1. Customer Information
Industry: Food sector
Locations: Branches across all 63 provinces of Vietnam
2. Current Situation
Before seeking IVS’s solution, the company faced many difficulties in managing employee working hours. The current timekeeping system was manual, using Excel sheets. Specifically, employees at stores and agencies had to fill in their own timekeeping information and submit it to the HR department at the headquarters. This process was time-consuming and caused many challenges in data aggregation and payroll calculation.
Timekeeping reports were often submitted late, preventing the HR department from updating timely and accurate information. Employees usually submitted data at the end of the month or even later, complicating data processing and increasing the likelihood of errors. Additionally, the company struggled to control employee schedules, as there was no tool to track and ensure that employees were working at the correct times and locations.
Furthermore, payroll calculations using Excel became a significant weakness of the current system. Due to inconsistent and error-prone data updates from stores, payroll calculations were often inaccurate, affecting employees’ rights and damaging the company’s reputation. These errors took time to correct, causing employees to worry about their benefits.
3. Challenges
The company faced several major challenges in HR management, specifically in timekeeping and payroll:
- Delayed and inconsistent timekeeping data: Since employees at stores and agencies across various regions manually recorded and submitted timekeeping data to the headquarters, the process was often delayed and lacked accuracy.
- Lack of precise time tracking tools: Without an automated timekeeping system, the company had difficulty accurately tracking employees’ working hours, potentially affecting work performance.
- Errors in payroll calculation: Due to the use of Excel for payroll, data entry errors and mistakes in processing were inevitable, directly impacting employees’ benefits.
- Difficulty managing leave, business trips, and overtime: Employees had to submit leave, business trip, and overtime requests manually, complicating HR’s ability to manage these requests efficiently, especially with the company’s scattered branches and large workforce.
4. Proposed Solution
To resolve these challenges, IVS proposed a comprehensive solution with the IHRM automated timekeeping and payroll management software. This system synchronizes real-time data from stores and agencies to the headquarters. The solution includes the following elements:
- Installing timekeeping devices at all stores and agencies: Timekeeping devices, either fingerprint or magnetic card-based, were installed at all locations nationwide. When employees clock in, the data is automatically synchronized and sent to the data center.
- IHRM HR management system with timekeeping and payroll features: Timekeeping data from stores is automatically and continuously sent to the central system at the headquarters. HR staff at the headquarters only need a few simple steps to compile and manage the timesheets of all employees nationwide, without waiting for data from the stores as before.
- Workflow system for online leave, business trip, and OT registration: IVS also developed a workflow system that allows employees to submit leave, business trip, and overtime requests online through an app or software, streamlining the process. Managers can approve requests remotely without being in the office.
- Automated and accurate payroll calculation: The system automatically compiles timekeeping data from stores and combines it with employee leave, business trip, and overtime information to calculate salaries accurately. HR staff can generate payroll with just a few clicks.
- Payroll information sent via email: Instead of printing payslips, payroll information is sent directly to employees’ personal emails, saving printing costs and ensuring that each employee receives their salary information quickly and accurately.
5. Results Achieved
After implementing IVS’s timekeeping and payroll solution, the company saw many positive results:
- Improved accuracy and synchronization in timekeeping management: Thanks to the automated timekeeping system and data synchronization, the HR department can accurately track employee working hours at stores, without worrying about late or inaccurate data.
- Accurate and timely payroll: The automated payroll process eliminated previous errors from Excel calculations. Employees now trust that their pay is calculated accurately and that they receive timely payroll information.
- Time and cost savings in management: HR management became more straightforward thanks to data synchronization and automated processes. HR staff at the headquarters only need simple steps to manage employees and process payroll instead of handling each piece of data manually.
- Efficient leave and business trip management: The workflow system simplified the process of submitting and approving leave, business trips, or overtime requests, replacing the previous cumbersome manual process. Managers can approve requests online from anywhere at any time.
- Printing cost savings: Sending payroll information via email saved the company significant printing costs while ensuring confidentiality for each employee’s salary information.
6. Conclusion
IVS’s comprehensive timekeeping and payroll management solution brought transformative changes to the food manufacturing company. By deploying a solution tailored to the company’s needs, they resolved the timekeeping and payroll issues they had been facing. The company no longer suffers from errors in timekeeping or payroll, improving HR management efficiency and strengthening employee loyalty.
