Monday, March 28, 2011

Efficient Payroll Increases Revenue!

In some recent discussion with clients it was apparent that not only does the instant pay solution reduce back office clerical work, its most impressive feature is increased productivity and higher yields.  During the development phase of the HarvesterGear card program we were looking at ways to reduce the cost and inefficiencies of the payroll process.  It was quickly evident that efficiencies and ROI could quickly be realized through a more streamlined approach to simply paying the workforce.   By eliminating the payroll lines all together, it reversed the negative net yield effect that payday had on our clients operations and in turn produced a positive-net yield increase that was rather substantial.  Not only did the increased yields provide great revenue to the operations we work with, but it increased the net revenue to the workers as well.

Using a small to medium sized blueberry operation with 250 hand harvesters, our payroll solution brought in $14,000 in increased gross profit per pay roll period.  Over an 8 week period the increased productivity brought the operation an extra $112,000 in gross revenues.  In contrast to a large operation of 1000 workers the figures were $56k per payroll period and $448k for the season.   "This one service of HarvesterGear's system produces a certain competitive advantage over other operations and the return on investment more than pays for itself", said Sam Rose of Lake Creek Farm.  "I can't ever see going back to cash or checks as a payroll method", he added.

HarvesterGear is constantly adding features to their system and looking for ways to bring continued efficiencies to our clients.   If you are interested in finding out more about our services, contact us at www.harvestergear.com.

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