Paycom Software Inc. (NYSE: PAYC), a leading provider of comprehensive, cloud-based human capital management software, revealed findings by Forrester Consulting on the significant potential efficiencies and benefits organizations can gain through Paycom and its payroll technology, Beti®, an industry-first payroll solution that empowers employees to do their own payroll. By consolidating and removing legacy HR systems in favor of Paycom, a composite organization representative of interviewed Paycom customers saved $2.3 million over three years.
The commissioned study also revealed that over three years, the composite company using Paycom’s single HR software featuring Beti:
- reduced time spent correcting payroll errors by 85%
- reduced labor for payroll processing by 90%
- saved their HR and accounting teams over 2,600 hours per year
- gained benefits worth nearly $3.8 million over three years
- received nearly $300,000 in value from customer services
“With Paycom and Beti, we are using payroll to engage employees in their pay and benefits,” a vice president in the customer service industry told Forrester in the study. “I have never seen payroll used as an employee engagement tool, so to me, it is incredible.”
The Forrester Consulting Total Economic Impact™ (TEI) study calculated Paycom’s three-year benefit at $3,775,365 for a composite business with 2,500 employees, 70 U.S.-based locations and multiple pay structures. This figure accounts for savings through reduced data compilation and errors, improved HR and accounting efficiency, reduced reliance on external vendors, and the value of Paycom’s customer service.
“Beti is changing the payroll industry,” said Chad Richison, founder, chairman and CEO of Paycom. “Empowering employees to control their own data provides a high level of value for organizations, and this study demonstrates it across multiple organizations.”
For its research, Forrester conducted interviews with Paycom clients, who cited productivity gains and better employee experiences after consolidating their legacy HR and payroll functionality with Paycom.
The interviewees expressed additional workplace benefits from using the software, including:
- improved employee engagement and retention
- improved employee trust
- efficiency gains for payroll, accounting and HR that allowed teams to operate more strategically
- improved culture and organizational knowledge about benefits, pay and best practices
Paycom commissioned the Forrester TEI study in spring 2023 to demonstrate the potential financial impact of Paycom and Beti on organizations. More information on the TEI study can be found here.