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Manufacturing Company Saves $100,000 in Overtime with Celayix

A case study featuring an Indiana-based manufacturing company that eliminated $100,000 in overtime costs, and create schedules ahead of time using Celayix shift-scheduling and time & attendance software.

Organization

Manufacturing Company (Name Confidential)

manufacturing

This company is a leader in manufacturing technology across many industries, including nutrition, pharmaceuticals, and agriculture. Despite being a very modern organization, this company had practices outdated employee scheduling practices.

Location: Indianapolis, Indiana, USA

Industry: Manufacturing

Company Size: 150 Employees

Challenges

When looking to fill available shifts, the company’s union contract dictated that they use a call out list. This meant calling available employees over and over until a match was found. The process was time consuming and incurred a considerable amount of overtime costs. In addition to high levels of overtime and a full-time position for managing it, the company’s HR department found the “call out” system overwhelming. Regardless of availability, they were calling the same employees over and over again to find out if they could work the shift.

Because the list was built on seniority and not on availability, they wasted an unnecessary amount of time by calling unavailable employees. With superior technology in virtually every other area of their organization, Human Resources knew there must be a better way to schedule their workforce.

Solution

Celayix has enabled the manufacturer to automate employee scheduling based on availability and completely eliminate avoidable overtime. It also meant they were complying with their current union contract. Using Celayix, the company is now able to streamline its scheduling processes.

Within the year, we were able to eliminate about $100,000 in overtime, essentially all of the avoidable overtime within our organization.”

HR Manager

Results

REDUCED Scheduling Time

Now, employees at the manufacturer input their availability online, which generates a pre-populated directory for HR. When an empty shift is available, instead of tediously running through their “call out list”, HR can simply look at the Celayix system to see who is available and call only those individuals. The process is sped up considerably and allows HR to focus on employee relations and strategic planning of the business.

To populate the schedule for three months, total scheduling time only amounts to one hour. Additionally, managers can now see everyone’s availability in one place, eliminating unnecessary confusion.

Compliance with Union Contract

As any business owner knows, complying with Union contracts can be difficult at the best of times. For this manufacturing company, it created a lot of headaches when it came to employee scheduling. As we mentioned, seniority had to be considered when assigning shifts to employees. Thanks to Celayix’ rules based engine and the improved scheduling process, union compliance has never been easier.

$100,000 in Overtime Eliminated

Automated scheduling made the full-time position that managed overtime redundant; the organization was able to save money almost immediately.

Now, with Celayix, the company assigns shifts based on seniority and availability – not just seniority. Therefore eliminating the likelihood of scheduling employees who had reached their hourly limit for the week, as well as avoidable overtime. These savings have improved the company’s bottom line and resulted in a saving of $100,000 in their first year with us. If you’d like to see how much you could save by using Celayix, visit our ROI Calculator here.

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