Hosted payroll the right brew for Langdon

When a legacy payroll system burdened Langdon Ingredients - which cleans, grinds, cracks kibbles and provides herbs, spices flavours and more to food, beverage and health industries, the company went looking for a hosted solution.

Langdon has plants in Australia and in New Zealand where its previous system, which it declined to name, could not incorporate Australian taxation levels, include annual leave, termination payments or create management reports for the company's cost centres. A barrage of untested application updates required the payroll manager to retrieve, test and implement the modifications without vendor support.

Amanda Brennan, corporate services manager at Langdon Ingredients, said the vendor didn't assist staff with the workload and problems the system created.

"We needed a system where we could relinquish responsibility back to the vendor," Brennan said.

The company considered an in-house solution versus a hosted offering when it approached vendors in October last year. Langdon liked the idea of offloading workload and support responsibility to a vendor that could host the entire solution.

As a result, the company selected Aussiepay's hosted ASP model ePayroll, Employee Self Service and e-Workflow services as the vendor took responsibility for payments, support and management reports. It also meant that no staff training was required.

"We chose [the packages] because all 70 of our management and employees can access the Web service anywhere to apply for leave, check pay slips, and expenses," she said. "The e-Workflow system facilitates annual leave and automatically updates time sheets while the service layout needs only commonsense to workout."

She said Aussiepay facilitates different taxes and regulations for the company's five centres spread across the mainland states and creates individual management reports for each.

"The older system couldn't handle creating management reports - it didn't handle payroll reporting and it let the general ledger down," she said.

Since implementation, Langdon Ingredients has cut weekly payroll time from 24 hours to 12, reduced administration burdens with self-service facilities, e-mail distribution of pay slips and automatic group certificate generation, as well as liaising directly with the Tax Office.

Brennan said implementation took only a few days.

"Implementation and training was pretty much instantaneous, while the old application dragged on for days and days," she said adding that the new system costs about $4000 per year.

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