Time Keeping & Time Booking

Contents -

1. Meaning and Benefits of Time Keeping.
2. Purpose and Methods of Time Keeping.
3. Meaning of Time Booking.
4. Methods and Objectives of Time Booking.
5. Differences Between Time Keeping & Time Booking.


Meaning of Time Keeping -

When the arrivals as well as the departure time of the labour is recorded, it is known as time keeping. Where there are large numbers of employees in an organisation, separate personnel in the name of "time keeper" is appointed who heads the time keeping department. The purpose of this department is to provide timely information to the payroll department, which was assist the latter in computation of the wage payments.

Benefits of Time Keeping -

Time keeping has the following advantages or benefits :

1) It helps in assessing and controlling the overtime and ensure that the production is done within the budgeted time.

2) Payroll is smoothly managed with the help of proper time keeping.

3) Top level management is timely and effectively reported.

4) It helps workers to be disciplined and keeps them motivated at the same time.

5) It assists in exercising control over the labour cost.

6) Awareness of the goals it created and at the same time priority of the goals is set.

Purpose of Time Keeping -

Time Keeping has the following purposes :

1) It helps in maintaining the rules and discipline and avoid extra payments to employees.

2) It provides overhead rates on the basis of labour hours.

3) It differentiates between the normal time and the overtime and thus the same is separately allocable.

4) Statutory requirements are duly complied with.

5) Where the labour is paid on time rate basis it provides with the actual time.

6) It is helpful in calculation of Bonus, Gratuity, Pension Payment etc.

Different Methods of Time Keeping -

Attendance of workers is usually recorded by the following methods :

A) Manual Method -

1. Dise or Token Method -
As the chances of manipulation are extremely high, reasonable care should be taken in exercising this system. Thus, it is suitable only in case of small organisations where the numbers of employees are less. A Unique Identification number is allocated to each worker and the same is put on tokens or on discs, which are hung on the factory gate. Each worker arriving removes the same from the display and it is put in a separate box kept there for such purpose only. After the reporting time is over the box is switched with another box in which the latecomers put their tokens along with details of the extent they are late. Further, the attendance is recorded on the basis of these records.

2. Attendance Register Method/Muster Roll -
Under this method, register is kept at the factory gate and the workers coming in and going out of the factory mark their attendance in this register. This is an old and a traditional method of recording the attendance. This marking may be done by the employee himself or any person deputed by the organisation. Afterwards from the attendance register, entries are posted to the individual accounts.

B) Mechanical Methods -

Since the manual methods were facing a lot of defects, mechanical method were adopted for the purpose of time keeping and the attendance is recorded by a time clock.

1. Time Recording Clock Method -
These clock card were then kept in a rack which was available at the factory gate. A clock card bearing and identification number was allotted to every worker. On arrival, a worker was supposed to punch his card with his arrival time and again kept in the rack. Upon the departure the process was simply reserved and he attendance was taken into account.

2. Dial Recorders and Key Recorders -
There also exist dial recorders and key recorders apart from the above clock recorders and they are as follows :

a) Key Recorders -
A number of keys are present and every key is imprinted with the number appearing on the ticket of the worker. When the key is put in the hole and is rotated automatically, the time and the ticket number gets recorded on the paper which is placed inside the recorder.

b) Dial Recorders -
Under these mechanical method, several holes are present across a dial. Each hole represent a number which corresponds to the ticket number of workers. When the workers presses the dial arm into a hole, time get recorded at romantically on the piece of paper which is placed inside the recorder in front of the ticket number of the workers.


Meaning of Time Booking -

Under this system, time that is spent by a worker in a day of various alternate jobs is calculated. For marking the start time and the end time attributable to a particular job, job cards, piecework tickets or time tickets are used.
It is a system by which time spent by a worker on various jobs, order or contract is calculated.

