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3 Reasons to Automate Timekeeping

Posted by Allyson Edwards on Feb 21, 2018 10:11:02 AM
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Automate Timekeeping

Your people are your most valuable asset and often your largest expense. This is why investing in the right workforce management technology should be a top priority for any organization.

According to a Software Advice study, 43% of employees admitted to falsifying their timesheets, costing organizations $400 billion annually in lost productivity.[i]

In addition to time theft, a countless number HR and Payroll managers are still chasing down employees and supervisors for missing punches, approved time sheets, and accounting for shift differential and overtime pay. Once the time capture is complete, managers then have to ensure that all of the clean data ultimately finds its way into the payroll system for successful payroll runs. 

Here are the top 3 reasons why more than 88% of best-in-class organizations are ditching these outdated methods and adopting technology to automate their workforce management processes:[ii]

1. Control Labor Costs

Automating your workforce management processes can result in ongoing savings while keeping your people honest. According to the American Payroll Association (APA), overextended breaks, excessive personal time, and inaccurate clock in and clock out contribute to the average weekly theft of time of 4 hours and 5 minutes per employee per pay period.[iii]

2. Mitigate Risk

Keeping track of hours is not optional. There are numerous federal and state laws that require employers to maintain records of hours worked, wages paid, and other details as well. The Fair Labor Standards Act (FLSA) specifically requires time records to show the date and time an employee’s workweek starts, the number of hours worked each day, and the total hours worked during the week. Failing to comply with laws, can result in costly fines, penalties, and lawsuits.

3. Improve Productivity

Manually calculating timecards is a tedious, time consuming task that takes approximately 4-7 minutes per time card according to the APA. To put this in perspective, this means that a 500 employee organization with manual time cards can spend over 40 hours a week in gathering and calculating time for payroll processing. 

Modern day workforce management software that includes mobile time tracking with Geo punching capabilities is proving to be invaluable for managing today’s virtual, on-the-go workforce. Leaders are able to better connect with their people and view real-time data which can help to best understand the allocation of resources.

Furthermore, workforce management software in conjunction with a biometric hardware device that reads the unique fingerprints of an individual is one of the most effective way in which you can protect your bottom line, reputation, and keep all of your people honest and in compliance with labor laws and regulations. Your HR department is alleviated of the burdensome tasks and can focus on tackling more strategic initiatives.

All in all, the benefits of workforce management software are immense. It’s time to ditch the outdated, manual methods of timekeeping and empower your people with the tools they need to be effective. 

This blog was written by Ally Edwards, Marketing Guru at PeopleGuru. This post may not be copied or published without PeopleGuru's express written permission.

Learn More About Timekeeping Automation


[i] OsterhausMarket Research Associate, Software AdviceApril 23, 2015, Erin. “How Software Can Reduce Payroll Losses from Time Theft.” Software Advice™, 23 Apr. 2015, www.softwareadvice.com/hr/industryview/time-theft-report-2015/.

[ii] Research Brief. Aberdeen Group, June 2010, mktg.peoplefluent.com/rs/peopleclick/images/Retail-Workforce-Management.pdf?mkt_tok=3RkMMJWWfF9wsRow5%2FmYJoDpwmWGd5mht7VzDtPj1OY6hBEmJarcLUPfmtZXFYpvdeyREQ4VEJxowwc%3D.

[iii] Gilfillan, Paolo. “6 Ways Employees Manipulate Timesheets.” HR.com, 22 Feb. 2016, www.hr.com/en/magazines/workforce_management_excellence_essentials/february_2016_workforce_management/6-ways-employees-manipulate-timesheets-they-might-_ikxrn6g0.html.

Topics: HCM, Time and Labor, Workforce Management, HR

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