In a statement today cloud-based accounting leader Xero revealed it is buying Planday, a workforce management platform.
According to Steve Vamos, Xero CEO Planday integrates with Xero, other accounting solutions, and third-party workforce-related apps, to deliver a real-time view of staffing needs and payroll costs, alongside key business performance metrics.
Writing on a company blog Vamos said, “Planday helps to address the changing nature of work, with employers and employees increasingly adopting flexible arrangements. At the same time, employers’ compliance burden is growing, creating the need for tools to manage workforce flexibility and regulatory compliance, accurately calculating wages, which are often their biggest expense.”
Planday, which was founded in Copenhagen, Denmark, in 2004, currently serves more than 350,000 employee users across Europe and the UK. Its product is available in 14 languages, and it can be tailored for new regions.
“Planday will operate as a Xero subsidiary and continue to focus on serving small and medium businesses and enterprise customers. Following the acquisition, we will work closely with Planday to expand its presence into other markets where Xero operates, supporting Xero’s long-term growth plans,” according to Vamos.
Planday’s solution is designed to relieve business owners of one of their most time-consuming tasks: adjusting rosters and tracking employees’ time. Workers enter their availability, swap shifts and record hours through a mobile app.
“Employers and employees can stay in touch through Planday’s chat function and messages can be broadcast to an entire team. As a messaging app, Planday modernises shift work and enhances flexibility. ”
The comany also simplifies compliance. It identifies employees by pay category, logs accrued leave, calculates overtime, and generates supplemental payments – while ensuring wages are updated to reflect local regulatory compliance.
Planday and advisory
“Planday is a powerful platform when combined with Xero or other accounting and business solutions. It can deliver a real-time picture of labour costs versus key operating metrics such as revenue. This allows a business to adjust staffing levels as trading conditions fluctuate, and gives advisors greater insight into a client’s operations,” writes Vamos
It also supports advisors’ compliance needs by creating a data trail for the related bookkeeping and HR services they provide to clients.
“As always, Xero will remain committed to encouraging and supporting an open ecosystem that prioritises customer choice, allowing them to select the solutions that best suit their needs. We anticipate small businesses will play an important role as the global economy emerges from a challenging period. If we can make life better for our customers, the benefits have the potential to extend well beyond small business to their families and communities. We look forward to working with Planday on this mission today and in the years to come.”