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Conceptual Framework for Enhancing Payroll Management and Attendance

Monitoring System through RFID and Biometric

Conference Paper · February 2019

DOI: 10.1109/AICAI.2019.8701316

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 Conceptual Framework for Enhancing Payroll Management and
Attendance Monitoring System through RFID and Biometric
Vinod Kumar Shukla1, Nisha Bhandari2
1
Information Technology, Amity University
2
Management and Commerce, Amity University
1
vshukla@amityuniversity.ae, 2nbhandari@amityuniversity.ae
Abstract: Business is basically divided into many functional
areas but one that is crucial and of utmost importance is
people Management department i.e. Human Resource.
Payroll Management in any organization is a very crucial
task. Only if the employees get their salary on time, they shall
be motivated to work. Though the attendance is Biometric,
still there is human intervention in case of leave management
that consumes a lot of time. Performance appraisal is the
most difficult and most important aspect of HR. There is a lot
of document review work which takes a lot of time and also
very cumbersome. Our paper is an attempt to provide a model
where Data Science can help to implement the process for
data collection, data analysis, data cleaning, and data
processing can be done.
Our paper is an attempt to introduce the concept of RFID
based communication; voice data based analysis with
biometric-based properties. This will collectively help to
improve payroll management system, leave management
system and performance appraisal also. Although the
proposed model in the paper has further improvement scope
also, at the same time it provides an efficient approach for to
smoothly implement the payroll management system with
Biometric and RFID technique.
Keywords: Payroll Management, RFID, Performance
Appraisal, Attendance Monitoring, Biometric.
I. INTRODUCTION
To manage payroll management of any organization is an
arduous task. It is always a challenge for a manager to
complete this with 100% perfection. These are the kind of
work which needs utmost attention with complete accuracy.
The Salary is the biggest motivation for any employee in the
organization to work. Salary increments, allowances,
promotion, bonus, all revolve around employee salary. Since
employees end up filling too many forms and documents at the
end of the year, so it’s very time-consuming. Also, the data
that is collected is not as useful as it is not real time.
Eventually, due to this entire arduous and time-consuming task
were undertaken by the employees and HR, the productivity of
the organization dwindles to a certain extent.
978-1-5386-9346-9/19/$31.00 ©2019 IEEE
Artificial Intelligence, Data science, and its added features can
help the management get valuable insights into the employee
performance. With the help of this, the organizational heads
can take the call immediately and on real time rather than
spending time collecting feedback from every employee. Also,
there are many artificial intelligence tools available for
recruiting. With the help of these tools, the system can directly
communicate with the prospects and quickly screen them. Also
with the help of systems, prospects can select the right job and
eventually due to this the recruiters benefit as their time on
screening the candidates is saved.
An audit conducted in a large textile manufacturing company
revealed following:
x Payments were made to employees even for days when
they were absent.
x Several employees reporting late to work and working
beyond their shift hours to avail their benefits of overtime.
x Numerous cases of payroll being processed for former
employees.
All these can be avoided if an automated system is deployed
which can pick these frauds and flash an alert at its inception.
II. LITERATURE REVIEW
Abdul-Kadar Masum, in his paper, talks about the use of HRIS
(Human Resource information system) and IDSS (Intelligent
Decision Support System) model to integrate the entire payroll
management. The model used had three segments input
segment, decision making segment and output segment to
support all reports relating to HR and provided solutions to all
types of problems whether structured or unstructured. This
system shall help the organization with many areas like talent
management, payroll interface, health and safety,
compensations and benefits, performance evaluation, etc. [1]
To make a web based leave management, and payroll
management system, which can be integrated with other
systems with the help of Artificial Intelligence and data
science. With this, the organization will also have an option to
add new features to their system which were not selected in the
traditional system. Masnish singh et at., the proposed system
there will a feature to automatically integrate and link with
biometric attendance system. This will not only make the
system faster but also save the employees from the manual
work of integrating the organization’s attendance system with
the leave and payroll management system. [2]
With economic development, the business is towards large-
scale development and for medium-sized enterprises, the need
to record all the data relating to employees’ wages and other
details increased. In such a situation, to record everything
manually appeared not only inadequate but also very prone to
error.
Zhang Ho proposed a system of database management was
designed to which can store all the information such as adding
new employees, deleting old staff, wage revision, statistics,
and printing operations. With this the office staff can quickly
and easily completes the task of payroll as compared to the
manual system which was taking many days, and resultant
increases the overall productivity. [3]
To design such web based system which can keep a track of
the hours worked including employee data like the basic pay,
all the allowances, deductions if any on the monthly basis so
that all the new disciplines are reflected from the month
onwards and whatever the old data of employees remains
intact. The system works fundamentally on a database which
