Case Study: Kratos Defense & Security Solutions achieves compliant, automated global payroll with Mercans

Global payroll solution that complies with US Government contracting requirements

Kratos Defense & Security Solutions, a U.S. defense and security contractor with a highly sensitive workforce and operations, needed a more trustworthy and automated payroll approach. Mercans provided a managed payroll solution to replace Kratos’ in-house process while ensuring compliance with US government contracting requirements, including CAS and FAR, and integrating payroll with the company’s existing ERP and expatriate payroll processes.

Mercans implemented an online timesheet module, compliant ESS and payroll administrator consoles, and fully automated inbound and outbound payroll interfaces to streamline payroll and reporting. The result was a successful transition completed in under six months, payroll accuracy improved from 96% to 99.8%, internal payroll staff was reduced by 90%, payroll-related costs fell by more than 50%, and the payroll generation cycle dropped from 24 hours to 10 minutes.

Kratos Defense & Security Solutions