European Payroll and Oracle Fusion HCM integration

Increasing efficiency and reducing manual labor

Published on: Category: Oracle

This blog post was written by me and my colleague Inge Marinus

To streamline the payroll process and make it more efficient and therefor having one source system, no double keying and less errors, we have developed a payroll integration service which serves as a bridge between Fusion HCM and the payroll provider.

Oracle Fusion HCM

Oracle Fusion HCM is developed as an HRM application that is user-centric, globally oriented and encompasses the full HR life-cycle from Talent Acquisition through core HR to Talent Management. HCM has many improved features such as Business Intelligence and Talent Management. Using Oracle HCM Cloud as part of your existing application landscape is easy because it integrates seamlessly with other systems.

Fusion HCM Payrolling

Oracle Fusion HCM does not have its own payroll application. Because of this, an interface needs to be created to connect to external payroll providers. A payroll interface makes it possible for companies to outsource their payrolling, by sending their employee information to a payroll provider which takes care of processing the information, calculating the net salary based on business rules and/or collective labour agreements and even the payment of the salary to the employees. The payroll provider also has in-depth knowledge of and takes into account the rules and regulations with regards to taxes when calculating the employee salaries, which does not place this burden on the employing company.

From our experience we know that most Dutch companies want an integrated system for all their HR and payroll data. Qualogy therefor has developed an interface from Oracle HCM to regardless which payroll provider to make this possible. For now, our focus for this interface is on the Dutch market but the interface is also configurable to serve other countries.

To send data from HCM to a payroll provider, HR administrators currently need to export the employee data using excel and send this data to the payroll provider. On the payroll provider side, additional manual steps are necessary to restructure the data in order to calculate an employee’s salary in the correct way. This is a hazardous, time consuming, error-prone and insecure process. In the end this costs a lot of time and money.

Solution

To streamline the payroll process and make it more efficient and therefor having one source system, no double keying and less errors, we have developed a payroll integration service which serves as a bridge between Fusion HCM and the payroll provider. This application extracts all necessary employee data (f.i. salary, earnings, deductions and tax details) from HCM and transfers it to the payroll provider in only a few clicks.

Differences in field definitions between HCM input and the expected payroll provider input can easily be configured. This mapping of fields in the payroll integration service increases the flexibility in configuring the HCM data and the Payroll specific data.

Fig 1: Field mapping between HCM and an external payroll provider

The application also includes user and role management to make sure that only people with the right authorization are able to access certain information. This includes segregation of duties.

The application is written using the newest web-techniques and is accessible using a webbrowser without extra requirements.

Feature list

  • Data storage
  • Data conversion
  • Role and User Management
  • User interface for Support
  • Error logging / notifications

Streamline your payroll process

If your  organisation is facing problems like the ones mentioned in this article and would like to streamline your payroll process, feel free to contact Inge Marinus at imarinus@qualogy.com or by calling +31 70 319 50 00.

If you as a payroll provider want to increase your customer-base by providing better support for Oracle Fusion HCM and you are willing to partner with us, feel free to contact our Applications team at applications@qualogy.com.

Bram Dekker
About the author Bram Dekker

Software Engineer at Qualogy.

More posts by Bram Dekker
Comments
Reply