The Broadway Cafe is undertaking many new and exciting initiatives to help grow its business including employee blogs, customer wikis, and the implementation of a new time and attendance system. Time and attendance software is critical to the business because it can ensure you have the right employees, at the right place, at the right time, which can increase sales. You never want to find yourself short staffed during busy times and overstaffed during slow times. Also, accurately accounting for employees’ time is crucial to effectively analyzing labor expenses, which are the largest operating expense the cafe incurs. Conveniently, time and attendance solution providers, time clock manufacturers, and software development companies are developing high-quality affordable products.
You have decided to replace the manual employee tracking and payroll system your grandfather implemented in the 1960s. You have a highly-technical employee, Nick Zele, who has offered to build the system for you and ensures you it is a simple build. You could also purchase one of the many COTS (canned off the shelf) applications and have Zele install it on your computer or you could have an outsourcing firm customize their payroll application for the café and give you access via the cloud.
What are the pros and cons of using an employee to build you a custom system and install it? Estimate total cost $2000.
What are the pros and cons of purchasing a COTS time and attendance application and having Zele install it? Estimated total cost $800.
What are the pros and cons of outsourcing the application to a cloud provider? Estimated cost $200 up front and $50 per month .
In any of the cases above how will your older employees feel about the new system and what can you do to ensure a smooth transition?
Make a recommendation with justification (state your assumptions)