Hi, having some difficulty coming up with specific goals for my payroll department who report to me. Obviously I want to measure accuracy and timeliness primarily, although would like to get something in there about documenting current process and improving it thereafter. Any ideas gratefully received. Am thinking something like max errors per month etc.

brewerdom's picture

Rather than max errors, measure percent correct. Maybe 98% accuracy. If the measurment is errors, the directs are more likely to find a way to hide errors, than fix them. I'd recommend measuring number of employees paid via of cycle payrolls, easy to quantify.    


Another metric I like is Days between last payroll week worked and date employees termed in the system (not term date).  Our company strugles with procesing term empoyees quickly (I'm in Restaurant and turnver is over 50%) it's not unlikely for our company to process 10 terms a week.  Depending on payroll pricing this could effect costs.

I'd also track a metric that is Payroll processing cost per emloyee, and challenge yourself and the team to find ways to decrese that metrc.