What is employee time tracking?
Employee time tracking is a function that is used to track the amount of time an employee spends on particular assigned tasks. Tasks usually fall under specific projects. Tracking employee time is an important way for many businesses to be able to bill their clients for a project.
Reviewing the number of hours spent on a task or project is also useful. Managers who want to tight efficiency and optimize employee productivity will check them closely.
If the number of hours tracked on a task is too high, team leads can set the employee’s tracked hours against a standard or baseline and address with the employee directly.
It is also useful for the future. A record of time tracked hours can help project managers give a more accurate estimate of project hours for a proposal.
How does employee time logging work?
Time tracking can be done using a simple check-in, check-out or start-and-stop timer system. Employees can start the clock when they’re performing an assigned task and then hit stop to record the amount of time spent on a task.
The timer is usually running in the background. If there is cyber-slacking or other distractions (like incoming emails), it will be reflected in a higher amount of time tracked. In this case, the employee can adjust or speak to a team lead to help create a better focus during time tracked.
How time tracking for employees contributes to business profit?
Usually, time-tracking works within either accounting software or project management software. So the time logged can automatically be connected to a project and to invoices. This saves a lot of time compared to manually append projects with time sheets.
Yes, team leads and project managers can give a more accurate estimate to clients. But, at the level of business decisions, Time tracking can reflect gaping holes within the present employee pool.
If it’s an individual issue, a manager can follow up. But if it is an issue across the board (such as time wasted because of poor collaboration software), then technology can be introduced to address the issue.
It also means that telecommuting and remote working are an option that management can present as a “perk” to employees, making it attractive to the best talent. It can make for smarter hiring going forward. More, it can even reflect the kinds of projects a company should focus on as this seems to be the place where employees are working the strongest.
Simplify your business with MoneyPenny’s employee time tracking app
MoneyPenny’s employee time tracking app is one of those lightweight but powerful software solutions. MoneyPenny hooks into all aspects of running a successful business. Using the app automates all the administrative details. Hours logged are connected to projects and reflected on invoices that are generated with a click of a button.
Furthermore, decision makers can choose to review the aggregate hours logged. This will help them understand what kinds of projects to take on, if roles need to be assigned better or how many projects can be taken on at a time.