Maritime Payroll Outsourcing – Why has it not yet happened?

When we look at the payroll process in most successful organisations today, across all industries, it is highly unlikely that there is a large in-house payroll team or managed payroll software.
Why then, is this not the case in the maritime industry where ship owners and managers alike continue to employ large payroll teams and invest in costly internal software.
This is a question that we at Maritime, Oil and Gas Consultancy Services have been asking for some time to senior executives from both the maritime and payroll industries.
What is interesting is that when you ask senior executives at major payroll companies why they do not have more maritime clients on their books, or why they do not proactively target these clients, the answers have a number of reoccurring themes;

“We do not have the expertise to manage maritime clients and in a low margin business it is probably not cost effective for us to take these clients”

“When we have spoken to potential maritime clients, they do not believe we can handle the uniqueness of the industry”

Likewise, when speaking to HR managers in maritime organisations the rationale for keeping in-house is along the same lines;

“We do not feel that when we have tendered for the outsourcing of our maritime payroll the vendors that we have spoken to have fully understood the unique complexities of our industry”

“We have tried to outsource part of our payroll process in the past but in the end we brought it back in house as we could not reduce our overall cost or improve our service levels”

We asked ourselves the question, do these comments carry any real validity or are they long-held misconceptions?

Can it really be that maritime companies cannot benefit from the latest technology that payroll companies offer and therefore continue to invest in in-house technology and excessive people resource?

Our answer, whilst acknowledging the comments to some degree, is a resounding no!

We believe that with the launch of cPayd we have bridged the gap between the maritime industry and the payroll companies. Our unique combination of industry knowledge, technology and most importantly our people can ensure that ship owners and management companies can benefit from outsourcing their payroll processes in a cost effective, technology driven way whilst at the same time enhancing the experience of their seafarers.

The major differential of our systems is that they have taken all the latest technology that payroll providers have to offer in terms of data capture, reporting and analytics and tailored them to work for the maritime industries requirements on a global scale. One single platform for all nationalities.

As the digital revolution in our industry continues to gather pace and cost savings continue to be an inevitable driver given the current global situation why not reach out to us to see how cPayd can help you achieve your goals.