Global Capability Centers and the Payroll Strategy
Rohit Mathur, Head of Global Payroll & HR Software Business Unit, Ramco Systems, 0
As business environments become increasingly competitive, employees' technological skills and innovative mindsets are becoming more significant than ever. As companies grow and become more international in scope, they are no longer confined to utilizing resources at specific locations. This has led to the emergence of Global Capability Centers (GCCs), which have become essential in the global business landscape. Originally, GCCs served as offshore centers for large enterprises but have transformed into key collaborators in facilitating business transformation and innovation. These centers offer a diverse range of support services, such as IT, finance, HR, and R&D, allowing organizations to leverage the expertise and talent of professionals from around the globe. In an exclusive interview with CEO Insights, Rohit Mathur, Head of Global Payroll & HR Software Business Unit, Ramco Systems, talks about the role of technologies in the payroll industry, how GCCs are transforming the payroll, and challenges in the payroll industry. Below is an excerpt from the interview during an event organized by Ramco in partnership with Deloitte and Everest Group on the transformative role of Global Capability Centers (GCCs) in revolutionizing payroll operations.
How do you ensure that payroll adheres to the dynamic tax and labor regulations across different countries while maintaining accuracy and efficiency?
Compliance is the heart of any payroll function. We ensure compliance by focusing on three key areas. First, we have an AI-based engine that goes all over the internet to see statutory changes happening across different countries we support and gives us insights into incorporating those changes. Secondly, we have tie-ups with the big four consulting firms, which, with the intent to automate tools, would push regulatory changes happening across the globe. Lastly, our team has tie-ups with agencies like payroll associations and research firms, where they do their bit of research and ensure that we are not missing any compliance aspect.
In addition to remaining compliant, how can the latest payroll and HR technologies further contribute to the company's overall business strategy?
Firstly, we should understand the drivers of an organization. For instance, employee experience, cost optimization, and transparency are vital. With these factors in mind, we tailor the technology or software components to help them reach their objectives. Many global capability centers are focused on reducing costs, leveraging technology extensively, and enhancing employee experience. We implement artificial intelligence (AI) technologies to improve employee interactions, and depending on their specific priorities and drivers, we offer a wide array of technologies to meet those objectives.
Could you walk us through an example?
We've been able to drastically reduce the Help Desk load of the organization, almost to the tune of 40 to 50 percent, by deploying an intelligent chatbot that answers a lot of employee queries. We have managed to cut the payroll processing time by nearly a quarter, which has provided significant advantages to the organization. The accuracy of our payroll has improved multi-fold through an AI-driven anomaly detection engine, which minimizes the need for manual checks or interventions since the system operates effectively on its own. As a result, we have substantially enhanced the accuracy of the initial payroll draft.
How can you use this novel, technologically advanced environment to upskill employees?
We run various certification programs for our employees so that they are continuously upskilled in both technology and the product. All of our employees are supposed to undergo a mandatory certification program so that they thoroughly understand the product and the technology. From a new-age technology perspective, we hire a lot of fresh talent and groom them to the technology that we want to drive within the organization and also run upskill programs for existing employees to align with new technology requirements. On the other hand, we also focus on bringing subject matter experts to join our organization as laterals, addressing specific skills or capability building.
What are the future opportunities you look forward to?
The payroll industry is at an exciting juncture. We continue to explore how technology can further ease our lives. With technology evolving on a daily basis, we should embrace the risks by adopting new solutions, moving away from outdated practices, questioning everything we've previously established, and seeking improved methods. I aim to monitor emerging technologies and explore how we can leverage them to streamline our products and enhance the employee experience. We will continue to expand global footprint by adding more countries to our payroll platform.
Could you define your leadership approach toward achieving these goals?
I believe in empowering the team by collaborating with them and helping them succeed. Besides, when you trust employees to manage their roles, they take on the responsibility to operate independently, effectively decentralizing the process. Simultaneously, I aim to be a supportive partner who can offer guidance and coaching to achieve their KRAs. I advocate for granting them the freedom to oversee their areas of expertise while also serving as a mentor or partner.
Also Read: Disrupting Payroll from Within: The Untapped Potential of GCCs
What advice would you like to pass on to the upcoming HR leaders?
Empower your team and give them all the autonomy. Give your team a problem to solve and allow them to tackle it independently. Offer assistance when needed, but encourage them to take ownership of their journey. They should embrace their autonomy and not shy away from taking calculated risks. Invest in technological opportunities. As someone once remarked, failure isn’t the only potential result, it can represent something entirely different. Experience failures quickly and learn from them, but take those chances.
We've been able to drastically reduce the Help Desk load of the organization, almost to the tune of 40 to 50 percent, by deploying an intelligent chatbot that answers a lot of employee queries. We have managed to cut the payroll processing time by nearly a quarter, which has provided significant advantages to the organization. The accuracy of our payroll has improved multi-fold through an AI-driven anomaly detection engine, which minimizes the need for manual checks or interventions since the system operates effectively on its own. As a result, we have substantially enhanced the accuracy of the initial payroll draft.
How can you use this novel, technologically advanced environment to upskill employees?
We run various certification programs for our employees so that they are continuously upskilled in both technology and the product. All of our employees are supposed to undergo a mandatory certification program so that they thoroughly understand the product and the technology. From a new-age technology perspective, we hire a lot of fresh talent and groom them to the technology that we want to drive within the organization and also run upskill programs for existing employees to align with new technology requirements. On the other hand, we also focus on bringing subject matter experts to join our organization as laterals, addressing specific skills or capability building.
Give your team a problem to solve and allow them to tackle it independently
What are the future opportunities you look forward to?
The payroll industry is at an exciting juncture. We continue to explore how technology can further ease our lives. With technology evolving on a daily basis, we should embrace the risks by adopting new solutions, moving away from outdated practices, questioning everything we've previously established, and seeking improved methods. I aim to monitor emerging technologies and explore how we can leverage them to streamline our products and enhance the employee experience. We will continue to expand global footprint by adding more countries to our payroll platform.
Could you define your leadership approach toward achieving these goals?
I believe in empowering the team by collaborating with them and helping them succeed. Besides, when you trust employees to manage their roles, they take on the responsibility to operate independently, effectively decentralizing the process. Simultaneously, I aim to be a supportive partner who can offer guidance and coaching to achieve their KRAs. I advocate for granting them the freedom to oversee their areas of expertise while also serving as a mentor or partner.
Also Read: Disrupting Payroll from Within: The Untapped Potential of GCCs
What advice would you like to pass on to the upcoming HR leaders?
Empower your team and give them all the autonomy. Give your team a problem to solve and allow them to tackle it independently. Offer assistance when needed, but encourage them to take ownership of their journey. They should embrace their autonomy and not shy away from taking calculated risks. Invest in technological opportunities. As someone once remarked, failure isn’t the only potential result, it can represent something entirely different. Experience failures quickly and learn from them, but take those chances.