Do You Offer the Right HCM Solution for Your SMB Clients?

By Corey Clacher, Kronos SaaShr Marketing Specialist

With constant adjustments to complex labor law changes, a more diverse workforce, and an overall greater reliance on workplace technology, human capital management (HCM) automation is just as critical for small to mid-sized businesses (SMB’s) as it is for enterprise companies today. More and more SMB’s are transitioning from antiquated manual processes by trading their haphazard spreadsheets and endless stacks of paper timesheets for a more efficient and cost-effective alternative with HCM automation and outsourcing.

Service providers know that unnecessary manual processes cost businesses more than just time, they cost them extra money as well. Incorrect pay rates, missed punches, and meal breaks aren’t always captured correctly when they are entered at the time of work or when processing payroll. In fact, the American Payroll Association found that manual employee reporting issues cost a business $1085 on average per employee per year [1]. Times that by even 10 or 20 and these organizations could find themselves in a real deficit, which doesn’t even include fines associated with noncompliance to labor laws such as FLSA and FMLA.

As SMB’s are typically on a small business budget, hiring employees just for tasks associated with HR, payroll, and time and labor management just isn’t feasible. With no dedicated staff to handle these essential processes, SMB’s often rely on their employees to complete theForm Confusionse disjointed tasks themselves. Relying on regular staff to complete HCM processes creates a greater risk for human error, introducing issues such as duplicate data entry and accidental overpayments. It also consumes employees’ time that could be better spent on their actual job responsibilities and not back-office tasks.

For example, it takes employees 5 to 6 minutes to total and audit each manual time card with organizations experiencing anywhere from a 1% to 8% clerical error rate [2]. With the guidance of HCM solutions in combination with skilled service providers, SMB’s can focus on running a successful organization and reaching their bottom line.

With today’s game-changing cloud-based HCM technology, created specifically for the SMB market, smaller businesses can now reap the same benefits that larger enterprise businesses do with affordable HCM automation. With the right HCM solution and your expertise as a skilled service provider, you can help your SMB clients’ take charge of their back-office complexities with their ability to:

  • Data TrappingView real time visibility into employees’ hours
  • Receive auto alerts to notify managers of missed punches, absences, and late punches
  • Accurately and effectively collect employee time data through integrated flexible devices
  • Establish rounding rules for consistency in enforcing grace periods
  • Automatically send correct calculated hours to their payroll system
  • Manage exceptions and trends – early/late arrivals, absences, long or missed breaks, overtime, and missed punches
  • Receive accurate and precise employee paychecks
  • Obtain regional service and support from trained specialists

Interested in learning more about how you can service your SMB clients through a private-label solution designed with them in mind? Check out how Kronos SaaShr can help by providing you with the latest cutting-edge technology and dedicated support you need to stand out from the rest.

[1] The WFC Group, (2014) Buddy Punching: How Much Is It Costing Your Business?, Retrieved from: http://www.thewfcgroup.com/2014/01/06/buddy-punching-costs/

[2] The WFC Group

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