stores all the information pertaining to the personnel including
all the automated calculations done with regards to deductions,
etc. and eventually printing the pay slips.. [4]
Such a database system will be developed which can be
replaced with the traditional system. The system will have
various modules like, add new employees, change and show
variables (like DA and HRA rates), delete employee module
which shall delete all the record of the employees no longer
associated with the organization. When there are changes
happening on the records of the current employee like basic
pay, designation, etc. the update employee module shall take
care of all that. [5]
Md. Sajjad Hosain, in his paper, talks about the use of E-HRM
(Electronic Human Resource Management) in the payroll
management for best organizational performance. E-HRM
includes all the applications like planning for the labor force,
supply and demand forecast, staffing data, candidate tracking,
information on training and development, salary management,
labor/employee relations, promotion related information and so
on. Further, the studies have shown that E-HRM improves the
strategy formulation and decision making for HR activities. [6]
Jacky Carter, talks about why the HR leaders must experiment
with new technology and methods of Payroll management and
not simply replicate what their competitors are doing with
Artificial Intelligence tools. It shall be challenging for them to
migrate to an automated task based system. [7]
189
Poonamdeep Kaur et al., in her paper talks about why she
proposes a computer-based payroll system to be developed in
accordance with the case she is referring to. Presently the
system being used in her case study is not that developed. So
she proposed a system which is secure and easy to use and also
provides an online access to the employees from any web
ended computer at any time. [8]
Masum A, in his paper talks about the use of HRIS in the
hospitality industry of Bangladesh. Various analyses have been
used like ANOVA etc. to conclude how effectively the HRIS
model can be effectively implemented in the hospitality
industry. [9]
A. Models with Automation and Recent Trends
Sáiz L, in the paper talks about the use of neural projection
models in the implementation of Artificial Intelligence in the
current system of Payroll management. The result has shown
that the technique has successfully detected the HR practices.
[10]
Manuel Luis, in his paper, talks about the use of RFID Based
employee attendance monitoring system. His study aims at
designing a channel that will interface the RFID reader into the
system. With the implementation of the Radio-frequency
identification (RFID) technology in the attendance monitoring
system, time record for any employee at any point in time,
whenever required can be downloaded. The various models
were used for testing and the results were very appreciating
and accurate. [11]
Ononiwu G. Chiagozie, in this paper, talks about the RFID
technology which she proposed to be implemented to record
students attendance and how helpful it would be for the
students as it helps them save a lot of time in filling the
attendance sheet a traditional practice been followed in most of
the universities. Also, it would be very cost effective to
implement the RFID technology which is very fast and simple.
Because of the use of RFID technology in attendance
monitoring, there was real-time information available on the
card. [12] This model can be adapted and implemented in the
organization for attendance monitoring system and further
payroll management system based on attendance.
The organization is often concerned about employee
attendance. Employee’s performance is affected by his/her
attendance in the organization. Unnati A. Patel, in this paper
various computerized techniques of attendance is reviewed.
Based on this review a newly proposed technique can be used
by various organizations. RFID will take auto attendance for
all the employees entered in the organization which will be
directly connected to the payroll management system so that
there is no loss of pay to the employee and they are motivated
to work more. [13]
Fedrick W Webb, in his paper, talks about the technique of
computerized time clock system that includes a personal
computer through which employee data, designation and
schedule records may be constructed and maintained. This
technique of a computerized time clock communicates with the
personal computer and the employee’s to record time-in and
time-out transactions executed by employees. The techniques
used stores all the Current time records and at the end of each
day are routed to the personal computer for inclusion to the
main storage where records of each time-in and time-out
transaction are stored. All types of records like sales are
maintained on the personal computer. [14]
A. Usmani, in his paper, discussed the implementation of
department automation system using web technology. The
author used the concept of data mining for the generation of
reports which are the basis of faculty activities. The said
system was well deployed in the campus. All the records of
faculties were accessible on the system. In future, there is also
scope to incorporate student modules into the systems. [15]
All those cases where the questioner is multiple types and
answer are represented by only option(s), this is the best way
to get this done. Multiple RFID tags are installed along with
the biometric system for the attendance monitoring system.
A complete system of the payroll management system which is
primarily based on the biometric system can easily be
computed with data collected by Biometric and automated
salary calculation system.
The performance management system can be achieved by
biometric along with data collected and processed. Data can be
all voice-based or web-based data collection tools.
Data will be collected, voice-based given by the user, RFID
based from may be ID cards given to the employee.
Collectively all data can be processed at one place and provide
a complete picture of an efficient payroll management system.

