8 Reasons Why You Need Time Tracking in Your Project Management Software

Every business is always striving to create a perfect working atmosphere where maximum productivity can be achieved. To make sure that this occurs, it is essential to rely on the right project management tool. One of the particularly important features is time tracking.

It is the perfect solution for many people because it brings various benefits to a company. Let’s take a look at why time tracking is an important feature your project management software should include.

It is the best way to Improve Productivity


Managing tasks is a great functionality that these software tools have, however, without time tracking, it becomes more challenging to keep the productivity high. But, as this feature is included with good project management software tools, it will make it possible for you or your managers to significantly improve productivity.

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With a clear overview of the project timetable, the project manager can keep every single team member in check. After months of using such a software tool, you can expect your team productivity to increase gradually.

Remember that improving the process requires a way to measure it. This is precisely what you get with a time tracking tool.

You get to know your Team Members

Project management is a very challenging task, especially if you are working with a lot of team members. Every person has a different working rhythm. However, with the right approach, a project manager can easily start understanding how well every team member is performing.

Time tracking is the perfect tool to determine how a particular team member approaches different types of tasks. Over time, this leads to the manager better knowing the team he or she is working with. The better the manager knows his team, the better he or she is going to be able to determine the task flow.

Once a couple of projects are finished, the manager will be able to maximize their team potential, as he is going to better know and understand every team member.

Easier Future Deadline Estimation


The more time a project manager uses the time tracking feature, the better his ability to estimate project deadlines is going to be. The manager simply knows what amount of work can be delivered daily, making it possible for him or her to set a more precise deadline.

Why is all this important? Well, every project comes with business costs. The more precise a project deadline estimation is, the better the budget is going to be set as well. Your business will be less likely to face any unexpected costs, especially if the company counts hundreds or thousands of employees.

Company Authority

Businesses working with other businesses need to be able to always deliver what they promised. Imagine working with several different companies, and you miss the deadline for every project you promise. Over time, your business will start being perceived as unprofessional. This can severely affect your business performance.

Therefore, it is necessary to use time tracking for delivering projects within the promised deadline. This is something many businesses forget about, which leads to a drop in the number of clients over time. It is essential to always deliver your promise, and this is where time tracking comes in as a perfect part of the project management software puzzle.

If you are looking for a way to prove how reliable and professional your company is, it is necessary to utilize time tracking.

Complete Insight in Every Project


Time tracking is perfect for closely following projects of all types. You can precisely see how much time was required for every separate task. This amount of control was practically unimaginable only two decades ago.

With time tracking software, you can follow how much time is needed for the completion of every task. This opens up the possibility of handling unpredicted prolongation of individual tasks. Managers can reorganize things quickly to successfully deliver on the set deadline.

Easy Payroll Management

Project management tools can be easily integrated with other software tools. This extends the applicability of the data collected. All of the recorded working hours can be used for payroll management, if the salary is paid per hour.

This makes things much easier for the HR and accounting department, who find this type of data necessary. It simply makes it possible to more easily automate the payroll management process.

Also, if you need to send invoices to your clients, it becomes a much easier task to complete.

Handling Multiple Projects

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Every business works on several different projects at one point. Even though, by that time, your team will become a well-oiled machine, there are limits as to how much they can do. Time tracking is a perfect way to start understanding the team’s limits. This is not only important for project management, but for future negotiations with other companies who require your services.

The project manager can use the data to create reports about the team’s limits, and determine whether it is necessary to hire more employees, or outsource a particular task.

Easy Collaboration


If you are running a business that often outsourced business processes, it is a much better option to use time tracking. First of all, you are protected from overpaying for the work you are outsourcing, as you precisely know how much time the person has invested in completing every task.

It is an effective way of making collaboration much easier.

As you can see, time tracking is a very practical feature of a project management software tool. Therefore, make sure that you pick one that has it built-in. It is going to pay off significantly in the long run.

Author Bio:

David Miller is a technical writer currently associated with ProProfs Project. He enjoys writing about emerging project management software and its latest trends. He lives in Detroit, Michigan with his wife. In his spare time, David loves exploring the city, listening to Metal music and riding.

6 thoughts on “8 Reasons Why You Need Time Tracking in Your Project Management Software

  1. As we are discussing about Project management, let me introduce a project management tool, ProofHub. ProofHub is online project management and collaboration software that helps you to plan, organize, collaborate and delivers projects on time. ProofHub has the right tools to keep work organized. Keep all documents, designs and conversations in one central place.
    Take a look at https://www.proofhub.com/

  2. For project execution on its time and to track the time spent on every single task, you need to follow a PM software. I’d like to recommend ProofHub for it. It is an online project management and collaboration tool allows start-up CEOs to create an unlimited number of tasks, assign tasks to your team members and organize your to-do list to suit your needs. It is web based project management and collaboration software with inbuilt time tracking software that helps you easily manage projects, schedule, discuss, work and communicate with your clients & team members. Take a look at https://www.proofhub.com/.

  3. Wonderful Post!! I appreciate your post; time tracking is an essential part of management. Because It is the best way to keep things on the track. Thanks for sharing this post.

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