The way that businesses function has changed drastically over the years due to technology. As a result, keeping track of working hours and managing employees have constantly evolved.
As per a Harvard Business Review study, the American workforce loses over $7.4 billion every day on untracked timesheet hours. Hence, the timesheet has become invaluable to project management teams as it helps officials in keeping track of their projects.
Organizations utilize such tools to focus on workforce productivity and improve overall efficiency. Timesheets help companies optimize their tasking and staffing, leading to increased organizational efficiency. Here’s everything you need to know about the timesheet and how it helps companies stay on track.
What is a Timesheet?
A timesheet is essentially a record of the amount of time an employee works on office tasks and projects. It serves as a project management tool that supports payroll processing, human resource tracking, and accounting.
All these departments depend on data from timesheets to pay employees based on hours spent on projects. Additionally, timesheets help companies to estimate the availability of their teams and track their expenses.
However, in most cases, organization efficiency isn’t merely about keeping track of time. Such tools help project managers optimize everything from task allocation to the productive presence of employees. In short, using timesheets enables businesses to set up an efficient process flow with ease.
Need for a Timesheet
Thanks to modern technology, it no longer makes sense to ask your employees to fill out a time card or form. Managers had to consolidate such daily task sheets resulting in effort duplication and low productivity.
A much more efficient way to keep track of the time spent on a project is to track employee movements instantly and automatically. That is where a timesheet becomes so invaluable to businesses.
These tools help managers in tracking, consolidating, and reporting the time spent by employees automatically. As mentioned above, timesheets make more sense when building a streamlined workplace as it helps ease the load on managers.
A timesheet effectively allows businesses to automate their processes, set flexible timeframes, and reduce micromanagement. As a result, more and more companies now depend on such tools to empower employees and take more accountability for their work.
Benefits of Using a Timesheet
- Helps in orchestrating various departments, taking a load off project managers and HR staff.
- Enables companies to compute time off, overtime, and payroll processing.
- Manage the time available for maximum productivity.
- Provides a platform for managers to organize and schedule work efficiently.
- Enables companies to define the overall scope of their projects and deliver them on time.
- Optimize resource allocation while staying flexible.
- Helps managers monitor the progress on projects and make adjustments as and when required, which results in better relationships with staff.
- Guarantees that the best employees work on crucial projects leading to efficient staffing.
- Prevent employee burnout while also allowing them to have control of their work.
- Significantly reduces the potential for error, leading to more accurate time logs.
Creating a Timesheet
There are various options for managers when it comes to creating the perfect timesheet. In most cases, businesses must consider several factors before finalizing their pick.
The most important considerations include company size, budget, regulatory compliances, and ease of integration. The simplest and oldest method of creating a timesheet involves a pen-and-paper-based filing system.
However, the advent of technology has made this system relatively obsolete as it leads to a loss of efficiency.
A more accepted way of creating timesheets is by using Google Sheets or Excel to create a breakdown of tasks. Such a system helps in saving time and makes the payroll process a lot more streamlined.
However, such timesheets may not be practical for companies that employ a large number of people. Additionally, these require shepherding through departments, which might lead to confusion.
The most commonly used method involves creating an online timesheet. In most cases, third-party service providers develop such options for companies as a tool or a personalised system.
These timesheets display logged hours in real-time and work automatically by auto-filling completed tasks and consolidating reports. They notify managers whenever the sheets are ready for approval and require very little backend support leading to a seamless project workflow.
Things to Know about Timesheets
- Timesheets are crucial to both the payroll and client billing process as it records data related to employee work time.
- Most timesheet software considers several variables while creating the final output. Some of those include pay period, regular and overtime rate, regular and overtime hours, and mileage log.
- Timesheets also help businesses track employee work hours, helping them stay compliant with state and federal regulations.
- Some of the essential features of a good timesheet include customizability, report making, high security and ease of access. Additionally, they must also support auto-fill functions, display real-time data and make it easy to export data and attachments.
- The main steps involved in integrating a timesheet into your workforce is as follows;
- Creation of the project on the timesheet
- Assembling the team to get the job done
- Adding, assigning and allocating tasks
- Designate a timesheet manager to approve the final timesheet
- Ensure all the team members accurately log their hours
- Review the timesheet
- Suggest changes after taking feedback from the employees
- Submit the final timesheet to the Billing department
A to Z of Timesheets
Here’s a quick look at all the benefits, services and features of timesheets that make them so invaluable.
- Accountability to boost employee morale
- Best way to prevent micromanagement
- Deep analysis
- Eliminate manual data entry
- Frees up time for crucial tasks
- Growth of profits
- Helpful to all
- Integration with other services
- Job costing made easy
- Knowledge base with easy access
- Leave management
- Manager approvals
- No more lost timesheets and low productivity
- Overtime tracking
- Price-conscious solution
- Quick to set up
- Real-time data
- Save time and money
- Track time spent
- Uncomplicated and easy to use
- Vendor tracking to maintain client relations
- Work on optimised resources
- X-factor to boost your business
- Zenith of productivity achieved
As you can see, time management can make or break any project and is a crucial component of project management. Timesheets helps managers stay on top of all their tasks with ease, leading to reduced costs and higher efficiency.
Hence, the better your timesheet software, the more successful your project. So, what are you waiting for now? Take control of your business’s resource allocation and project management by switching to an efficient timesheet today!