Standardizing Payroll & Compliance for a Pan-India Auto Parts Manufacturer
Industry: Automobile Parts Manufacturing | Scale: 20 plants across India | Employees: 5,500+
We partnered with one of India’s largest automobile parts manufacturers—spanning 20 plants and ~5,500 employees—to centralize payroll, tighten compliance, and bring transparency to CTC-linked reimbursements.
By moving from 20 in-house payroll centers to a Shared Services Center (SSC) with automated workflows and maker-checker controls, we delivered standardization, visibility, and governance cost elimination under the SSC model—driving cost efficiency to the tune of 40%.
This is their Transformation Story...
The Challenge: When Growth Becomes the Problem
Starting Point (2015)
The benefits of Integrated HR extend far beyond the HR department. Here's what business leaders experience:
Decentralized
payroll
20 separate payroll processing centers, each running independently.
In-house processing issues
Accuracy challenges and limited corporate-level visibility.
Compliance fragmentation
Managed by multiple consultants—leading to coordination gaps and poor oversight.
CTC-based expense governance
Manual, hard to control, and prone to over-limit claims.
Why this matters for similar enterprises:
Decentralization multiplies effort and risk. Without unified workflows and a single source of truth, organizations struggle with accuracy, auditability, and real-time visibility—especially across states with differing payroll and statutory rules.
Our Solution (To-Be State)
-
Shared Services Center (SSC)
- Consolidated HR & Payroll under an SSC with a single point of contact for the client.
- Standard governance, uniform processes, and clear accountability. -
Automation by Design
- Workflow configuration to streamline inputs, approvals, and audit trails.
- Payroll engine configuration tailored to state-specific calculations to ensure accuracy and compliance. -
Pan-India Compliance via DMS
Compliance automation through a Document Management System (DMS) for consistent tracking and retrieval.
- Centralized visibility into filings, evidence, and deadlines across all locations. -
Standardization + Controls
- Standardized input and output mechanisms across plants.
- Built-in maker-checker controls to prevent errors and enforce policy before payouts.
-
Shared Services Center (SSC)
- Consolidated HR & Payroll under an SSC with a single point of contact for the client.
- Standard governance, uniform processes, and clear accountability. -
Automation by Design
- Workflow configuration to streamline inputs, approvals, and audit trails.
- Payroll engine configuration tailored to state-specific calculations to ensure accuracy and compliance. -
Pan-India Compliance via DMS
Compliance automation through a Document Management System (DMS) for consistent tracking and retrieval.
- Centralized visibility into filings, evidence, and deadlines across all locations. -
Standardization + Controls
- Standardized input and output mechanisms across plants.
- Built-in maker-checker controls to prevent errors and enforce policy before payouts.
Business Impact
Efficiency through standardization
One way of working across 20 plants
Governance cost eliminated under SSC
Cost efficiency to the tune of 40%
Automated policy enforcement
Configured to disallow over-limit claims
Higher visibility to track claims
Real-time oversight of CTC-linked expenses
What Does This Mean For You...
Centralize before you optimize
Moving to an SSC eliminates duplication, clarifies ownership, and creates a foundation for automation and auditability.

Map state-specific payroll rules into the engine
Local nuances must be embedded in configuration, not handled as exceptions.


Design workflows around approvals, not spreadsheets
Codifying business rules—especially for CTC-linked reimbursements—prevents over-limit claims and reduces disputes.

Unify compliance via DMS
Central repositories make audits faster, reduce consultant coordination effort, and improve leadership visibility.
Implementation Highlights
A successful implimentation relies on many things falling in place. E.g…
Discovery & harmonization
Configuration & automation
Compliance centralization
Transition & training
Explore What This Could Look Like for You