Bidisha Lahkar Das, in her paper, talks about the importance
of employee retention in the success of any organization. If the
organizations can provide the requirements like good working
condition, salary on time, leave performance appraisal, suitable
working hours, etc which shall provide them with job
satisfaction. The employee shall be endured to work hard and
in return shall increase the productivity of the organization.
[16]
Bondarouk, T.V., and Ruël, in his paper, talks about the use of
various EHRM models in the in the human resource
management which help them get positive results on the
various factors of people management. This was supported by
using the model in a ministry organization in the Netherlands.
[17]
Samaduzzaman, M. and Zaman, in his paper talks about the
use of the various EHRM models covering various activities of
employees like recruitment advertising, application tracking, e
selections, performance appraisal electronically etc. and its
relationship with the financial performance of the organization.
For this various studies and research were conducted on
various service sectors in Bangladesh. The Results have shown
various positive results. [18]
The entire process can be viewed as two subprocess. As these
two sub-processes will also address leave management and
approval along with performance appraisal. Fig.1 is a logical
representation of performance appraisal management.
(1) Data Collection for employee attendance monitoring
(2) Data Collected for payroll management.
A. Employee Attendance Monitoring
Attendance can be recorded with the help of given RFID card,
which can also work as employee ID card in the organization.
Employee RFID enabled card will be a key to activate
biometric-based application which will work only in the
organizational network (Intranet). Attendance system login and
logout will be completely decentralized and will not be based
in few devices spread across the organization. Rather this can
be from anywhere anytime but with limitation to organization
Intranet.

III. RESEARCH METHODOLOGY

Our objective in this paper is to introduce a model for
automatic employee attendance and at the same time collect
various types of other related data, which will be used in
performance appraisal. In our methodology we have used
RFID tags for data collection, we have also used voice data for
data collection and data analysis, for example, when we
conduct a survey or there is a long list of questioner which
needs to be filled by employee, to minimize the effort and to
save time speech recognition is implemented in this model. Fig. 1. Logical representation of performance appraisal database

