Managing employee attendance and timesheets is one of the biggest challenges for scaling companies and in the current remote work scenario. Employees are the crucial assets for companies, but you also need to be aware that they can cost you a fortune if their timesheets are not correctly managed.
The traditional way of tracking employee timesheets doesn’t work in this fast-moving business world. Gone are the days when companies have to spend huge time tracking their employees’ punching in and punching out time, leaves, and payroll manually. Today, organizations need to upgrade their timesheet management by adopting the best software available in the market. Wondering if companies really need timesheet management? Okay, let’s find out that.
Why Do Companies Need a Timesheet Management Software?
There are many reasons to say that manual timesheets are risky in this modern world. The below disadvantages of manual time tracking will explain why you need reliable timesheet management software.
- Paperwork and excel records are not secure, and they make administration more clumsy.
- Manual tracking methods cost more than you think. They make payroll and calculations more complicated.
- It is an unnecessary burden for your human resources team.
- Manual timesheet management can result in inaccuracies and compliance issues as they are not transparent.
- Finally, most of your competitors have already upgraded the way they manage their employee timesheets and saving huge money and time.
However, these are not the only reasons why you should have timesheet management software. Check out these top advantages of having a timesheet management system.
What are the Benefits of a Timesheet Management Software
Improved Productivity
Tracking employee attendance manually is a mundane task that can lead to payroll errors. When it comes to attendance management software, there is no room for errors. It saves enormous time and energy for your staff to concentrate on other really important works.
Employees can stay productive only for 2-3 hours; they check emails, attend calls or organize files, and take breaks in the remaining time. According to a study, time theft can cost an average of $11 billion per year. With a timesheet management system by your side, you can analyze the exact employee productivity, labor requirement or understand if you are overstaffed. A good tool gives you accurate timesheet reports and helps you make the work easier for your employees, and boost productivity.
Reduced Errors
Manual timesheets leave opportunities for significant errors such as entering incorrect login and logout time, number of leaves, buddy punching, etc. But this is not the case with a timesheet management tool. In fact, it reduces absenteeism by letting employees know the number of leaves they can avail in a month and loss of pay for late logins. The software also reduces the errors made by humans and stops unbiased actions.
Additionally, timesheets help you know what exactly your team is working on, their efficiency, productivity, and how much time they are wasting. This data enables you to understand how much it costs for your company if an employee is unproductive. A report shows unrecorded work activities cost about $7.4 billion per day.
Simple Project Management
A timesheet management software is an incredible tool for simple and efficient project management. It lets you store, organize and process employee data for employee analysis or payroll most effectively and securely.
Additionally, you can monitor how a particular employee uses their time and which modules they spend most of their time on. In short, you will get to know the strengths and areas of improvement by tracking their usage. This, in turn, helps you assign employees specific tasks or projects to make the work faster. You can also estimate real-time delays by tracking their work pace and understanding the costs of projects even before the execution.
Seamless Invoice Generation
Payroll is the most critical part of employee management, especially if manually tracked. However, with daily timesheet maintenance using trusted timesheet software, you can track billable hours easily. A timesheet management tool helps you automate payroll, analyzing the exact billable hours by tracking login and logout time and leaves. You can integrate the timesheets tool that tracks attendance, leaves including maternity leave or medical time off, into your payroll processing tool to automate payroll.
Furthermore, you can ask for confirmations regarding employee time off or leave approvals digitally from your manager. The process is more accurate and transparent.
Thus you will experience seamless and efficient invoice generation and much free time in your hands to work on other essential tasks.
Reduced compliance risks
Timesheet compliance is one of the major risks with manual tracking. As discussed earlier, the incorrect login or logout time may cause errors that can cost your company huge. A timesheet software prevents storing inaccurate and illegal employee attendance data that can lead to penalties.
The right timesheet management system keeps you in compliance with labor laws and also saves you thousands of dollars.
Keeps your employees focused
Finally, a timesheet management software keeps your employees more focused on their work. Especially during work-from-home culture, employees are likely to get distracted more than ever because of various distractions at home. The timesheet software makes them accountable. So, they tend to focus more and complete their work on time.
How to Pick the Right Timesheet Management Software?
A bad timesheet management software hurts your company’s expenses the same way manual timesheets do. So, it’s essential to choose the right timesheet system. But don’t let the number of tools available in the market confuse you. We’re here to help.
You can read more on our blog here: Things to consider when choosing a Workforce Management Solution
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