\\\ Manufacturing \\\ Opinion Though
Measuring and managing
time & attendance
in a downturn
There’s never been a better time to control
costs with time & attendance systems –
and with minimal capital outlay, writes
Mike Hawkesford, managing director of
Crown Computing.
Mike Hawkesford: SaaS is becoming
attractive to companies in order to
reduce the costs of purchasing a
critical IT system.
t is safe to say that the first quarter of but after time the solutions become part of
I
2009 has been one of the toughest on the management regime and it becomes
record for businesses; a steady stream of more difficult to identify and correct
bad news – redundancies, profit warnings efficiency issues. The result is higher unit Working practices are improved and more
and general cost cutting exercises in an costs during slack periods, a decrease in easily controlled if management is empowered
attempt to counteract the effects of a struggling the quality of output and skills not being with the information to implement cost
economy. Managers are analysing their available when required. controls and rearrange patterns of working
businesses from every angle in an attempt to become increasingly efficient in line with
to identify where they can be leaner, more the environment in which the business is
productive and ultimately remain profitable.
Measuring and managing
operating. A reduction in absenteeism alone
can have a huge effect on the bottom line
The reality is that few companies run on an Ineffective ways of working can be easily since casual labour to cover periods of
even keel even during times of economic disguised within a business unless there is a absence could be reduced as a result –
stability – there are slack periods and periods way to measure employee time & attendance saving costs. In reality, it only takes a
of frantic activity, but those peaks and (T&A); it’s much easier for problems to relatively small reduction in those costs –
troughs in activity can cause organisations remain undetected and to be hidden from between 2 and 4 per cent – to see an impact
to incur costs that may be eradicated if management’s view if there isn’t a system for to the bottom line, and there are often some
managed better. When the economy begins measuring the workforce’s time against a key areas where the implementation of a T&A
to struggle, managers start looking at where plan. In short, if you can’t measure it you system can have an almost instant effect.
they can use their workforce more efficiently; can’t manage it, and if you can’t manage it
seeking to get the best out of their employees. then generally speaking it will probably end The use of weekly reports to detail unqualified
The peaks or more likely at present, the up costing more than it should. A T&A hours, absence details, manual clocking
troughs can last for months or even years system will clearly measure employee time adjustments, overtime to be paid, and
during which time the output requirements and analyse efficiencies or inefficiencies in holiday entitlements is vital for effective
of the business are reduced significantly the business. Furthermore, the system has staff management. Although the T&A system
from the average ‘normal’ conditions. the ability to take into account holiday does a simple job – calculating pay,
entitlements, manage absenteeism and even managing absence and, for some companies,
Managements’ traditional solutions to these take into account events that are difficult to monitoring the Working Time Directive –
fluctuations usually involve the use of overtime, plan for, such as maternity leave. It will help it is vital for effective staff management.
productivity incentives, part-time workers to reduce the burden of people management Employees become more self-reliant
and temporary staff or even redundancies, while driving down costs. when clocking time, booking holidays or >>
18
MANUFACTURING
&LOGISTICSIT March 2009
www.logisticsit.com
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