190
User login in attendance monitoring application his/her
mobile/laptop for attendance login/logout. First interface will
be scanning employee RFID. After a successful scan,
immediately anyone biometric (person image, figure print) will
be captured with the help of scanning webcam. This is a
completely full proof system as attendance application will be
downloaded and will work on the authenticated mobile/laptop.
So in order to do this user has to register his/her mobile/laptop
with the organization. Once authenticate attendance is
captured, many problems related to payroll management will
be solved. Fig.2. is a flow of attendance recording process.
This can solve the problem for payment for those who are
working hourly based/ weekly based /project-based/contract
based. As this will completely eliminate the confusion of
person availability or false attendance. This way this will help
for the more efficient payroll management system. Because
double check is done, that application will work only in
organizational network and second, this will work only with
registered devices. This application has an added advantage
over database based attendance system and also over desktop-
based/web-based attendance monitoring system. As this
system integrate biometric also, this makes this more relevant.
This system works on the concept of the thing which is given
to employee (RFID card) and the thing the only employee has
(Biometric) makes this more trustworthy.
This system will also help an employee to maintain and
calculate no of hours for the overtime. Each organization has a
policy for the number of hours to be contributed as overtime
by each category of employee. So this will also help to keep an
updated record with the alignment of a number of hours as per
local city/state policy. In this entire process, no human
intervention is required and this can be a completely automated
process for the attendance monitoring system.
Fig. 2. Flow of attendance process
B. Performance appraisal system
Performance appraisal is a tedious task, as this is very paper
intensive and also comprises lots of processes. As for each
191
performance appraisal, there are so many questions and
description need to fill by the employee, that sometimes this
makes the process very heavy for the employee as well as for
HR department.
In this sub-process, we are proposing the voice-based data
collection. So all performance appraisal based data collection
can be done on voice data, which will be given by the
employee. As voice-based speech recognition may have some
problem, so in this model, we have proposed this concept only
for those forms which have multiple choice questions and for
all those questions which have one word or only a few words
as the answer. Again this can be recorded and submitted to
performance appraisal system. Where all data can be processed
with other automated process.
C. Benefits from Automation
As this is evident that time will be saved for employee and as
well as for the HR manager too. This will also help to store
each employee details in a more classified way. This will be an
asset to the organization. This collected information will not
only help in attendance monitoring, payroll management, and
performance appraisal but at the same time collected data, will
provide information about employee working pattern,
behavioral pattern, the relation between login/logout and leave
management. At the very same time voice data analysis this
can also be identified that in which question employees are not
comfortable to answer or feel very happy to contribute.
IV. CONCLUSION AND FUTURE WORK
Our paper provides a complete picture of automated system
where manager input for payroll management/ performance
appraisal system will be minimized. This model presents an
efficient way of the attendance monitoring system. At the
implementation side, it does not need any expensive
technology. Today RFID based card are very affordable and
voice-based/web-based voice and image capturing technology
are easily available in an affordable way. Installation and
maintenance is also not expensive of these technologies. At the
same time, this will provide a more efficient and structured
way for data collection and processing, which can reveal many
hidden patterns about employees in an organization.
REFERENCES
[1] Abdul-Kadar Masum, Department of Administrative Studies
and Politics The International Arab Journal of Information
Technology, Vol. 15, No. 1, January 2018
[2] Manish Singh , Prachi Singh , Rohil Singh , Shubham Singh,
Shiwani Gupta5 B.E (C.S.E) Mumbai University 1,2,3,4
Assistant Professor, TECT, Mumbai 5, IOSR Journal of
Computer Engineering (IOSR-JCE) e-ISSN: 2278-0661,p-
ISSN: 2278-8727 PP 62-66 www.iosrjournals.org
[3] Zhang Ho -“Salary management system for small and medium
sized Entreprises”- 2012 International Confrerence on Allpied
Physics and Industrial Engineering
[4] Kritika Mahajan, Shilpa Shukla, Nitasha Soni (2015) “A
Review of Computerized Payroll System” University of
Lingaya, Department of Computer Science.
[5] Pavitra Rani Gautam, Sugadev Ragumani and Y.K. Sharma
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Resources Management (IJHRM- 2107
[7] Jacky Carter - Hays Journal 14LR- Issue14 2017 “Global
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[8] Poonamdeep Kaur, Dr. Dinesh Grover (2012) “Computer Based
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Monitoring System for LSPU SPCC”- 2015
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[12] Ononiwu G. Chiagozie “Radio Frequency Identification (RFID)
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[13] Unnati A. Patel- “Development of a Student Attendance
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International Journal of Advance Research in Computer Science
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[14] Fedrick W Webb – Time Management Corp
[15] Secured Administration and Management of PertinentData
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Khan, Mustafa Kazi, Aadil Bhatkar, Shuaib Shaikh Computer
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[17] Bondarouk, T.V., & Ruël, H. M. (2005). Does E-HRM
contributes to HRM effectiveness? Results from a quantitative
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