Rachman Wintaro - 13499 - Automated Part-Time Payroll Based
Rachman Wintaro - 13499 - Automated Part-Time Payroll Based
Rachman Wintaro - 13499 - Automated Part-Time Payroll Based
By
Rachman Wintarto
13499
September 2012
by
Rachman Wintarto
13499
Approved by,
________________________
(Mr. Faizal Bin Ahmad Fadzil)
i
CERTIFICATION OF ORIGINALITY
This is to certify that I am responsible for the work submitted in this project, that the
original work is my own except as specified in the references and acknowledgements,
and that the original work contained herein have not been undertaken or done by
unspecified sources or persons.
__________________________
(Rachman Wintarto, ID: 13499)
ii
ABSTRACT
Attendance and payroll are vital function that has become the primary responsibility of a
company. Payroll main function is to provide compensation to employees in the form of
salary in exchange for their attendance and contribution to the company. Most of
companies have the data of its permanent employee or its full time employee thus, the
part time employee usually stepped aside. Therefore, it would be nice if there is an
application that can cover it all, complete with calculations and database, especially for
a part time employee that works in the company.
Part time employee attendances and payroll system at most currently still are using
manual systems which are the filling system and attendance sheet with the employee’s
signature which is less effective and efficient. To address these problems required a new
system to be able to fix the system used today.
The result of this program is the creation of attendance system using an application
form and automates form of salary calculation in the payroll process.
iii
ACKNOWLEDGEMENT
By the Name of Allah, the Most Gracious and the Most Merciful First of all, I would
like to express my deepest sense of gratitude to my supervisor Mr. Faizal Bin Ahmad
Fadzil for his patient guidance, encouragement, understanding, and excellent advice
throughout this study.
I am deeply and forever indebted to the people in my life that touched my heart and
gave me strength to move forward to something better. The people who inspire me to
live my life, who encourage me to understand who I am, and who believe in me when
no one else does. I dedicate this study to the mountain that bore all the storms and
conditions for my sake, to my father, Prof. Dr. Agr. Ir. Johan Setianto and to the source
of my light and pleasure to the one who enlightens my life, to my beloved mother, Elly
Kardiani, SH and to my only brother, Ilham Handianto.
Finally am also thankful to all of my best friends, friends, colleagues and UTP,
especially from the Faculty of Technology for their help and support, with whom I
shared pleasant times for over three and half years.
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TABLE OF CONTENTS
CERTIFICATION OF APPROVAL . . . . . i
CERTIFICATION OF ORIGINALITY . . . . . ii
ABSTRACT . . . . . . . . . iii
ACKNOLEDGEMENT . . . . . . . iv
TABLE OF CONTENT . . . . . . . v
TABLE OF FIGURE . . . . . . . vii
TABLE OF TABLE . . . . . . . viii
CHAPTER 1: INTRODUCTION . . . . . . 1
1.1 Background of Study . . . . . . 1
1.2 Problem Statement . . . . . . 1
1.2.1 Data Storage . . . . . . 2
1.3 Objectives . . . . . . . 2
1.4 Scope of Study . . . . . . 2
CHAPTER 2: LITERATURE REVIEW . . . . . 3
2.1 Introduction . . . . . . . 3
2.2 Time and Attendance Management System . . . 4
2.3 Payroll Management System . . . . . 5
2.4 Database Management System . . . . 6
2.5 Disadvantages and Advantages of the Systems. . . 6
CHAPTER 3: METHODOLOGY . . . . . . 8
3.1 Methodology . . . . . . 8
3.2 Requirement Definition . . . . . 8
3.3 System Design . . . . . . 9
3.4 Implementation . . . . . . 9
3.5 Integration and Testing . . . . . 9
3.6 Operation and Maintenance . . . . . 10
v
CHAPTER 4: RESULT AND DISCUSSION. . . . . 11
4.1 Introduction . . . . . . 11
4.2 Results and Discussions. . . . . . 11
4.2.1 Attendance Process and Payroll Process. . . 12
4.2.2 Role Description of the System with Usecase Digram 12
4.2.3 Activity Diagram . . . . . 14
4.2.4 Survey Result . . . . . . 15
4.2.5 The System . . . . . . 18
CHAPTER 5: CONCLUSION AND RECOMMENDATIONS. . . 25
5.1 Conclusion . . . . . . . 25
5.2 Recommendations . . . . . . 26
REFERENCES . . . . . . . . 27
APPENDIX . . . . . . . . . 28
vi
TABLE OF FIGURES
vii
TABLE OF TABLES
viii
CHAPTER 1
INTRODUCTION
Most of the company nowadays is still using a manual system in the process of part time
employee attendance and payroll. It may occur in the absence of fraud such as day care
absences, slower data processing as the paper work is processing and possibly could lead
into delays payment of salary. Thus, if something goes wrong, the calculation of salary
payroll might lead to inaccurate information to the detriment of employees and the
company itself. Therefore, the information system is needed to solve the problem.
