It’s great to see a benefit from the things we choose to spend money on. From a new kitchen knife to a mutual fund, a return on an investment feels quite gratifying. In the world of Human Resources, software tools can provide great ROI - particularly when it comes to integrated Time & Attendance software.
An integrated and automated Time & Attendance system provides measurable ROI - return on investment - due to automated processes and useful reports. Once the software is live administrators can see who is clocked in, from where, how many hours they’ve worked for the week, and who is close to reaching overtime. Let’s examine a few ways Time & Attendance software provides ROI for your business.
1. Overtime: Monitoring overtime is one of the more useful aspects of Time & Attendance software. Unplanned and unforeseen overtime payouts can be a huge payroll cost. Time & Attendance software can be utilized to monitor employees who are close to reaching overtime and send alerts to employers in order to find a suitable replacement or to send the employee home.
2. Absence: From planned vacation time to surprise sick days, employee absence makes up a large number of payroll expenses. According to a 2005 study, unscheduled absenteeism costs $3,600 per year for each hourly worker and $2,650 for each salaried employee. Regardless of the cause of absenteeism in the workplace it costs employers serious cash every year. Managing absences with a Time & Attendance software allows employers to track accrued time off accurately and make appropriate adjustments.
3. Security: With biometric time clocks and authentication devices such as fingerprint punching, Time & Attendance can control access to sensitive and restricted areas. Biometric authentication prevents “buddy punching,” where one employee agrees to punch in another employee even if they’re not at work. Plus, tying Time & Attendance to access to certain work spaces makes it easier to monitor employee entry, thereby reducing the risk of stolen company property and equipment.
Related reading: The Definitive Guide to Time & Attendance Software
4. Accuracy: All too often companies pay employees for the time they’re scheduled to work instead of the actual hours they spend working. In some cases, this policy works fine, but what if certain employees are always late? Or leave early? Maybe they take a two-hour “business” lunch? These people are time thieves and still receive payment for hours not worked. By automating the collection of time actually worked, organizations can guarantee employees are getting paid for the work they’re actually performing.
Additionally, an automated timekeeping system drastically reduces the amount of time it takes to calculate hours worked. A properly integrated Time & Attendance software can apply company policies (like overtime rates, accruals, and job title rates) to every employee and ensure accurate and timely paychecks.
5. Satisfaction: An intuitive Time & Attendance software providers greater satisfaction for both employees and supervisors. Employees can rest assured their paychecks will be accurate and on time, while supervisors and HR professionals no longer have to sort through endless paperwork and fight to read handwritten time cards.
If you think your organization could benefit from a single-source Time & Attendance solution, schedule a demo with Dominion Systems to see how quickly our software will provide tangible ROI.