In a tough economy, see a real return by improving workforce management
From the January/February 2009 issue of Ceridian Connection
In this unprecedented economic downturn, all organizational spending will be subject to extraordinary scrutiny. However, Robert E. Farina, chief executive officer of CyberShift, Inc., Ceridian's partner in cutting-edge workforce management solutions, states that time and attendance solutions are still being implemented in this difficult macro-economic environment -- even with the increased scrutiny that new project initiatives are receiving.
According to Farina, "In most organizations, the workforce constitutes 35-70 percent of costs. How employees are deployed and how their time is managed directly impacts profitability and customer satisfaction. Because time and attendance solutions fundamentally improve the effectiveness of scheduling and managing people, they can help an organization reduce labor costs. With business executives understanding the significant ROI and short payback time frames associated with the implementation of a state-of-the-art time and attendance system, the solution is among the last to be cut when an organization hits a downturn."
Fully automated time and attendance produces the best business results
"We often see a company using automation only for hourly employees," Farina says, "or using a mixture of manual and semiautomated approaches for time management. This approach only partially reaps the benefits of an automated solution. Many companies, particularly midsized organizations, are taking strong action to include all employees in their time management process, including exempt employees and contractors, as well as establishing a single system for all parts of the business. In that way, organizations reap the most comprehensive benefits from a fully automated solution."
"Far-reaching impact" for midsized business
The benefits of automated time and attendance solutions are well documented. In a recent survey on employee time entry management by the American Payroll Association (APA), the maintenance of accurate time, attendance and payroll records remain top priorities for most companies. Nearly 20 percent of those surveyed said they experienced errors in a typical payroll cycle (citing human errors as the leading cause followed by other payroll miscues such as lost or missing time sheets and payroll data) and that 1 to 5 percent of paychecks contained errors. The automation of workforce management better aligns time and attendance with other key functions such as payroll, business rules, regulatory drivers and customer satisfaction initiatives. This means companies can realize tangible cost savings, increased accuracy of payroll and decision-making and improved employee morale, right from the start.
"Much research has been done over the years," Farina says, "and the research reveals that going from a semiautomated or manual process to a fully automated time and attendance system results in major hard dollar savings. This is due to a combination of reductions in payroll error rates, improved employee scheduling and reduced administrative costs. Time and attendance solutions are not just for the blue-collar hourly wage earner. We have seen a significant increase in demand for solutions for white-collar employee populations as business leaders consider the impact of absence management and staff productivity for their entire workforce. Automated solutions help them get a handle on -- and better manage -- sick time, leave time and unproductive time."
Support for the federal Fair Labor Standards Act (FLSA) has become an important issue for companies of all sizes, and complete automation of time and attendance supports strong compliance. Farina says, "The best automated solutions answer the questions that businesses are asking: 'Are we sure that we have calculated employee time correctly in all areas? When an employee is on leave, are we overpaying them? Are we underpaying them? Are we in compliance with relevant laws?' The potential for business value is substantial. Automated time and attendance strategies provide far-reaching impact for midsized business."
From the shop floor to the global enterprise
Because an automated time and attendance system affects virtually every employee in the organization, Farina recognizes its unique ability to benefit business on both a micro and macro level. "In most industries," he says, "the number one variable is cost and the most important asset is people! To the degree you make your investment in people more effective and cost controlled, there can be a huge impact on your business."
When it comes to globalization, Farina understands that the impetus to implement time and attendance solutions is centered in the desire to standardize. "Mergers and acquisitions are part of life," he says. "Globalization of the workforce is here to stay. And all this results in fragmented administration and adherence to policies. This is why a strong Web-based solution that goes across industries is a great platform to produce a single standard for rules in a consolidating enterprise. When two or three businesses come together, automation of time and attendance has a significant impact on standardization of corporate policies. After all, a standard repository of data and good Web tools can make all the difference when business success depends upon quick, effective integration. In global workforce management, business leaders discover that while different work practices around the world have more in common than they are different, being able to react to local attitudes and compliance issues is critical to success."
Time and attendance solutions deliver value at the micro level as well. Farina sees a growing trend to use time and attendance data to analyze workforce deployment. "The correct use of data can make a real difference for companies that want to compete and succeed," he says. "Even on the shop floor, you might have people coming in for short shifts, and the best time and attendance technologies allow management to use data to make better business decisions in real time. If you need to bring someone in from a day off to fill that shift, should you bring in someone who wouldn't require overtime pay for the shift versus someone who would? Schedule analysis delivers better scheduling and more cost savings. Automated time and attendance can provide the information you need to make the best decisions for your organization."
Farina concludes, "As we look forward into 2009, we're anticipating that organizations will continue to look for ways to reduce costs, increase productivity, and maximize efficiencies, we expect continued interest in automated time and attendance solutions."
