Managing Labor Expenses
Labor is typically one of the largest financial expenditures that a business incurs, but it can be highly manageable if the right tools are in place. Finding these tools is not always easy, but a thorough evaluation of existing labor expense management methods can be beneficial to a company’s search for a better approach.
Even while proactively monitoring and regulating labor costs to drive business productivity and profit, employers can easily overlook and bypass the most cost-effective and efficient expense management resources. This brings about a significant disadvantage in today’s economy, as businesses are being challenged to actively reduce expenses without decreasing operational efficiency.
Fortunately, a growing number of companies are successfully confronting modern economic challenges and they continue to offer guidance based on their own practices. Common amongst these various propositions is a resource that is both cost-efficient and effective, with the added benefit of a quick turnaround: Automated time and attendance.
What is Automated Time and Attendance?
Automated time and attendance solutions employ powerful software applications that support proactive labor expense management and increase efficiency through accuracy, flexibility, and streamlined processes. The ramifications of using deficient time and attendance procedures are easily apparent, yet the actual definition of the term “time and attendance” remains somewhat of a mystery to many employers. This can impede the process of evaluating existing management methods and identifying areas in need of improvement.
In short, “time and attendance” refers to the information and processes associated with capturing employee work hours (e.g. start/stop times, locations, etc.). Outdated time and attendance systems rely on time-consuming processes involving paper-based timecards and manual data calculations. However, modern automated time and attendance solutions incorporate electronic procedures that extend beyond basic timekeeping tasks by offering a wide range of tools that automatically capture, calculate, and process pertinent information.
Many automated solutions support time tracking, pay rule customization, job costing, scheduling, and many other tools that allow employers to manage labor expenses by optimizing resources and reducing unnecessary overtime. The most advanced solutions also provide seamless integration with payroll applications, as well as robust features that allow employers to easily maintain compliance with labor laws and regulations. These tools ensure timely and accurate payment while effectively preventing costly lawsuits.
Additionally, the automation of time and attendance procedures has advanced the workforce management domain by eliminating tedious manual tasks involved in management, payroll, and human resources processes. This significantly reduces the amount of time required to complete daily tasks and also decreases the risk of human error, furthering the overall cost-effectiveness and efficiency of an automated time and attendance solution.
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