HomeTechnology5 Reasons Why Online Attendance System Works Better For SMEs

5 Reasons Why Online Attendance System Works Better For SMEs

Having an efficient HR System is a lot more important in today’s high productivity and remote working environment than it ever was before. Online attendance systems along with HR software are proven to be game changers for SMEs and large businesses.

This combination helps in not only managing employee attendance but also other core HR processes along with the complicated calculations of payroll, thus transforming these organizations to compete successfully.

While all processes are important, one crucial HR process is taking attendance. When you use an attendance system online, you will see that there is no need for manually keeping records of all employees. In addition, it also helps in saving valuable time and reducing the risk of mistakes.

In addition, you will see that the leave management process will become simpler and faster. It helps employees to apply for leave online easily. The process of leave application and its acceptance or rejection takes half the time when such a system is not used.

In addition, an online attendance system with HR software comes up with rich reporting features, which help in generating detailed attendance reports and making attendance patterns and plans, which helps in making data-driven decisions impacting your organization’s productivity.

Below we are going to discuss 5 most important reasons why the online attendance system will become a game-changer for your company in any industry:

1.  Streamlined Attendance Tracking and Management

An efficient and effective HR system is exactly what businesses need today. The competition is the highest today more than ever, and this is exactly why managing human capital is gaining importance.

Among different HR processes, the online attendance system has gained a lot of attention recently. The powerful combination of an attendance system and innovative technology making online attendance possible offers numerous benefits that can transform the way your organization manages employee attendance.

Now, HR professionals do not have to manually enter attendance data. The process is now streamlined which means no more missing data. You will know how to find the updated attendance records whenever you need them.

2.  Increased accuracy and efficiency in payroll processing

When we talk about online attendance systems, the following two factors will always be helpful in managing payroll effectively:

  • Accuracy
  • Transparency

Let’s talk about manual attendance taking. This traditional method is cost-effective for small companies with less than 10 employees. This is because this number can be easily managed. But, even then many SMEs have faced inaccurate or missing attendance resulting in financial loss.

The issue with this is the unavailability of transparency which employees always ask for. Another problem is the time lost in managing the paper-based attendance which is usually causing delays in other urgent matters like revising policies, retaining top talent, and recruiting by selecting the right person for the right position.

When you use an online attendance system, such issues as discussed above are removed. Manual record-keeping may be a cheap option, but at the same time, it is not efficient. By using attendance software, you will find that the process becomes faster and better. It means you will need less time to complete the same amount of work with an even lower risk of errors.

HR software like Resourceinn includes an online attendance system where all employees can easily clock in and out electronically, either through a web portal or mobile app.

The software option automatically records attendance data. It means that the need for manual data entry is eliminated. Now, the attendance tracking process has become streamlined and attendance records are always accurate and up-to-date.

Online attendance systems may also include geolocation and facial recognition options which means more security, superior transparency, and better accuracy.

3.  Enhanced employee engagement and satisfaction

Do you know? More than 60% of employees shared that with higher transparency and automation in their everyday HR processes including attendance records, evaluations, and payroll, their engagement levels increase.

Usually, highly engaged employees end up becoming satisfied employees which indirectly means lower turnover rates.

Why is that?

The simple way to explain this point is related to attendance. Accurate attendance data is part of payroll processing. So unlike the traditional attendance tracking methods where manually adding attendance increases the risk of errors and inaccurate payroll calculations, online attendance systems eliminate the risk of inaccuracy in the payroll.

The following data are easily managed with such a system:

  • Late arrivals
  • Early departures
  • Overtime hours

This ensures consistent and fair calculations. reducing disputes and grievances related to payroll.

4.  Improved compliance with labor laws and regulations

Companies nowadays are not limited to staying inside a country. Instead, they are building their brand in multiple countries simultaneously. This means that now companies have to ensure that their HR processes are aligned with the legal rules and regulations of other countries as well.

For example, the total number of hours an employee should work must not exceed 38 hours in Australia according to their labor law. But, the number of hours is higher in Pakistan.

This will become an issue when you use traditional attendance and HR processes. On the other hand, compliance with such laws is not an issue when HR software is used to take attendance, track the number of hours worked, access employee records, and so on.

Such a system can do both of the following:

  • track and calculate overtime hours
  • ensuring compliance with maximum working hour limits
  • enforce scheduled break times and meal periods

All of the above help in preventing violations and promoting a healthy work-life balance.

5.  Integration with other HR functions and systems

Furthermore, online attendance systems often provide employees with access to their attendance records, including:

  • leave balances
  • attendance reports
  • upcoming holidays

This transparency not only empowers employees but also increases trust and engagement levels among employees.

Additionally, such systems usually allow employees to request leave online and supervisors to approve or decline requests digitally. It means the leave management becomes streamlined and both employees and their supervisors save time and effort.

These 5 benefits are achievable by SMEs and large businesses if they adopt this innovative technology; i.e. HR software. There are many HR software solution providers including Resourceinn who offer free trials or free demos so you can experience the effectiveness and efficiency firsthand. Try for yourself.

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