US human capital management services group ADP said that a research study conducted in collaboration with CFO Research shows 89% of senior finance executives rank compliance as a priority. However, managing compliance is becoming increasingly difficult, with 73% expecting the complexity of new regulations to make the task more resource-intensive over the next two years.
Eighty-one per cent of those polled felt that monitoring tax, employment and payment-related rule changes had already become more time-consuming over the past two years and 76% did not have access to real-time, consolidated compliance data.
Despite increasing complexity, nearly 60% of survey respondents said their compliance budget would remain stagnant or decrease in the next year. “According to our research, those who manage finances for large companies are challenged to keep up with the ever-changing landscape of regulatory and legislative rule changes,” said Josh Hyatt, associate director, CFO Research Services. “With budgets expected to stagnate for most, finance executives will likely need to look for ways to boost efficiency.”
The survey is released to coincide with ADP’s release of ADP SmartCompliance, a cloud-based unified platform of outsourced services that aims to help medium-sized and larger companies better manage key tax, employment and payroll compliance capabilities. ADP added that the outsourced platform of services can help save time and money by consolidating processes that are disparate and largely manual, and by working with an organisation’s existing enterprise resource planning (ERP), financial or human resources system of record.
“We heard from our clients that the flexibility to complement existing systems was essential,” said Doug Politi, president, ADP Added Value Services. “One of the strongest components of this new platform is its ability to work with virtually any ERP, and we’ve developed partnerships in the industry to make that happen.
“Our clients have also told us that business intelligence and data analytics are critical to streamlining day-to-day activities and achieving a truly strategic view, so our focus on these areas will drive future enhancements to ADP SmartCompliance.”
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