How Aker Philadelphia Shipyard Lowered Costs with Kronos Workforce HR and Payroll Solutions

Aker Philadelphia Shipyard, Philadelphia, Pa.

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Data Integration Helps Shipbuilder Trim Costs

One of the few U.S. shipyards constructing container vessels and product tankers with a workforce of 800 shipyard employees and 500 subcontractors.

How Aker Saved: Aker achieved savings of $220,000 annually by deploying workforce management modules from Kronos to automate its HR processes and consolidate all employee data into one system. Savings came from cutting payroll error fees, laying off one payroll administrator, reducing rework for HR staff and eliminating 90 percent of errors.

Tools Used: Kronos Workforce HR and Payroll solutions

Time Frame: Deployed in April 2004, Aker saw 110 percent ROI in less than a year. Implementation completed in 2005.

Build Up Your Team

Training shipyard employees is a critical aspect of Akers business. Having a pipeline of permanent, skilled workers decreases the need for expensive subcontracted employees. The new HR system allows the team to track training schedules and required hours to make sure Aker is maintaining a strong, skilled internal workforceand keeping them safe.

Invest Now for Later

The pressure is always on to trim IT costs immediately. But being thorough now can help you save later. Aker began its integration initiative in 2004, but it is still experiencing continuous improvement, says Aker CTO Michael Boeckx, because careful research helped him assess the situation from every angle and find a cost-effective solution that saved time and increased productivity.