What’s Holding Back the Attendance Management System Industry?

Attendance Management System Industry have been effectively utilizing several digital attendance management systems for over a decade now. Time and attendance management systems industry has maintained an average annual growth rate of around 4.5% from $1340 million in 2014 to $1650 million in 2019. This market is further expected to be worth $2480 million by the year 2024.

Although, the growth rate has been stable and future estimates look promising, this industry is facing some core problems at the implementation and acceptance level. Organizations and the employees are struggling with some fundamental obstructions with improving their attendance management systems and this in turn is affecting the overall industry.

Below are the top 5 problems faced by companies when it comes to dealing with the attendance management systems. These problems need to be identified, strategically worked upon and appropriate implementation should be processed.

• Lack of planning:

All employers are aware that implementing a modern attendance management system not only solves the problem of employees missing work, but also help with tracking their hours, time preferences, pay rates and eventually increase overall workplace productivity. The industry still faces the problem of inadequate planning with the implementation of attendance systems. The initial step is to identify if an absenteeism problem exists in the company. With this evidential data, a plan needs to be formulated to understand the exact features required from an Attendance Management product.

• Lack of policies:

This problem is widespread especially among the small and medium business segment. There is either no Attendance Management system in place or even if it exists, it is an outdated one. This is further paired with frequent change in attendance decisions, leading to inconsistencies and complete chaos amongst employees. If your employees are not used to following an effective attendance management system in place, it is highly likely that they won’t accept it easily. Hence, the process needs to be subtle and put in place at a very early stage.

• Avoiding change in technology:

Expanding on the above mentioned point, no matter what field of work you are in, change is hard, especially when it is a technological change. Imagine shifting from a paper based attendance system to a biometric system and further followed by a mobile-based attendance management system. These changes are not easily accepted, not only by the employees but also by the leadership team. There is always a trade off when implementing a new system and this one is between higher productivity versus change.

• Inability to differentiate between absentees:

For companies across the globe and specifically in India, an absence from work means the same whether it is for pleasure, health conditions or just a work from home day. If you are looking for higher productivity and employee satisfaction or retention, this needs to change right away. The best way to go about this is to classify absenteeism into two different categories:

a. Innocent: Situations that are beyond the employee’s control and there lies a valid reasoning for not being able to work.

b. Culpable: Situations that can be controlled and there are no excuses to justify the missed work. The specific conditions for each of these classifications will further depend on your companies’ work culture, mission and the industry that you operate in.

• No administration training:

Attendance Management System Industry, As an employee, you must have definitely experienced certain problems with punching in or out, inaccurate time tracking and other discrepancies. And when you reach out to the person in charge for managing these systems, they are mostly unable to troubleshoot the underlying problems. This happens because of insufficient training and the true benefits of an Attendance Management System (link it to the benefits blog, if there is one) are never experienced. Purchasing and setting up a system is step one, but maintaining the Attendance Management systems as recommended by the vendor is equally important.

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