Advantages and Disadvantages of leave management systems in India

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Employee Engagement has gained a lot of buzz in recent years. To that extent where many companies have dedicated departments and officers to make sure that employee engagement is on the rise. Along with employee satisfaction, it plays a vital role in determining the success of an organization. Although there is no universal formula that can work for everyone so most of these try a combination of initiatives and stick to those that work best for them. One of the ways management can ensure employees are consistently engaged is by encouraging them to take leaves to break the monotony.


While it may sound simple, there are many things that can go wrong with this. Manually tracking attendance and leaves of employees is undeniably one of the daunting and tedious tasks. Manual attendance tracking leads to delays and incorrect payroll and thus making employees unhappy and dissatisfied.


What is employee leave management system?


Leave management system is a platform to help employees to track used and available leaves and individual status, in just a few clicks. And also employee able to set multiple leave policies as per organization norms. These systems are able to effortlessly schedule and manage employee time. They enable HR to easily manage attendance for employees working in multiple time-zones, across multiple locations and shifts.


Benefits of having leave management system?

Ease of use:

Leave management systems make the process much easier to manage. You can be anywhere in the world with an Internet connection and get a clear overview of who is working and who is not at any given moment, without having to open any books or spreadsheets.  Also, most of the best employee management solutions are incredibly intuitive, meaning that they will alert the management immediately any time they are understaffed or overstaffed, in the case that any eventual shift scheduling errors were made in the process.


Simple Leave Policies:

Leave policies can be configured as per leave guidelines of the organisation. We have programmed everything in a step by step process which makes it very easy for HR managers to create these policies.The inbuilt flexibility empowers you to create policies as per employee grades and locations.


Leave Approval:

This is very important feature for employees as well managers. Managers know at a glance about the number of people who have taken leave for a given time. It helps them in deciding the approvals for new requests.If there is any rule violation, it is also highlighted.

Some services are on cloud which means employees can make a request even on a mobile if they are on the field, or at home. Managers also have the access on phone, ipads and other devices for approvals whenever they want. Leave ledger is automatically created which shows individuals a clear picture of the various leave types – opening leave balance, leave credits per month, leaves utilised and any arrear adjustments at a glance for any specified period.


Maintain accuracy:

Automating employee leave calculations eliminates errors and ensures that even the most complex leave rules are implemented with precision and ease. In addition, a complete view of workforce utilization helps organizations schedule more effectively and adjust staffing levels as conditions demand.


Disadvantages of leave management system


Security concerns:

Security is one of the biggest worries. Systems must be designed to prevent unauthorized access to sensitive and confidential data and also the unintended publication of such information. This typically required many “compartments” and many levels of authority for access, all of which have to be monitored and maintained.



Then there is the cost factor. Especially for smaller companies, this can pose a problem. With any system, there are acquisition costs and maintenance costs. SaaS (software as a service) systems are somewhat easier to handle from a cost standpoint since they are cloud-based and don’t require as much initial outlay. With larger installations, there’s probably the cost of hiring an IT specialist to manage the system.


How to select leave management service provider?


Consistent Delivery:

This goes without saying really, but there is nothing more valuable than a partner that can, and does, do what they say they can do. The best way to validate the company’s ability to deliver is by giving them several short four to eight week engagements and see how they handle them. Do they do what they claim? Does it go smoothly? Look for how consistent the delivery is over a few projects. If they are consistent, then they probably have quality and precision embedded in their work culture.


IT infrastructure and certifications:

Once again, this is applicable for large outsourcing relationships where the use of best-in-class IT infrastructure and data security is imperative. Companies with employees with long tenure can experience another problem, complacency. The longer they stay with the company, the more comfortable they get. The more comfortable they get, the less they strive to stay on the cutting edge. That is not to say that all employees do this, but it happens enough that you should check. It is very important that when talking with the consultants you investigate what certificates they have, how old the certificates are, and what the company does to keep the consultants current with the latest tools and techniques, etc.




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