A good approach to timesheets and timekeeping is a must for any business. Poor management of timesheets can have serious repercussions including monetary loss and legal action. Maintaining an online time tracking system and offering interactive services like an easily accessible app for employees to use guarantees robust time management within a company.
Getting rid of old practices of timekeeping is a great way of keeping up to date and dropping bad habits that don't get changed because ‘it’s the waya we’ve always done it.’ By losing this mentality and incorporating modern time management systems into a business you are ensuring a more streamlined and successful company. These 3 ways show how poor time tracking procedures can have a negative impact on a company and what you need to do to update and improve!
Spreadsheets and paper timesheets can be manipulated
Using traditional methods of timekeeping is risky and increases the chance of errors both intentional and accidental. Paper timesheets and spreadsheets are particularly flawed and issues with these methods can cost a company 4% of its payroll every year. Careless attitudes on behalf of employees and management in the inputting and checking of time tracking data can result in damaging inaccuracies. There is also the possibility of employees fraudulently inputting their timesheets to increase their hours and pay. The consequences of incorrectly completed timesheets can severely affect a business. Whether intentional or accidental a business can end up overpaying employees impacting payroll and profit. Transitioning from old timekeeping methods helps a business avoid serious issues relating to timesheets. Paperless cloud systems of time management offer a more rigorous, auditable process that offers protection for both employees and the business overall.
Delays and negligence with submission
As mentioned above, the careless inputting of timesheet data can have serious implications for a business. One example of this is delayed submission of timesheets, this often has a domino effect on the payroll with issues with payment and inaccurate recording of employee time and attendance. Introducing time tracking software helps avoid problems like this, by incorporating a number of time management systems into a business you can create a streamlined and efficient staff scheduling service. This could include online systems for shift scheduling, absence and leave management and timesheets. A centralised online system for time management within a company means you are ensuring a highly accurate and efficient structure for staff. Getting rid of old methods that are prone to errors and inaccuracies is the first step to a successfully functioning time management system. Replacing them with an online software that records staff data accurately will save your company valuable time and money.
A more serious side of poor time management and timesheet recording is the potential legal repercussions as a result of either employee or management negligence. There are a number of areas this can arise a few of which have already been discussed such as, carelessness and fraudulent data entry. The consequences of this can extend beyond impacting payroll, profit and company integrity, there is also the possibility of serious legal action as a result of poor time management. In the case of the person at fault of timesheet fraud being discovered, they face the risk of dismissal, fines and in extreme cases jail time. A quick google is all it takes to see these consequences, people who have chosen to commit timesheet fraud find themselves without a job facing a heavy fine and repayment of money wrongfully claimed and in the cases of the high-rolling embezzlers they find themselves facing a number of years in prison.
Updating your company’s time management processes to integrate streamlined, interactive timesheet systems is an easy and sure-fire way to improve your business. There are so many benefits and using a cloud based system for employee time tracking is a guaranteed boost for efficiency and transparency in your company.