BIg Time Savings

Putting a stop to buddy punching saves a medical facility $40,000 in annual overtime

 

When Michigan Neurology Associates, PC used paper punch cards and outdated time clocks, pay totals did not reflect actual hours worked. It was a rush at the end of every payroll to track down any missed punches or damaged cards. The HR office relied on the memory of employees and their manual calculations when preparing payroll. 

Buddy Punching

Another worry was “buddy punching” where one employee clocked the start/end times for another employee. There were instances where employees knowingly misrepresented the hours worked. This was a serious issue that had the potential to throw departmental labor costs out of line.

The company selected Attendance on Demand and finger biometric time recorders to eliminate timecard fraud. The finger readers identify each employee using a unique digital finger template. If the finger matches a template stored in the clock’s memory, the employee is punched in.

Notes the HR manager, “The bottom line is that employees must be present to punch. This is a significant advantage over the past situation.  Buddy punching is no longer a concern, and our pay period totals more accurately reflect the hours being worked each pay period.”

More Accurate Payroll

By eliminating time cards and manual calculations, the company is confident that end of pay period totals more accurately reflect the work being done. 

Notes the manager, “I check Attendance on Demand daily for critical issues so at the end of pay period any problems have been resolved. I don’t feel the pressure to audit or rush at the end of every pay period.” 

Dramatic Savings

Attendance on Demand and the biometric finger reader time clocks provided a quick return on investment by more accurately amassing and reporting time worked and eliminating buddy punching. The medical facility easily achieved ROI in less than a year.

Concludes the HR manager, “We calculated that in the first year since installing the new system we have saved over $40,000 in overtime costs. This is a dramatic savings that come from cutting nearly 2.3 hours of overtime per employee each pay period. The system lets us pay our employees based on exact time worked. The magnitude of savings is critical to the success of our company.”