Personnel costs are typically the biggest expense for most small businesses, and this can become even greater when overtime costs are factored in. While there may be cases when overtime is justified, or even necessary, it can have a major impact on your budget and cash flow. GPS tracking software can help you manage or avoid these expenses, saving you money and keeping the budget on track.
Using reports and real-time data from GPS tracking software allows you to get a better handle on your business expenses. Use these three tips for reducing overtime costs for your business:
- Monitor time sheets before they’re submitted – Keep an eye on employee time so you can reassign drivers as necessary. Avoid nasty surprises at the end of the pay period by preventing your employees from spending unnecessary overtime in the first place. As time sheets fill up you can make smart decisions about which drivers take which routes, ensuring that every employee spends as much (or as little) time as you want them to.
- Dispatch your drivers wisely – If you have multiple drivers in a local area and one is reaching their maximum allocated hours, simply dispatch another driver. GPS tracking software lets you see key information at a glance so you can make quick dispatching decisions without worrying about inadvertently shifting a driver into overtime hours.
- Make staffing decisions based on real data – If overtime costs start adding up, perhaps it’s time to hire a new driver or shift schedules in a way that allows employees to share the load in a more cost effective manner. While you might currently be able to make an educated guess about whether it will be profitable to hire a new employee, GPS tracking software allows you to analyze real data for more accurate forecasting. Over time you will also be able to use this data to better manage business cycles. Perhaps you need to hire temporary employees during certain months of the year, or keep a closer eye on costs during other times. Either way, a GPS tracking system enables more effective fleet management so you can focus on the bottom line.
GPS tracking software from GPSTrackIt makes it easy for you to do all of these activities, and reducing overtime costs is just one of the many cost-saving benefits you will enjoy. View our online demos today to learn more about our fleet management solutions.
How much money do you spend on overtime each month?