Paid Time Off (PTO) Management Automation

Overview

The organization required a structured and automated Paid Time Off (PTO) process integrated with project approvals, timesheets, and payroll. Standard Microsoft Dynamics 365 Finance & Operations (D365FO) functionality did not support project-manager-driven PTO approvals, automated timesheet generation, or direct payroll alignment.

DAX Software Solutions designed and implemented a custom PTO management solution to streamline leave requests, approvals, and payroll impact while maintaining data accuracy and auditability.

Scope

• Designed a PTO request process for employees
• Implemented approval workflows routed to project managers
• Automated creation of timesheets for approved PTO
• Integrated approved PTO entries into earning statements
• Enabled reversal logic for PTO cancellations

Key Activities

• Requirement Analysis: Captured HR, project, and payroll requirements for PTO automation
• Solution Design: Defined end-to-end PTO lifecycle from request through payroll
• Development: Built a custom PTO portal and workflow logic in D365FO
• Integration: Linked PTO approvals to timesheet and earning statement generation
• Testing & Validation: Conducted functional testing and UAT across PTO, timesheets, and payroll
• Documentation: Delivered user and administrator documentation

Outcome

• Implemented a complete PTO management solution integrated with payroll
• Improved accuracy of earning statements
• Reduced manual PTO tracking and processing
• Increased transparency through structured manager approvals
• Improved compliance and audit readiness