The High Costs of Inefficiently Tracking Time – More Expensive Than You Think
We reached out to our friends at Get App to run a survey; we wanted to know how much time the typical business owner or HR manager spent just on time collecting per pay period. Not payroll or HR related duties, just getting the time from the employee to the employer. The results are in as Get App surveyed 100 businesses and found that just about 75% of businesses spend up to 16 hours a month on just collecting time. That’s 2 days a month. To us here at Buddy Punch that rings true to what our business is all about, helping businesses save time (and be more accurate) when collecting time from employees.
Below are the results from their study. Some businesses (14% of them) even hired full or part time people just to deal with collecting time. I can only imagine what percentage of these businesses rely on paper, fax machines, scanning time cards, or Excel spreadsheets for tracking their time and all of the communication that has to happen to coordinate all of that. Like 14% of businesses said, it can be a job in itself!
I know change can be difficult, especially for an established business, but I urge all busieness owners or managers out there to take a look at how much time and effort goes into just tracking when your employees are working. It shouldn’t be so time consuming and it doesn’t have to be expensive either. Let the results speak for themselves:
Key research findings:
- 74% of businesses asked spend up-to eight hours tracking employee time every 14 days
- 12% of the panel of businesses asked spend between nine and 48 hours tracking employee time
- 14% have opted to employ either a part-time or a full-time employee to take care of employee time tracking
More details about the research:
Answers to the question: “How much time do you spend every 14 days tracking, tabulating, and computing your employees’ time?”
#1: 1 – 3 hours (53%)
#2: 4 – 8 hours (21%)
#3: 9-15 hours (9%)
#4: We employ a part-time person to do it (9%)
#5: We employ a full-time person to do it (5%)
#6: 16 – 24 hours (2%)
#7: 24 – 48 hours (1%)
Demographics: 100 US-based respondents from a panel of small businesses who pay their employees by the hour. Respondents are aged between 25 and 54 and have an average inferred annual income of $50k – $150k.