Therefore, to achieve a better record and data processing especially to process the data of
part time employee, an “Automated Attendance Based Part-time Payroll” is needed.
The system should provide tools for payroll calculation based on employee’s attendance.
To avoid the fraud that occurred in the process of attendance, the system will generate
some random questions about the employee’s personal data during the process taken so
that the process cannot be replaced by employees or other associates.
1
1.2.1 Data Storage
Data about part time employee shall be stored in database with only authorized
personnel can proceed to evaluate and to observe the pattern of the employee and
thus to record their payroll based on attendance agreed, could be hourly, weekly
or annually.
1.3 Objectives
The objective of the study is to create:
An automated part time employee salary payroll based on their attendance, to
automatically generate a report of part time employee payroll and attendance,
To store part time employee data and to increase the company business expenses
efficiency through part time employee payment.
2
CHAPTER 2
LITERATURE REVIEW
2.1 Introduction
A part-time job is a form of employment that carries fewer hours per week than a full-
time job. Workers are considered to be part time if they commonly work fewer than 30 or
35 hours per week (Wikipedia). There are no legal guidelines that determine whether or
not an employee is a part time or full time employee. A determination of whether an
employee is working part time depends on the company's policy and practice of defining
employees and the hours required to be considered full time. There are many reasons for
working part time, including the desire to do so, having one's hours cut back by an
employer and being unable to find a full-time job.
Previously the work procedures in many organizations were done by paperwork, which
may cause many faults and inaccuracy, and this made gap between the manager or
administrator and employee and customer (Harold, 2000). Rotchford and Roberts (1982)
refer part time workers as the “missing persons” in organizational research where they
believed that reference in economic and popular literature to part time worker attitudes
and behavior consist almost exclusively of unsupported, subjective, managerial report
that address part time worker solely on the basis of hours of work.
There are two major issues regarding part time employee that are attendance and salary
payment. Part time employee usually treated less than the permanent employee. No safe
saved data record, manual attendance with attendance sheet and signature, no structured
report on it and usually it cause delay on salary payment. This thing all happened because
there was no automatic system that enables department in charge to properly manage this
3
part time employee. Even though there are records on their attendance, things are done
manually which cause un-efficient time management.
Time Attendance System is software that helps organization for registering and tracking
employee attendance. This system software eliminates paperwork and saves employees
time calculation, validation, and re-keying payroll information. It may be integrated with
existing payroll and human resource systems. As a result, employee working hours can
be accurately tracked, which can be important in organizations, exceptions such as
lateness, absence, overtime and others can be accurately tracked and reported.
According to Grella and Lampron (2005) organizations always aim to enhance its
performance at the practical and the management parts, and systems becomes more
complex year after the other. This is because of the incremental development in the
nature of businesses to harmonize with the strategic plans for these organizations and its
ability and willingness to improve.
Developing this system will provide improved and accuracy in monitoring, and reducing
the time and efforts, which in turn will increase the work activity in the company and
bring harmony between the nature of business with the strategic plans.
4
In a study done by Tafour (2008), the needs of using Time and Attendance System come
after they found many problems and mistakes in manual system beside the waste of time
to enter the data manually to the payroll system.
Tear and Olsen (1992) provide an analysis to the main systems of any organization based
on a hotel as an example. They mentioned that, any organization have six main systems,
which are they human resources, operations, marketing, research and development,
finance and administration, and they believe in that these systems must be exist in any
organization.
For giving restricted access to the front end user and full access to the main Finance and
HR authorized person it is possible to configure the software by the user side.
Payroll Management System gives your Management the flexibility of creating Salary
Heads, Salary Formulae, Professional Tax Slab, creating own salary structures and finally
simple click pay slip generation. (Bulwark Systems).
