Maybe you're still clinging to paper time sheets or maybe you aren't using your time and attendance data to its fullest capacity. Whatever the reason, if you aren't monitoring your time and attendance data, you're losing money and productivity. These are just a handful of ways that time and attendance data can target and eliminate excessive costs.
Time Theft
Time theft costs businesses between two and five percent of payroll costs annually. This is time lost to early clock ins and late clock outs, buddy punching and fraud. If you're still relying on a paper system, punch clock, or simply not monitoring attendance using your software, that cost can quickly add up and hurt your business. Time and attendance data can find those small instances of time theft and curb them. Managers have the data necessary to speak with employees and ensure those abuses are stopped. By simply reviewing and addressing your data, your business can save big money on time theft.
Overtime Costs
Few businesses are immune from the cost of overtime. No matter how well we schedule or how efficient the business runs, there is always more work to complete and employees who are willing to do it. Many business managers chalk those expenses up to the cost of doing business, but a time and attendance system can help quantify those numbers and help reduce them. It may be possible that a department is understaffed, in which case a review of the data will show ongoing overtime and a need for additional staff in that area. It may also be possible that employees are staying later but not accomplishing additional work, and that abuse needs to be curbed. No matter the reason, having a clear understanding of where and when overtime is occurring can help your business reduce employee workload and better the business.
Payroll Issues
Every employers' worst nightmare is underpaying an employee. Not only does it decimate employee morale, but it requires a lot of paperwork and review to fix. Often, the employee is put in a bind and the employer spends additional man hours to correct the mistake. Time and attendance data provides straightforward, clear insight into each employees' hours. Payroll doesn't need to worry about missing a punch or deciphering handwriting, and that can save hundreds of dollars in time and money down the road. Time and attendance software provides clear data on employee hours for easier payment.
Excessive Tardiness
While employers understand that emergencies happen, there are some employees who will try to exploit the system. They'll show up ten minutes late, leave a half an hour early, and call in sick at the drop of a hat. Without a clear mechanism to prevent this, employees slip into the habit of being on the clock when they feel like it, which damages company productivity and employee morale. Time and attendance data can track who's late, how often they are late, and alert managers when excessive unplanned absences have occurred. This helps set clear expectations for employees and gives managers irrefutable evidence to present to employees. If you want to curb excessive time off or tardiness, you need to examine your time and attendance data.
Time and attendance software does so much more than simply reduce the headaches associated with payroll. When used correctly, the data gathered from that software can help businesses curb unnecessary costs and identify where more help is needed to fulfill the company mission.
