Payroll outsourcing or BPO? See what the advantages are.

Advantages between Outsourcing and Payroll BPO: which one to choose

Monthly payroll preparation is a task that requires knowledge and dedication, given the complexity of Brazilian Labor Laws. Therefore, both professionals and companies working in the Payroll BPO segment need to demonstrate the ability to ensure efficiency. This involves using technologically advanced software, constantly training employees and improving HR and payroll management tools. In addition, it is essential to always be available to answer questions from employees. One solution increasingly adopted by companies is outsourcing or Payroll BPO, which offers solutions and technologies to optimize efficiency, representing a valuable strategy for maximizing company resources.

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Reasons to choose a Payroll BPO

Payroll outsourcing or BPO offers a number of significant advantages. However, it is crucial to bear in mind that the best results will be achieved by experienced companies that are committed to delivering high-quality services and have a solid tradition in the market. These companies must also be able to deal with any problems and fulfill all contractual responsibilities.

Below are five reasons why entrepreneurs choose to outsource or BPO their payroll:

Saving time

Internal payroll management is a challenging task for most entrepreneurs. They recognize the importance of attention to detail, trained professionals and sufficient time to carry out all the operations. Each month, a series of procedures and thorough checks must be carried out to avoid errors relating to the data of each employee hired.

Unfortunately, this responsibility often leads to insecurity on the part of entrepreneurs. They worry about making sure everything is correct, while, in addition to their other responsibilities, payroll management is delegated to employees. In the event of any problems, the company is solely responsible and will have to pay fines, charges and penalties imposed by the competent authorities, which can damage the company's image in the eyes of third parties.

Faced with this insecurity, many entrepreneurs choose to delegate responsibility to their team, taking on the burden of the risks themselves, or spend valuable time creating internal controls, which prevents them from concentrating on other tasks that are essential for the development of the organization. Often, errors, discrepancies and mistakes are only identified when cross-checks of information, tax assessments or inspections arise.

Payroll outsourcing or BPO offers a safe solution to this situation. This allows entrepreneurs to focus on marketing and sales strategies and on designing more efficient workflows by delegating functions to third parties. This approach is extremely beneficial for management with positive results.

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Reduction of indirect costs

Payroll outsourcing or BPO offers an opportunity to significantly reduce the costs associated with in-house human resources management. This includes expenses related to payroll staff, software acquisition, infrastructure, training, internal controls, process management, personnel management, labor charges and the risk of labor lawsuits, as well as liability for fines and charges in the event of problems.

Therefore, opting for outsourcing can be highly advantageous. Below, we present a list of tasks that can be delegated to a Payroll BPO services company, allowing you time to concentrate on other activities:

• Calculation of complex payroll events, taking into account the specific arrangements of each collective bargaining agreement;
• Management of e-Social, including tax calculation, validation, delivery and follow-up;
• Management of the mandatory storage of employee information by law, such as admission forms, pay slips, vacation slips and terminations;
• Administration of the benefits offered by the company to employees, including inclusions, exclusions and validations;
• Management of workers' health, including monitoring, admission exams, periodic exams and dismissal exams;
• Internal training controls, evaluation of team engagement, management of organizational culture, among others.

With this approach, it is possible to conclude that outsourcing or Payroll BPO relieves companies of these responsibilities and provides significant savings in time and money.

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Information security

Payroll outsourcing or BPO provides the contracting company with the incorporation of advanced technologies and servers with state-of-the-art encryption, as well as a high-level security system. This includes periodic backups, all with the aim of guaranteeing total security.

Currently, the internalization of processes related to the Payroll BPO can represent a significant risk. This involves the possibility of identity theft, manipulation of records for personal gain by employees and compliance with the provisions of the LGPD - General Data Protection Act.

Even if the system used to carry out these activities is highly reliable, data storage can be subject to server or network failures, requiring consultancy and entailing costs related to the use of software within the company.

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Compliance with laws guaranteed

As a company manager, you are aware that payroll-related errors can result in significantly high costs. Any inaccuracies in records or misrepresentations to state and federal authorities fall directly under your responsibility. Even a single error can trigger an audit and result in substantial fines imposed by the supervisory authorities.

With the constant changes in laws, keeping up with all of them while looking for more effective ways to manage the sector can seem like an almost impossible task. It is in this scenario that companies specializing in Payroll BPO stand out. They have a deep understanding of these regulations, since they are constantly updated and in direct contact with this information. This allows them to ensure that your situation is always in line with the rules, making it possible to make corrections when necessary and taking responsibility at critical moments.

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Wide range of services

Regardless of a professional's experience, their skills always have limits, which is not the case with payroll outsourcing or BPO services. This is due to the fact that the companies providing these services have highly qualified and complete teams to deal with all the tasks related to the Personnel Department (PD) and Human Resources (HR) area.

In this way, the services offered are not just limited to payroll preparation, but also encompass a wide range of activities related to Human Resources management and payroll. This includes drawing up contracts, processing compensation for employees, monitoring collective bargaining agreements, among other important responsibilities.

With this comprehensive approach, you can customize service packages that meet your organization's specific needs in the best possible way.

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The importance of being advised by a specialized company

CLM Controller is a company that is highly specialized in Payroll BPO services and can offer a customized service package to meet your specific needs. In addition, CLM Controller guarantees the quality of its work and has professional liability insurance to cover any problems that may arise.

With a team of highly qualified professionals and a solid tradition of more than 40 years, CLM Controller is the right choice for you:

• Fully computerized processes;
• Partnership with the best technology companies in the area of human resources management in Brazil;
• Liability insurance;
• The technical qualifications of the Human Resources team are improved on a daily basis.

Conclusion

Payroll outsourcing or BPO has emerged as a powerful strategy for companies looking to optimize their Human Resources and payroll management processes. Throughout this article, we will highlight the various advantages that this approach offers.

Saving time and reducing overhead costs are notable benefits, allowing entrepreneurs to focus their efforts on strategic areas of their business. In addition, information security and compliance with the law are critical aspects that companies specializing in Payroll BPO can guarantee, giving managers peace of mind.

The breadth of the services provided by these companies goes beyond simple payroll preparation, encompassing a range of activities related to human resources management. This means that organizations can customize service packages to meet their specific needs.

In summary, outsourcing or Payroll BPO is a valuable strategy that offers efficiency, security and legal compliance, freeing up internal resources for business growth and development. Therefore, by considering this option, companies can make more informed decisions and boost the success of their operations.

Do you have any doubt about Payroll BPO? Get in touch with the experts at CLM Controller and we'll be ready to help.