HfS Blueprint: Payroll Services in the Digital Era

Oct 23, 2017 Steve Goldberg Martin Gabriel Saurabh Gupta John O'Brien


The use and impact of Digital on Payroll Services, and analyzes the evolving value proposition for clients, and emerging sources of differentiation for service providers. It includes coverage of the 15 leading Payroll Services providers, to understand how they demonstrate these new Digital capabilities and how suppliers are supporting customers in their Digital Payroll journey.



  • Payroll is one of the oldest business process services sectors. It has always been a labor-intensive process straddling the HR and F&A functions.
  • Payroll services used to be about outsourcing to do the same thing more efficiently – to drive out time, cost, and labor through process improvements and sweating the assets. But in this emerging As-a-Service Economy, Payroll Services are now about new Digital capabilities services, and delivering tangible business outcomes over a shorter time frame.                        
  • The rise of digital has unleashed fresh life in the Payroll space. Automation, Artificial Intelligence, smart analytics under a cloud-based infrastructure, has allowed payroll leaders to think differently and think fresh.
  • For the Payroll Services industry, it means making fundamental changes to the old ways of working, considering new partnerships, acquisitions and ecosystems, to gain access to the new Digital tools and capabilities.
  • Being successful in today’s rapidly changing economy requires companies to be more flexible and innovate faster. In payroll, rapid responsiveness to new regulations, compliance and access to automation and insights, can help provide clients the edge in these highly competitive markets.
  • Challenges between global and local platforms remains an Achilles Heel of the global payroll space, driving new opportunities and threats for the incumbent providers.
  • Packaging both software and services together (in-house or through partnerships) is allowing providers to differentiate in a crowded market.


  • Recommendations for how enterprise buyers and service providers can use Payroll Services for innovation in business operations and outsourcing
  • How service providers are integrating Digital principles and methods into the way they work internally and with clients
  • What is Digital Payroll and the relevance of it to business operations and outsourcing engagements
  • Strengths and challenges of the service providers covered in the analysis 


ADP, CloudPay, Conduent, IBM, Infosys, Neeyamo, NGA, OneSource Virtual, Paychex, Raet, Ramco, Sopra Steria, Wipro, Zalaris, and Zenefits



Executive leaders and business unit leaders, technology leaders, advisors and outsourcing managers in all industry sectors.

HfS Blueprint: Payroll Services in the Digital Era

(44 Pages)

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