Boots has signed a seven-year £16m outsourcing contract with Northgate HR to supply a new payroll and human resources system.
The new system will support Boots’ 65,000 employees, with the contract also covering manpower planning and labour scheduling.
These additional two areas will be sub-contracted out by Northgate HR to Torex Retail.
Dave Vallance, Boots’ head of HR operations, said, “We had identified a need to upgrade and improve our core HR and payroll systems. We concluded that the most efficient and effective way to do this was via outsourcing.”
Northgate will use ResourceLink, its fully integrated and web-enabled HR solution, to provide the backbone to the Boots service.
ResourceLinks’s self-service functionality combines payroll and core HR systems into one single database.
Self-service will allow Boots employees to carry out some HR and payroll transactions themselves on-line, such as holiday requests.
After a period of transition, the new product will eventually replace Boots’ current HR and payroll systems, said the company.