Is your construction business using paper time cards? Ever wonder if paper time cards cost your construction business money? For most construction businesses labor (and its associated burden costs), is one of the biggest costs to worry about. Let’s have a look at five big ways using paper time cards (instead of modern time clock software) are costing you.
- Overtime Again? – You probably don’t figure a lot of overtime into your bids, or else you wouldn’t win much work. How is it that unexpected overtime often seems to pop up? Fill in the blank with the excuse but it probably sounds something like this….”Waa waa waa.. (Charlie Brown’s Teacher)”. Sound familiar? Time clock software can’t stop overtime, but at least you can see it happen in real time, and some systems (hint hint) also send notifications via email when an employee starts clocking overtime.
- Productivity Wasted—How many trips to the office or job site to pick up or drop off time cards are you willing to pay for each week? I’ll bet your people are clocked in when they make these trips. How many hours per week are you willing to pay your payroll person to call the people who continually forget to bring in or fax their time cards? And the winner is…Can I choose zero? You may never get to zero, but you can save a lot of time and wasted productivity with time clock software.
- Jacked Up Job Costing—Is your job costing “all jacked up”? That’s not awesome. You mean to tell me Bill can’t remember which jobs he worked on Tuesday? Are you trying to say Jenn can’t read that time card Larry scrawled on a cocktail napkin? Heck, he wrote that super clearly with a perfectly good crayon! As contractors we’ve all probably struggled with job costing labor properly. We also know how “not awesome” and downright costly it is to spend resources capturing data that is downright useless. Capturing job names and task codes in real time forces a lot more accuracy. We’re not trying to say it’s going to be perfect (it never will be), but time clock software will get you a lot better than…the crayon on a cocktail napkin version.
- Underpaid Employees – Just kidding. This one was just to see if you are paying attention. How often do you think those hand written time cards under reporting vs. over reporting hours? No point beating this one to death, we all “get it”.
- Invoice More and Get Questioned Less – How many of us have sent out time and materials invoices and wondered how many hours of labor we missed? We’ve also all had customers question the integrity of our record keeping. Having the ability to print out reports that show exactly when and where (GPS location stamp included) employees worked goes a long way toward correct invoices that won’t get scrutiny from customers.
These five ways paper time cards cost your construction business money are some of the biggest ones we can come up with. We’d be interested to hear about any other ideas you have or ways you’ve saved money after switching from paper time cards to modern time clock software.