OUM Solution Design Document Cloud Bangladesh Payroll
Transcript of OUM Solution Design Document Cloud Bangladesh Payroll
OUM
Solution Design Document
Cloud Bangladesh Payroll
Author: EFS
Creation Date: July 04, 2021
Last Updated: July 04, 2021
Document Ref:
Version: 1.2
Approvals:
Name ______________________________________________
Name
1 Document Control
1.1 Change Record
15
Date Author Version Change Reference
February 12, 2019 EFS Team 1.0 Creation March 6, 2019 EFS Team 1.1 Update
1.2 Reviewers
Name Position
Saima Ahmad Head Of HR
Contents
1 Document Control ........................................................................................ 2
1.1 Change Record .............................................................................................. 2 1.2 Reviewers ...................................................................................................... 2
2 Introduction ................................................................................................. 4
3 Purpose ......................................................................................................... 5
4 Stakeholder List ........................................................................................... 6
5 Introduction to Human Resources Offerings .............................................. 7
5.1 Payroll ........................................................................................................... 7 5.2 Costing Structure ........................................................................................... 7
6 Payroll Process ........................................................................................ 8
6.1 General Payroll Rules .................................................................................... 8
6.2 Monthly Payroll Processing: .......................................................................... 9 6.3 Payroll Processing Description ..................................................................... 10
6.4 Payroll Process Steps Description ................................................................ 11 6.6 Payroll Process Steps Description ................................................................ 13
6.7 Payroll Elements Description and Calculation Rules .................................... 16
7 Assumptions ............................................................................................... 18
8 Open/Closed Issues .................................................................................... 19
9 Sign Off Sheet............................................................................................. 21
2 Introduction
The Solution Design Document comprises of the business structure (Enterprise Setup) and system mapping of business processes. It also highlights open and closed points identified during meetings. This document provides the Organization structure of Module wise list of business processes with its description, rules for modules, and business requirements.
3 Purpose
Solution Design Document (SDD) is a description of the solution agreed upon by both, EFS and the partner. As requirements are registered during the project, this document provides a reference from which to verify that each requirement contributes to meeting one of the agreed objectives. This document is further used as a reference throughout the project to ensure that the requirements are properly prioritized, and that project participants keep focused on the tasks that relate to achieving these objectives.
4 Stakeholder List
EFS HR Key Users EFS IT Partner Implementation Team
5 Introduction to Human Resources Offerings
5.1 Payroll Fusion Global Payroll is a high-performance, graphical, rules-based payroll management system that is designed to keep pace with the changing needs of your enterprise and workforce in order to reduce set-up costs, administrative, and processing time.
Fusion Global Payroll provides a unique, data-driven approach that enables you to define and manage your diverse payroll requirements that reflect your business policies. With Fusion Global Payroll, you can quickly and easily process payrolls based on the frequency required by your organization.
Fusion Global Payroll Dashboard is delivered as a strategic tool for the Human Resources Manager. These dashboards are used to monitor the payroll processes that occur at any time. All the information needed to check and reconcile the payroll is available easily, efficiently, and more importantly, to the appropriate people.
Fusion Global Payroll gives you complete control over your processing rules and calculations, even the most complex ones. Fast Formula is a powerful way to model business rules
5.2 Costing Structure Cloud system support Costing Structure definition in the system. The costing structure will help in allocation of costs to respective entities. The structure followed at EFS is as follows:
Segment Name Order Segment Length Costing Level
Business Unit(Project or Department)
1 12 Refer the file UAE JE Format file
Object 2 4 Refer the file UAE JE Format file
Subsidiary 3 8 Refer the file UAE JE Format file
Subledger for Advances and deductions
6 Payroll Process
This section lists the business policies controlling the business structure and processes.