In this unprecedented economic downturn, all organizational spending will be subject to extraordinary scrutiny. However, Robert E. Farina, chief executive officer of CyberShift, Inc., Ceridian's partner in cutting-edge workforce management solutions, states that time and attendance solutions are still being implemented in this difficult macro-economic environment -- even with the increased scrutiny that new project initiatives are receiving.
According to Farina, "In most organizations, the workforce constitutes 35-70 percent of costs. How employees are deployed and how their time is managed directly impacts profitability and customer satisfaction. Because time and attendance solutions fundamentally improve the effectiveness of scheduling and managing people, they can help an organization reduce labor costs. With business executives understanding the significant ROI and short payback time frames associated with the implementation of a state-of-the-art time and attendance system, the solution is among the last to be cut when an organization hits a downturn."
Fully automated time and attendance produces the best business results
"We often see a company using automation only for hourly employees," Farina says, "or using a mixture of manual and semiautomated approaches for time management. This approach only partially reaps the benefits of an automated solution. Many companies, particularly midsized organizations, are taking strong action to include all employees in their time management process, including exempt employees and contractors, as well as establishing a single system for all parts of the business. In that way, organizations reap the most comprehensive benefits from a fully automated solution."
"Far-reaching impact" for midsized business
The benefits of automated time and attendance solutions are well documented. In a recent survey on employee time entry management by the American Payroll Association (APA), the maintenance of accurate time, attendance and payroll records remain top priorities for most companies. Nearly 20 percent of those surveyed said they experienced errors in a typical payroll cycle (citing human errors as the leading cause followed by other payroll miscues such as lost or missing time sheets and payroll data) and that 1 to 5 percent of paychecks contained errors. The automation of workforce management better aligns time and attendance with other key functions such as payroll, business rules, regulatory drivers and customer satisfaction initiatives. This means companies can realize tangible cost savings, increased accuracy of payroll and decision-making and improved employee morale, right from the start.
"Much research has been done over the years," Farina says, "and the research reveals that going from a semiautomated or manual process to a fully automated time and attendance system results in major hard dollar savings. This is due to a combination of reductions in payroll error rates, improved employee scheduling and reduced administrative costs. Time and attendance solutions are not just for the blue-collar hourly wage earner. We have seen a significant increase in demand for solutions for white-collar employee populations as business leaders consider the impact of absence management and staff productivity for their entire workforce. Automated solutions help them get a handle on -- and better manage -- sick time, leave time and unproductive time."
Support for the federal Fair Labor Standards Act (FLSA) has become an important issue for companies of all sizes, and complete automation of time and attendance supports strong compliance. Farina says, "The best automated solutions answer the questions that businesses are asking: 'Are we sure that we have calculated employee time correctly in all areas? When an employee is on leave, are we overpaying them? Are we underpaying them? Are we in compliance with relevant laws?' The potential for business value is substantial. Automated time and attendance strategies provide far-reaching impact for midsized business."
From the shop floor to the global enterprise
Because an automated time and attendance system affects virtually every employee in the organization, Farina recognizes its unique ability to benefit business on both a micro and macro level. "In most industries," he says, "the number one variable is cost and the most important asset is people! To the degree you make your investment in people more effective and cost controlled, there can be a huge impact on your business."
When it comes to globalization, Farina understands that the impetus to implement time and attendance solutions is centered in the desire to standardize. "Mergers and acquisitions are part of life," he says. "Globalization of the workforce is here to stay. And all this results in fragmented administration and adherence to policies. This is why a strong Web-based solution that goes across industries is a great platform to produce a single standard for rules in a consolidating enterprise. When two or three businesses come together, automation of time and attendance has a significant impact on standardization of corporate policies. After all, a standard repository of data and good Web tools can make all the difference when business success depends upon quick, effective integration. In global workforce management, business leaders discover that while different work practices around the world have more in common than they are different, being able to react to local attitudes and compliance issues is critical to success."
Time and attendance solutions deliver value at the micro level as well. Farina sees a growing trend to use time and attendance data to analyze workforce deployment. "The correct use of data can make a real difference for companies that want to compete and succeed," he says. "Even on the shop floor, you might have people coming in for short shifts, and the best time and attendance technologies allow management to use data to make better business decisions in real time. If you need to bring someone in from a day off to fill that shift, should you bring in someone who wouldn't require overtime pay for the shift versus someone who would? Schedule analysis delivers better scheduling and more cost savings. Automated time and attendance can provide the information you need to make the best decisions for your organization."
Farina concludes, "As we look forward into 2009, we're anticipating that organizations will continue to look for ways to reduce costs, increase productivity, and maximize efficiencies, we expect continued interest in automated time and attendance solutions."
