Managing A Payroll Department

1. Managing A Payroll Department

2. Basic Management Theories • Situational Leadership • Principle-Centered Leadership • Empowerment Theory No one way is the right way! Management’s style needs to fit different jobs, situations and employees.

3. Situational Leadership Management Style • Supporting - Low Task High Relationship • Coaching - High Task High Relationship • Delegating - Low Task Low Relationship • Directing - High Task Low Relationship

4. Situational Leadership Management Style • With Situational Leadership the way managers work with staff depends on what two factors? ? • What do situational leadership proponents emphasize?

5. Principle-Centered Leadership Simple statement behind the Principle-Centered Leadership: Treat People the way you want to be treated!! 4 Fundamental Dimensions: • Security • Guidance • Wisdom • Power

6. Empowerment Theory Key objective is the for employee to take ownership of the process 5 Steps • Establish the desired results • Provide guidelines • Identify resources available • Hold people accountable • Identify consequences

7. Accountable Coaching Consequences Delegating Directing Guidance Guidelines Power Resources Results Security Supporting Tenacity Wisdom Key Words from Management Theories Exercise

8. Employee Styles • Contributors Task and Result Oriented Organized and Dependable • Collaborators Flexible and Open Cooperative with team members • Communicators Excellent Communication Skills Positive Approach • Challengers “Devil’s Advocates” Looks for innovated ways to solve problems

9. Employee Needs • Contributors Stable Environment To Be shown how to do Encouragement of analytical talent • Collaborators Create Harmony To be shown Why it’s done Have time to process information

10. Employee Needs • Communicators Lots of people contact Plenty of variety Public Recognition • Challengers Lots of Challenges To be shown what you want Opportunity to learn new skills

11. Comparison of Styles What happens when a Payroll Manager doesn’t learn the strengths and weaknesses of the employees before delegating tasks to them?

12. Comparison of ER & EE Styles EREE Supporting – Communicators Delegating – Contributors Directing – Challengers Coaching – Communicators

13. Management Skills • Planning and Organizing-5 Key Activities • Staffing- 4 Skills Sets • Directing Employees- 4 Communication Skills • Controlling Performance- 4 Steps • Reporting – 4 Customers

14. Management Case Study It’s Payday. The checks have just been picked up, and the entire payroll staff is tense. They are waiting for the irate phone calls to begin. In about ten minutes, the phone will ring and ring and ring as one employee after another calls to complain about their paychecks. Before the day is over, at least one of your staff members will snap at one of your customers--the firm’s employees. As the manager, what steps do you take?

15. Planning and Organizing • Define Goals and Objectives • Define Time Frame • Define Sub-tasks • Analyze Resources • Evaluate Costs

16. Staffing • Hiring • Training • Delegating • Coaching

17. Directing Employees • Listening • Provide Feedback • Coaching • Leadership

18. Controlling Performance • Setting Standards • Monitoring Progress • Comparing Progress With Standards • Corrective Action

19. Reporting • To immediate supervisor • To other department heads • To upper management • To employees

20. Do You Have IT?? IT is the 4 qualities that help make a Payroll Manager a Strong Leader. • Having a vision • Building a support team • Seeking Partners • Attending APA’s Leadership Certification Program in Chicago April 21-23. Visit www.americanpayroll.org

21. Conduct and Attend Meetings Keep Written Policies and Procedures Crisis Management Time Management Team Building Performance Evaluations Promoting Quality Customer Service Customer Service in Shared Services Specific Skills

22. Crisis Management- Once the crisis is over, what are some things the payroll manager can do to ensure the lessons are not forgotten? Conduct a meeting to discuss the crisis and determine which of the problems are preventable Initiate a plan to prevent those problems from reoccurring List the successful results and include them in a “Crisis File’ for future reference List all of the issues that were not satisfactorily resolved and formulate procedures to resolve them Express your appreciation to your staff. Specific Skills

23. Time Management- What four combinations of time categories tell a manager what his or her priorities should be? Urgent and Important – Crisis management, immediate attention needed Urgent but Not Important– Pressing activities that may be easy to accomplish Not Urgent but Important – Planning and prevention activities Not Urgent and Not Important– easily accomplished, time wasting activities Specific Skills

24. Team Building- What are the four stages of team development? Forming – Stage1 The Start-up stage Storming – Stage 2 Where Responsibilities and roles are articulated Norming – Stage 3 Where Success occurs Performing – Stage 4 Where Members feel very motivated Specific Skills

25. Customer Service - Who are our customers and what is their product? Customer Product 1. Employees Checks or Direct Deposits 2. Management Reports, Financial Statements 3. Government Agencies Filings, Forms, Deposits What are some of basic principles to providing quality customer service? Reliability Responsiveness Assurance Empathy Tangibles Specific Skills

26. Shared Services- What is Shared Services? Shared services is the consolidation of related functions and integration of the processes involved with them throughout an entire organization. What departments would be in a Shared Service or a ‘Call Center”? How would this affect Customer Service? Specific Skills

27. Research • Tax Laws and Regulations • Employment Laws and Regulations • Payroll Related Websites • Company Policies and Procedures • Union Contracts

28. Research-Tax Laws and Regulations IRC= Internal Revenue Code tax laws passed by Congress and signed by the President. IRS Regulations= Interpretations of the law developed by the IRS & approved by the US Treasury Dept.

29. Research-Tax Laws and Regulations 3 categories of IRS regulations: • Proposal=Issued for public comments • Temporary=Used until the final regulations are issued. Identified by a ’T’ following the regulation number (Reg$1.125T). No longer effective after the final regulations is issued. • Treasury Decision=Final regulation are issued as Treasury Decisions. Expressed as TD followed by the number ( TD 8481).

30. Research-Tax Laws and Regulations Additional forms of guidance to interpret tax laws include: • Publications such as Curricular E • Revenue Procedures • Revenue Rulings • Private Letter Rulings • Announcements, Notices and News Releases

31. Research- Employment Laws and Regulations • Wage-Hour FSLA • Garnishments Consumer Credit Protection Act • Child Support Consumer Credit Protection Act • Immigration Illegal Immigration Reform & Immigration Responsibility Act • New Hire Reporting Personal Resp & Work Opportunity Act • Family Leave FMLA • Unemployment FUTA & SUTA Unemployment Tax Acts • State Laws Various

32. Research- Payroll Related Websites Chicago Chapter APA www.chicagopayroll.com American Payroll Association www.americanpayroll.org IRS www.irs.gov www.irs.govformspubs/index.html SSA www.socialsecurity.gov State &Local Links www.taxsites.com/state Department of Labor www.dol.gov Direct Deposit www.nacha.org www.directdeposit.org Payroll Calculator www.paycheckcity.com

33. Thank You!! Good Luck with your CPP test!! Christine O’Hara, CPP 312-474-3221 Christine.O’Hara@SymphonyIRI.com