Project Title Project Manager Date: (mm/dd/yy)
Development of In-House KC Marien M. Lopez September 14, 2024
Payroll and Statutory
Benefits Management
Software
SCOPE STATEMENT
The development of in-house payroll and statutory benefits management software
is essential to address the current inefficiencies and compliance risks associated
with the company’s payroll processes. The existing system suffers from delays in
salary payments and inadequate tracking of statutory benefits, which can
negatively impact employee morale and expose the company to potential legal and
financial penalties. By investing in a tailored software solution, the company can
automate and streamline payroll processing, ensuring accurate and timely salary
disbursements for its 100 employees. Additionally, the software will enhance the
monitoring and remittance of statutory benefits, improving compliance with
regulatory requirements and reducing the risk of non-compliance. This solution will
also optimize administrative workflows, reduce manual errors, and improve overall
operational efficiency. Ultimately, the new system will contribute to a more
efficient, compliant, and employee-friendly workplace, supporting long-term
organizational success and stability.
The company currently faces significant challenges with the timely remittance of
salaries and the effective monitoring of statutory benefits for its 100 employees.
The existing payroll system is prone to delays in salary payments and lacks
sufficient automation for statutory benefit management, resulting in potential non-
compliance with government regulations and administrative inefficiencies. These
issues not only affect employee satisfaction but also expose the company to legal
risks and operational inefficiencies. Therefore, there is a critical need to develop an
in-house payroll and statutory benefits management software that automates
payroll processing, ensures accurate and timely salary disbursements, and
provides comprehensive tools for tracking and remitting statutory benefits, thereby
improving compliance and operational effectiveness.
Objectives
The objective of this project is to develop an in-house payroll and statutory benefits
management software to automate and streamline salary payments and statutory
benefits tracking for the company's 100 employees. This solution will enhance
accuracy, ensure timely disbursements, and improve regulatory compliance,
addressing current inefficiencies and reducing administrative burdens. By
leveraging the company's financial stability, the project aims to be cost-effective,
with initial development costs offset by long-term savings from reduced overhead,
fewer compliance penalties, and improved operational efficiency, ultimately
delivering a strong return on investment.
Scope Description/Deliverables
Scope Overview
The scope of this project encompasses the development of an in-house payroll and
statutory benefits management software tailored to the company’s needs. This will
include designing and implementing a system to automate salary calculations,
ensure timely payments, and manage statutory benefits for 100 employees. The
software will integrate features for accurate benefit tracking and compliance
reporting, significantly reducing manual administrative tasks and errors.
Additionally, the project will cover system deployment, data migration from
existing systems, and staff training. The ultimate goal is to improve operational
efficiency and compliance while delivering a cost-effective solution that aligns with
the company’s financial and strategic objectives.
Must Automated System to calculate salaries, deductions, bonuses,
Have Payroll and overtime, ensuring accurate and timely salary
Processing payments.
Statutory Features to track and manage contributions for
Benefits statutory benefits (e.g., social security, health
Management insurance) and ensure regulatory compliance.
Compliance Tools for generating required compliance reports
Reporting and facilitating data submission to government
agencies.
Data Migration Migration of existing payroll and benefits data to the
new system with accuracy and integrity.
Should User Role-based access control for different user types
Have Management (HR, finance, administrators) to ensure secure and
appropriate system usage.
Integration Ability to integrate with existing financial systems
Capabilities and government databases for streamlined
operations.
Error Handling Automated alerts for errors or discrepancies in
and Alerts payroll calculations and statutory benefits.
Could Employee Self- Feature allowing employees to view pay stubs,
Have Service Portal benefits information, and update personal details.
Advanced Enhanced tools for analyzing payroll and benefits
Reporting and data, including trend analysis and forecasting.
Analytics
Won’t Global Payroll Features for managing payroll across multiple
Have Capabilities countries or regions, as the focus is on domestic
operations only.
Non-Standard Integration with non-standard third-party systems
Third-Party not currently in use by the company.
Integrations
Advanced The software will not offer extensive customization
Customization beyond predefined requirements and features
Beyond Initial outlined in the project scope.
Scope
Product Acceptance Criteria
1. Functionality. The software must accurately automate payroll calculations,
including salaries, deductions, bonuses, and overtime. It must effectively
manage and track statutory benefits, ensuring compliance with all relevant
regulations.
2. Performance. The system must process payroll and statutory benefits
transactions within the defined timeframes, ensuring timely disbursements and
remittances. It must handle the data of 100 employees efficiently without
performance degradation.
