Business productivity is directly correlated to employee productivity. And it's obvious why. Productive team members optimize the business's resources to generate optimal results, allowing it much room to expand and build capacity.

Whether it's a small enterprise or a large one with several teams, employee monitoring software makes it easier to ensure that your employees are constantly giving their best. In this article, we'll look at the factors affecting employee productivity and how you can use employee monitoring software to boost your performance.

Why Do We Need to Track Employee Hours?

Tracking work hours is essential for any business. Here are some of the reasons to track employee hours:

Calculate employee salaries and wages

Most employees are paid on an hourly scale. And for businesses to pay them adequately for their work, it needs to have information on the number of hours they spent on tasks. Many businesses have done this by having a clock in and clock out register or employee tracking system, which provides the approximate time workers started and ended their daily tasks.

Using their hourly rates, employers can determine how much wages should be paid. Because the hours spent are recorded transparently, there's no dispute regarding the pay for each worker.

Estimate labor costs

The labor costs of projects depend on many factors. For one, each project may require different kinds of professionals, who will demand different hourly wages. Also, there are other additional labor costs, such as overtime, bonuses, and more, which depend on the nature of the project. A time tracker coupled with a payroll processing system gives you an idea of how much your business will need to spend on specific projects.

Facilitates project estimation

Time tracking provides an accurate history of projects your business has worked on. This history contains valuable information your business can leverage while working on future projects. An employee tracker software makes anticipating and planning for contingencies easier and helps managers negotiate realistic deadlines. This way, you'll come across as more competent to clients. You'd also be able to generate fantastic results for your business consistently with detailed time tracking.

Improves workflow and management

An employee time tracker is a mirror to show businesses where they need to improve their productivity. By looking at a timesheet, managers can see which tasks take the most time and take necessary action. If the task that takes a lot of time is repetitive and does not add much value, managers can look for ways to automate the process. This saves time for value-adding parts of the chain, allowing employees to boost their productivity.

What Factors Affect Employee Productivity

What Factors Affect Employee Productivity?

Employee productivity is affected by several factors, both personal and business-related. Here are a few of them:

Work environment

This is one of the most crucial aspects of employee productivity. Is the workplace crowded and cramped? Are the lighting and aeration adequate? An unconducive work environment can cause employees to lose motivation, affecting productivity.


The quality of training that your workers receive is crucial to their productivity. Well-trained employees are comfortable with their job and can harness available tools to produce better results. They're also better motivated and less prone to make errors.

Also, companies that offer training are more likely to generate better results. Employees can feel stuck in one place when they do not learn and grow. On the other hand, quality training provides an opportunity for workers to grow in their careers. Workers that feel they have an opportunity to ascend in the company will be more motivated to contribute their best to the company.

Tools and processes

If anything, it's easier to empty a truckload of sand with a shovel than a spoon. And this goes to show how the right employee monitoring software can save your business a lot of time and produce high-quality results consistently.

Excellent employee time clock tools maximize the talents of your employees and help them to produce excellent output optimally. So, having the right tools is critical to optimizing productivity at the workplace.

The physical and mental health of employees

Employee wellness is a topic that has been neglected for a long time. Now, advocacy and awareness have shone a light on their importance. And it's not hard to see why it's essential. Workers who are in an excellent physical and mental state can provide more output than those who aren't. Creating an environment where workers can prioritize their health can promote longevity and decrease burnout. Additionally, showing that you care makes workers more motivated and happy to put in their best work.

How Can You Optimize Employee Performance?

Optimizing employee performance is a crucial concern for managers. Here's how you can help your employees produce better quality work:

  • Foster a collaborative and healthy work environment
  • Provide access to high-quality tools and equipment
  • Optimize office processes with automation
  • Provide access to continuous training programs
  • Reward high-performing employees periodically
  • Use employee monitoring software to gain insights into employee behavior
  • Welcome and encourage employee input and suggestions

How Can You Track Employee Hours

How Can You Track Employee Hours?

There are two primary ways to track employee hours:

Manual tracking

With manual tracking, employees enter the time they began work on a particular day on a spreadsheet or some other list and their clock-out time when they're done. Manual tracking is not as effective because it does not account for idle times. It is also not suitable for remote teams.

Automatic tracking

With automatic tracking, an employee monitoring software like Clockly begins tracking employee hours immediately after they open their work computer. It works silently in the background, providing accurate, real-time data to employers. It can also detect idle periods and provides detailed reports to employers and managers.

Employee Monitoring Software Insights

Employee monitoring software can gather valuable data about employee behavior and performance. Managers can analyze these data to provide insights into current employee performance. It also shows tasks that waste time and areas where improvements need to be made.

Employee monitoring software also allows managers to measure the effects of changes at work, such as when a new tool is introduced. These insights are valuable to companies and can be the difference that makes your company outshine its competitors.


Managers need to understand what makes their workers more productive. However, because these factors are so many, this can be challenging. But with employee monitoring software such as Clockly by 500apps, managers can gain more insight into their employees' behavior, facilitating improvement and productivity. It also gives them access to applications such as human resources management systems.

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