Modernizing HR and Payroll Processes for DTRT Apparels

DTRT is a socially responsible apparel manufacturer based in West Africa. Founded on the principles of ethical production and economic empowerment, they’ve grown into a powerhouse with over $150 million in annual revenue. Committed to sustainability, DTRT employs over 5000 people and plays a vital role in the region’s economic development.

Challenges:

DTRT Apparels’ reliance on manual HR and payroll processes using Excel resulted in several challenges:

• Manual data entry- Data from biometric attendance systems was downloaded and processed in Excel sheets, a time-consuming and error-prone process.
• Complex calculations- Salaries were calculated using formulas in Excel, factoring in overtime, holiday work, bonuses, and cost-of-living adjustments. This approach was complex, prone to errors, and difficult to manage.
• Limited reporting capabilities- Generating reports for compliance, employee analysis, and departmental summaries was time-consuming and prone to errors with Excel.
• Compliance challenges- Ensuring adherence to overtime and other labor regulations was difficult with manual systems.

Solution:

Recognizing the need for modernization, DTRT partnered with Auriga to implement a comprehensive HR and payroll management system powered by the ERPNext platform. This open-source solution offered the flexibility to configure and customize the system to perfectly match DTRT’s specific needs.

Key Features:

• Automated Data Integration- Data from bio-metric systems was automatically integrated into the ERPNext Platform, eliminating manual data entry and reducing errors.
• Streamlined Payroll- The system automatically calculated salaries considering various factors like overtime, bonuses, and allowances, ensuring accuracy and efficiency.

• Enhanced Reporting- The system generated various reports, including:
  • Employee details- Employee register with information like bank accounts, pay structure, and leave details.
  • Attendance analysis- Reports on employee attendance, overtime hours, absences, and leaves.
  • Payroll analysis- Breakdown of salary components like food, transportation, overtime, bonus, and cost-of-living allowance.
  • Compliance reports- Reports for regulatory bodies, ensuring adherence to overtime and other labor regulations.
  • Departmental reports- Reports on staffing strength, employee types (permanent, temporary), new hires, and employee exits, categorized by department.

• Shift Management- The system efficiently manages employee scheduling and tracking for multiple shifts.

Impact:

• Increased Efficiency- The system automated manual tasks, saving time and reducing human error
• Improved Accuracy- Automated calculations and data integration ensured accurate payroll processing and compliance
• Enhanced Compliance- Automated reports simplified compliance with regulations and labor laws.
• Better Decision Making- Data-driven insights from reports empowered informed decision-making about workforce management and resource allocation.
• Simplified Shift Management- The system efficiently managed employee scheduling and tracking for multiple shifts.

This case study demonstrates the positive impact of implementing a robust and customizable HR and payroll management system for large-scale manufacturing companies