3. Accuracy. The software must achieve 100% accuracy in payroll calculations
and statutory benefits tracking, with no discrepancies in employee payments or
benefit contributions.
4. Efficient Data Migration. Successful migration of existing payroll and benefits
data to the new system with no loss or corruption of information.
5. System Integration. Seamless integration with existing financial systems and
government databases, with no disruptions to current operations.
6. User Experience. The user interfaces must be intuitive and easy to navigate,
with minimal training required for HR and finance staff. The system must
include robust help and support features for users.
7. Compliance Reporting. The software must generate accurate compliance
reports and facilitate timely submission to government agencies.
8. Security. The system must have secure access controls and data protection
measures to safeguard sensitive payroll and benefits information.
9. Documentation. Comprehensive user manuals and system documentation
must be provided, including training materials and troubleshooting guides.
10. Support and Maintenance. Post-deployment support must be available,
addressing any issues or bugs that arise, with a defined maintenance plan for
ongoing updates and improvements.
Measures Performance Targets
1.1. Payroll Processing Efficiency 1.1.1. On-Time Payments
100% on-time salary payments.
1.1.2. Error Rate
0 errors or discrepancies in payroll
calculations.
1.1.3. Processing Time
Transactions completed within 24
hours.
1.2. Statutory Benefits Compliance 1.2.1. Compliance Issues
0 compliance issues or discrepancies
found during audits.
1.2.2. Report Accuracy
0 inaccuracies in compliance reports.
1.2.3. Data Accuracy
0 data discrepancies or errors
identified post-migration.
1.3. User Adoption and Support 1.3.1. Training Completion
90% of staff trained within two weeks
of deployment.
1.3.2. User Adoption Rate
90% of staff actively using the
system within one month of
deployment.
1.3.3. Support Response Time
95% of support issues resolved within
48 hours.
Constraints
Limitations
1. The project must stay within the allocated budget for development,
implementation, and ongoing maintenance.
2. The system must be developed and deployed within a specified timeframe to
avoid disruptions in payroll processing.
3. Potential risks associated with migrating existing payroll and benefits data
without loss or corruption.
4. The system must integrate seamlessly with existing financial systems and
government databases.
5. The success of the system depends on effective training and adoption by HR
and finance staff.
6. The software must adhere to all relevant legal and regulatory requirements
for payroll and benefits.
7. The system must handle current and future payroll and benefits data without
performance issues.
8. Ongoing support and maintenance must be provided to address issues and
updates post-deployment.
Needs
1. Detailed cost estimation and financial planning to ensure the project remains
within budget while meeting all objectives.
2. A well-defined project schedule with clear milestones and deadlines to ensure
timely completion.
3. Comprehensive data migration plan and rigorous testing to ensure data
integrity.
4. Collaboration with IT teams and stakeholders to ensure compatibility and
successful integration.
5. Development of comprehensive training programs and user support
resources to facilitate smooth adoption.
6. Regular updates and maintenance to stay compliant with changing
regulations and standards.
7. Robust system design and testing to ensure scalability and performance
under varying loads.
8. Establishment of a support and maintenance plan to ensure continued
system reliability and effectiveness.
Assumptions
1. Financial Stability: The company has sufficient financial resources to cover
the costs of software development, implementation, and ongoing maintenance.
2. Resource Availability: Adequate internal resources, including personnel from
HR, finance, and IT departments, are available to support the project.
3. Timely Decision-Making: Project stakeholders will provide timely decisions
and approvals to adhere to the project timeline.
4. Existing System Compatibility: Current financial systems and databases can
be integrated with the new payroll and benefits management software without
significant modifications.
5. User Engagement: HR and finance staff will actively participate in training
programs and adopt the new system effectively.
6. Regulatory Stability: Relevant payroll and statutory benefits regulations will
remain relatively stable throughout the project lifecycle.
7. Data Integrity. Existing payroll and benefits data is accurate and can be
migrated to the new system with minimal issues.
8. Support Infrastructure. The company will provide the necessary
infrastructure and support for the deployment and maintenance of the new
software.
9. Vendor Cooperation. Any third-party vendors involved in system integration
or support will meet their contractual obligations and deadlines.
10. Scalability. The system will be designed to handle the current number of
employees and be scalable to accommodate future growth.
Approvals
KC Marien M. Lopez
Project Manager Client Other
September 14, 2024
Date Date Date
