other activities.

Midtown HR is focused on simple solutions for payroll and taxes, propose benefits that really feel like benefits, keep up with employment law and also help protect your team, ¡Let’s talk!