What Is Data Entry?
Data entry is the inputting of raw information onto a computer system and employees in data entry jobs need good, fast and accurate typing skills.
Companies need information to survive in today's competitive marketplace and it needs to be in a form that helps senior management make informed marketing and accountancy decisions which will affect the future direction of their business.
Most senior managers regard their time as too valuable to be bothered with what they see as the mundane task of simply inputting raw data into their centralised systems. They regard their job as more decision-maker than word processing clerk. So data entry work is delegated to a more junior member of the team.
In data entry work, the main problem with delegation to current employees is one of logistics. To enter data at a company's office requires first of all, physical space, secondly, access to a computer terminal and thirdly, extra time spent on payroll and employer tax and deductions for the employees.
Many companies are now beginning to realize that outsourcing data entry work is a more economically viable alternative, reducing fixed costs such as extra space, heating and the costs of depreciation on their computer system and of course the extra electricity required which may not fit in with the ethos of an environmentally aware company.
There are many reasons why companies need data entry operatives, the most common being the updating and maintenance of database driven systems.
If a company has a large mailing list for example, then keeping track of address changes and customer details is of paramount importance. If contact with a customer is lost, then the possibility of future sales to that customer is also lost. It has been proved that it is easier to sell to an existing, satisfied customer than acquire new ones.
Likewise with accountancy.
An organisation must have basic information to make decisions that will possibly affect future operating profits. Every time a purchase is made, the invoice needs to be entered onto the company system. This data entry needs to be done on a daily basis so that a tight rein can be kept on spending. Sales must also be dealt with in the same manner. Otherwise a false profit or loss may show up and management will be making uninformed decisions which will ultimately affect their bottom line.
So there are opportunities in the field of data entry as regards employment.
There are three main routes into employment in the data entry jobs field. The traditional route to employment means that you can look in the job classifieds of your local paper for in-house work. While plenty of opportunities exist for word processing work in-house, the overall prospects for the next few years indicate a slowdown in the number of data entry jobs available.
Another approach is to find data entry work with an agency who deal specifically with office administration work. The agency will charge the employer a fixed rate for every data entry hour worked and you as the employee of the agency will get a percentage, the agency getting the rest.
That way, the company does not have any responsibilities as an employer, apart from the obvious health and safety issues. A good agency will ensure that you are given regular breaks away from your terminal and proper working conditions to avoid eye strain and possible RSI (Repetitive Strain Injury) or carpal tunnel syndrome.
Traditional employment agencies, despite their seemingly obvious advantages to the employer have their own drawbacks.
Firstly, because the agency is in the business of making a profit by bringing employer and temporary employee together, average wage rates tend to be substantially higher than the costs of normal employer practice of in-house employment.
Also, employers worry about security. To have a temporary employee having possible access to company secrets, either through the computer system or simply listening to other employees at the water cooler is a major concern for some businesses, industrial espionage is big business and the easiest way is to get a fake employee into a competitors business and get them access to the computer system. Some employers limit access to their systems so the data entry operative can only see what he or she is allowed to see but in most companies, security is so lax that it would be easy to gain unauthorised access to other parts of the system.
A third alternative which is rapidly gaining in popularity is the work-at-home agency. For employer, agency and employee, the system has obvious advantages.
In many systems, the employee is given a \“dashboard\” which resides on their own PC and this is connected to the agencies computer, a special piece of software converts and uploads the entered data to the employers computer. Upon completion, payment can then be issued.
For the employer, the security risk of a stranger on the premises is eliminated. For the agency, operating costs are reduced as they will not have to insure the employee against accidents on the employers premises and they also do not run the risk of being sued for possible data theft by an unscrupulous agency employee.
Because of these lower costs, the agency can afford to lower its charges to the employer whilst still maintaining their own profit margins while still paying the employee a fair wage.
For the employee, there are numerous advantages in the work from home system. There are no travelling costs involved, everything is done via the internet, also employees are not bound by office hours. If they wish to work at 2 AM then so be it. As long as the work is done by the time specified and is accurate then agency and employer are satisfied and payment is forthcoming.
Unlike many so-called work at home opportunities, home data entry, although it doesn't sound very glamorous is a way of earning a living from home and if the standard of work is good enough then repeat work for the employee will be assured, and quite a good living can be made.