The Importance of Time Tracking
Remember your time tracking, you’ve probably heard it before. Understanding how you use your time, both personally and professionally, requires time monitoring. It is essential for efficiency, understanding, and a productive workflow. Each individual in a company or in a society at large must be aware of how vital this is. Time management is essential whether you’re an executive, a manager, or a team member.
However, there are a lot of questions that arise when it comes to business, such as: How do I monitor time? Which time-tracking system is the best? How can I put time tracking for projects into practice? What are some recommended practices for time tracking? We’ll do our best to address every one of them in this blog.
How does time tracking work?
Let’s get right to the beginning. The practice of recording an employee’s working hours is known as time tracking. The number of hours spent on activities or projects is then used to determine how much an employee should be paid.
Time entries are utilized not just for payroll, but they are also a secure means for managers to determine how much time it takes to perform certain work and where an employee is spending their time. Knowing which jobs take up the most time will enable you to consider if that time was well used. The jobs that take the longest to accomplish or that don’t necessarily add the most value are the ones that take the most time.
Advantages of time management
The information that each employee learns via time tracking may frequently be eye-opening. How much of your time do you spend online surfing, going through your mailbox, or searching through a tonne of files for a certain document? These are sometimes thought of as unimportant everyday tasks, but when added together, they account for some of your workweek’s most time-consuming non-billable activities. According to a study on timesheet completion by Harvard Business Review, the U.S. economy loses a healthy $7.4 billion in productivity per day as a result of employees who fail to report their hours worked.
The many advantages of time monitoring for businesses include:
1. Make work transparent
Making time registrations a regular part of your workflow can immediately increase the transparency of your company. It gives you information about the tasks being done and how long they will take to finish, enabling you to keep track of the working process. Additionally, you begin to see which tasks are routinely neglected and begin setting better priorities for your workload. In the end, time monitoring systems also give workers a wider picture. They may review their workloads in the past and increase productivity when necessary while also keeping track of what everyone else has been up to.
2. Helps in employee accountability
Employees are more concentrated since they are aware that they must record the hours they spend at work, thus they must register their time. Everyone now recognizes that time is running out and makes an effort to work as hard as they can. Employees will begin to identify trends and patterns in their work hours by taking a look at their week, and they will make an effort to reduce non-billable labor.
The capacity to think critically and adjust is what time tracking gives to the team. Consider this:
- Did the task contribute to a bigger objective? (Example: the store’s mission)
- Was the work really that vital to require so much time?
- Could the time have been used more judiciously and with better effect?
- Did the task further a personal or professional objective?
- What actual modifications did the job make?
It’s time to think about if something may be improved to make your workflow more effective and efficient once you’ve answered some of these questions. Could the workload be better organized? Have you ever had to wait for someone or anything before moving forward? Does the hardware or software need to be updated? What made the procedure irk you? Modify it.
3. Brings detailed analytics regarding your billing and operational effectiveness
Time tracking is essential to enhancing operational effectiveness, for example, if you run a repair store, it’s very important to keep a check on the time spent on each repair, so you can understand, what to charge for each repair. Because you are paying employees hourly and you have to keep your store in profit by adjusting the bills through your repairs.
4. Helps you to manage resources efficiently
A crucial indicator of resource requirements is time spent. It reveals if a sales department needs additional labor or other resources, and it enlightens you as to which team members are most valuable. For the team and the business as a whole, this knowledge is essential. Perhaps only one individual does the bulk of the labor. In that case, it may be necessary to make certain changes to level the playing field for everyone, such as redistributing or sharing tasks and responsibilities.
5. Keeps monitoring the blowout of the budget
What is the best strategy to stay on top of your store’s real budget? Time tracking once more! You don’t need to take any further measures to determine how much of the budget has already been spent since employees log their time on projects and tasks on their timesheets. Simply make sure that the hourly charges and rate cards were set properly.
Use customclockin to avail of all the above advantages for your business.