In a study done by KRONOS Corporation (2007) about the healthcare at the cross
southern hospitals in New Zealand's about the time planning, the southern cross hospitals
5
in New Zealand apply the Time Attendance System in a more flexible and serious way
than other organization by linking the human resource system with the payroll system
and time attendance system. The needs of using Time Attendance System come after they
found many problems and mistakes in manual system beside the waste of time to enter
the data manually to the payroll system.
Haris (2003) stated that Database Management System (DBMS) is a software that is
designed to help assist in the maintaining and utilizing large collections of data. The
purpose of the DBMS is to provide an environment that is both convenient and efficient
to use in the retrieving and storing of the database information. In addition, these systems
must provide for the safety of the information stored, despite system crashes or attempts
at unauthorized access. Therefore the demand for the use of such a system is growing
rapidly.
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4. Lots of paperwork, existing system requires lot of paper work. Loss of even a
single register/record led to difficult situation because all the papers are needed to
generate the reports,
5. Time consuming, Every work is done manually so we cannot generate report in
the middle of the session or as per the requirement because it is very time
consuming
By two studies conducted by Jain, S.K., et al. and Tafour (2008), there are several
advantages that we can obtain by implementing those system such as:
1. User Friendly, the proposed system is user friendly because the retrieval and
storing of data is fast and data is maintained efficiently. Moreover the
graphical user interface is provided in the proposed system, which provides
user to deal with the system very easily.
2. Reports are easily generated, easily get daily or weekly or monthly accurate
reports and to manage or monitor the time worked by employees for the
purpose of efficiently processing payroll.
3. Very less paper work, the proposed system requires very less paper work. All
the data is feted into the computer immediately and reports can be generated
through computers. Moreover work become very easy because there is no
need to keep data on papers
4. Computer operator control which will give an automated system in generating
reports, computer operator control will be there so no chance of errors.
Moreover storing and retrieving of information is easy. So work can be done
speedily and in time
5. Reduce the cost of overtime which will enhance the work planning, enhancing
the level of service or product and reducing the waste in time.
7
CHAPTER 3
METHODOLOGY
3.1 Methodology
The method used to complete this final year project are: survey, requirement definition,
system and software design, implementation and unit testing, integration and system
testing and operation and maintenance.. The sequence of the methodology can be
described as follows:
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3.3 System Design
The design of this application program includes several things, among others, modeling
with UML (Unified Modeling Language), database programming with MySQL and be
done with the Java language or Visual Basic.
This stage is performed prior to coding. This stage aims to give you an idea of what
should be done within the system and how it looks on the interface. This stage helps in
specifying the hardware and system requirements as well as defining the overall system
architecture.
The design model will further refine the analysis model in the light of the actual
implementation environment. It will explicitly define the interfaces of the objects and
also the semantics of the operations. Additionally, the developer will decide how
different issues such as DBMSs, programming language features and distribution will be
handled (Jacobson et al. 2004).
3.4 Implementation
Within this stage of programming, the creating of software is diverse into small modules
that will be incorporated within the next stage. Within this stage spot checks on the
module also performed, whether it meets the demanded function or not.
Implementation is the process of organizing the data stored and integrating it with the
processing strategy for testing. This step is the one of the steps in developing this project.
After the system is tested, verified, validated, and evaluated then the system ready to be
implemented and used by the users.
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In order to ensure correctness of the result, the project will do several testing,
verification, validation and evaluation. In this stage, the project will be tested. The testing
of this project consists of verifying and validating the system. All the inputted data is
expected to be the same with the expected output. Furthermore, verification consists of
putting the system through a procedure to ensure that the system is right that the
programs do what they are design to do.
In this step, all the rules will be rechecked to make sure that the conditions is match with
the conditions from information obtained. Otherwise, validation involves testing the
system to ensure it is the right system that it meets the expectation. In this project, the
activity involve is validating the accuracy of the log in procedure that will be given to the
end user. This step will make sure that the log in procedure is exactly the same as the data
obtained from users and thus generate random question based on data stored in the
particular users database. After all those process, then the system will be evaluated. There
will be some improvement taken if the system has not exactly match with the procedure
on what the system are designed to do.
