Today, contract workers are prevalent in almost all industries and are unavoidable for many enterprises. However, certain hindrances with respect to compliance, safety and security issues, accidents etc., make the entire contract labour management process a complex subject for the human resource department. The absence of procedures to oversee and control the contract labour workforce from project inception to completion poses even higher risk in today’s business environment.
It all boils down to this objective of contract labour management—to access the right technology, procedures and strategies to viably oversee the workforce for tracking personal information, compliances, attendance, access control, ideal execution and bring down work costs.
Here are the top 7 reasons why enterprises need to invest in the integrated Contract Labour Management System:
Gain Momentum on the Onboarding Process
The time and resources it consumes to onboarding new contractors and contract labour can slow down productivity and increase costs. But with a contract labour management system, it’s a breeze to input all relevant personal information, bank details, and regulatory data into the system in a fast and error-free way for approval. The sooner the onboarding process, the quicker the project initiation is.
Achieve Greater Accessibility and Transparency
A contract labour management system allows an organization to store and organize the records in an easily accessible, central location. This is especially true if the teams are working on a decentralized procurement model and want to locate important data quickly. Agreements and reports can be accessed and reviewed within a single platform, eliminating the dedicated time in searching for the documents.
Optimize Performance & Drive Productivity
Once the contractor and the labourers are active in the contract labour system, the enterprise can track and measure performance to ensure that the company is meeting the needs and complying with the requirements. The data received from tracking performance can signal challenges before they become problems and identify areas that may need improvements.
As the software automates and streamlines the entire process, it accelerates faster workflow cycles and optimizes productivity and governance. This results in the reduction of time wasted on re-work and manual workflow activities associated with the use of spreadsheets and older database technologies. It also helps to standardize work procedures and eliminate administrative mistakes.
Obtain Good Return on Investment
Contract labour management software provides analytical reports of workforce strengths, skills, areas of improvement, attrition, budget, etc. that help in optimizing business performance. This optimization aids in maximizing revenue and costs savings, enabling a fast return on investment (ROI).
One of the essential responsibilities of any enterprise is the continuous management of compliance. The factual verification needs to be recorded and maintained systematically as proof that the enterprise complies with its legitimate commitments. However, keeping up with physical compliance records is inconceivable and massively tedious.
The agile software integrates and plans compliance mandates in a central framework, simplifying compliance management and minimize compliance violations. It can also be configured as per the varying compliance policies of industries and enterprises. Upon nearing the due date, the system speeds up the action by sending alerts to the authorized personnel. The automated format eliminates repetitive tasks related to PF, ESIC and State & Central Compliances like BOCW, CLRA, ESIC, Factory Act, Interstate Migration Act, Minimum Wages and Health and Safety Compliances.
Enterprises have better control over their expenses since every transaction conducted and the cost incurred is transparent. The systematic procedures and processes accomplished by the contract labour management system result in solid relationships with contractors. It can help negotiate better rates and have access to discounts and incentives.
Lastly, Protect the Business Reputation
A company’s reputation holds a lot of value. No enterprise would not want to damage it due to the actions of an unprofessional or unethical contractor. A contract labour management system can provide information about the contractor’s past work experience and other social and environmental actions, to reduce the risk of a questionable incident originating from the contractor’s actions.
A well-structured Contract Labour Management System not only saves considerable hours of manual chores but also motivates the workforce and reduces attrition. It is the new-age solution that must be implemented by industries of all kinds. Are you in the process of redefining and realigning your contract labour management? Our team of competent and experienced workforce experts would love to help you get started with the structural transformation. Mail your requirement to email@example.com.