Objectives of Time Booking -

Time booking has the following objectives :

1. Wage and the bonus payment can also be easily computable.

2. Labour cost incurred on diffetent products, job, contracts can also be calculated.

3. Labour performances can be evaluated by comparing the budgeted with the actual.

4. Labour hour spent and idle labour hour can be determined.

5. Overhead rates and absorption of overheads can easily be ascertained under the labour and machine hour method.

Different Methods of Time Booking -

Following are the methods of time booking :

1) Weekly Time Sheets -
Better supervision can we exercised but manipulations are possible as the sheet is to be submitted at the end of the week. Sometimes be timings are entered collectively for a week, which are based upon the memory of the worker and may also be incorrect. Apart from this, worker may alter his timings for hide idle time and claim higher wages. They are just like daily time sheets. Instead of recording the details on day-to-day basis, the details are entered on the completion of the week. As 7 sheets are replaced by a single sheet this method is rather more economical.

2) Daily Time Sheets -
Complete details of the worker i.e. his name, code number, start time of the job, end time of the job, nature of the job are recorded in this sheet. This helps in checking that no false particulars are filled in the sheet. Where the size of the firm is small, all the workers are provided with a daily time sheet which carries the particulars of each job on day-to-day basis. The time spent on each job is calculated on day to day basis and the same is recorded on these sheets.

3) Labor Cost Card -
Instead of giving one card to each employee, only one card is passed on to all employee and time taken on the job is recorded by each employee. This card shows the aggregate labor cost of the job or the product. This card is meant for a job, which involves several operations or stages of completion

4) Time and Job Card -
This card is a combined record, which shows both, the attendance time as well as the time taken for completion of the job. Therefore there is no need to keep separate record of both, time taken and attendance time. 

5) Job Cards -
The shop supervisor issued one card to every worker. When a worker begins a work, time is recorded using a recording clock and the same card is purchased again on the termination of the job. Where the work is lengthy and in between certain breaks are required than also the same is punched on and off for the timings. When the job finally terminates, the card is returned to the supervisor and a new card for the fresh job is issued in the same manner.

The purpose of job card is closely monitor the time spent on each job by the workers. Some of its main objective are as follows :

i) To facilitate time booking with respect to the job done.
ii) To authorize the worker to carry out the job as per the directions.

Types of Job Card -

There are four types of job cards. They are as follows :

1. Job Card for Each Job -
Where the number of jobs to be completed is high and each job goes through different workers who complete the job a separate card is issued for each specific job. By adopting this system, total labour cost can be easily computed.

2. Combined Time and Job Card -
As the name suggest this gives the combine information regarding the attendance time as well as the time allocated to each job including the idle time on weekly basis. It contain both the data, i.e. attendance time and job time are marked on a single sheet, thereby reducing the paper work.
Afterwords, attendance time is reconciled with the job time and the idle time ascertained can be dealt accordingly.

3. Job Card for Each Worker -
Under this, at the beginning of the day or week, each worker if handed over his respective card in which his start time and end time for a job are recorded. This card is kept with the department and is self-explanatory about the job, which the worker has attended.

4. Piece Work Cards -
A piece work card or a group piece card is allocated to each worker or to a group of workers, depending upon the system of wage payment is use. There is a particular card for particular job or one card for two jobs, one card may serve the purpose of recording the work done on several jobs, the number of pieces against each job and the time spent on them is recorded.
The workers are paid on piece rate basis and not on the time basis and the number of pieces produced for the jobs done are calculated accordingly.

Difference between Time Keeping & Time Booking -

Time Keeping

Time Booking

When a worker enter and leaves the factory his attendance is marked.

It records the time when the job was started and finished by the worker.

A separate time keeper is appointed.

Job cards are marked by the workers only and there after verified by the foreman.

Mainly used for calculating wages and overtime payment.

Mainly used for calculating direct labour cost on a job.

It calculates both time booked as well as time lost.

Idle time or the lost time is not calculated.