Stay­ing Competitive

Stay­ing com­pet­i­tive in busi­ness today requires com­pa­nies to find new, con­trol­lable. Ways to drive rev­enues and prof­itabil­ity.  On that note, many com­pa­nies today do not real­ize that they can sig­nif­i­cantly reduce the cost of one of their great­est expenses, employee labor, thus increas­ing com­pany profitability.

The Amer­i­can Pay­roll Asso­ci­a­tion (APA) has declared numer­ous ways in which com­pa­nies are hurt­ing their prof­itabil­ity by not imple­ment­ing today’s auto­mated time­keep­ing tech­nol­ogy. Take a look, and eval­u­ate where your com­pany could save: Cal­cu­late Your Sav­ings with Auto­mated Timekeeping

» Cost 1:  Human Error

• The APA esti­mates that the rate of human error in time card prepa­ra­tion and total­ing is between 1% and 8%
  • There­fore, a con­ser­v­a­tive 2% error rate on a $12,000 pay­roll would equal $240 in erro­neous wages.

» Cost 2:  Wasted Labor Minutes

• Did you know that just 15 employ­ees receiv­ing pay for merely 4 min­utes of “wasted” time per day [untracked breaks, extended lunches, over-approximated punch times, etc.] will total 1380 min­utes [23 hours] of addi­tional pay per month?

» Cost 3:  Man­ual Time Card Totaling

• The aver­age pay­roll clerk spends 7 min­utes per time card each pay period:
  • Prepar­ing and han­dling time cards
  • Com­put­ing time card totals
  • Ver­i­fy­ing time card totals
  • Com­put­ing shift and depart­ment totals
  • Recon­struct­ing lost or dam­aged time cards
• The Cost: Prepar­ing 100 time cards will take an esti­mated 11.67 hours to com­plete.  There­fore, at an aver­age cler­i­cal wage of $15.00 per hour, time card prepa­ra­tion would cost $175.05 per pay period.

Today’s auto­mated time­keep­ing tech­nol­ogy is a valu­able resource as it is able to elim­i­nate these costs, and save you sig­nif­i­cant amounts of time.