
Jira
Time tracking software is a tool used for tracking the time employees spend on specific tasks during a project. The reports derived from time tracking solutions help project managers plan accurate project schedules.
Time tracking tools are a part of the larger software categories of project management solutions and professional service automation software. However, they are also available as stand-alone tools with specific functionalities required for tracking the time employees spend working on projects.
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Tracking the time employees spend on a certain task or project is important for many reasons. An obvious one is that it helps project managers create more accurate project deadline estimates.
And while project managers might be able to track time by manually logging hours on Excel sheets, a better way to do this is to use software specifically designed for time tracking.
Time tracking solutions help project managers dodge error-prone, manual methods of tracking time. Additionally, they can analyze generated reports to understand factors that influence employee performance.
That said, there are many time tracking solutions available on the market that differ in functionality, pricing, and deployment. Businesses should carefully evaluate all these factors to ensure that they don't invest in the wrong software.
In this buyer's guide, we'll look at factors that can help businesses in selecting the right time tracking tool.
Here's what we'll cover:
What Is Time Tracking Software?
Common Features of Time Tracking Software
What Type of Buyer Are You?
Key Considerations
Time tracking software is a tool used for tracking the time employees spend on specific tasks during a project. The reports derived from time tracking solutions help project managers plan accurate project schedules.
Time tracking tools are a part of the larger software categories of project management solutions and professional service automation software. However, they are also available as stand-alone tools with specific functionalities required for tracking the time employees spend working on projects. These functionalities are discussed in greater detail in the section below.
Time tracking in Toggl
Time tracking solutions come with a range of functionalities that help businesses not only track employees' performance but also create billable hours reports to be sent to clients.
Below we look more closely at some of these functionalities:
Time entries |
Record the time employees spend on tasks with details such as the type of task and total hours/days spent—categorized by client, project, or other parameters. |
Timesheet management |
View employee time records as a list (traditional timesheet) or on calendars (graphical timesheet). Create workflows allowing employees to send time sheets to managers and other stakeholders for approval. |
Reporting and analytics |
Generate reports showing time spent on tasks and revenue earned by projects Filter these reports by employee, project type, client, team, or timeline. |
Invoicing |
Generate invoices based on billable hours to charge clients for services. Automatically calculate amounts based on hours, using multiple billing rates, any discounts, taxes, and other information in the invoice. |
While these are the common functionalities of time tracking solutions, businesses should remember that every solution differs in the depth and breadth of functionality.
For instance, some solutions offer mobile time tracking, which would be a useful feature for businesses that need to track the time of their field staff.
Listed below are the two time tracking software buyer groups, categorized according to their business size. Understanding their key concerns will help you identify and purchase the right time tracking software.
To correctly identify the time tracking tool that suits your business requirements, you should analyze more than just the features and consider additional factors such as deployment options and advanced functionalities.
Here are key considerations every business should keep in mind when purchasing time tracking tools:
Note: The applications selected in this article are examples to show a feature in context and are not intended as endorsements or recommendations. They have been obtained from sources believed to be reliable at the time of publication.