The punch. It’s pretty much the thing that employment is built on. Even if you’re currently salaried, you almost certainly worked a position that paid hourly at some point. Given how long timekeeping has been around, it’s seen a number of changes over the years, but the core concept remains the same. This doesn’t mean we’ve managed to work out all the kinks, however, and several new ones have been introduced over the years. This means that, despite how long it's been around, you may still find yourself getting stressed out over missing punches or incorrect timesheets. This stress, as well as these small discrepancies, can build up over time and cost your organization crucial time, energy, and money.
At Payday HCM, we’re very familiar with the woes of timekeeping. We consistently have clients approach us with questions on how to streamline or improve their current timekeeping system, whether that be by implementing new technologies or changing certain company policies. One frequently asked about topic is time theft. There are many different strategies that employers can take to combat time theft, including geofencing. But what is geofencing?
Well, in this article, we’ll be going over what geofencing is and how it can help you prevent time theft. We’ll start by going over what time theft is and how geofencing can help prevent it, before getting into the specifics of how geofencing works and the ways you can implement it in your workplace. By the end of this article, you’ll have a better understanding of geofencing and how it can be used to help your organization combat time theft.
In this article, you will learn:
What is Geofencing?
Before we dive into the ins and outs of how geofencing works and ways to implement it in your workplace, we’ll first cover what time theft is and how geofencing can help prevent it.
What is Time Theft?
If you’re reading this article, it’s likely that you already know what time theft is, as you’re looking for possible ways to prevent it. Even still, it’s possible that some businesses may be struggling with time theft and not realize it, as it can take on many different shapes and forms—generally, though, time theft is when an employee intentionally misrepresents their hours worked.
Time theft can occur in a variety of ways, including:
- Recording an earlier/later clock-in or out time than the actual clock-in or out time
- Clocking in for someone else i.e. buddy punching
- Falsifying hours worked on a timesheet
- Clocking in or out somewhere other than the workplace
While each of these actions constitutes time theft, they all represent a unique issue that the same solution may not solve. Geofencing is something that can help prevent time theft in the form of clocking in or out somewhere other than the workplace.
Defining Geofencing in the Workplace
So, then, what is geofencing? Well, it’s a location-based service that establishes virtual boundaries using tools like GPS, Wi-Fi, or cellular data. Timekeeping software, like isolved Time, creates “fence rules” that define these digital boundaries around a worksite. In Lehman’s terms, geofencing creates a digital boundary (or fence) that, once inside, employees can clock in or out.
Punches recorded through mobile or web apps are tagged with latitude and longitude coordinates, which the system checks against the predefined fence. This ensures clock-ins and clock-outs happen only within authorized zones. For employers who utilize apps to allow their employees to clock in and out, geofencing can be a crucial tool for preventing time theft.
How Does Geofencing Work?
Now that we have a solid understanding of what time theft is and how geofencing can help to prevent it, we’ll dive a bit deeper into how geofencing works.
How to Set Up Geofencing
Setting up or enabling geofencing is going to depend on the timekeeping software that you use. This means the actual process for setting up geofencing for your business is going to vary based on the particular software your business uses. Using isolved’s geofencing system, though, we can walk through the general idea of what setting up geofencing looks like.
To establish geofencing, you’ll start by defining your fences. Depending on your software, this can be done by setting latitude/longitude coordinates and choosing a radius, or even draggable maps and search fields that allow managers to fine-tune the placement of boundaries. Once created, the timekeeping software will begin checking employees’ locations to ensure they are within the fence.
Using Geofencing to Control Clock-In and Clock-Out Behavior
Geofencing can be implemented in a few different ways, depending on your software. With isolved, managers have a few different options when it comes to how geofencing monitors employee punches, including:
- Restrict punch: Blocks punches outside the fence and notifies the employee.
- Warn only: Allows the punch but flags it for review.
- No restriction: Default option with no enforcement.
This flexibility gives you control over how strictly you enforce geofencing. With isolved, you also have the ability to set hours allocation, which allows managers to decide if the geofence should apply to either in-punches, out-punches, or both.
How to Implement Geofencing in Your Workplace
Now that we know what geofencing is and how it works, we can look at the steps you can take to implement geofencing in your workplace.
Software and Budgetary Compatibility
Probably the most important steps when it comes to implementing geofencing are ensuring your timekeeping software is equipped with geofencing capabilities, as well as determining whether geofencing is an additional cost or not. This will help to determine whether or not geofencing is a good solution for your business, or if you should consider migrating to a different timekeeping software.
There are a number of different timekeeping software providers that offer geofencing. ADP’s timekeeping software, Connecteam, Buddy Punch, and ClockShark are all examples of timekeeping software with geofencing capabilities (and, as previously mentioned, isolved). Some of these platforms are strictly timekeeping and scheduling platforms, while others are integrated with a more full-service HCM system platform.
Communicating With Employees
Now, as you may have guessed, saying something like, “We’ll begin implementing a policy that allows us to track your location to ensure you’re not committing time theft,” probably won’t sound too good to those within your organization. Therefore, communication with your employees about implementing geofencing is crucial.
When implementing geofencing, creating a space for open dialogue with you and your employees can be helpful to ensure it's in the best interest of your organization. It can also be helpful to give employees options in terms of how they clock in and out; that way, you can ensure there’s a solution for everyone.
Keeping Time Theft Out with Geofencing
You work, you get paid. Pretty simple, right? Well, while time management may be a relatively simple concept in theory, it can quickly become very complicated. This doesn’t make it any less crucial, as keeping track of an employee’s hours is essential to ensure they receive the right amount on their paycheck at the right time. Without the proper systems and policies in place, your organization’s timekeeping can quickly get out of hand. Luckily, with the information provided in this article, you’ll have a better idea of how geofencing can help keep your time tracking on track, saving you time (and money) in the process.
Timekeeping, time tracking—whatever you call it, timekeeping is an essential part of running a business with multiple employees. Simultaneously, it’s one part that can also be the most prone to mistakes. Without the right timekeeping system or method, you may find yourself losing track of punches or having to provide back pay more often than you should. Check out our article for five different time tracking methods to discover which option is best for your business.
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