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Summary – To automate your Finance and HR processes while ensuring Swiss compliance and data sovereignty, the specification must cover general ledger, ISO 20022 reconciliations, cash management, rolling forecast budgeting, IFRS/SWISS GAAP FER reporting, certified payroll, and talent management. An API-first, modular, open-source architecture (REST/GraphQL, webhooks, SCIM, SSO/OIDC) ensures interoperability with banks, eBill, QR invoicing, and BI tools while guaranteeing LPD/GDPR security (RBAC/ABAC, encryption). Solution: formalize an operations runbook, deliverables, and export/escrow clauses for lock-in–free reversibility and controlled TCO.
Implementing an ERP for Finance & HR in Switzerland requires a precise framework to automate workflows, ensure compliance with local regulations, and retain full control over your data. Beyond a mere feature list, the specification must secure interoperability with banks, payroll, and electronic invoicing, while providing for reversibility without excessive dependence on a single software vendor.
By adopting an API-first architecture and open-source building blocks enhanced with custom developments, you optimize total cost of ownership and maintain long-term control of the system. Here are the key points to include for a robust, scalable project.
Functional Scope: ERP Finance and Accounting
The Finance module must cover general ledger, accounts payable and receivable, cash management, fixed assets, and budget forecasting. It should automate ISO 20022 bank reconciliations, streamline period-end closing, and provide full audit traceability.
General Ledger, Accounts Payable & Receivable
The foundation of any Finance ERP is an automated general ledger to centralize entries, ensure matching, and generate required financial statements. For guidance on structuring your project, see our software specification template.
Each journal entry must retain a complete history, with timestamps and clear references to source documents. Automated journal generation, inter-company consolidation, and foreign exchange variance calculations enhance the reliability of financial reports.
Configurable multi-entity, multi-currency chart of accounts is essential for Swiss SMEs and mid-sized enterprises operating internationally. A rules engine lets you handle local tax specifics and simplify periodic filings.
Example: A Swiss industrial SME automated vendor invoice approval and export to its ERP, cutting manual review time by 70%. This demonstrates how native workflow integration can improve data quality and accelerate month-end closing.
Cash Management & Bank Reconciliation
Cash management should combine forecasting with real-time bank balance monitoring. An ISO 20022 bank interface automatically imports statements, identifies discrepancies, and suggests reconciliations. For more on open finance, see our insights on open banking and open finance.
Cash forecasts consolidate incoming and outgoing flows—issued invoices, vendor due dates, payroll, advance tax payments, etc. A dedicated dashboard displays forecasted vs. actual balances, with configurable alerts on critical thresholds.
The module must also manage fixed assets, calculate depreciation according to Swiss standards, and generate adjustment entries. Full traceability of acquisitions, disposals, and revaluations ensures audit compliance.
A rules engine simplifies integration of new flows—such as automatic customer payments via eBill or QR invoices—maintaining consistency between bank and ledger balances.
Budgeting, Rolling Forecast & Reporting
The ERP should include a budgeting module for annual budgets and rolling forecasts by period. These tools enable rapid response to variances and market changes.
Financial reporting must feature interactive dashboards, key performance indicators (DSO, closing cycle time, operating margin), and budget-to-actual comparisons. Automated multi-entity consolidation should account for inter-company adjustments.
For auditability, each aggregated data point must be traceable back to its source entry, with a modification history and role-based access control. Reporting outputs in IFRS or Swiss GAAP FER complete the normative coverage.
An integrated BI reporting server or one connected via REST/GraphQL APIs facilitates data usage by third-party tools while preserving a single source of truth. Learn how to empower users with self-service BI.
Functional Scope: ERP HR Management
The HR module should manage employee records, absences, payroll, and talent management, ensuring compliance with Swiss social insurance requirements (OASI, Disability Insurance, Compensation for Loss of Earnings). The goal is to automate payroll cycles, guarantee traceability, and provide rich HR dashboards.
Employee Records, Absences & Time Tracking
Each employee has a digital file containing personal data, contracts, certifications, and HR process history (reviews, training). To learn how to define an HR project, see our Swiss HRIS specification template.
Absences and time worked are recorded via web or mobile interfaces, with automated manager approvals.
Legal and contractual leave calculations (paid leave, public holidays, time-off accrual) are configurable according to Swiss legislation and internal agreements. Alerts notify on threshold breaches or critical staffing levels.
Timesheets integrate with expense reports and projects, enabling profitability tracking by activity or client. Exports to cost accounting systems ensure budget alignment.
Example: A consulting firm deployed a time and absence module linked to payroll, halving data entry errors and boosting administrative productivity by 20%. This case illustrates how HR process automation enhances data reliability and manager satisfaction. Discover more on HR process automation.
Swiss Payroll & Social Compliance
Swiss payroll processing must cover OASI/DI/CLE, unemployment insurance, occupational pension, accident insurance, supplementary insurance, and withholding tax. The calculation engine must comply with official tables and handle cantonal specifics.
