Timekeeping has some important advantages when it comes to small and big business alike. For one, time clocks will provide all businesses with all the necessary data by which payroll can be done. The complicated calculations of figuring in the total working time of employees, while calculating days off and overtime, are no longer as time consuming, particularly with electronic time clocks.
For some businesses, however, a punch clock makes more sense. Not only are hours still recorded by the physical records provide evidence of hours worked as well as a basis to go back to for any payroll disputes.
One big advantage of a time system is the fact that overtime amounts of employees are automatically figured in and can be controlled by the recording systems. Time clocks can record not only overtime but breaks as well. Being able to account for time during the day is crucial for payroll and also helps keep employees accountable.
Knowing how long it takes on average for a task is very important for any business. As a business owner, you can calculate what you think your man-hours should be and work towards that goal. At the end of the month, you can compare expected time versus time actually spent via the time recorded on punch cards.
Better time management comes from using time clocks as well. Depending on how many projects you and your staff are working on at the same time, it is crucial to know how well you manage to divide the tasks. A time system will make you aware of how to divide your staff up just from the amount of hours they have and from the production they are showing during those hours worked.
A time and attendance system does not work for every business, however. Many employees feel controlled by their boss when the time and attendance system is introduced. This often leads to a loss of confidence and a demoralized business climate. In addition, manual punch clocks require time cards and often must be hand calculated to determine hourly wages. While web-based time clocks may be a higher upfront cost, in the long run they may provide a better option for those who don’t wish to store time cards and/or cut down on payroll calculations.
What time clock is appropriately really depends on the situation your business is in and what can be done about it. No matter what the choice is, time clocks are great for any business as they provide a way to calculate hours worked on projects and by employees without relying on self-reported numbers.