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How to Create Reports from Time Sheets

6 min read
hr professional using timesheet software for employee timesheet

The process of generating reports from timesheets can be time-consuming and complex. Many businesses still rely on manual methods and outdated tools to compile and analyse data, resulting in inefficiencies and errors. In fact, a global survey on timesheet accuracy found that up to 21.5% of billable hours are not recorded due to manual timesheet inaccuracies.

This no longer has to be the case. Accurate and timely information is paramount, and there’s a growing need to streamline the process, harnessing the power of technology for report generation.

Any business can effectively create reports from employee timesheet software. So, whether you are a small startup or a large enterprise, let’s dive into the intricacies of timesheet reporting and discover how it can transform your business operations.


What are Time Sheets for?

Timesheets are documents used to record an employee’s time on a particular task or project. They typically include information such as the date, the employee’s name, the project or task name, and the number of hours worked. Timesheets can be used for a variety of purposes, including:

  • Billing and invoicing, ensuring transparent and fair client transactions by accurately tracking billable hours for monthly and hourly employees.
  • Comprehensive overviews of project timelines and deadlines enable businesses to identify areas where projects may fall behind schedule and take timely corrective actions.
  • Valuable data sources for performance evaluations allowing managers to assess individual and team productivity, identify high-performing employees, and recognise areas for development or training.
  • Tracking time accurately through time sheets ensures compliance with labour laws, guaranteeing fair compensation for employees and reducing the risk of legal issues or penalties.

This certainly does sound much better than traditional manual tracking methods, such as handwritten logs or spreadsheets, which often lead to errors, inconsistencies, and inefficiencies. Why? Because these traditional options lack the precision and reliability required to monitor and analyse employee time used effectively.


Selecting the Right Timesheet Apps

Selecting the right time-tracking and timesheet app can be a daunting task, given the numerous options available in the market. In this regard, there are several factors that businesses need to consider when selecting the right online timesheet app:

  1. Does it Suit Your Needs: There are various time-tracking tools, including manual employee timesheets, automatic time trackers, mobile apps, and web-based platforms. Take a look and assess which would suit your organisational needs the best!
  2. Available Features: Businesses need to consider the features offered by the time tracking tool, such as reporting and analytics, project management integration, automatic reminders, or invoice and billing.
  3. Easy to Use: The ideal time-tracking tool should have an intuitive interface that allows employees to record their working hours quickly and accurately. Moreover, it should have a user-friendly dashboard that enables managers to monitor employee productivity easily.
  4. Cost Efficiency: Time tracking tools come at different price points, depending on the features offered and the type of tool selected. There may be a free timesheet app out there, but businesses should select a time-tracking tool that fits their budget while offering essential features.

hr team using an online timesheet app to generate employee reports

Setting Up Effective Time Sheet Templates

Don’t know where to start? Don’t fret. Here are some tips for setting up an effective timesheet template.

1. Aim for User-Friendly and Customisable Templates

The more user-friendly your template is, the more accurately you can record work hours, reducing errors and improving efficiency. What you can do is:

  • Keep it simple: A clutter-free and intuitive design is key to encouraging employees to use timesheets consistently. Avoid overwhelming users with excessive fields or complicated layouts. Focus on capturing essential information such as employee details, project/task descriptions, and hours worked.
  • Use clear labelling: Label each field to minimise confusion and ensure accurate data entry. Consider using dropdown menus or checkboxes for standardised options, reducing the chance of errors and inconsistencies.
  • Include a timestamp: Incorporate a timestamp feature to record when entries are made. This adds an extra layer of accuracy and provides a reference for future analysis.

2. Capture All Essential Data

Another useful characteristic that can help you streamline your workflow is ensuring the data you’re gathering is as comprehensive and accurate as possible, enabling efficient tracking of employee hours and enhancing payroll management processes. Some of this data could be:

  • Employee details: Include fields for employee names, IDs, and department information. This ensures proper identification and enables effective tracking across various teams or projects.
  • Project and task descriptions: Allocate space for detailed descriptions of projects or tasks to provide context. Clear descriptions help with accurate reporting and allow for a better understanding of the work performed.
  • Hours and time allocation: Include sections to record hours worked per day or task, as well as any time allocated to specific activities (e.g., meetings, breaks). This allows you to track time spent and aids in analysing productivity.
  • Client or project codes: If applicable, provide fields for client or project codes to enable proper categorisation and billing. This ensures the accurate allocation of time and resources to specific clients or projects.

