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Digital Employee May Help Small Businesses

With the fourth quarter already underway, employers have less than three months left to improve balance sheets and prepare for 2015. According to a new study by EnableSoft, a software company that helps small businesses eliminate the burden of routine data processes without programing, the addition of one new data entry employee can result in close to $58k in increased costs.  The study looked at several factors, including replacement/rehiring costs, health benefits, paid leave, retirement benefits and supplemental pay to add a data entry position to staff.


In response, the company developed a way businesses can become more productive with fewer resources, focusing on their bottom line sales growth.  Foxtrot Software automatically performs the same routine data entry and maintenance tasks that would otherwise be handed off to two or three full-time employees. Termed the “digital employee”, the software requires no training and allows administrative dollars to be reallocated to high-value areas like customer service or product development.

According to the U.S Department of Labor Statistics, second quarter figures include paid leave costs (6 percent of total compensation) and health insurance (8 percent of total compensation) as some of the most expensive for employers.  However, it is the time and cost needed to fill that position – accounting for 12 percent of the total compensation cost – that can be the most difficult to bear. When added to a $35,000 salary, these add-ons drive the total cost of employment to over $57,000 annually. This figure does not account for the “soft” cost of lost productivity during the new employee’s onboarding time, which also increases the total cost of employment.

“Employers need people to populate Excel spreadsheets, enter data into accounting software packages, and update pricing information on their website. Moreover, they need it done yesterday.” explained Richard Milam, Founder and CEO of Orlando-based EnableSoft. “Manual, unstructured processes like these are critical to any operation. However, since every organization is looking for help at this critical time of year, good people can be hard to find and train quickly. ”
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