HR Insight

Comparison of Time Clock Methods for Attendance Management: Pros and Cons

2024-11-03

Author | Hyukjin Koh

Contents Writer


Recently, issues such as proxy clock-ins and inaccurate attendance records have drawn attention in both private companies and public institutions. These problems not only disrupt business operations but also impact employee morale and undermine organizational order.

To address this, organizations must adopt transparent attendance management solutions that prevent fraudulent time tracking. In this article, we explore various types of time clock methods and help you determine the most effective solution for your business.




Time clocking refers to the act of recording specific times or events, often related to employee work hours. In corporate settings, it involves using ID cards or biometric data to log when an employee starts and ends work.

There are four common time clock methods: paper logs, NFC tags, biometric systems, and cloud-based solutions.

Let’s take a closer look at each method and its pros and cons.



Key Time Clock Methods and Their Pros & Cons



1) Manual Time Sheets

This method involves employees writing their start and end times by hand on a paper time sheet or attendance log. It is still used in small businesses or at job sites with limited infrastructure.

Manual-Time-Sheet

Advantages Disadvantages
- Minimal setup and maintenance costs
- Easy to use without any special tools or systems
- Prone to fraud: Manual entry allows for forged signatures or altered times
- Inefficient: Not suitable for managing large teams and requires manual data processing



2) NFC Tags

This method uses devices or ID cards embedded with RFID chips to log time when tapped on a terminal. The tagged time is recorded as the official clock-in or clock-out time.

Card-Tag-Time-Clock

Advantages Disadvantages
- Fast and convenient: Time is recorded instantly by tapping a card or device - Risk of proxy use: Others can use someone’s card to clock in
- Card loss: Lost cards require reissuance and pose a security risk



3) Biometric Authentication

Biometric systems record time by scanning fingerprint, facial, or iris data. These systems require employee consent for biometric data usage and a backup option in case of equipment failure or recognition errors.


Biometric-Time-Clock

Advantages Disadvantages
- Prevents time fraud: Based on individual biometric data, making proxy clock-ins nearly impossible
- High accuracy: Reliable and precise time records
- Installation and maintenance costs: High initial and ongoing expenses
- Device dependency: System failure can halt clock-in; a backup method is required



4) Cloud-Based Solutions

Cloud solutions use location or Wi-Fi authentication for clocking in via smartphone or PC.

Location authentication verifies employee coordinate within a preset worksite radius. Wi-Fi authentication uses the IP address of the company’s registered network to verify presence.

Cloud-Based-Time-Clock

Advantages Disadvantages
- Prevents time fraud: Restricts clock-ins to designated areas only
- Supports remote work: Enables clock-ins from home or offsite locations via mobile
- Real-time tracking: Managers can monitor attendance live
- Location-based tech: Prevents false clock-ins outside the work zone
- Flexible: No hardware required, quick to implement
- Signal issues: Location or Wi-Fi validation may fail in weak-signal areas



☑️ Summary Comparison of Time Clock Methods
Method Prevents Time Fraud Supports Remote Work Real-Time Management Setup Cost
Manual Sheets X X X Low
NFC Tags X X X Medium
Biometrics O X X High
Cloud Solutions O O O Low



The Cost of Time Fraud to Businesses


Proxy clock-ins can lead to major financial losses. According to a 2023 study by the American Payroll Association, proxy clock-in costs U.S. companies approximately $373 million per year.

These losses go beyond money—they lower productivity, harm employee morale, and cause dissatisfaction among honest employees. Inaccurate time tracking also disrupts efficient operations.



What to Consider When Choosing a Time Clock Method


  • Security: Ensure the system effectively prevents time fraud
  • Flexibility: Support various work environments, including remote or hybrid setups
  • Ease of Use: Choose a solution that’s intuitive and easy for employees to adopt




Shiftee is a smart workforce management solution that blocks proxy clock-ins through 1:1 device-user matching—without requiring biometric data or hardware installation.

Looking for a time tracking solution that works for both your HR team and employees? Start optimizing your attendance management with Shiftee today.


Start Efficient Workforce Management with Shiftee



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