6.1 General Payroll Rules
Si.No. Requirement Description
1 Payroll Definitions Only one Monthly Payroll for all countries
2 Payroll Period 20th of each month is cut off 3 Payroll Cut-off Date
End of the month for all countries
4 Payroll Relationship Group The system should allow payroll team to run payroll for a set of employees if required. –
Adhoc Payroll (EOS Settlements, Leave Salaries, part payments) , needed Bangladesh
5 Element Sets The system should allow payroll team to run payroll for a set of payroll elements if required.
6 Salary Basis
Monthly Salary Basis for all countries
7 Payment Methods Bank Transfer, some cash transfer
8 Negative Carry Over System should not allow negative payments. Negative payments should be carried over to be deducted from the next month salary and
there should be flexibility to override amount and to reflect notes in the payroll slip for the employee to show reason behind deduction from the following month
9 Retro pay Process The system should be able to handle any backdated changes and calculate the resulting difference in order to be paid in the current payroll month, note reason should be shown
10 Payroll The system should handle all the payroll components and formulas in order to calculate the payroll results required for payment or provisioning.
11 Proration The system should handle any proration calculation triggered by any change in mid-month Payroll Proration Factor is 30 days – if employee joins after cut off period how will it be
handled? 12 Quick Pay Payroll Admin should be able to run a quick pay for any person or group of employees through
mass selection at any time to handle any requirement. (Certain element payments, final settlement etc.)similar as above
Quick Pay should allow the payroll admin to select the elements required for processing. 13
Prepayments Once Payroll results are generated, payroll should be able link the net pay with employee personal payment method (bank accounts, cheque, cash)
14 Costing System should cost the payroll results as per the chart of accounts that need to be send to GL
15 Transfer to GL The costing file must be generated from Payroll with all costing data to be send to the GL.
16 Arrears The system should calculate arrears automatically.
17 Fiscal Year Calendar for Bangladesh July to June, note for Income tax as well
18 Payroll Proration Factor
Salary has to be as per prorated
19 Time Entry Period 21st of previous month to 20th of current month for Bangladesh
20
Daily Standard payment hours
Basic / 208 *2 - Housekeeper 45 per hour -Housekeeping Supervisor 50 per hour – Technicians and Drivers
208 hours std, above that is overtime (26*8) for eligible categories
21 Less Hour Deduction
Employee worked less than 208 hours then contractual salary will be reduced by less hours worked.
6.2 Monthly Payroll Processing:
6.3 Payroll Processing Description Process Description
Payroll Processing details the key activities executed mainly by the payroll personnel in order to conduct the general payroll including the various calculations and considerations such as overtime, deductions and retro payments in order to coordinate with finance to finalize and submit relevant payments to employees through adequate payment methods.
Process Input & Initiators
Payroll Processing is based on the employee’s defined pay & benefits structure while considering the following items as applicable:
Allowances and any type of other income such as (Transportation, Housing, bonus and deductions (Payroll)etc., as identified in the Payroll Questionnaire Sheet
Overtime
Loans
Retro payments (Payroll) Final settlement calculations (HR & Payroll)
New hires (HCM) (NEW Joined Assignment to be created with A formula as per current system) Salary changes, transfers, etc.
Process Output
Calculation of the Net Salary and Payment instructions will result from the payroll process in order to be translated into bank transfers or cheque or cash payments received by employees. , Salary Card , WPS as above
The Payslip will provide salary details such as earnings and deductions and Payslip should have the ability to show remarks if written on each element name
6.4 Payroll Process Steps Description
Process Step Process
Description Proce
ss Type HR.PAY.01-10 Once the employee
file is updated by all HR transactions like new hire, salary increment, promotion, transfer and termination. Payroll process can be started after this.
System
HR.PAY.01-20 Initiate payroll process following the cut-off date (Run date of Payroll), Before this date HR transactions should be done in the system.
System
HR.PAY.01-30 All non-recurring elements will be attached by Payroll officer or Payroll Officer can do the entries direct on the system and using option that allows him/her to do several entries to several employees for the same element name. Example of non-recurring element will be other earnings and other deductions.
System Payroll officer
HR.PAY.01-40 For any retrospective transactions, Payroll officer will run the Retro pay process. This will calculate all retrospective backdate transactions. Example -not limited to Salary change from any previous months and also calculate the absence and
System
leaves that can have deduction impact on payroll.
HR.PAY.01-50 After completion of Retro pay, Payroll officer will run the Monthly payroll. Payroll will calculate all the salaries and benefits attached to employees.
