Using spreadsheets as an employee time-tracking tool may seem harmless. After all, it's not a document that multiple employees need to access. It doesn’t require collaboration. So, why is it a problem?

One big problem arises from the fact that errors are so easy to make in spreadsheets. A simple misclick can ruin the entire time-tracking spreadsheet, or produce inaccurate results. And, as mentioned below, that's just the tip of the iceberg.

"Spreadsheets and even paper-based processes are rife in many companies to track employee hours," says Jose Gaona, Vice President of Product Strategy at Replicon. “Not only can this be fraught with errors as spreadsheets weren't optimized to manage multiple staff rates, projects and tasks – but it's also not able to integrate seamlessly with payroll for quick and accurate processing. This issue is magnified as a company grows and it needs to take into account global wage and hour regulations including mandates on overtime pay and time off, as timesheets using spreadsheets have weak controls, making them more susceptible to time theft and inaccurate data entry.”

Potential problems created when you use spreadsheets as a time-tracking tool

Data errors: Spreadsheets make data errors easy to make, yet hard to catch. Do you really want to risk data errors with something as important as time tracking (which impacts payroll)?

Wasted time: Manually reviewing and managing timesheets wastes time. Just imagine how much time gets wasted manually checking timesheets and importing that data into payroll software.

Risk of noncompliance and lawsuits: Poor time tracking can lead to audit failures and a failure to comply with wage-and-hour restrictions. According to the National Employment Lawyers’ Association, there has been a 77% rise in FLSA lawsuits tied to wage-and-hour disputes since 2004.

Original Source: mrc

Get started today.
Set up a free trial based on your business needs. Start Free Trial

Do You Need a Project Management Software or a Professional Services Automation (PSA) Solution?

With the rising complexities of automation and remote working, the term "project management" has certainly come to encompass a lot of things, making it harder to find the right definition.…Read More

Global Compliance Desk – California

Changes to Wage Premium Payment Practices for Non-compliant Meal and Rest Periods The California law [California Labor Code §226.7(c)] requires employers to pay non-exempt employees an additional hour of pay…Read More

5 Steps to Proactive Resource Management for Services Firms

As a business leader, you do your best to make your service organization successful. You invest in the latest technologies, hire the best candidates, and get all the essential resources…Read More

Will AI replace consultants?

The onset of AI and smart machines automating formerly-human jobs has been discussed at length as of late -- often in relation to manufacturing and manual labor jobs. And yet,…Read More

Demystifying the millennial workforce: 5 tips from Trunk Club’s Andrew Anderson Devine

Time magazine labels the millennial generation the “most threatening and exciting generation,” infamous for “narcissism [and] its effect: entitlement.” In the workplace, the perception of the millennial workforce is no…Read More

Time and Attendance Orientation Guide

In a growing business, the day will eventually come when managing time and attendance on paper becomes both inefficient and risky, especially when trying to balance things like overtime, paid…Read More
  • Polaris
  • Time & Project Insights
  • Time & Projects Solutions
  • Replicon Products
  • Replicon Users
  • Cloud
  • Corporate
  • Professional Services Management
  • Shared Services Management
  • Time and Attendance Management
  • Customer Feature
  • Time Intelligence
  • Industry News
  • Global Compliance Updates
  • Others