EXCLUSIVE: More than a quarter (28%) of respondents believe they do not have the right auto-enrolment product in place for their organisation after reaching their staging date, according to research by Benefex.
The research, which surveyed 100 employers that have already been through auto-enrolment, found that the top challenge was the internal administrative burden, cited by 79% of respondents.
The other challenges include systems integration (64%), the readiness of their chosen providers (54%), rigidity of provided processes (50%) and data processing (43%).
Matt Waller, founder and chief executive officer at Benefex (pictured), said: “We have seen a number of rush-purchasing decisions, where organisations have either sought to go for the cheapest option or have not taken into account the significant administrative and processing burden auto-enrolment can create.
“We expected a number of organisations to look at alternative options as the market developed, but we have been astounded by the results of our survey.
“It seems that there will be significant demand from second-time buyers earlier than we expected. It would appear that the old adage of ‘buy cheap, buy twice’ is very relevant in the auto-enrolment market.”
Auto-enrolment is like a Formula 1 car, if you look at one parked next to another you would have no idea which will actually perform best when you get them out on the track.
More often than not the ones that consistently perform are the ones built by manufacturers who have been in the industry for a long time and understand the nuances and complexity of designing something that is fit for purpose. Auto-enrolment is no different, make sure you get something built by an expert with a well-defined pedigree.