Australian SMEs are increasingly turning to artificial intelligence (AI) and automation to alleviate the challenges associated with payroll processing, according to a recent survey conducted by Employment Hero. The survey, which involved 535 SMEs in the region, revealed that a significant number of businesses face hurdles such as troubleshooting payroll errors, chasing clients for payroll data, and navigating complex legislation.
One of the key findings of the survey indicated that for 73 per cent of SMEs in Australia, completing a pay run takes longer than 24 hours. Additionally, payroll tasks consume up to three days for 95 per cent of the respondents, with some reporting that it can extend to five days or more.
In response to these ongoing challenges, a substantial 89 per cent of Australian SMEs expressed interest in leveraging AI and automation technologies to streamline their payroll processing. Many business owners believe that the implementation of AI could reduce the time spent on payroll tasks from days to mere minutes.
Phil Bernie, GM of payroll at Employment Hero, emphasized the urgency for businesses to adopt technology-driven solutions for payroll processing. Bernie highlighted that in the current age, it is unreasonable for pay runs to consume days of work when automation tools are readily available. By harnessing the power of AI, accountants and bookkeepers can redirect their focus towards value-adding activities that leverage their expertise.
Looking ahead, the survey indicated that 81 per cent of respondents anticipate a significant increase in the use of AI and automation within their organizations over the next 12 months. Moreover, over half of the participants view this technological advancement as an opportunity to enhance their data analysis skills, payroll expertise, and overall professional development.
Employment Hero, a leading provider of cloud-based HR solutions, offers a suite of products designed to simplify payroll processes and ensure compliance with ever-changing legislation. The company aims to empower businesses by reducing data duplication, enhancing integration across platforms, and facilitating seamless communication between applications.
As organizations embrace AI and automation, the future of payroll management is envisioned to be highly automated, allowing human professionals to focus on strategic tasks that deliver maximum value. The growing support for technological advancements in the payroll sector reflects a shift towards recognizing the transformative potential of AI in streamlining employment-related processes.
Employment Hero’s commitment to innovation underscores the broader industry trend towards leveraging AI and automation for operational efficiency and improved performance. By embracing these cutting-edge technologies, Australian SMEs can unlock new opportunities for growth, development, and enhanced client service within the evolving landscape of payroll management.
