How businesses track employee hours can range from a scribble on a piece of paper, to a detailed report tracking hours worked down to the minute.
Being able to see a full breakdown of your employee’s hours can pose a lot of benefits for a construction business.
What is Construction Time Tracking Software?
Construction time-tracking software is a system, usually mobile app and cloud based, that enables employees to record time spent on tasks or projects. The software is used in many industries, including the construction industry where it can be used for employees and contractors. It is frequently used when looking to pay someone by the hour.
Creating confidence among your customers as well as projecting future project costs
Time tracking will enable businesses to give true and reflective quotes on their jobs. This will mean your customers will be given a true representation of how much a particular job may cost. No more estimating a job will take 40 hours, only to end up being 60 and your customer being left feeling frustrated with added costs. As well as creating confidence among your customers, it also allows businesses to more accurately plan how much a particular project may cost, by comparing it to similar ones which have been measured accurately.
One of the greatest benefits in using time tracking software is how much time it saves. Companies that use paper timesheets have to input their data manually. That being into a spreadsheet and then loading it into an accounting package, it’s a lot of manual work.
If there is an irregularity such as handwriting not being understood, it involves the business having to get in contact with that employee and figuring out what is true and what is not.
Reduction in time theft
The benefit of a time tracking software for construction is that it can reduce excess costs due to time theft. Time theft could be 5, 10 or 15 minutes a day per employee. The foreman knows when a worker clocked in when they clocked out, and even when breaks were. Time tracking software and time tracking apps allow workers to quickly and easily punch in and act as a security mechanism. Although it may not seem like much, it can add up fast. A company may have to pay a significant amount year on year due to this. Having time tracking software is just as important for a business as having an accounting solution.
Another benefit to time tracking software for construction is the ease of accurately managing overtime. Projects will frequently require overtime in order to be completed on schedule. The costs over overtime can rise rapidly and can consume and large amount of a projects budget if not managed. These costs can be monitored correctly if a project manager decides to use a time tracking software. Reminders can be set to ensure overtime does not exceed a particular limit. If it is projected that a large amount of overtime is needed, a business may choose to hire more employees to complete the project.
Keeping track of contractors
If employing freelancers or other contractors, it is important to keep watch of their hours and workload to ensure your budget is not being exceeded. Contractors should use the same time tracking software as your staff. Being able to keep an accurate record of hours that have been worked ensures that you’re only paying for the work that has actually been completed. Another benefit is that it allows you to track the performance of different contractors, meaning you can hire the best contractors for the job.
You’ll know when to raise your rates
When is it time to raise your rates? Looking at data collected on your time tracking software should be able to give you a good indication. looking at the time spent on tasks, the charge-out rates for your staff, and your overall profit on a job, you should quickly be given an indication on whether you’re pricing accurately. If there are some irregularities and your projects aren’t as profitable as you may have though, it might be time to increase your rates.
Cloud based system
Having a cloud based system to track your employee’s hours not only adds a security net in the case of lost documents or a particular file accidentally being deleted, but it means that all personnel that are required access to employee’s hours can be given access instantly and with ease. It also means that all foremen can work from the same system.