Over the last 10 years, the outsourcing of business processes in general and non-core functions like IT, HR, F&A, Procurement and others have evolved rapidly and come to be routinely serviced from delivery centers located in different continents. The activity that began as “lift and drop” of the processes from high cost to low cost locations is evolving to transforming the business processes through “Platform-based Processing”. This involves building processing capabilities, leveraging the software platform and making it available to customers on a “transaction pricing” model. In essence, it is a SaaS++ model wherein the Business Processes are delivered as a Service, “BPaaS”, leading to a lower Total Cost of Ownership for the end customers.
Our client is one of the leading Finance and Accounting service providers in the US. They provide F&A services to small & medium businesses across auto parts, not-for-profit organizations, retail, healthcare, hospitality and restaurant industries, which include franchises of some of the most legendary and iconic brands in the country.
The client was using ADP’s HRIS platform for their HRIS requirements and another web based platform to process their payroll. Using the two different platforms required a high degree of manual intervention that led to an increase in the administrative burden for their small HR team. The HRIS platform was not integrated with payroll or any of their benefit carriers, so when there was an employee change that affected benefits, it required the same entry to be made in about 12 different places resulting in inefficiencies in the entire payroll/HRIS process. Moreover, there was no dedicated account manager assigned to the client by their existing service provider who could provide personalized live guidance or troubleshoot and resolve their queries immediately. As a result, the client was looking to replace the existing system with a user-friendly, intuitive HRIS system that could integrate payroll & HR related functions within a single platform. In 2014, the client evaluated several service providers and platforms and chose Quatrro as its partner for outsourced payroll and HRIS.
The client is one of the world’s largest distributors of technology products, services, and solutions. They have 115,000+ IT resellers around the world who rely on our client, to support the technology needs of end users of all sizes, including small- and medium-sized businesses (SMB), large enterprises, educational institutions, government agencies, and consumers. They are the partners in the Microsoft Office 365 Cloud Solution Provider (CSP) model that allows them to sell Microsoft solutions alongside their own offerings and services.
Top Priority Areas for Hotel Operators in 2017
The hospitality industry (excl. Travel) consists of companies that provide short-term accommodation, including hotels and casino hotels, motels, and inns dominated by large hotel chains. The industry continues to remain the bedrock of the American economy by providing accommodation to both the business and leisure travelers and thereby contributing to national GDP growth. Globally, the hospitality industry is experiencing a renaissance. Record high occupancy rates and pricing are widespread, and favorable economic and market conditions are projected to remain strong. While the market is providing exciting opportunities, most organizations are treading with caution due to the cyclicality of the market. In the US, the hotel assets continued to appreciate in 2016, but at a more modest pace due to slowing RevPAR(revenue per available rooms) growth and a rise in cap rates.
December, 2017 –The retail industry in the U.S. is undergoing disruption which is bringing about a change in how retailers operate. Things are transforming faster than ever when it comes to shopping on-line, the use of mobile purchasing, new forms of payments, and the degree to which consumers are expecting convenience while shopping. According to a survey by PwC, over 32% of consumers buy products at least monthly via their smartphones. Consequently, without an iota of doubt, the retail industry ecosystem is being forced to evolve with the dynamic needs of the customers.
AND, THE SPOTLIGHT IS NOW ON TAX
The most recent disruption in the retail industry is the proposed tax-reform plan by President Donald Trump that offers sweeping cuts in individual and corporate tax rates. The retail industry is expected to be majorly disrupted by this reform.
Presently, the United States has the highest corporate taxes among the OECD countries. According to a 2016 report by Goldman Sachs, major retailers are among the top tax paying companies in the US. The table below depicts some of the top tax-paying retailers include apparel companies Gap (GPS), Under Armour (UAA) and department store Nordstrom (JWN).