System
HR.PAY.01-60 Payroll officer will extract the payroll register and they can print it also, the extract should have flexibility to be extracted as excel/PDF and can be signed electronically after verification. This payroll register has all the transactions processed under the payroll.
System
HR.PAY.01-70 Payroll officer will verify and reconcile the payroll results. The reconciliation of payroll register is based on the HR Transactions.
Manual
HR.PAY.01-80 If there are discrepancy in payroll results, Payroll officer will roll back the payroll and correct the employee transaction, which caused the differences.
Manual &
System
HR.PAY.01-90 Once Payroll Officer modified/corrected the transaction, he/she will run the payroll for employees again. This process (HR.PAY.01-50, 60, 70, 80, 90) will be repeated until Payroll officer will reconcile the whole payroll with
Manual &
System
respective HR Transactions.
HR.PAY.01-100 After reconciling the payroll, Payroll person will run the prepayment. Prepayment will create the mode by which employee will be paid. It could be a bank transfer, cheque, or cash.
System
HR.PAY.01-110 Payroll officer will then run the costing and forward the costing details report to Finance Department for review
Manual
HR.PAY.01-120 Payroll Manager will extract the Bank file from the system as per template provided which is on a notepad template
System
HR.PAY.01-130 Payroll Manager will upload the bank file on Bank portal
Manual
HR.PAY.01-140 Once the payment is done by bank, Payroll officer will generate Pay slip for the employees. The employees would be able to see the online pay slip through person gallery.
System
HR.PAY.01-150 Payroll Officer will generate the costing entries from the system and send it to Finance department.
System &
Manual
6.6 Payroll Process Steps Description
If using REST APIs to connect to Oracle HCM Cloud,
https://docs.oracle.com/en/cloud/saas/human-resources/21b/farws/Employee_Atom_Feeds.html
https://docs.oracle.com/en/cloud/saas/human-resources/21b/farws/Termination_Feed_Details.html https://docs.oracle.com/en/cloud/saas/human-resources/21b/farws/op-absences-get.html
https://docs.oracle.com/en/cloud/saas/human-resources/21b/farws/op-timerecords-get.html
For performance issues, Reports could be developed and shared as well through ftp, if that would be simpler for integration. Employee Master already exists, other reports such as time sheet, or absence could be discussed and agreed upon.
Once Payroll is processed, a Costing / Payroll JE needs to be generated
JV Lines Report_JV
Lines EFS KW.xlsx sample attached, mapping to be shared of the department and the elements. This format file to be sent via ftp (credentials to be shared) on schedule or adhoc run.
6.7 Payroll Elements Description and Calculation Rules
6.5.1 Bangladesh: Element
Name Frequency
Type Eligibility
Taxable Salary
SI Salary
Input Value
Proration Triggers
Processing Rule
RetroPay
Triggers
Termination Date
Gross Salary
Recurring
Information
All Amount
Hire Termination Salary Change
All Contractual Salary components 2nd Gross Salary = (Gross Salary – (Mobile + Fuel + Other))
Salary Change Leave Change
Actual Termination
Basic Salary
Recurring
Earnings
All
Override Amount
60% of The Gross Actual Termination
Accommodation Allowance
Recurring
Earnings
All
Override Amount
30% of The Gross Actual Termination
Transport Allowance
Recurring
Earnings
All
Override Amount
10% of The Gross Actual Termination
Medical Allowance
Recurring
Earnings
All Amount
Hire Termination
Lump Sum Entry Change
Actual Termination
Special Allowance
Recurring
Earnings
All Amount
Lump Sum Entry Change
Actual Termination
Mobile Allowance
Recurring
Earnings
All Amount
Lump Sum Entry Change
Actual Termination
Shift Allowance
Recurring
Earnings
All Amount
Lump Sum Entry Change
Actual Termination
Festival Bonus
Recurring
Earnings
All Amount
Lump Sum Entry Change
Actual Termination
Performance Bonus
Non Recurring
Earnings
All Amount
No Lump Sum Entry Change
Actual Termination
Salary Advance
Recurring
Deductions
All
Amount No of Installments
No The maximum amount is 1 Month Gross Salary No of Installments (1-6)
No Actual Termination
Mobile Deduction
Non Recurring
Deductions
All Amount
No Lump Sum Entry Change
Actual Termination
Fine & Damages Deduction
Non Recurring
Deductions
All Amount
No Lump Sum Entry Change
Actual Termination
Tax Non Recurring
Deductions
All
In accordance with the Finance Act 2018, the income tax brackets on employee salary for the income year 2018-2019 is as below :
1st 250,000
0%
Next
400,000
10%
Next
500,000
15%
Next
600,000
20%
7
Next
3,000,000
25%
Balance
30%
You will calculate the annual tax liability at the beginning of the year and will deduct on monthly basis during payment of monthly salary. Please note that, apart from income tax, there is no other taxes need to deducted or paid by company on behalf of the employees
Social Insurance
Recurring
All ???
