The GIGO (Garbage In, Garbage Out) effect

The GIGO (Garbage In, Garbage Out) effect is the concept used to describe the idea that the quality of output produced is directly related to the quality of input provided to it. In other words, if you provide incorrect or incomplete input, you can expect to get incorrect or incomplete output.?

The implications of the GIGO effect can be significant, particularly in critical areas such as payroll and payments, where outcomes based on faulty data can have serious consequences to both the employee and the employer.?

The GIGO effect highlights the importance of payroll data quality in producing accurate and useful outcomes. If the payroll data is inaccurate, incomplete, or irrelevant, then any output generated from that data will also be inaccurate, incomplete, or irrelevant.?

To avoid the GIGO effect, it is essential to maintain reliable data sources, ensure data accuracy through verification and validation, and clean and pre-process data to remove any errors or inconsistencies.?

This can be achieved through various means, including data cleansing, peer review, standardisation and audit.?

The GIGO effect highlights the importance of payroll data quality and serves as a reminder to always validate and verify payroll inputs before using them in decision-making processes.?

Poor validity, accuracy, consistency, integrity, timeliness, and completeness EQUAL missed opportunities, misanalysis, increased finances, reputational damage, reduced efficiencies, and disengaged employees.?

Treat your payroll as the strategic asset that it is, and it will pay you dividends in the form of control, better cost management, insights, and focus.?