A global payroll challenge
Following a successful growth period through acquisition, Moody’s, with entities across 30 countries, faced the challenge of dispersed payroll processes outsourced to multiple vendors, with the added complexity of different employment terms within each country.
To achieve standardised payroll processes and controls globally, a new payroll solution needed to be implemented to allow data aggregation and to provide visibility of all payroll information.
A previous attempt at changing the payroll set up had failed. i-Realise were engaged to assess the risks of the implementation and provide a project definition that would ensure a robust approach was adopted to mitigate risks and enable success.
Some of the challenges faced included;
- A large number of stakeholders across many functions with multiple objectives for the change.
- No clarity around what the future operating model would look like to realise success.
- A lack of role and responsibility definitions, leading to process failures in several areas.
- Vendor assessment process required greater structure and detail.
- Future systems landscape and integration expectations and requirements.
- Understanding of payroll vendor options in the marketplace were incomplete.
A clear and complete solution
To be able to recommend the best approach to implementation required a clear understanding of what changes would happen where. To do this i-Realise used their proven methodology for developing operating model definitions to define changes from ‘As-Is’ to ‘To-Be’.
The ‘As-Is’ situation was clarified by:
- Workshops and interviews with client teams.
- Creating diagrams and descriptions to illustrate at a high level operating processes, systems landscapes and organisational structures.
- Current state issues were captured, logged, and root causes identified. This created a clear and agreed current state definition that was the starting point for the change.
The ‘To-Be’ operating model development included:
- Agreeing a set of design principles and objectives to guide the future design.
- Problem-solving activities to determine how best to resolve root causes of issues.
- Development of a future operating model definition including systems and overall landscape diagrams.
- Identification of how current state issues were expected to be addressed by the future model.
Armed with this understanding i-Realise modelled options for implementation and created material to support implementation planning:
- Implementation scenarios were mapped and pros and cons identified.
- Full Risk Report was created based on the agreed implementation scenario.
- A Payroll Companies Review was undertaken.
- Vendor Selection process requirements and process steps were defined.
- A comprehensive and clear set of Recommendations on the approach to implementation were pulled together into a final report.
- Clarity and visibility of how the business would achieve the benefits and objectives required.
- A comprehensive set of recommendations that helped shape the implementation.
- A clear understanding of how current business issues would be resolved by the future business model.
- Risk mitigation activities formed part of implementation delivery plans.
- Stakeholders’ confidence in the likelihood of success led to project approval.
- Once fully established the project was able to move at pace with the clarity created.
- New payroll provider selected using vendor requirements and process defined.
- i-Realise continued involvement with the implementation.