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Case Study #07 - Graeters Ice Cream

Graeter’s Ice Cream Chills Costly ‘Buddy’ Punches at its Manufacturing Plant

May 20, 2006
Graeter’s Ice Cream Chills Costly ‘Buddy’ Punches at its Manufacturing Plant

Industry: Retail
Application: Time and Attendance
Biometric: HandPunch®
Users: 60
Geography: United States

“I believe that the HandPunch® has paid for itself by allowing employees to punch in and out for breaks. It also compels people to abide by the rules.”
- Richard Graeter, executive vice president, Graeter’s Ice Cream

Summary
Old-fashioned ice cream maker Graeter’s of Cincinnati uses Ingersoll Rand Recognition Systems biometric HandPunch® to stop the costly practice of “buddy” punching at its manufacturing plant.

Business Need
Venerable Ohio-based Graeter’s Ice Cream has a 131-year heritage of uncompromising quality. Four years ago, the company was searching for a time and attendance system that would curb “buddy punching,” a potentially costly practice where employees clock in for others who are late or absent. Instances were on the rise at the Cincinnati plant, which operated without a night-shift manager.

Challenges
Graeter’s Ice Cream’s manufacturing plant employs 60 people. Hourly employees clock in and out at the beginning and end of each workday, and for all breaks, including lunch. It is possible for a worker to clock in and out eight times a day. The company’s standard punch card system tracked employee hours and compiled summary reports, but did not verify whether the employees were actually working when they claimed they were.

Solution
Employees at the plant now punch in and out with an Ingersoll Rand Recognition Systems HandPunch biometric terminal. The terminal eliminates the expenses associated with timecards and prevents buddy punching.

Instead of filling out or punching timecards, employees place their hands on the HandPunch. It takes a three-dimensional reading of the size and shape of the hand, and verifies the user’s identity in less than a second.

“The HandPunch keeps a clear and irrefutable record of everyone who was there [at the plant],” said Richard Graeter, executive vice president of Graeter’s Ice Cream. “I can view all the records on a computer that is hardwired to the HandPunch terminal.”

Graeter said that employees accepted the terminal after he explained that the readers simply measured their hands to identify them and that no information was being passed onto anyone outside the payroll department.

Results
Graeter handles the entire payroll process himself. It used to take several hours to prepare the hourly worker payroll. The HandPunch system has reduced that time to less than an hour.

The new system streamlines the entire payroll process. Every week, Graeter reviews employee hours, prints out a summary report and sends it to company supervisors for their review. The weekly reviews alert supervisors to attendance or scheduling issues much more quickly than was possible under the old system. Once employee hours are approved, Graeter simply creates a file and sends it directly to Graeter’s payroll service for processing.

In the four years that Graeter’s Ice Cream has used the HandPunch, Graeter said he has had no problems.

“I believe that the HandPunch has paid for itself by allowing employees to punch in and out for breaks,” Graeter added. “It also compels people to abide by the rules.”

About the company
Graeter’s Ice Cream was founded in 1870 by Louis C. Graeter. Today, the company’s French Pot ice cream – ice cream made two gallons at a time – handmade chocolate confections, and fresh baked goods are Cincinnati traditions. The fourth generation of the Graeter family faithfully uses recipes and production methods that date back more than a century. In 1995, the family completed a major renovation and expansion of its manufacturing plant, which was purchased in 1934. Graeter’s operates 12 stores in Cincinnati neighborhoods, and has 22 franchised stores in Ohio and Northern Kentucky. In addition to the 60 people employed at the manufacturing plant, the company employs 240 people in its retail shops. More stores are planned to keep pace with Cincinnati’s growth.

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