Overtime Non Recurring
Earnings
All ???
EOS Non Recurring
Earnings
All ???
EOS Accrual
Recurring
Information
All ???
Leave Salary
Non Recurring
Earnings
All ???
Leave Salary Accrual
Recurring
Information
All ???
LOP Non Recurring
Deductions
All ???
Medical Insurance
Recurring
Information
All Amount
No Lump Sum No
Uniform Recurring
Information
All Amount
No Lump Sum No
Workman Compensation
Recurring
Information
All Amount
No Lump Sum No
Negative Salary Carry forward
Recurring
Earning
All
No No Actual Termination
Negative Salary Brought Forward
Recurring
Deduction
All
No No Actual Termination
7 Assumptions
ID Description of Assumption
Criticality Module Objective*
1 2 * B = business objective, S = system objective
8 Open/Closed Issues
Sr.No. Issue Country Resolution Responsibility Target Date
Impact Date
1 Business Case for Attire, Telephone and Mobile allowances
India
As discussed, it will lum-sum head
2 Monthly Bonus Projects List India
Project wise Calculation sheet Provided
Navpreet/Arumugam
3 Grade Matrix & Prices for Air ticket Global
CTC for UAE.xls
4
Income Tax Overtime EOS Leave Salary Sick Leave Policy
Lebanon
Income tax and leave salary is in CTC sheets shared which attaching again
Lebanon -
Details.xlsx
5 Income Tax EOS
Jordan Jordan - Payroll
Sheet jan 2019. - TAX.Abdali.xlsx
6 EOS Leave Salary
Ethiopia Morocco Nigeria Tunisia
Revised CTC vs
Budget - NEW.xlsx
7 Income Tax Pakistan
8
Income Tax Social Security Overtime EOS Leave Salary
Sudan Bangladesh
9
10 Costing Detail for all elements Global
11 Pay slip template Global
13 Final element list (Non-recurring) UAE
Attache in this file only , in UAE section
14 Grade Matrix for Cash element and CTC Global
EFS Facilities
Services - Grading Pay Scale Fringe Benefits Structure UAE KSA QATAR 2019.xlsx
EFS Facilities
Services - Grading Pay Scale Fringe Benefits Structure UAE KSA QATAR 2019.pdf
15 16
9 Sign Off Sheet
EFS
PROJECT NAME EFS Fusion HCM Implementation
PROJECT MANAGER Joel D’Souza
DATE REFERENCE
LEGEND
Yes (Y) response implies that the deliverable is approved. No (N) response implies that the deliverable is rejected with reasons and justification Yes, with Notes (YN) response implies that the deliverable is approved with the required
modifications documented in its section. Remark: Stakeholder authorized personnel Sign-off shall not relieve the Vendor of his obligation to
perform the work in accordance with the Contract document
NO DESCRIPTION TYPE
1. EFS Fusion HCM Implementation SDD Sign Off Document
STAKEHOLDERS’ APPROVAL NO.
STAKEHOLDER NAME
POSITION
DEPARTMENT
SIGNATURE
SIGNED OFF? YES NO YN
1.
2.
YES, WITH THE FOLLOWING NOTES
SIGNATURE
Signature: ____________________ Date: / /20
Signature: ____________________ Date: / /20