OUS Payroll Process Workshop

OUS Payroll Process Workshop

7 Wastes

Over-production

Running multiple payrolls at a university (multiple ID’s, multiple manual checks)
Printed checks
Time spent producing earning statements that only half bother to look at
Create auto-pay/errors go to manual check
Too many in the “approval” chain even for the most simple task
Changes received after production starts
Over – table control
Multiple cycles from the PHPTIME through PHPCALC resulting in employees being re-extracted to correctly apply payroll
Multiple process runs
No lag payroll – forecast pay
Manual checks
Should be using an automated process every few days
Manual payments and too many, too often
Receiving too early, most likely changes again before final
Risk adverse discussions where the outcome is enforcement of a policy/procedure resulting in too much effort applied to an issue in contrast to actual risk. We spend a lot of time doing something to protect a part of the process when effort could be spent elsewhere.
Early creation of checks – sometimes have to be taken out due to other processes.
Early production of check/payroll might not be accurate
Early production = more checks done manually = more errors

Waiting Time

Wait to process while T/S being entered on checks created
Wait while others are auditing
Have to open time while jobs are input into Banner
Late forms & approvals
Timesheet approvals
Long time period for Department entering time data (time entry period)
Records locked in system cannot continue data entry while payments in process (relates to certain Banner forms)
Lock-out period
Log payroll
Between 10th doc deadline and 18th payroll start
Waste of time waiting for time sheets / need automation
Documentation
Student payroll cycle results in students potentially having to wait up to 6 weeks before seeing first paycheck.
Automated payroll once a month / all other payments done manually.
Waiting for paperwork from Departments (timesheets, pay authorization)
Too much manual paperwork
Documentation getting where it needs to be.
Late paperwork from employees & departments
Approvals – receiving contracts
Waiting for all timesheets to come in.
Waiting for paperwork to be generated/signed.
Waiting for a manual check to be produced.
Waiting for new employee records to be created.
Missed deadlines cause waiting time for full aggregation.
Waiting for data delays reconciliation

Transportation

Decentralized hiring process. People and forms need to walk all over the campus.
Moving materials….too many hands involved.
Production of some pamphlets done online and ten sent out in campus mail.
Papers going back & forth between Payroll & HR (employment authorization….waiting in baskets….getting lost in transition.
Waiting for data.
Hard copy checks & statements.
Campus mail.
Checks going through the mail.
Documentation where it needs to be.
Lack of mandated direct deposits.
Routing of new hire paperwork from Dept to budgetto HR to Payroll.
Sending payroll data bank files to CO Payroll by FAX.
Payroll paperwork from Depts/or from HR to Payroll office
Timesheet/hire documents on paper – should be paperless, with electronic approvals.
Upload ACH/W-2 files. Upload aggregate p/r files.
Paperwork routed through numerous departments.
Check/earnings statement delivery is resource intensive.
Paper in transit for approval signatures.
Interoffice mail
Timesheets & Leave rosters transit to Payroll
T/S & LR to Research accounting &/or Foundation -> Payroll

Inventory

Card stock
Paper – still a lot of reports that need printing.
Lots of time sheets.
Forms for hiring.
P/R check stock??
Time sheets printed
Retention of “paper” for years – filing or imaging?
Check stock
Printing checks
Check stock/envelopes (specialized stock?)
Check stock/paper
# of timekeepers who must be trained or retrained in order to handle data entry from paper timesheets.
Large number of forms to address
Multiple ways of hiring & paying people
Printer availability
Checkstock
Should mandate paperless entry statements. Reduce paper/printing/ink.
Green paper & envelops.
# of physical paper time cards used vs. electronic

Motion

Processing

Reports don’t catch errors = rework
Human miss reported errors
Payroll adjustments
Aggregating bank data?
Extra processes for aggregation.
Manual checks outside regular process
Cycle causes many manual checks.
Payroll cycles
Printing paper docs
Manual pay/late pay
Manual checks – excessive # outside regular monthly processes
Manual checks. Direct deposit process needs to be run through CO. Adds extra day.
Processing time can be lengthy & in some cases gathers similar information
Need to have defined procedure for handling exceptions – such as when a particular report has error or there are rejects.
Payroll doing all time entry by hand.
Start on campus, finish at CO.
Manual checks/direct deposits
Identifying discrepancies.
Rigidness of system during processing, get out of order & can break process.
Need help from OUSS Programmer to fix before starting again. No “undo”.
Time lines
Many processes performed. We are not aware of outcome.
Waiting for signatures.

Defects

Ideas/Creativity

All the committee time waiting for management buy-in
Reduce the time fir paperwork to flow from one department to another
Put everyone on direct deposit
Better payroll training for staff
Inertia of “how we always have done it”. “One size fits all”.
Lack of resources to implement
Self service
Lack of time to implement ideas
Time pressure stifles
Stifled due to lack of IT support
Trying to have done size fits all. Perhaps goal shouldbe several “payroll process models” NOT just ONE perfect payroll process (maybe it should be plural)
No time to think about improvements
Have technical staff sit with & observe process to facilitate better understanding & better programs.
No opportunities for info/ideas to be passed up! (passed up the chain of command? – Greg’s interpretation)
Fear of being rejects or reprimanded
Time it takes to try to take advantage of technology sometimes prevents IT from moving forward.
If we ran an additional payroll per month, would this save money overall the manual check production?
Lose momentum to produce payroll/payroll week=all hands on deck & no progress on projects
“Banner doesn’t do that”

December 6, 2010