Pull-Out Shelf

Spinning the Wheels of Time

Custom-Shelf Manufacturer Combines Biometric Time-Tracking With Incentives to Successfully Curb Excessive Absenteeism

The Pull-Out Shelf Company is the largest custom pull-out shelf distributor in the U.S. with authorized dealers serving more than 400 cities across the U.S. Founded in 1993, the Arizona-based company was bought in 2002 by Ron Kessler. Since then Kessler has served as president and CEO of this family-owned and operated business that builds and installs custom-made shelves. Under his guidance, the company exceeded its goal of installing half a million units into the kitchens and baths of its customers' homes.

At the core of the business is the company's Tucson-based manufacturing shop, where nine full-time employees – machine operators, general laborers, and administrative staff are involved in creating its line of products. Like many in the manufacturing industry, Kessler struggled with management issues. Yet, despite best efforts, he was continually plagued with an exceedingly high rate of "no-shows" among shop workers that he believed, if left untended, could eventually undermine the business.

"Our absentee rate was around 20 percent every month," says Kessler, who was forced to implement disciplinary measures with repeat offenders. "Those with continued absences were terminated, which meant investing time and money into hiring and training new staff." It was a viscous cycle in need of a creative solution to turn things around.

Kessler also had concerns about integrity of data and questioned whether the timeclock he relied on to capture employee hours and the timecards that recorded their punches were accurate. Simply put, he lacked confidence in the system, believing it was easily compromised. And, to further complicate matters, at the time Kessler took over the company it was located in Phoenix , hundreds of miles from Tucson , where he lived and conducted business. The extensive travel made it nearly impossible for Kessler to personally monitor or verify employee arrivals and departures every day in order to prevent employees from falsely reporting time. His suspicion was that employees were covering for one another by punching-in tardy or absent co-workers. And, it is a common theme. The act, known as buddy-punching, is a form of time-theft that according to the American Payroll Association (APA), costs U.S. businesses billions of dollars a year. Surveys commissioned by the APA report the average employee steals 4.5 hours a week in late arrivals, early departures, extended lunches and breaks. Based on this projection, the cost to a business is the equivalent of a six-week paid vacation for every employee.

So, in addition to reducing the absentee rate, Kessler also sought improvements in the accuracy of data relied on as the basis for payroll. That's why when he decided to automate employee time-tracking he passed on swipe card systems, which he considered inferior to those integrated with fingerprint recognition technology.

"It's just such an obvious solution," says Kessler. "You can give someone your card to clock-in for you if you're not there, but you certainly can't give them one of your fingers." Impressed with the simplicity and fool-proof nature of the technology, Kessler was all the more pleased to learn that Timecard Monitor, his number one choice, was so affordable. Made by Count Me In, LLC, a Chicago-based developer of award-winning, biometric software solutions, Timecard Monitor's retail price was lower than comparable software with less advanced data capture technology. And, unlike conventional timeclock, there are no extra expenses for ribbons, racks or timecards, or for repair and maintenance.

And it's quick. With two finger-taps on a digital sensor, Timeclock Monitor accurately captures employees' real-time arrivals and departures. Another advantage is its seamless integration with QuickBooks and other leading small business payroll and accounting packages. This end-to-end automation eliminates timely administrative tasks and costly human errors, increasingly saving time and money.

Pull-Out Shelf employees' reaction to the new system was extremely favorable. "They were very receptive," explains Kessler, who, in conjunction with the company's new approach to time-tracking, instituted an employee incentive program for good attendance.

"Timecard Monitor is a great management tool. It compiles the management data I need into reports and provides ready-access to individual and comparative attendance records," says Kessler. "Now, every pay period, employees with perfect attendance during those two weeks get a cash bonus." The impact, according to Kessler, has been significant.