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Time tracking is necessary to help evaluate employee performance. It is also used in cases where the company charges clients for every hour worked. Here are best practices to ensure that the time-tracking software works for both the business and the workers.

1. Make the employees understand the need to track 
You have to ensure that everyone in the team is comfortable with time-tracking. You can start with a case study of a company that has used similar tools and improved both as a firm and the workers therein.

The top management can first use the tool and share out the results with the team members. It is also good to explain the benefits that everyone stands to gain on using the software

2. Organize work such that there will be a structured system of working 
A structured way of working is a good way to determine progress and ensure that no critical steps that are left behind. Determine the steps that should be taken in every project, who to do it, and the goals. Subdivide broad tasks into small sub-tasks. 

In addition, make it easier for users to find any categories when they log into the software. Each project should have its own framework for ease in following up. 

3. Keep your framework simple
Do not be obsessed with reporting every step of the way. This creates very many sub-categories and makes the whole project very complex. Ideally, time-tracking should be super easy for all the team members. 

Everyone should log in, find the tasks and determine how long he or she has taken in the task with much ease. There can also be tags where members can write down information related to the tasks. The tags can act as reminders or used to highlight problems faced in completing certain tasks. 

4. Ensure correct data is fed into the software 
Your timesheet can be filled with inaccurate data whether intentionally or due an oversight. This beats the reason for having the software in place. 
You can avoid the mess by establishing user rights and controls. This prevents unauthorized editing of the data. You should make it a must that all tasks be logged in the time-tracking software.

5. Do away with spreadsheets where possible 
Even with the popularity with spreadsheets, many of them end up with computational errors. There are many tools that can give results that go in line with report formats. An accurate timesheet makes it easier to utilize data and determine trends for action to be taken.

By following the best practices, the time-tracking software can save the firm hundreds of dollars in time wastage, improve the accuracy of reporting and is a good tool for employee appraisals.