Magazine Article | March 1, 1998

Profit Niches In Time And Attendance

Small companies, complex integration, and new technology all play into the future of time and attendance software say vendors.

Business Solutions, March 1998
Written by: Lisa Kerner
Now is a good time for VARs to take advantage of growth in the time and attendance software market for small companies, say two leading developers. Bill Korstad, president of Unitime (Boulder, CO) notes that smaller businesses, with fewer than 50 employees, are looking for time and attendance software to track employee productivity. He says this market is virtually untapped. Tom Maffuid, director of sales for ADI (Providence, RI) agrees. "There are more low-end products geared toward small businesses available now. Five years ago, these products were almost unheard of in the market," Maffuid says. VARs can sell low-end software or high-end software alone, or as part of a total human resources package, he adds.

Selling And Servicing Time And Attendance Software
Even though small companies have fewer users, time and attendance software is going into more complex environments. With the added integration of time and attendance software into network environments comes an increasing need for service, according to Korstad.

"VARs shouldn't be afraid to charge an appropriate fee for their services," says Korstad. VARs become more proficient as they service and install time and attendance software in more complex environments, making their services more valuable, he explains.

Time & Attendance Software Trends
According to Korstad and Maffuid, there are four trends VARs should be aware of in the time and attendance software market. These trends are:
  • Biometrics - Korstad says that in the next five years, fingerprint technology and hand geometry will become more popular.
  • Desktop timekeeping - As WANs and LANs become more prevalent and more employees use PCs, clocking-in using desktop computers will increase. This will include clocking-in using the Internet as well, says Maffuid.
  • Second generation installations - A large percentage of early adopters in the industry are now upgrading or replacing their existing equipment, says Korstad.
  • Time and attendance as part of a larger solution - According to Korstad, time and attendance is one part of the labor information system. Companies are more apt to choose a system that integrates with other human resources functions, such as payroll, rather than a stand-alone system, he says.