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Product Management Root Cause Analysis Question: Investigating increased payroll processing time for Paycom's software
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Nextsprints

Updated Jan 22, 2025

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Why has the average processing time for payroll runs using Paycom's Payroll solution increased by 15 minutes in the last two weeks?

Problem Solving Data Analysis Technical Understanding HR Technology Payroll Services Enterprise Software
Performance Optimization Root Cause Analysis SaaS Data Processing Payroll Software

Introduction

The recent increase in average processing time for payroll runs using Paycom's Payroll solution by 15 minutes over the last two weeks is a critical issue that demands immediate attention. This unexpected performance degradation could significantly impact client satisfaction and operational efficiency. I'll approach this problem systematically, focusing on identifying the root cause, validating hypotheses, and developing both short-term fixes and long-term solutions.

Framework overview

This analysis follows a structured approach covering issue identification, hypothesis generation, validation, and solution development.

Step 1

Clarifying Questions (3 minutes)

  • Given the sudden increase, I'm wondering about recent system changes. Have there been any updates or modifications to the Paycom Payroll solution in the past month?

Why it matters: Recent changes could directly correlate with the performance issue. Expected answer: Yes, a minor update was rolled out three weeks ago. Impact on approach: If confirmed, I'd focus on the update's components and potential unintended consequences.

  • Considering the timing, I'm curious about seasonal factors. Are we in a period of higher than usual payroll processing volume?

Why it matters: Seasonal spikes could strain system resources. Expected answer: It's not typically a high-volume season. Impact on approach: If confirmed, I'd shift focus to system capacity and scalability issues.

  • Looking at user segments, I'm thinking this might not affect all clients equally. Have you noticed if the increase is uniform across all client types or more pronounced for specific segments?

Why it matters: Helps isolate whether the issue is systemic or related to specific use cases. Expected answer: The increase is more significant for clients with over 1000 employees. Impact on approach: If confirmed, I'd investigate factors specific to processing large payrolls.

  • Considering potential data anomalies, has there been any change in how processing time is measured or reported in the last month?

Why it matters: Ensures we're dealing with a real issue and not a measurement error. Expected answer: No changes to measurement methods. Impact on approach: If confirmed, I'd focus on actual performance issues rather than data discrepancies.

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