SaaS – It’s relevance for HR and Payroll

SaaS – It’s relevance for HR and Payroll
SaaS (Software as a Service) is a method of providing software as a service experience by avoiding non value add intermediary processes for the customers like buying software, extensive training of staff,

Inseparability of data and application, buying and integrating of related applications like say a separate database to store application data, maintenance of specific hardware configurations for the purposes of software applications, mundane backup procedures, living with the risk of crash etc.,

In SaaS model, software applications are developed ground up keeping users in mind for delivery of services over internet, with an Internet browser being the only absolute necessity without worrying about version upgrade, installation expertise, data security, locking up with a single vendor, non availability of trained personnel, in-house maintenance expertise etc.,

This model also allows software companies technical capabilities to develop new revenue models as usage of applications can be controlled. SaaS enables software enabled service companies to significantly reduce their time-to-market and time-to-profitability. It also reduces the cost to reach customers drastically compared to a regular software application.

There are many factors responsible for increasing popularity of SaaS. Some of them are

· Internet becoming a popular medium and relative availability of bandwidth
· Anytime anywhere availability of applications
· Evolvement of commercial transaction mechanisms
· Hardware costs are decreasing while manpower and other soft cost are increasing
· Enablement of collaboration of expertise allowing quick response to change needs across users.
· Maturity of software application market reaching next level of users.
· Recognition by users of value obtained from usage rather than perceived ownership value in the software application.


SaaS is making its dent in Indian HR & Payroll services arena resulting in significant cost savings over costlier specialized standalone applications. SaaS as a delivery model gains more and more currency as companies are looking at less expensive and but effective methods to their HR / Payroll functions. The legal scenario is changing fast and complex procedural needs can be effectively addressed using SaaS better than stand alone applications. This is basically because SaaS services can be configured to a specific customer better than a standard application.

The typical drivers for companies to opt for a SaaS model are:

· Better visibility of costs being commitment.
· No upfront huge cost commitment
· Conversion of overheads into variable costs
· Flexibility. Easy entry and exit options.
· Better value for money even in short run
· Focusing management and functional owners on business issues rather than on technology for non-core activities.
· Business users spread across multiple geographies
Small and medium enterprises (SME) who do not have any past software legacy systems find it easier to adapt SaaS and are ahead of their larger counterparts as it provides them cost advantage, integrated service experience, domain rich up-to-date applications and most importantly the applications act as a collaboration tool to integrate business objectives across functions & geographies.

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Resolve Business Solutions - Payroll Services

Message from the President



Dear HR friends,

My heartfelt best wishes for 2009 to our community of HR professionals. Economically, we are faced with macro challenges of economic slow-down, rising costs and un-employment. The New Year presents itself with new opportunities to manage change, develop talent and strategically align the HR function in serving our respective businesses and customers’ objectives. Let’s re-commit ourselves to developing talent, adopting technology and best practices and emerge stronger amidst this economic transition.

Like all inflection points, be it health, emotional, or a recession, a great starting point in the profession is a Check-up, albeit an HR one. The bed-rock of the function being HR records and Payroll processing from which skill-competency mapping, performance management etc can be built upon. These basic transactional elements are to be re-examined from a technology, process, domain and cost perspective. Am I getting the best value with the limited resources and costs, which support the function, this is more so in small businesses. Would tinkering and making small changes give commensurate and sustainable impact?

We are committed to enable business managers to remain focussed on core issues and HR professionals on competency building and contributing to business strategy.


These solutions require a multi pronged approach with three basic foundations. (A) Technology (B) Functional HR and Payroll Knowledge (C) Process automation and controls. What are global trends occurring in HR/Payroll field, the state of Indian practices and experiences and likely directions that we can expect in the future.

It is against this backdrop that topics for our newsletters would be picked. SaaS (Software as a Service) is the theme of January and it’s relevance to the profession. Your feedback and contributions would make these topics stimulating.

Wishing you and your families a great New Year in 2009

Warm regards

Sudev Rao, Director
Resolve Business Services (India) Pvt. Ltd.