Payroll software is a type of software that assists with compensating employees for time worked. This software can be purchased through a HR software vendor or can be included as part of a HR software package as a module within a comprehensive system.
Basically, payroll software helps with calculating paychecks from hours logged in time and attendance tracking systems. The software then draws paychecks or direct deposits funds into employees’ accounts. Taxes and deductions are also calculated and withheld by payroll programs. Why Acquire Payroll Software? Providing compensation is something that must be done by any company with employees in every industry, no matter how large or small the company. Since payroll is something that has to be done accurately and regularly, it makes sense for companies to invest in a system that automates these processes. Payroll software can help to mitigate errors and improve compliance while saving time.
ERP, or enterprise resource planning, is a modular software system designed to integrate the main functional areas of an organization’s business processes into a unified system.
An ERP system includes core software components, often called modules, that focus on essential business areas such as finance and accounting, HR, production and materials management, customer relationship management (CRM), and supply chain management. Organizations choose which core modules to use based on which are most important to their particular business.
What primarily distinguishes ERP software from stand-alone targeted software — which many vendors and industry analysts refer to as best-of-breed solutions — is a common central database from which the various ERP software modules access information, some of which is shared with the other modules involved in a given business process. This means that companies using ERP are largely saved from having to make double entries to update information because the system shares the data, in turn enabling greater accuracy and collaboration between the organization’s departments.
Benefits of ERP systems ERP offers a plethora of benefits, most of which come from information sharing and standardization. Because ERP components can share data more easily than disparate systems, they can make cross-departmental business processes easier to manage on a daily basis. They can also enable better insights from data, especially with the newer technologies that many ERP systems are including, such as powerful analytics, machine learning and industrial IoT capabilities.
In addition, ERP software:
- boosts efficiencies by automating data collection;
- enables business growth by managing increasingly complex business processes;
- helps lower risk by enabling better compliance;
- fosters collaboration using data sharing and integrated information;
- provides better business intelligence and customer service capabilities; and
- improves supply chain management
Accounting software describes a type of application software that records and processes accounting transactions within functional modules such as accounts payable, accounts receivable, journal, general ledger, payroll, and trial balance. It functions as an accounting information system. It may be developed in-house by the organization using it, may be purchased from a third party, or may be a combination of a third-party application software package with local modifications. Accounting software may be on-line based, accessed anywhere at any time with any device which is Internet enabled, or may be desktop based. It varies greatly in its complexity and cost.
The most complex and expensive business accounting software is frequently part of an extensive suite of software often known as enterprise resource planning (ERP) software.
These applications typically have a very long implementation period, often greater than six months. In many cases, these applications are simply a set of functions which require significant integration, configuration and customization to even begin to resemble an accounting system.
Many freeware high-end open-source accounting software are available online these days which aim to change the market dynamics.
Most of these software solutions are web-based.