Gartner Research

The Challenges of Moving Payroll to the Cloud Vary by Delivery Model

Published: 10 February 2015

ID: G00274179

Analyst(s): Yvette Cameron, Morgan Yeates


Moving on-premises payroll to a cloud delivery model offers immediate advantages. However, HR and IT managers evaluating the options (SaaS, business process outsourcing or hybrid) must also understand the challenges, because cloud payroll decisions can have major impacts beyond the payroll function.

Table Of Contents
  • Key Challenges


  • Align Your Payroll Administration Strategy With Your Broader HR and IT Strategies
    • Business Strategy
    • HR/Payroll Strategy
    • IT Strategy
    • Finance/Procurement Strategy
  • Look Beyond SaaS Hype to Find Benefits and Most-Likely Risks
    • Solution Maturity
    • SaaS Payroll Costs
    • Compliance and Business Process Support
    • Security, Disaster Recovery and Data Privacy
    • Multinational and Global Coverage
  • Evaluate the Four Primary BPO Models as to Their Ability to Support Specific Needs
    • Selecting the Best BPO Model
    • Considerations for a BPO Alternative
    • Impact of Digital Business on HR BPO
  • Consider a Hybrid Service Model for Maximum Flexibility in the Cloud
    • Challenges and Risks
    • The Future of the Hybrid Model

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