IDville Blog | Top 10 Signs Your Time and Attendance System is Obsolete

Top 10 Signs Your Time and Attendance System is Obsolete

by todd 18. August 2011 08:55
todd

In the past decade, time and attendance technology has advanced rapidly. As we know all too well, if you can’t keep up with the latest technology you may soon find yourself with an obsolete system that increases your costs and lowers workforce productivity. The following ten signs will help you spot areas where your time and attendance system may be failing your organization.

1.YOU HAVE NO VISIBILITY TO MANAGE YOUR WORKFORCE ACROSS MULTIPLE LOCATIONS.
Different buildings should not equal different time and attendance systems. A retail company with seven different locations was utilizing outdated time and attendance software, requiring  separate software installation at each location. Without a central database for all of their employees, information management was unable to get accurate company-wide time tracking reports and managing leave requests was an error-prone manual process. The resulting management nightmare hindered decision making, and lowered overall workforce productivity.

If you have multiple locations, or may add new locations in the future, there are time and attendance solutions capable of providing complete and immediate visibility to your workforce. Using one system that works at each of your locations is less cumbersome, generally less expensive and ultimately leads to an improved analysis of your workforce.

2.YOUR EMPLOYEES HAVE TO CONTACT HR TO FIND OUT THE STATUS OF THEIR LEAVE REQUEST AND BENEFIT ACCRUALS.
Basic time and attendance software that only manages hours worked will not have the functionality necessary to automate leave requests or track benefit accruals. Providing employees with access to their own benefit accruals information eliminates the calls and questions to HR about earned vacation time. The additional time consuming process of sending, approving, and storing leave request forms is also automated by advanced time and attendance systems. In fact, some software is capable of email notification to all appropriate personnel of the leave request, such as the supervisor or HR manager.

Update Your Time and Attendance System
If your time and attendance system looks like this, it's time for an upgrade!

3. SOME OF YOUR MORE COMPLEX PAY RULES ARE CALCULATED BY HAND.
If you have a time and attendance system in place, the last thing you should be doing is pulling out your calculator to enter in a complicated pay rule. Lower end time and attendance systems have very little flexibility regarding pay rules, which is why their costs can be enticingly low. Time and attendance systems should be able to handle most, if not all, of your complex pay rules.

Ideally, the implementation team of your time and attendance provider will set up your complex pay rules for you in addition to having customizable settings so you can make changes on your own in the future. Once the pay rules are set up in the system, you will have reduced the time it takes to run payroll with the added benefit of increased accuracy and fairness throughout the company.

4. YOUR SYSTEM MAKES IT DIFFICULT FOR EMPLOYEES TO RECORD THEIR TIME, LEAVING GAPS AND CAUSING MORE HEADACHES FOR YOUR TEAM.
If your employees are failing to record their time with your current time tracking system, you may want to think twice before admonishing them. American TV, a retail store with multiple locations in the Midwest, felt that their time and attendance system may be to blame instead. They were right. With only one or two time clocks at each location, employees were never close enough to a clock to make recording their time simple and efficient. As a result, large amounts of missing punches on their time cards led to an increased workload for HR and eliminated the benefits of accuracy with their time system.

American TV searched for a superior time and attendance system capable of resolving the issue of missing punches and improving accuracy and efficiency. By selecting a system that utilized an XML API, a technology that aids with integration, American TV was able to set up each of their point-of-sale terminals as a time clock that automatically records the time of the employee working at that station. As a result, employees could quickly record their time and attendance tracking accuracy was greatly improved.

5. YOUR TIME AND ATTENDANCE RECORDS ARE NOT BEING STORED CORRECTLY, LEAVING YOU OPEN TO COSTLY LAWSUITS.
FLSA class action lawsuits outnumber all other employment lawsuits combined. Employers can face stiff penalties for non-compliance such as liquidated damages, millions of dollars in back pay, attorneys fees and government fines. Some of the most common and costly mistakes include unpaid work, failure to abide by both state and federal regulations, employees classified incorrectly and keeping poor records. In most courts, if the employer has kept poor records and there is a dispute regarding hours worked by the employee, the employee wins. An automated time and attendance system should provide detailed reports and store historical data for all employees for at least three years. Additionally, the time tracking system shows no bias toward employees, which means all of your pay rules are applied fairly across your entire workforce. Some time accounting programs are also capable of aiding with FMLA tracking, which can be difficult and may lead to lawsuits if not handled properly.

Read the rest of "Top 10 Signs Your Time and Attendance System is Obsolete"  on IDville.com.

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Todd is an identification expert at IDville with over seven years ID Maker experience. Around IDville, Todd is known for his excessive coffee drinking, beautiful daughters, and impressive ping pong skills. 

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