Introducing Global Payroll Consolidation

Running payroll like a well-oiled machine is hard work. Getting it right for employees in one country is hard enough. But managing it for multiple countries at once? Now that’s where things start to get really complex.

And if there’s one thing all companies can’t afford to get wrong — it’s payroll! It needs to be 100% accurate and on time, every time.

But with so many different tax laws, compliance regulations and currencies to deal with, keeping everything in check across different countries and entities can be a huge challenge.

Trying to handle these challenges in-house is costly and not easy to do well at scale. Especially if expanding rapidly to new countries.

For many multinational companies, outsourcing payroll is the easiest way to run payroll compliantly around the world. But that comes with it’s own set of problems.

When it comes to outsourcing payroll, companies with multiple entities typically choose between:

• Local in-country providers or

• Global payroll service providers (aggregators)

Or a combination of the two approaches. But both solutions have their downsides.

Although local providers help companies navigate the complex tax and compliance laws of each country, this approach can turn into an operational nightmare. Each provider has their own systems, processes and data formats to work with. The result? A lot of manual work and siloed data to manage with HR and payroll teams stuck in spreadsheets all day, every day.

Now picture this scenario for 10, 20, 50+ different countries — chaos!

Can you make it work? Sure, but it’s painful, error-prone and inefficient.

Then there’s global payroll aggregators (like ADP, CloudPay etc), who promise to solve all of these problems. And to some extent they do. You only have to work with one vendor instead of many - so you get the simplicity of one contract and one point of contact. Plus you get a centralized platform to see and manage all payroll data in one place.

But payroll aggregators also come with flaws, such as:

• 🔒 Vendor lock-in: You’re forced to use their own network of payroll providers. Even if you’re not happy with the service in some countries and want to change the local vendor, you can’t. You’re stuck.

• 💸 Higher costs: Aggregators are expensive. Because they charge a margin on top of the fees of their local providers, they can typically cost 2 - 3X more. Plus there’s the huge cost of ripping and replacing your existing in-country vendors with their own.

• 🌎 Fake “global” coverage: Even the largest global payroll companies don’t truly cover every country. So you still end up using a mix of multiple global service providers and local vendors - which makes things more complex, not less.

• ⚒️ Processes are still highly manual: Many companies still find themselves manually filling out spreadsheets and sending data over emails to provide payroll inputs to the local vendors.

• 🚩 “One-size-fits-all” approach: Their systems are rigid. You can’t tailor them to your specific needs. And you can’t pick and choose your own vendors or keep some of your current ones.

Aggregators solve part of the global payroll puzzle — but not the whole thing.

We believe there’s a better way, one that gives you the flexibility to run payroll efficiently using any provider for any country.

That’s why we’ve launched our global payroll consolidation solution (now available in beta). It lets your HR and Finance teams easily manage all of your payrolls for every entity in one place.

Think of it as the bridge that sits neatly between you and your payroll providers. Now you can centralize, automate and standardize your global processes and data – no matter which vendors you work with. So you can save valuable time, cut out tonnes of manual work and avoid costly errors at scale.

It’s the best of both worlds.

With Lano, you can run your global payroll operations with full visibility and control - for every country, every cycle, every time. You get a single source of truth no matter how many entities or in-country vendors you have across the world.

• 🔀 Get full vendor flexibility - no need to rip and replace your existing payroll vendors. Keep working with them, add new ones or swap out ones you don’t like anytime.

• 🔢 Standardize local data - make your Gross to Net data consistent across all countries. No more manually stitching together and converting data from different spreadsheets.

• 🔌 Automate more, stress less - say goodbye to manual data entry and errors. Integrate your HR and Finance systems so data flows accurately from payroll preparation to reconciliation.

• ✅ Verify cycles in minutes - we highlight changes and errors for you, so your HR and finance teams have more time to focus on more strategic work instead.

• 📊 Global reporting at your fingertips - get a single view of your global workforce costs, so you can see big-picture insights and make better decisions in minutes, not days.

• 🛡️ Keep payroll docs secure - from payslips to liabilities files, store all of your sensitive payroll data and documents safely in one place so you're always audit-ready.

• 💱 Pay everyone in one go - simplify how you pay your global workforce. Make global payments to all employees in their local currencies with just a few clicks.

We already make it easy to compliantly hire anyone, anywhere in the world. And now with Payroll Consolidation, you can manage payroll everywhere and pay your global workforce in one place too.

Whether your company is scaling rapidly and expanding into new countries or already has multiple entities set up around the world - Lano Payroll Consolidation helps bring some calm to global payroll chaos.