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CHAPTER 4
RESULTS AND DISCUSSIONS
4.1 Introduction
This chapter will present the result of the project. It includes result and discussion of
system requirements, activity diagram and data gained from the survey conducted with
several company executives, trainees and also part-time employees from different
country and companies.
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No. Type of Hardware Minimun Requirement
1. Processor Intel® Core™ 2 Duo
2. RAM 1 GB
3. Hard Disk 160 GB
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1. User
Description :
2. Administrator
13
Description:
14
4.2.4 Survey Result
Survey was conducted to get more information. This survey was conducted
towards 17 respondents within several from several company executives, trainees
and also part-time employees from different country and companies. Within the
data gained from the survey, feedbacks are also gained from small interaction
within the process. The type of survey is online based supported by google survey
and the result of the survey on each question can be seen as follows:
Yes 7 41%
No 9 53%
Maybe 1 6%
Yes 15 88%
No 1 6%
Maybe 1 6%
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3. Do you have any part-time attendance system within your company?
Yes 5 29%
No 10 59%
Maybe 2 12%
4. Do you think a part-time employee attendance system which could show them
their current working hours and payment is good?
Yes 16 94%
No 1 6%
Maybe 0 0%
Yes 15 88%
No 1 6%
Maybe 1 6%
16
6. If there is a system that will automatically generate attendance and payroll
report for the part-time employee, will it be good?
Yes 16 94%
No 0 0%
Maybe 1 6%
Yes 16 94%
No 0 0%
Maybe 1 6%
Yes 12 71%
No 4 24%
Maybe 1 6%
17
9. Will you agree that automated part-time payroll system based on attendance
that is integrating part-time employee attendance, part-time employee profile
database and payroll system will be very helpful?
Yes 16 94%
No 0 0%
Maybe 1 6%
Yes 15 88%
No 1 6%
Maybe 1 6%
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4.2.5 The System
This study has created the system interface designs like below as the basic
concept of the system is like:
The sketch of the interface is the basic idea of how this system should be fully
functional. It is the basic idea on how to link each interface in the system and
what is the purpose and the function of each interface made. As it is drawn in the
sketch, the base function of the system is only 3 functions which are register,
administrator log in and employee log in. Thus, these sketch has already
developed as a full system as below.
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As the employee/user starting up this system, the interface as shown above will be
shown. There are two options within the start-up interface which are “Log In” and
“Register”. In the interface shown above, the picture and name of the company
can be changed as requested by the user company. The “Register” button will lead
the user to registration interface such as shown below.
Log In button are specially designed for the registered employee/user which, it
will called the database to synchronize the employee/user username as password.
Before the system synchronized the employee/user username and password, it
will jump to another interface such as below.
20
Username and password of the employee/user that has been inserted will be
automatically synchronized by the system which the system will decide the next
interface that will appears. If the employee/user is registered as an admin, admin
interface will be showing up (Figure 4.19) and if the employee/user is registered
as an employee, the interface of profile (Figure 4.21) will be appeared. If the
employee/user forgot his or her password, another interface will be appeared like
below. If the user forgot his or her password, only email address is required and
the system will email his or her password.
21
In this interface the employee/user that is registered as an admin could choose 4
main management systems which are: Manage Employee, Edit My Profile,
Change Password and Log Out.
The interface shown in Figure 4.20 shows the database of the employee including
the administrator. By this feature, the admin can choose each of every employee
to manage their attendance, profile, and also payroll. The admin also have the
special privileges to change password as it is requested by the employee. Within
this feature search button also will be included to make the searching of certain
employee become easier. The administrator will have full responsibility on this
database.
22
Figure 4.21 Profile Interface
View Payroll interface design is designed as below where its interface is a form of
a printable payroll which is also been verified by chosen bank that is worked
together with the user company. In this interface, the system will call the
employee name and his or her payment for a month. This kind of payroll is
flexible. It can be printed anytime as it records your printing time and date and the
payroll itself will be reset to 0 (zero) each time the user execute the print
command. From this interface, the user can also check for his or her attendance
and also back to the previous interface and log out.
23
Figure 4.22 Individual Payroll Report
The employee/user can also see their attendance record for the very beginning he
or she enters the company. This attendance record will be recorded automatically
when the employee/user logged in into this system.
