AI and automation are set to revolutionize the payroll management landscape in Malaysia, according to a recent report by Employment Hero. The report highlights the increasing recognition among payroll providers in Malaysia of the transformative potential of AI and automation in streamlining payroll processes. Findings from the report indicate that 81% of Malaysian payroll professionals are drawn to the idea of reducing payroll processing time through the implementation of AI and automation.
Efficiency and time-saving are key drivers behind this shift, with 78% of Malaysian payroll professionals anticipating a rise in the use of AI and automation over the next year. The report reveals that despite the industry’s reliance on manual processes, automation has the potential to significantly enhance efficiency and accuracy in payroll management. Currently, 80% of payroll providers spend between one to five days completing a pay run.
Kevin Fitzgerald, Managing Director (Asia) at Employment Hero, emphasizes the promising opportunities that AI and automation offer to the payroll industry in Malaysia. He highlights that these technologies can elevate data analysis skills, allowing professionals to leverage historical data for predictive analysis and informed decision-making. Additionally, the automation of routine tasks opens up possibilities for professional development and continuous learning.
Looking ahead to 2024, the top three opportunities identified for Malaysian payroll providers include:
– Improved data analysis skills through AI and automation
– Enhanced resource planning capabilities
– Increased opportunities for professional development
Despite the positive outlook, payroll providers also face challenges in adopting AI and automation, including concerns about job displacement and the need for upskilling to adapt to evolving technologies. However, industry experts like Chermaine Ng, Corporate Secretarial & HR Executive at Cantonment Partners, see automated payroll as a means to reduce human errors and focus on fostering client relationships and optimizing payroll processes.
In conclusion, the growing trend towards AI and automation in payroll management signifies a shift towards greater efficiency, accuracy, and strategic decision-making within the industry. As Malaysian payroll providers embrace these technologies, there is a clear opportunity for innovation, growth, and professional development in the evolving landscape of payroll management.
