A company’s greatest asset is its time. Your company runs on time. It’s the fuel that powers your employees to start and complete projects for your clients and yourself. To setup your business for success, you’ve got to make sure every single minute counts…and can be counted.
When your employees spend their time on productive business activities, deadlines are met, deliverables are achieved, budgets are maintained, your clients are happy and your business remains successful.
Conversely, when your employees aren’t spending their hours productively—or they are, but you don’t have 100% clarity into how they are spending their time and what they’re doing —it becomes difficult to bill your clients accurately and grow revenue. Your company is losing a lot of money if you cannot bill your client accurately for all the time worked. To prevent these revenue leaks, you need to have a clear understanding of how your employees are spending their time.
Ironically, tracking time accurately can be a pain. Your employees are focused on trying to achieve set deliverables and cannot accurately keep tabs on all the time they put into work…so, you end up with guesstimates on how much time each team member has committed to completing various task.
These guesstimates lead to bad data, impaired ability to make critical business decisions, and of course… you lose a lot of revenue from billing your client’s inaccurately.
To help you get total clarity into your business operations, improve your team’s productivity and help you plug further revenue leaks resulting from billing your client’s inaccurately, here are 3 recommended practices that can save you a lot of money.
Implement a Time tracking System
It’s a known fact that people mostly cannot accurately estimate their time. Lost time costs time – and money. Your company is actually losing a lot without an efficient system that track employee time and ultimately productivity.
According to Harvard Business Review, untracked work hours could be costing the US economy 7.4 billion dollars per day. When every minute is accurately accounted for, tracking employee hours will have a big impact on your company.
However, if you have small team and don’t think you’re quite ready to invest heavily in a software to automate time tracking, here are some automated employee timesheet templates for you to download for free with clear instructions on how to use them.
Motivate Your Employees for Productivity
Time tracking isn’t just your business – it’s also your employees’. It is important to build trust with your employees enough to let them know that using of a time tracking system is not a means of spying on them.
You need to make sure that your employees realize the true reasons why you need time tracking data, and how it benefits them. It is about solving payroll challenges, client billing, cutting expenses and even better visibility into their daily workday to spot opportunities for productivity improvement.
Remember that good management practice is essential to motivate your employees for productivity. Ensure communication is open and offer small rewards.
Enhance Management Capabilities
A good manager a very important productivity factor. Managers play a critical role in defining the direction, purpose, priorities, goals, and growth of your company.
Therefore, it is important to leverage innovative technological assets to enhance the capability of your managers to make informed decisions. Based on accurate employee performance data, you manager can efficiently develop plans, motivate, coach and develop employees for consistent productivity gains and your company’s success.
Employee productivity data is king and can be accessed in real-time when you implement the right time tracking system. This can also be used to develop accurate project budgets to maximize your revenue.