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Product Showcase Outsourced Solutions

March 10, 2004
Related Topics: Latest News

Deciding which HR functions to offload and which firm to outsource to can be quite a challenge. This special Outsourced Solutions section provides information on vendors that can help your organization’s outsourcing needs.



1 ADP Boulevard
Roseland, New Jersey 07068
T: 973-974-5271
F: 973-974-3302
F: (905) 671-9890

Avoid the Pitfalls of the "Upgrade Treadmill" with
ADP's Enterprise(SM) HR Solution

A September 2003 PricewaterhouseCoopers study entitled, "Total Cost of Ownership: Warning Signs of In-House Hidden Costs" identified that companies are spending, on average, $470,000 for every upgrade to their in-house HRIS and payroll system. And these upgrades generally repeat every 18 months. Understandably, companies with an in-house HRIS and payroll system are becoming progressively frustrated with this recurring expense.

 Further fueling this frustration are the low expectations financial executives have for a positive economic return from continuous maintenance. In fact, the study discovered that of the financial executives interviewed, 75 percent anticipated no Economic Value-Add (EVA) as a result of these compulsory upgrades. Additionally, the study revealed that approximately 30 percent of the functionality that these companies paid to upgrade and maintain is never even implemented--casting further doubt on the rational to continue this upgrade trek.

The practice has become an "upgrade treadmill." Companies are compelled to continue this mounting challenge for fear of non-compliance risk, and rightly so, as the exposure can be even more severe than the chronic expense.

 Fortunately, outsourcing gets companies off this treadmill for good. In fact, hundreds of large firms have turned to ADP's outsourcing and its Enterprise HR solution for help. This comprehensive HR, payroll and benefit services solution is available in a fully-hosted delivery model, transferring the burden of technology maintenance to ADP. In essence, clients secure an insurance policy against future obsolescence. Additionally, ADP's unique pricing model means companies pay for only the functionality that they use. It's that simple.

And as for the service and the performance of ADP's Enterprise HR solution, according to Vernessa Gates, Vice President of Human Resources for Jillian's Entertainment Corporation, "ADP took the time to truly understand our business needs and goals. As a result we have one point of data entry and flexible access to critical, time-sensitive information. Our partnership with ADP has streamlined our back-office function with direct, positive results."

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Ascentis Software

Ascentis Software
Brian Fish, Sales Manager
PO Box 53330
Bellevue, WA 98015
T: (800) 229-2713
F: 425-462-1313

Make the move from paper HR to electronic HR

Are you using HR software to manage your company's human resources?
Join Ascentis Software HR experts as they discuss current HR marketplace trends and the benefits of HR technology. Sign up today for the exclusive, no-cost webinar! All participants receive a complimentary Starbucks gift card and a free white paper titled "Cost Savings in Automating HR & Benefits." Visit for more information.

Despite the best of efforts, small yet costly mistakes are made as carriers enter data from handwritten, photo-copied and faxed enrollment forms. According to a recent survey by Risk Insurance Magazine, insurance carrier bills can be up to seven percent inaccurate. These inaccuracies quickly add up. For example, the average cost of individual employer-sponsored health insurance for companies with 200-999 employees is $5,840 per employee - $487 per person per month. If you are a 200-employee organization, a seven percent inaccuracy rate could be as much as $6,818 per month*! This is just one illustration of how automating HR can directly affect your organization's bottom line.
*Mid-Sized Employer Health Plans 2002

What is HROffice?
Ascentis Software is the creator of HROffice, a best-in-class human resources management system (HRMS) for small to mid-sized organizations. HROffice automates all HR processes through comprehensive benefits management including online open enrollment and seamless connectivity to payroll providers and insurance carriers. HROffice eradicates the paper process and builds on the latest technologies from Microsoft for easy integration with the tools you already use on a day-to-day basis.

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