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PMI slashes payroll processing from 7 days to 48 hours, transforming global payroll
Payroll accuracy increased from 94% to 99.7%, reducing errors and manual work
At a glance
Client detailsPhilip Morris International (PMI) a top tobacco multinational, operates in 180+ countries with 83,000+ employees, expanding into medical products.
Service ProvisionPayroll transformation through automation, compliance enhancement, and SuccessFactors integration
IndustryTobacco & Medical Products
Region supported by MercansLATAM & EMEA
Mercans' roleStreamlined PMI’s payroll by integrating SuccessFactors, automating processes, enhancing compliance, and improving accuracy and efficiency across 83,000 employees.
Targeted staffWhite- and blue-collar employees, Unionized workers, Interns, Retirees and Expats
Previous providerDisparate local payroll providers
Background
Philip Morris International (PMI) faced significant payroll challenges due to disparate local payroll providers, manual data maintenance, and non-integrated payroll processes. Despite implementing SuccessFactors as a global HCM system, the lack of payroll integration led to data inconsistencies, security risks, and compliance issues. Managing payroll for 80 thousand+ employees across multiple regions became inefficient, requiring a solution that could unify payroll operations, enhance accuracy, and ensure regulatory compliance.
Client’s challenges & objectives
Transitioned to a single global HCM solution but faced adoption issues due to non-integrated local payroll processes.
Required a globall provider with in-country expertise to support its diverse workforce, which was hard to find
HR and payroll data were maintained manually in multiple local payroll systems
Needed payroll support for a diverse employee population, including white- and blue-collar staff, union employees, retirees, expats, and interns.
Fragmented payroll processes led to data mismatches and security vulnerabilities.
Absence of an of an all-in-one solution for T&A, localized ESS, and global payroll software led to inefficiencies and integration challenges with SuccessFactors
Transitioned to a single global HCM solution but faced adoption issues due to non-integrated local payroll processes.
Required a globall provider with in-country expertise to support its diverse workforce, which was hard to find
HR and payroll data were maintained manually in multiple local payroll systems
Needed payroll support for a diverse employee population, including white- and blue-collar staff, union employees, retirees, expats, and interns.
Fragmented payroll processes led to data mismatches and security vulnerabilities.
Absence of an of an all-in-one solution for T&A, localized ESS, and global payroll software led to inefficiencies and integration challenges with SuccessFactors
Integrate local payroll processes with the global HCM system.
Eliminate manual payroll data maintenance at the local level.
Provide a localized Employee Self-Service (ESS) platform
Ensure full integration with T&A, HCM, ERP, and ESS systems.
Comply with internal and external data security and privacy regulations.
Enhance payroll accuracy and processing efficiency.
Support a diverse workforce, including office-based staff, factory employees, interns, union members, and retirees.
Integrate local payroll processes with the global HCM system.
Eliminate manual payroll data maintenance at the local level.
Provide a localized Employee Self-Service (ESS) platform
Ensure full integration with T&A, HCM, ERP, and ESS systems.
Comply with internal and external data security and privacy regulations.
Enhance payroll accuracy and processing efficiency.
Support a diverse workforce, including office-based staff, factory employees, interns, union members, and retirees.
Mercans' Approach & Solutions
Configured a system to support blue- and white-collar staff, expats, interns, retirees, and unionized employees.
Deployed HR Blizz to support global payroll operations with automated integrations across systems like SuccessFactors, SAP, T&A, statutory authorities, and third parties
Implemented localized Employee Self-Service (ESS) with Leave, T&A, and Benefits modules.
Installed and integrated biometric time clocks for accurate time tracking.
Ensured full compliance with PMI’s strict data privacy and security standards, including GDPR, SOC, and other regulatory requirements.
Solution Design
End-to-End Payroll Automation with Advanced Inbound & Outbound Integration
Business Benefits
Draft payroll accuracy
improved from 82% to 97%, while average payroll accuracy increased from 94% to 99.7%, reducing errors and rework.
Payroll Processing Time
was reduced from 7 days to just 48 hours, ensuring timely salary disbursements
he total cost of ownership
per payslip dropped from USD 25 to USD 12, cutting payroll operational expenses by more than 50%.
General Ledger and Bank file processing shifted from manual to fully automated, improving efficiency and eliminating human errors
Achieved full SOC & GDPR compliance, ensuring data privacy and regulatory adherence.
Enabled SuccessFactors and API inbound interfaces, eliminating previous integration gaps.
Implemented real-time reporting, allowing for faster decision-making and improved financial oversight.
Replaced manual login
credentials with Single Sign-On (SSO), enhancing security and user convenience
Introduced multi-pay group support, accommodating diverse workforce structures across global locations.
Transitioned from manual tracking to automated interfaces, streamlining Time & Attendance (T&A) management while enhancing workforce efficiency and compliance.
Measurable Results
PMI was able to reduce their total costs significantly while addressing their internal controls requirements.
Conclusion
With Mercans, Philip Morris International (PMI) revolutionized its global payroll operations, eliminating manual inefficiencies, data inconsistencies, and integration roadblocks. The deployment of HR Blizz enabled seamless SuccessFactors integration, real-time automation, and airtight compliance, driving unmatched payroll accuracy and efficiency. PMI also slashed processing times from 7 days to 48 hours, cut costs per payslip by over 50%, and secured end-to-end payroll integrity for its 83,000-strong workforce. Now operating with a fully optimized, scalable, and secure payroll system, PMI has set a new benchmark for payroll excellence in the industry.
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