In the modern workplace, employee time clocks may seem like a thing of the past, but according to the latest Labor Department data the majority of the US workforce (more than 78 million Americans or nearly 59 percent of the workforce) has to “punch in/out” each day.
This means that a multitude of businesses in the United States have a process for recording employee hours – a process that is not always as simple as it may seem. Errors in time recording can mean added costs or even result in non-compliance with labor regulations.
Thankfully, the traditional process of punching in/out for work has undergone its own digital transformation. According to a 2017 study by Quickbooks, only 10% of employees track their time with a traditional punch card. The rest? Twenty-five percent of employees use a time tracking application, 25% use paper or a spreadsheet, 14% use a touch screen or kiosk, 7% use biometrics, 7% use a point-of-sale system, and 3% text or email hours.
While punch cards and time clocks might be nearing extinction, the process is still manual or paper-based for 38 percent of employees. Even with multiple digitized options available, many companies struggle to implement a digitized timesheet process.
This problem was all too familiar to Hamra Enterprises.
Background: Hamra Enterprises
As the owner of more than 163 franchise restaurants with over 5,000 employees, Hamra Enterprises realized that they needed to automate their timesheet collection and entry process to keep up with growth and comply with new overtime regulations.
Hamra Enterprise’s legacy process required employees to fill out hardcopy timesheets and then send them to HR. The HR staff then manually added the sheets to an import file – adding up to an additional five hours of administrative time each week.
Challenge: Quickly Digitize and Automate Timesheet Process
Hamra Enterprises needed a simple and scalable solution to automate this process and comply with changes to the Fair Labor Standards Act (FLSA) that affected tax regulations for employee overtime hours.
The company had previously invested in a new payroll system, but its time and attendance module had an added $30,000 price tag and would take months to implement – placing them behind the deadline for FLSA updates.
Solution: Nintex Platform
In need of a solution that could be implemented in weeks instead of months, Hamra Enterprises turned to the Nintex Platform. They built a solution leveraging Nintex Forms and Nintex Workflows to automate the entire process.
Employees now enter their hours into a Nintex Form. Once submitted, a workflow kicks off that routes the timesheet to the appropriate manager(s) for approval. After it’s approved, the workflow automatically enters the hours into an Excel worksheet which is imported directly into the company’s payroll system.
The best part? The company’s SharePoint Administrator, Cory Ostroski, with training from Nintex Partner TekDog, built the entire process in under a week without any coding.
Leveraging the Nintex Platform also opened the possibility for non-technical users to build and deploy forms and workflows with minimal training. In fact, their first Nintex workflow was so quick and easy to implement, Hamra Enterprises has created more than 100 active workflows since deploying the automated timesheet solution.
Nintex saves Hamra Enterprise’s HR team four hours per week – adding up to 208 hours each year.
The solution eased compliance with the changes to the FLSA by reducing data input errors and ensuring that overtime hours are accurately and efficiently captured. The automated process has helped digitally transform Hamra Enterprise’s HR department.
The Price of Remaining Manual
The benefits of automating timesheet processes can add up to big savings in the long-run.
The American Payroll Association estimates that errors adding up hours can range between 1-8%. This estimate does not include the time it takes to manually collect timesheets, collect missing information, and enter the information into payroll. It begs the question: What is the cost of failing to automate your timesheet processes?
By implementing an automated solution that is intelligent, intuitive, and integrated, Hamra Enterprises successfully mitigated the cost and compliance issues associated with manual timesheet processes.
Read more about Hamra Enterprise’s Nintex solution here.