Companies are only spending money where a return on investment (ROI) is clearly visible.

Tough economic conditions are around us all not only in business but also personally. There are very few who have not been affected recently with most people invested in property and shares losing value in wealth. Nearly every working Australian has been affected with superannuation funds losing in some cases up to 40% of the value of your wealth.

We are all affected and we are all thinking much more than we have in the past 20 years. Business is not spending without good cause. Investments from several thousand dollars and up are required to show a ROI or no spending will take place.

In today's tough economic times $1000 saved in spending when your company has a 5% profit equates to $20,000 in sales. As existing sales slow down and new sales are harder to come by saving $1000 in costs will mean $20,000 less in sales you need to achieve.

Automating your time and attendance (employee time collection)  is one area where there are clear ROI opportunities. If you are running a manual time collection system in your business then this is costing you money every week.

An example 50 employee company with an average wage of $35,000 has $1,750,000 of annual wages. With so many ROI calculators on the market showing so many different results we will work on a very conservative 1% saved in three areas of your business associated with manual time collection.

Saving 3% of an annual wages bill of $1,750,000 can equate to $52,500 per year.

Many companies in today's tough economic conditions that are not expected to improve for as much as 12 months will be noticing a slowing down in sales, a saving of $52,500 to your business on a 5% net profit margin is the equivalent of $1,050,000 in sales.

What do you think will be easier in 2009?

• Getting an additional $1,050,000 in sales OR
• Implementing an automated time and attendance package from $4,000 for a 50 employee company.

A manual time and attendance system could be any of the following

• Manual bundy clocks
• Manual timesheets
• A simple sign in book

How can our automated time and attendance package reduce the impact of slow sales in your business?

Lets look at 3 key areas where you could save 1% and more of your annual wages bill in each of the 3 areas. Saving 3% of an annual wages bill for 50 employees on an average wage of $35,000 totalling $1,750,000 could equate to $52,500 per year in your business.

In today's tough economic times this could equate to a $1,050,000 reduction in the required annual sales for your business. What do you think would be easier in the current market?

• Getting $1,050,000 in sales OR
• Implementing an automated time and attendance package in your business costing less than $5,000 
  

3 Key areas where savings can be made moving from a manual timesheet or manual bundy clock system in your business.

• Lost time savings
• Manual calculation
• Manual errors

Lost Time Savings.

Lost time can come from employees arriving late, leaving early and taking longer than authorised breaks. Many reports around the world indicate as much as 50 minutes per week per employee can be lost to a business this way. We will look at an example of 10 minutes per employee per week in a 50 employee business.

50 employees taking 10 minutes per week equals 500 minutes per week or 8.33 hours, multiplied by 52 weeks equals 433 hours, calculated by an average hourly rate of $16.82 per hour equals $7,286.00 per annually.

• 20 minutes per week $14,572.00
• 10 minutes per day $36,430.00
• 10 minutes per day 7 day a week business $51,002.00

Manual calculation.

Payroll staff around the country spend many hours weekly collecting, calculating, processing and then entering into payroll employee time data. a 50 Employee company could spend as little as 4 hours per week and as much as 8 hours per week collecting, calculating and processing employee time information for payroll.

What do you think?

• Are payroll staff better to spend 8 hours manually collecting calculating and processing employee time and attendance OR
• Can payroll staff help you in your business in other areas that will make further savings to the company? 

If payroll could get back 4 hours per week at a rate of $24.00 per hour this would equal $96 of productivity per week or $4992 per year.

• 8 hours productivity per week at a rate of $24.00 per hour equals $192 per week or $9984 per year.
  

Manual Errors.

Errors not only cost a company money (how many employees come to you when there is an overpayment? and how many employees come to you when there is an underpayment? It is said that for every underpayment complaint there is an overpayment that we dont here about.

The time spent sorting out under and over payments in your company directly effects productivity......would you like to be more productive in your business?

Manual errors in a manual time collection system like manual timesheets or a manual bundy card system could easily equate to 1% of your annual payroll.

To find out more or to contact us for a no pressure discussion on your situation please call 1300 664 254