Transitioning a managed payroll service to Capita’s HR shared service platform in just 4 months

BASF is the world’s leading chemical company, offering their customers intelligent system solutions and sophisticated products. BASF companies in the United Kingdom and Ireland supply a wide range of raw materials to most industries, and employ approximately 1,200 people in the UK. Their main areas of activity are Chemicals, Performance Products, Plastics, and Agricultural Products & Nutrition.

The Challenge

BASF had changed their payroll system to an integrated platform in 2000, whilst at the same time outsourcing the payroll service to an external provider. The system provided both payroll and HR functionality, as well as Web self service for employees and managers. Early in the summer of 2007, the payroll service arrangements were reviewed and BASF made the decision to change service provider, albeit utilising the existing software.

A challenging transition timescale was set in order to focus both internal and external resources on the task in hand. And at the same time, the challenge was to find a service provider who could manage the service on their existing integrated platform, which they were keen to continue using in order to ensure their initial return on investment in the product. There was a minimal budget to work with in order to achieve the transition, and a further requirement to bring on board another 180 employees from another part of the company.

Due to the fact that BASF are ultimately headquartered in Germany, there was also a security requirement to organise communications links via the German IT operation and change what was previously an internet connection to an Intranet connection.

Our Solution

Capita HR & Payroll Services transitioned the managed payroll service to their HR shared service centre in Carlisle within four months, with the service going live in November 2007. A hosted service for the application is also provided by Capita from their data centre in West Malling. One of the key benefits to BASF of the Capita solution was that they had a large number of clients whom they already provided services to on the same integrated platform that BASF were using. This removed much of the risk and cost from the transition and meant that it could be achieved in the tight timescales that BASF found themselves facing.

BASF's project coordinator said:

“Right from our initial contact with Capita, myself and the team at BASF were impressed with Capita every step of the way. Capita have always allocated the appropriate resource at the appropriate time and every person we have met at Capita has been professional, thorough and easy to work with and we look forward to this continued support throughout the term of the contract.”

Success

The service continues to be operated on the same integrated platform, thereby ensuring the full return on BASF’s original investment in the software with no need for financial outlay on new software. BASF also benefit from Capita’s wealth of knowledge and experience not only in providing managed payroll services, but in the significant and growing number of clients who have services provided to them on the same platform as BASF. This means we can always provide the correct resource at the right time to respond flexibly to changes in requirements.

Welcoming the news of this new contract, Chris Harris, Managing Director of Capita HR & Payroll Services said: “Capita are delighted that we are to have BASF as a new client as it supports our strategy of providing high quality, tailored solutions on integrated platforms. We look forward to continuing and extending the positive partnership that we have begun with BASF”.

BASF can also benefit from Capita’s wider capabilities in the HR solutions arena should they wish to do so in the future.

The foundation for a successful project and ongoing service delivery was secured by involving both the operational and implementation teams in the sales process right at the very beginning. In particular, the initial sales campaign was conducted in a detailed and thorough way with time taken to really understand BASF’s requirements in a professional and consultative manner.

Contact:

John Keegan, Business Development Director
Phone: 01256 383903
E-mail: hrpay@capita.co.uk
Capita HR & Payroll Services is part of the Capita Group Plc.
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