The ROI of using time & attendance software

Time and attendance software has been around for a long time, but the return on investment (ROI) is often questioned. This blog post will look at some of the benefits of using time and attendance software to help you decide if it's worth the investment for your business. Bottom line: Yes, time and attendance software can produce a good ROI. Let's explore some of the reasons why.
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What is time and attendance software?

Time and attendance software is a workforce application designed to help businesses keep track of employee hours. Companies use this employee attendance system to track employee time for workforce planning, payroll, labour costing or billing purposes. 

The software typically includes a clock in/out system, which is used to accurately record employee hours worked. Automated systems like Humanforce are accessible via mobile phone apps or standalone kiosks in the workplace. This eliminates the need for manual data entry and reduces the chances of human error. As a result, you can be confident that your timesheets are accurate and up-to-date. 

In addition, the software makes it easy for managers to review timesheets and approve them on the go, which saves time and improves efficiency. Overall, time and attendance software is a valuable solution that can help your business to improve its bottom line.

How do automated time-tracking solutions increase ROI for your organisation?

ROI is an important consideration for any business decision, and technology investments are no exception. When it comes to automated time-tracking solutions, ROI is achieved through reduced labour costs and more efficient use of human resources. Here are some of the ways time-racking solutions can save high costs for your organisation:

Eliminating manual tasks

Many businesses still rely on manual timekeeping methods, such as paper timesheets or spreadsheets. However, this can be time-consuming and inaccurate. Time and attendance software can eliminate these manual tasks and the need to transfer data into other business systems. In turn, this saves time and money, as employees spend less time on administrative tasks and more on productive work.

Clarifying value and reducing errors

Time and attendance software can offer businesses a lot of clarity regarding the value of their employees. This is done through time and attendance job costing, which tracks how much each employee costs the company based on their hours worked. This information can be valuable when evaluating employees, as it can help to identify areas where you can save on costs.

In addition, integrated workforce management and payroll software can help reduce errors, including timekeeping errors. The software can automate many tasks associated with time tracking, such as calculating hours worked and issuing paychecks.

Improving scheduling for better workforce utilisation

Time and attendance software can improve the scheduling process for workforce utilisation. The software can track employee hours, both worked and unworked and can be used to create more efficient work schedules. 

This data can also be used to monitor job costing, ensuring that the company gets the most out of its workforce. In addition, time and attendance software can help identify absenteeism and tardiness patterns, allowing managers to take corrective action.

Providing intelligent suggestions and automatic reporting

Time and attendance software allows employees to clock in and out of their shifts and track their hours worked. This information can help generate reports, manage payroll and monitor employee productivity. 

Time and attendance software can also provide intelligent suggestions for scheduling employees and automatically generate reports on employee attendance. In turn, businesses can improve their operations by ensuring that employees are scheduled efficiently and meeting their attendance goals.

How to calculate ROI

To calculate ROI, divide the total anticipated gains to be generated from an investment by the total projected cost of the investment. The ‘expected gains’ could mean calculating net profit over a set period of time, which might include hard dollar amounts coming from increased productivity and various other financial metrics. Total costs need to consider all financial outlays involved in setting up the new software - everything from licensing fees to implementation costs and training expenses. You will get a ratio that you can use to compare different investments. For example, if you're considering two different time and attendance software programs, you would want to choose the one with the higher ROI, like Humanforce's. 

ROI can also be expressed as a percentage. To do this, multiply the ROI ratio by 100. This will give you the ROI as a percentage. ROI is valuable because it allows businesses to see how much they get back from their investments.

Risks of not automating

Tracking employee time and attendance manually is a time-consuming and error-prone process. In today's fast-paced business world, the ability to automate time-consuming tasks is essential for success. Here's what you're risking when you don't automate employee time:

  • Time theft — When time and attendance are tracked manually, it's easy for employees to change their hours. This can lead to significant losses for your business and decreased morale among honest employees.

  • Compliance issues — Staying compliant with labour laws and ensuring people are paid correctly for the hours worked is essential for any business. However, manually tracking time and attendance makes it difficult to maintain accurate records. This can lead to costly fines and penalties if the government audits you, and can result in under- or over-paying staff..

  • Poor data quality — Manual tracking methods are often inaccurate, leading to poor decision-making based on bad data. Time and attendance software, on the other hand, uses sensors and other technologies to collect accurate data that can be used to improve your business operations.

  • Productivity loss — Manually tracking employee time and attendance eats into time to do other, more productive tasks. Automating this process frees up time for managers and employees, which can be better spent on tasks that add value to your business.

  • Missed opportunities — When you don't have accurate data on employee time and attendance, you miss out on opportunities to improve worker productivity and optimise your operations. Time and attendance software provides actionable insights that can help you make data-driven decisions to improve your business.

The bottom line

Time and attendance software is accurate, compliant and productive. It gives you the data you need to make informed decisions about your business. As a result, businesses that fail to automate their time and attendance processes may find themselves at a competitive disadvantage. 

Humanforce's time and attendance software allows businesses to clock in and out in real-time and provides visibility into an employee’s whereabouts. Our software also offers flexible clocking options, so companies can decide how employees will clock in and out. And because our software is automated, companies can be confident that their employee time and attendance data is always accurate. 

In today's competitive business landscape, automation is critical to success. Don't fall behind — contact us to book a demo and invest in time and attendance software for your business today.

About Humanforce

Humanforce is a leading provider of shift-based workforce management solutions that simplify onboarding, scheduling, time and attendance, payroll, employee engagement, and communication. Customers in more than 23 countries use Humanforce to optimise costs, realise compliance confidence, empower their team, and drive growth. Humanforce was founded in Sydney in 2002, and today has offices across Australia, New Zealand, Singapore, and the UK.

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