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CHAPTER 5
CONCLUSION AND RECOMMENDATIONS
5.1 Conclusion
Attendance and payroll are vital function that has become the primary responsibility of a
company. Payroll main function is to provide compensation to employees in the form of
salary in exchange for their attendance and contribution to the company. Most of
companies have the data of its permanent employee or its full time employee thus, the
part time employee usually stepped aside. Therefore, it would be nice if there is an
application that can cover it all, complete with calculations and database, especially for a
part time employee that works in the company.
This study had proven that this kind of automated part-time payroll system based on
attendance is good project to work on which solved 2 of the objectives assigned by the
beginning of this project which is:
An automated part time employee salary payroll based on their attendance has
shifted everything from manual t automatic which this system automatically
generate a report of part time employee payroll and attendance. Less paper works,
and more secure data saving. Objective one complete.
To store part time employee data and to increase the company business expenses
efficiency through part time employee payment. The part time employee payment
will not miss any single penny throughout the payment since it is calculated by a
system. Each time after 30 days working hours, the part time employee could
print their payroll and proceed to their payment to the designated bank.
This project also offers a differentiation among the other attendance system which this
system allows the user to see his or her working time, their current status of payment.
25
Thus, the users are also given the privileges to edit or update their personal profile within
the system. A lot of positive feedback was also gained during the study. As this project
completed its 2 objectives, this project also gave some benefits directly and indirectly
such as :
1. Display information in more interactive way
2. Removing paper works
3. Safer data storing
4. Automated attendance recording
5. Automated payroll generating
6. User Friendly
7. Indirectly increases the efficiency of company business expenses
5.2 Recommendation
There are several recommendations and suggestions that can be done in the future works.
Interview shall be conducted with more company executives to seek the highest accuracy
of the demands. A part of that, in the future the scope of research project can be expanded
to a broader range, perhaps to permanent employee attendance system.
26
REFERENCES
Bulmark Systems
Grella, B., & Lampron, F. (2005). Implementing an automated incentive plan. Retrieved
1511 12008, from http://www. platea~~.comlpdf/Workspa2n0 051 1. pdf
Jacobson, I., & Ng , P.-W. (2004). Aspect-Oriented Software Development with Use
Cases: Addison Wesley Professional.
Jain, S. K., Joshi, U., Sharma, B. K. Attendance Management System. International
School of Informatics and Management.
Haris, M. H. B. (2003). Automated Payroll System. Mechatronics Industrial Electronics
Kuittho.
Harold C. Relyea. (2000). Papetwork Reduction Act Reauthorization and Government
Information Management Issues [Electronic Version] from
http://www.fas.org/sgp/crs/secrecy/RL30590.pdf
Kronos. (2007). Kronos for Healthcare gives Southern Cross Hospitals the time to plan
ahead. Retrieved 1911 12008, from http://www. .
kronos.com/Aus/About/SouthernCross CS.PDF
Rotchford, N. L. & Roberts, K.H. Part-time Workers as Missing Persons in
Organizational Research. Academy of management Review.
Tayfour, M. H. (2008). Developing Time and Attendance System. Universiti Utara
Malaysia.
Tear, R., & Olsen, M. (1 992). International Hospitality Management: Corporate Strategy
in Practice (Second Edition ed.): Longman Inc.
Wikipedia.com
www.rfidjournal.com/article/print/8573
27
APPENDIX
Yes
No
Maybe
Do you think an attendance system within the company is important, especially for part-time
employee?
Yes
No
Maybe
Yes
No
Maybe
Do you think a part-time employee attendance system which could show them their current
working hours and payment is good?
Yes
No
28
Maybe
If there is a part-time attendance system that is integrated with payroll system will it be a good
system to be utilize by your company?
Yes
No
Maybe
If there is a system that will automatically generate attendance and payroll report for the part-time
employee, will it be good?
Yes
No
Maybe
Do you think that it will be better to integrate between part-time employee profile database with
attendance and payroll system?
Yes
No
Maybe
Do you think it is good to allow user (part-time employee) to be able to view and edit their
personal profile within this system?
Yes
No
Maybe
Will you agree that automated part-time payroll system based on attendance that is integrating
part-time employee attendance, part-time employee profile database and payroll system will be
very helpful?
Yes
No
Maybe
29
If this automated part-time payroll system based on attendance is existed, do you think it is better
to have at least one administrator to control and manage the data?
Yes
No
Maybe
If you have any comment or suggestion regarding to this system, please state below
30