This is part of the Case Studies in Technology advertising supplement.
Parksite Inc. markets branded and specialty materials to homebuilders, architects, commercial and government project managers, as well as big-box retailers, lumberyards and other retail businesses. The company has customers in every state east of the Mississippi River (plus Colorado). It also employs about 400 workers, including sales force members who mostly work from home.
For Parksite, managing through growth and downturns had put the spotlight on finding ways to improve all areas of the business -- including HR administration.
"Over a two-year period, we had grown revenue about 34 percent per year and increased employee headcount by 40 percent," says Parksite's director of HR, Dick Hill. "However, payroll and payroll-tax issues increased as our territories grew. Our benefits administration had separate databases for each benefits program. Additionally, 'silos' emerged as functions turned inward to help maximize their efficiency."
Hill adds, "When lending and credit contracted and there was a downturn in the housing market, we had to cut costs, conduct a reduction in force, and bring staffing to a level that really put a big emphasis on productivity. We needed business processes that were automated, integrated and lean, enabling fewer staff to do more. We saw what we had to get done -- and we turned to ADP."
Automation with Integration
"We brought them in for a sound, accurate and consistent payroll solution, and to interface payroll with our company's accounting system through ADP's GL Interface," says Hill. "ADP also handles our payroll-tax filing with its very complex state 'worked-in' and state 'lived-in' configurations. Our tax filing is a little more difficult than most others because we have a widely dispersed sales force."
Rounding out the comprehensive suite of ADP solutions that Parksite relies on are candidate-screening and selection services, electronic time-and-labor management, and ADP's hosted, Web-based service -- HR/Benefits Solution -- that enables Parksite to manage HR and benefits information through a centralized database. HR/Benefits and its online recruiting module took over the function of a previous online service. Hill says ADP's solution -- which seamlessly interfaces with payroll -- has enabled a giant step in HR productivity.
"The recruiting module provides a single point of entry for all potential employees," he notes. "It delivers candidate information to our managers in remote locations, tracks the interview and hiring process, and provides information that becomes the foundation for hiring, enrollment and the HRIS database for the entire company. HR/Benefits provides us with an enrollment platform to bring employees into the company, enroll them in our benefits programs, and transmit policies and procedures to everyone with great ease and efficiency online," he adds.
Scalability Put to the Test
Hill is also impressed with how ADP's centralized HR solution handles changes in headcount. "ADP's HR/Benefits was put to the test when, as a cost-saving measure, we took our warehouse and driver function in-house. That meant ramping up quickly to hire 200 hourly employees for 10 separate warehouse locations. We're talking interviews, screening and selection, hiring and enrollment in benefits programs," recalls Hill. "This was a huge challenge, but HR/Benefits helped us to meet our deadlines and management's expectations. ADP's products and services have worked for us when [adding or reducing headcount]. We didn't have to reinvent them because our conditions had changed."
Evaluating the Investment
Tapping the resources in ADP's one-stop HR shop has been a good strategic investment for Parksite. "In so many ways, ADP helped to greatly increase efficiency in all our HR functions -- recruiting, enrollment, payroll, benefits administration, performance management and training," says Hill. "With ADP's solutions, our HR department deals with very little paper -- primarily the documents you are required to keep on file. Our company has been through a lot over the past few years and ADP has been with us every step of the way with solutions we could always rely on."
Organization: Parksite Inc.
Headquarters: Batavia, Ill.
Primary Business: One of the leading building-product distributors in the United States, it serves customers in all states east of the Mississippi River, plus Colorado.
HR Challenge: Needed to engage solutions that would enable the company to recruit, select, hire and manage headcount in economic downturns and recoveries.