Time Tracking Reports – Why Do I Need Them?
Time tracking reports are essential for gaining a clear and tangible overview of time usage across your business.
Time tracking is one of the most valuable tools you can implement in your organisation. Most project managers, accountants, or anyone in a position of responsibility can benefit from using time tracking to gain insight into day-to-day operations and task management.
Furthermore, as of 1 June 2024, time tracking of working hours has become a legal requirement.
If you’re still uncertain whether time tracking is right for your business, or about the value of time tracking reports, keep reading.
What Is a Time Tracking Report?
A time tracking report is an extension of general time tracking. There is little benefit to using a time tracking system unless reports are generated regularly and you actively monitor monthly trends, ensuring that all employees are logging their working hours.
The advantage of using time tracking is that your efforts are recorded, showing how much time is spent on both primary and secondary tasks throughout the day.
There are many time tracking metrics you can choose to follow, and it's entirely up to you how frequently reports are generated – whether daily, weekly, monthly, or annually. A time tracking report offers numerous smart ways to collect data on how your organisation spends its time.
When Is the Best Time to Produce a Time Tracking Report?
There is no fixed rule on the ideal timing. The general answer is “as needed”, but producing a report once a month is a good place to start. Time tracking becomes critical when you want to use data to enhance your business operations.
It helps you understand the overall health of your organisation, how well it is performing, and which areas could be improved. It can also reveal absence patterns and highlight opportunities for optimisation.
A time tracking report also serves as documentation that your employees have spent their time working on the client’s product or task rather than something else. Often, the time your business estimates for a project may not align with the actual hours worked – making time tracking an essential tool when there are concerns about pricing and project duration. It provides a quick snapshot of how working time has been allocated.
Examples of Effective Use of Time Tracking Reports
Let’s summarise a few good examples of when and how time tracking and reporting can be highly effective:
Proof of Work
A robust time tracking tool enables you to produce reports that clearly demonstrate what work has been completed, and how effective and efficient employees have been throughout the day. It also gives insight into total hours worked and helps monitor accrued holidays and time off.
Remote Work
Following the COVID-19 pandemic, remote work has become widely accepted. Time tracking reports make it easier to manage and plan employees’ working hours remotely, providing visibility into who is working on what – and when.
Team Performance
Time tracking is an excellent tool for boosting team productivity by offering insight into each team member’s contributions and time spent on various tasks or projects. When employees see the efforts of their colleagues, it often fosters a collective drive to perform at their best.
Project Profitability
Not all projects are equally profitable. A time tracking tool is ideal for identifying which projects are worth investing in, based on actual data. If too many hours are spent on a single project, it may become unprofitable relative to its value.
Organise Your Data with Time Tracking
Time tracking reports can help you organise data and boost productivity across your organisation, regardless of department. They contribute to better work quality and offer insights into earned time in the form of holidays, additional leave, and absences.
With Timegrip, you can gain a full overview of your time usage, working hours, holidays, time off, absences, and shift planning. This enables you to run a more profitable business while saving time on administrative tasks.
Contact us today for a no-obligation consultation.
