Time Tracking

The Evolution of Professional Time Tracking Software Since COVID

November 26, 2024
IN THIS BLOG

COVID forced businesses into a new era of remote work, where a glance at the desk next door was no longer possible. The pandemic rewrote the very idea of the workplace, and consequently, workforce management practices and professional time tracking tools required a significant upgrade.

However, as French writer Karr said, “The more things change, the more they stay the same.”

While almost everything was turned on its head, effective time management as a keystone of operational success couldn’t be replaced. Without their usual eagle-eyed view, managers needed a fresh way to track work hours more befitting to the remote work culture. 

This blog will trace how time tracking evolved from a basic tool into a powerhouse that balances employee autonomy, manager insights, and AI-driven efficiency for the remote and hybrid workplace.

How time tracking worked before COVID-19

Once upon a time, attendance sheets and punch cards were good enough to record employee attendance. When biometric scanning was introduced, people were thrilled by eyeballing a scanner, hoping it would blink them into work on time! But guess what? It didn’t prove to be a foolproof system to mitigate time theft and buddy punching.

Even with digital timesheets, time tracking was often a manual process. Managers could not monitor employees in real time.

Business use of time tracking software was usually related to freelancers, contractors, and project-based work. It was limited to:

  • Project billing: Time tracking tools allowed freelancers and contractors to log hours for specific tasks or projects, helping them with invoicing clients.
  • Task management: Companies used time trackers to monitor task completion and keep projects on schedule without real-time tracking. It was more like a timer or stopwatch for time measurement.
  • Manual performance assessment: Managers could use time logs for manual assessment of employee productivity and workload balance.
  • Limited integrations: Early platforms lacked integration with other tools like project management or communication software. Back then, it was not considered an essential requirement.

We can imagine how these manual processes, with limited integrations and lacking real-time visibility, were seriously restricted in their capabilities. Looking back, it seems like an entirely different epoch! 

And then COVID happened! 

Out of sight, out of mind: How COVID-19 changed everything

Remote work became the new normal almost overnight as the pandemic triggered a global shift in workplace culture. Organizations worldwide made it mandatory and encouraged employees to work from home. By 2021, the share of remote jobs had increased to 15% of the total opportunities in the U.S., which is roughly 3 times more than the 4% before the pandemic.

There are pretty solid reasons why the trend continued even after the pandemic restrictions were lifted. Studies by leading research institutes like Harvard and Stanford reveal how workplace flexibility can save an organization up to $11,000 per year, with a 21% increase in profitability.

These indications hinted at the prospective stabilization of remote work, as it promised benefits for both employers and employees. Yet, business owners had to deal with a snag in successfully transitioning to remote work: people often let things slip out of mind when out of sight!

The transitory phase called attention to an emerging issue: managers needed to find new ways to monitor their remote teams’ productivity. 

On one hand, remote work experience increased the demand for flexible work hours even when social distancing was not mandatory after the pandemic. On the other hand, managers were grappling with management anxiety as the workplace became virtual and, hence, distant.

Increased demand for employee accountability, engagement, and productivity in a remote setting

Since the employees were no longer under the in-office supervision, there was an immediate need to track employee productivity. The increased demand for accountability led to the assimilation of professional time tracking software. According to a report, 60% of companies with remote working arrangements use these tools to manage their teams.

Time tracking software helped managers get the hang of remote workforce management, perhaps even more effectively than they could in on-site offices. It enabled them to: 

  • Ensure employee accountability: The tool became essential to inculcate a sense of accountability in remote employees through real-time visibility. Automated tracking enabled accurate and categorical records of employee activity, hence eliminating the possibility of time theft.
  • Increase productivity: Managers wanted assurance that employees were productive working from home (and not just perfecting their coffee-making skills). Advanced time tracking provided insights that helped them analyze productivity patterns and plan and redistribute workloads accordingly to maximize productivity.
  • Address disengagement: Employees feeling disconnected from their dispersed teams could develop a sense of isolation, leading to disengagement. Tracking software also began to play a role in keeping teams engaged and focused through robust collaboration features.

Key innovations and features post-COVID

According to a report from Deloitte, 75% of millennials and 77% of Gen Zs working in remote or hybrid work conditions would look for a new job if asked to go to the office full-time. Understandably, over 60% of businesses began investing in software tools to manage and track remote teams.

Also, one in five workers are working remotely post-COVID, while 98% of workers want the flexibility to work remotely at least some of the time. The age group most likely to work remotely is 24-35, with the IT industry at the top of the list for remote work in 2024. 

These stats show that more and more employees nowadays prefer remote or hybrid work arrangements. No wonder time tracking software has evolved dramatically with recent upgrades focused on adapting to these work models.

Real-time tracking and analytics

Employees are no more scribbling down their hours like medieval scriveners (no more guessing if that extra 15 minutes on Friday really happened!). Professional time tracking software now offer real-time dashboards that allow managers to assess progress at any time during ongoing projects. 

Think of it as the ultimate big picture, without the need for constant check-ins. AI-assisted remote time tracking software provides a comprehensive view of employee activity and its impact on team performance, offering insights that weren’t possible with earlier versions.

AI and automation

One technology that has revolutionized the way time tracking software operates is AI. It can categorize tasks automatically and timely identify variations and anomalies in employee work patterns. Time tracking data is converted into intelligent insights on productivity trends. 

These alerts prompt managers to intervene before issues escalate, optimizing workflows and enhancing team performance.

Integrations with productivity tools

After the pandemic, time tracking has become more dynamic as you can now put it in sync with communication, project management, and other processes for enhanced workflow. The latest professional time tracking software integrates with tools like Slack, Microsoft Teams, and Asana, among many others.

It keeps applications synchronized in real-time, allowing managers to oversee projects from a central platform, improving collaboration across teams.