Pay slips are automatically generated as secure PDFs with detailed annexes (deductions, contributions, hours, bonuses). Data exports to social insurance funds, banks for salary transfers, and tax authorities are standardized.
A two-step approval workflow (HR manager then payroll) ensures control over sensitive changes. Annual salary certificates are produced and securely made available to employees, completing the compliance cycle.
Sickness and maternity absence management with automatic OASI/CLE benefit calculations prevents errors and streamlines quarterly filings.
Example: A Swiss manufacturing SME replaced Excel spreadsheets with an integrated payroll ERP, eliminating manual calculations and reducing social security corrections to zero. Learn more about integrated payroll ERP.
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Open ERP Architecture & Integrations
An API-first, modular architecture compliant with standards (SSO/OIDC, SCIM, webhooks) is essential to connect the ERP with banks, insurers, and BI tools. Using open-source components guarantees flexibility and prevents vendor lock-in.
REST/GraphQL APIs & ISO 20022 Interoperability
An API-first approach enables seamless integration of internal or external modules—document management systems, BI tools, or HR portals. Webhooks provide an event system for real-time workflow synchronization. For tips on how to integrate your IT systems, see our guide on integration of IT systems.
The ISO 20022 standard for banking flows, combined with eBill and QR invoice support, ensures secure, structured payment exchanges. Amounts are automatically reconciled in cash management and posted to the ledger without manual entry.
SCIM endpoints facilitate user provisioning from Active Directory or Azure AD, while SAML or OIDC handle single sign-on, ensuring a smooth, secure user experience.
Security, Swiss Data Protection & GDPR
The architecture must follow privacy-by-design principles, with encryption in transit and at rest. Audit logs ensure traceability of access and changes.
Role-based and attribute-based access control (RBAC/ABAC) restricts rights by profile, entity, or functional scope. Consent management and access rights meet Swiss Data Protection Act (DPA) and GDPR requirements.
Updates should follow a secure CI/CD pipeline with automated testing and vulnerability scans. Immutable containers and security scanners strengthen resilience.
ISO 27001 certification or hosting in a Swiss sovereign cloud ensures compliance with internal policies and Swiss regulatory obligations.
Swiss Infrastructure & Hosting
Choosing Swiss or sovereign-cloud hosting secures data residency and meets localization requirements. Kubernetes or serverless architectures must be configured for high availability.
An operational runbook documents scaling scenarios, failover procedures, and recovery processes. SLAs define availability targets (99.9%) and mean time to recovery (MTTR). For guidance on scalability, see our guide to scaling your application under peak loads.
Daily backups and a code escrow environment guarantee rapid recovery in case of major failure. Regular restore tests validate the continuity plan.
Proactive monitoring (Prometheus, Grafana) and automated alerting ensure continuous performance oversight, while load tests anticipate traffic spikes.
Data Governance & Reversibility
Ensuring ownership of data and code, including a fee-free export clause and an escrow plan, is crucial to avoid vendor lock-in. The specification must include an operational runbook and clear deliverables for each phase.
Data Ownership & Governance
The specification should state that all data and customizations remain the company’s property. Standard export formats (CSV, JSON, Parquet) ensure data openness. For a more technical framework, see our IT specification template for decision documents.
A data dictionary defines each entity, attribute, and relationship, facilitating hand-over or extension by another provider. The integration matrix documents inbound and outbound flows.
The governance policy outlines roles, responsibilities, and change-validation processes. A data committee, comprising IT leaders, business teams, and partners, steers future evolution.
Contractual Clauses & Escrow
A fee-free export clause must guarantee full delivery of source code and deliverables. Code or critical documentation escrow provides security in case of contract termination.
The contract specifies SLAs, penalties for non-compliance, and escalation procedures. It defines MTTR, support commitments, and internal team onboarding requirements. For insights into essential contractual clauses, see our guide on negotiating software contract clauses.
Contractual flexibility allows adding or removing modules without major renegotiation, supporting phased ERP ecosystem growth.
Deliverables, MVP & KPIs
The specification should provide user stories and acceptance criteria for each role (Finance, HR, Payroll). The data dictionary, integration matrix, and operational runbook complete the scope.
An MVP focused on 3–5 high-ROI use cases (bank reconciliation, payroll, tax filings) demonstrates value and allows adjustments before full deployment.
Define KPIs—DSO, closing cycle time, payroll accuracy, automation rate—up front to measure efficiency and drive continuous improvement.
Turn Your ERP Finance & HR into an Agility Engine
This ERP Finance & HR specification for Switzerland emphasizes a comprehensive scope, standardized integrations, an open architecture, and reversibility without vendor lock-in. Finance and HR modules address core needs—from accounting to talent management to certified payroll. API-first design, Swiss DPA/GDPR compliance, data sovereignty, and robust contractual clauses ensure a sustainable, scalable system.
Our experts are ready to support you in strategic framing, selecting open-source components, and implementing custom developments. Leverage our expertise to control your TCO, data, and business agility.
