New Technologies Should Not Distract Focus From Payroll Accuracy

cloud hr software

HR management is well aware that motivated employees are more productive, and an employee’s motivation is automatically driven from receiving the full amount of wages they are entitled to. It is in the company’s best interest to ensure accurate and timely payroll. Both large organizations and Small to Medium Enterprises (SMEs) are prone to mishaps, so new technologies are encouraged to manage the details necessary to ensure there aren’t any payroll oversights or cause for compliance issues.

Data Security Breach

Each company should take data security and privacy concerns into account when considering the implementation of cloud-based systems. Even though data management becomes easier with the use of technological tools, cloud systems can be hacked, and unauthorized users can access cloud-based documents. Currently, there are three types of cloud deployments available, including public, private, and hybrid. Each organization can work closely with their IT department to see whether a vendor data center is a better fit or to use an in-house solution or a combination of both systems.

Data Security Training

Whether they work in the HR department or not, all employees are responsible for keeping data safe. For this to happen successfully, employees need to undergo regular and updated training sessions, specifically on proper usage of the employee service portal. Cases of stolen laptops and mobile devices are examples of data security threats that can cause confidential employee information, including payroll records, to be altered or misused. Spear phishing is another form of cyber hacking in which employees negligently share sensitive information such as passwords, resulting in compromised data.


Post-COVID, a majority of the workforce for a large number of organizations, is working from home. This current setup requires additional data policies to fall into place for the safe delivery of accurate and timely payroll. This measure will also prevent leakage of sensitive information. In addition to delivering a positive user experience, company leaders need to make it clear to all employees what to do in case of a security breach. Phishing scams are becoming more sophisticated every day, so organizations need to develop comprehensive reporting systems and internal communication streams. 

Technical Issues

If the recent circumstances have taught us anything, it is to be prepared for the worst. HR management software has opened up many doors for businesses to thrive. However, it is still susceptible to unforeseen damage. Malware injections where malicious code can be injected into cloud services are a significant security concern just as vulnerable Application Programming Interfaces can increase exploitable security risks. Keeping these details into account, each company should thoroughly vet their service provider to ensure they have a detailed recovery plan complete with physical storage locations, physical access, and physical disasters.

A combination of computer technology and internet-based development, cloud HR software consists of data being permanently stored on a server on the internet. While it carries many advantages on its own such as automating payroll, reducing cost savings, and increasing collaboration, it is equally important to understand and be prepared for any challenges and risks associated with cloud computing.