Employee-first design

Advanced time tracking software have also become more employee-centric, incorporating the issue of privacy concerns. Features such as opt-in tracking and privacy controls ensure absolute transparency. Employees feel comfortable and in control of their data, which improves compliance and trust between workers and employers.

Enhanced reporting and compliance

Remote work monitoring software offer holistic reporting capabilities for managers. These reports are essential for compliance, payroll, and performance analysis. Moreover, real-time insights allow for better forecasting, which helps managers make informed decisions about resources and project timelines.

Gone with the Wind: Changing Attitudes Among Managers

The evolution of time tracking cannot be understood in isolation from the trending perceptions in business management. The relationship between the two is symbiotic and has gone through many changes. 

Viewing time tracking as a tool for micromanagement is a thing of the past now!

The latest developments in time tracking software are shaped by how influential managers perceive it and vice versa. Better awareness of its value in terms of transparency and performance management has increased:

Productivity management capability

Initially, time tracking software often created distrust between employees and managers due to invasive monitoring and surveillance features. Business leaders and managers have realized that real-time reporting and performance metrics must not be aimed merely at tracking hours. Time tracking data can enable them to identify productivity patterns and provide support to employees who may need extra help to improve performance. 

Given flexibility, people can find super creative productivity solutions!

Performance transparency

The major shift in the use of professional time tracking software is an increased focus on performance transparency without excessive surveillance. This outlook not only allows managers to have visibility into their teams’ work-related activities but also provides employees the autonomy to keep unrelated activities private. 

A brilliant case study is the remarkable transformation of Microsoft under Satya Nadella’s leadership. The company has implemented tools that promote productivity while respecting employee privacy, allowing employees to manage their work-life balance without invasive oversight.

Effective managers are strategically focused on goals rather than how they are achieved. It helps them gain employee trust and boost team morale with more satisfied, engaged, and motivated workers.

Current Trends in Time Tracking Software

Owing to the paradigm shift in employee and management preferences, new trends have emerged to meet the demands of hybrid and remote work models. However, it's a mixed bag, not all sunshine and rainbows. 

While there is a growing realization of the necessity of employee autonomy, some invasive trends still prevail. Let’s have a categorical look at the currently popular features:

Hybrid and remote work adaptation

Time tracking platforms are now offering features supporting both in-office and remote employees. These include flexible tracking options, geofencing for in-office work, and mobile applications for remote workers.

These developments are promising, but we are a bit skeptical about geofencing. It has yet to pass the test of accuracy, practicality, and privacy concerns! 

Focus on employee well-being

A cut above the rest are features designed to prevent burnout by monitoring employee workloads and suggesting time for breaks. It helps managers redistribute workloads and balance productivity with employee well-being. These tools significantly improve long-term engagement and job satisfaction.

Privacy and security

With the increased reliance on digital tools, there is a growing focus on privacy and security in remote time tracking software. Many platforms implement advanced authentication methods, privacy settings, and data protection measures to ensure cyber security and maintain employee trust

Performance metrics and analytics

Working long hours no more amounts to higher efficiency; effective time tracking software provide detailed performance metrics. Managers can analyze productivity trends, assess time spent across different tasks, and make data-driven decisions to optimize workflows.

Future Outlook for Time Tracking Software

It goes without saying that professional time tracking software will continue to evolve. However, we expect that the following trends will stay around with further innovations: 

AI-Driven insights

AI-driven time tracking tools will integrate more sophisticated predictive analytics to forecast project timelines and spot bottlenecks before they occur. Managers will be able to identify workflow disruptions and optimize task assignments and resource allocation to avoid delays. 

Enhanced personalization will allow AI to adapt to individual work habits, creating a more tailored time tracking experience. For instance, AI can suggest ideal work periods based on productivity patterns

Deeper integrations with business tools

Expect across-the-board integrations with other business systems, such as CRM and ERP platforms, to create a fully connected and automated workspace. This will streamline workflows and further reduce the need for manual data entry.

Integrating ‘Internet of Things’ (IoT) technology can boost automated tracking of work hours through smart devices. However, a new set of management, security, and privacy challenges could arise, with an ever-expanding number of devices generating massive data streams.

Emphasis on employee autonomy

We see a growing awareness of how employee well-being and job satisfaction will prevail as critical factors in business management. Because thriving companies will continue prioritizing employee autonomy, future time tracking tools will focus on giving workers more control over how and when they log their time. 

A great example is the Highlights feature of timegram. It gives users the choice to either select and log the relevant activities from the recorded data or start an automatic activity logging session for each task. Such solutions promote an environment of mutual trust and genuine transparency, further aligning time tracking with modern management practices.

Final thoughts

Considering the dynamics of the post-COVID remote and hybrid work landscape, managers must be equipped with equally capable software to track remote employees. However, the radical transformation brought by AI need not sweep away the workplace ethics and employee well-being. Time tracking tools are not supposed to become panopticons!

Successful managers know that remote work is here to stay, and its demand is increasing. 

To navigate the complexities of this increasingly digitalized workspace, they are looking for professional time tracking tools that provide individual and team analytics without taking away the best incentive of remote work: flexibility. 

The need of the day is a balanced approach towards work hours management while utilizing the potential of artificial intelligence. Tools like timegram fill this gap by providing:

  • Strictly non-invasive time tracking
  • Automated categorization of tasks
  • Easy integrations through Zapier
  • AI-driven productivity analytics

You can read more about our features or start a free trial today and see how it empowers you to take on the future of remote work!

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Sidra Ali Shah

About the author

Sidra is a research scholar and a philosophy nerd who fell in love with language at a very young age. She believes it's words and their combinations that make the world go round. In her free time, she likes to brainstorm with her children.

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