Additional Features to Include

There’s always room to make things better, and if the digital tools you’re using offer an extensive package, some other things you can include are:

  • Mobile accessibility: A nice plus is knowing the employee timesheet app you’re using come with a mobile app and responsive web interfaces, allowing employees to track their time and submit entries on the go easily.
  • Overtime and leave tracking: To account for overtime hours and leave taken, including dedicated sections for employees to indicate such instances. This enables accurate calculation of overtime pay and ensures compliance with labour regulations.
  • Task-specific fields: Depending on the nature of your business, consider including task-specific fields that align with the unique requirements of your projects. This enhances data granularity and allows for more detailed analysis and reporting.

hr using a time tracking software to generate time sheets books

Analysing and Reporting Time Sheet Data

Analysing your time sheets regularly will keep your eyes peeled for any errors or discrepancies that should be addressed. The verified data you end with also needs to be clear, concise, and tailored to the needs of different team members, whether it’s HR managers, personnel, or project teams.

The most common method for analysing timesheet data is to create reports that summarise the data meaningfully. These reports can be used to identify trends, patterns, and areas for improvement. For example, a report might show that certain employees consistently work more hours than others or that certain projects take longer than expected.

Another method for analysing timesheet data is to use statistical analysis techniques. This can involve calculating averages, standard deviations, and other central tendency and variability measures. These statistics can provide a more detailed understanding of the data and help identify outliers or unusual patterns.

Creating Actionable Reports from Time Sheet Data

To create reports that are easily understood and can drive action, it is essential to structure them effectively. Consider the following tips when using your chosen online timesheet software:

  • Summary and Highlights: Begin the report with a concise summary that overviews the key findings and highlights any critical information. This enables the reader to grasp the main takeaways quickly.
  • Visualisations: Use charts, graphs, and tables to represent the data visually. Visualisations make complex information more accessible and enable readers to identify patterns, trends, and outliers easily.
  • Contextualisation: Provide context to the data by comparing it with relevant benchmarks or historical data. This helps the audience understand the significance of the findings and facilitates decision-making.
  • Key Metrics and KPIs: Focus on the key metrics and key performance indicators (KPIs) most relevant to the report’s purpose. Highlight these metrics prominently and provide insights and analysis around them.
  • Actionable Insights: Go beyond presenting raw data and offer meaningful insights and recommendations based on the analysis. Identify opportunities for improvement, highlight areas of concern, and suggest actionable steps that can be taken based on the findings.

Automating Report Generation

It is important to note that while automation brings numerous benefits, human oversight and validation are still necessary to ensure the accuracy and reliability of automated reports. Regular monitoring and auditing of automated processes should be performed to identify potential issues and ensure the quality of the generated reports.

When all the above is followed, automating report generation offers significant benefits, including time and effort savings, by eliminating manual tasks like data entry and formatting; in fact, research by PwC found that automation can save up to 40% of company time. It ensures accuracy and consistency in results, reducing the risk of errors that can impact decision-making. With the help of artificial intelligence (AI) or machine learning (ML), there are additional advantages when developing timesheets:

  • Data Analysis and Pattern Recognition: AI and ML algorithms can analyse timesheet data to identify patterns, trends, and anomalies that may not be readily apparent to humans. By automatically analysing the data, these algorithms can generate insights and highlight key performance indicators in reports.
  • Predictive Analytics: AI and ML techniques can be leveraged to predict future outcomes based on historical timesheet data. This capability allows businesses to anticipate potential issues, optimise resource allocation, and make data-driven decisions.
  • Natural Language Generation (NLG): NLG technologies can automatically convert raw timesheet data into human-readable narratives. By leveraging AI, NLG algorithms can generate concise, easy-to-understand narratives summarising the main findings and insights from timesheet data.

Guarantee Data Security and Confidentiality

Last but not least, you want to ensure your information is stored securely and guarantees data confidentiality when using employee time-tracking software. To protect this sensitive employee data, consider the following measures:

  • Implement strong security measures, such as multi-factor authentication and encrypted communication channels, to prevent unauthorised access to timesheet data.
  • Use access controls to restrict data access to authorised personnel based on their roles and responsibilities. Regularly review and revoke access for employees who no longer require it.
  • Comply with data privacy regulations like the General Data Protection Regulation (GDPR) by obtaining explicit consent, providing transparent information about data handling, and ensuring secure data storage and transmission.
  • Regularly back up online timesheets and store backups securely off-site or in encrypted cloud services to mitigate risks and facilitate data recovery.
  • Conduct employee training programs to promote awareness of data security best practices, including password hygiene, identifying security threats, and adhering to company policies.
Sergio is a seasoned copy and content writer who has worked directly with company founders, CMOs, brand executives, and marketing directors from multiple industries. He's an HR geek and humble terpsichorean.

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