Agency Time Tracking: The Secret Weapon of STANDOUT Agencies

Tracking time is arguably one of the most controversial topics in marketing agencies.

We have all heard the sighs, seen the eye-rolls, and perhaps even been part of the collective groan when the word ‘timesheet’ is mentioned. It is often painted as a tedious, bureaucratic process – something that stifles creativity and burdens teams with unnecessary administration. But nothing will convince me that time tracking is not a key tool in creating a STANDOUT agency.

The reality is simple: if you do not know where your team’s time is going, you are running your agency blind.

In an industry where efficiency determines profit margins and long-term sustainability, agency time tracking is not about micromanagement – it is about empowerment. When used correctly, it can unlock insights that drive smarter decision-making, improve profitability, and even enhance team satisfaction.

I cannot guarantee that your team will cheer when you introduce or improve time tracking, but I do know that implementing it the right way can make all the difference. Here are three best practices that ensure time tracking works for your agency without killing morale.

1. Change the Narrative: Time Tracking is Not About Policing

One of the biggest mistakes agencies make when implementing time tracking is positioning it as a monitoring tool rather than a growth tool. If your team sees time tracking as a way for leadership to scrutinise their every move, you will face resistance from day one.

The STANDSTILL Approach

A STANDSTILL agency introduces time tracking with little to no context. Leadership mandates it, expects compliance, and punishes ‘incomplete’ timesheets without explaining why the data matters. As a result, employees fill out timesheets half-heartedly, often altering the numbers just to check the box. The result? Unreliable data, low morale, and wasted effort.

The STANDOUT Approach

A STANDOUT agency educates the team on why time tracking benefits them, not just the business. It reframes the conversation:

Better workload management – Time tracking highlights where teams are overburdened, helping leadership redistribute work and prevent burnout.

More accurate client pricing – If you do not know how long projects actually take, you risk underpricing services and overloading teams.

Informed hiring decisions – Instead of guessing when to hire, you can use time data to justify expanding the team at the right moment.

By changing the narrative, agencies reduce resistance and get more accurate, useful data.

Implementation Tip: Run a team-wide session explaining why time tracking matters. Use real examples to show how it can make their work-life easier.

2. Keep It Simple (Or No One Will Use It)

The best time tracking system is the one your team actually uses. If it is clunky, time-consuming, or disrupts workflows, expect pushback.

The STANDSTILL Approach

A STANDSTILL agency overcomplicates the process with rigid rules, excessive detail requirements, and outdated software. Employees are expected to log every tiny task separately, often spending more time tracking than doing meaningful work. The result? Frustration, inaccurate data, and resistance to tracking altogether.

The STANDOUT Approach

A STANDOUT agency removes friction by:

Choosing user-friendly tools – The best tools integrate with existing workflows, such as automatic tracking, integrations with project management tools, and mobile access.

Focusing on meaningful categories – Instead of tracking every five-minute task, focus on useful categories, such as strategy, client communications, revisions, and administration.

Setting reasonable expectations – If your team spends more time filling out timesheets than doing work, something is broken. Keep it simple and efficient.

Implementation Tip: Ask your team for feedback on the tracking system. If they find it frustrating, listen and adjust – otherwise, they will avoid it or submit unreliable data.

3. Use the Data to Improve, Not Punish

Collecting timesheet data is pointless if you are not using it to make things better. Agencies that treat time tracking as an administrative task without analysing and acting on the insights waste everyone’s time.

The STANDSTILL Approach

A STANDSTILL agency collects time data but does nothing with it – or worse, uses it punitively. If the first thing leadership does with timesheet data is call out ‘low performers’ or question every small deviation, it creates a culture of fear. The result? Teams game the system instead of tracking honestly.

The STANDOUT Approach

A STANDOUT agency uses time tracking data to improve processes, not punish employees. They:

Identify bottlenecks – Is one client consistently requiring double the estimated time? Maybe it is time to adjust scope or pricing.

Improve efficiency – Are certain tasks taking longer than expected? Look for automation opportunities or process improvements.

Support team wellbeing – Is someone consistently logging excessive hours? It is a sign they need help before burnout sets in.

Time tracking should be a problem-solving tool, not a performance metric.

Implementation Tip: Share insights from time tracking data transparently. Show how the agency is using it to improve workflows, pricing, and resourcing – not to criticise individuals.

Choosing the Right Agency Time Tracking Tool

Once you have got the right approach, you need the right tool. Not all time tracking software is created equal – choosing one that integrates seamlessly into your workflow is key.

Key Features to Look For:

Ease of use – If it takes longer to log time than to complete a task, it will not get used.

Integration capabilities – It should connect with project management tools like Asana, Trello, or ClickUp.

Automated tracking options – Some tools allow passive tracking to reduce manual input.

Reporting and insights – Choose software that gives actionable data on project profitability and team capacity.

Popular Time Tracking Tools for Agencies

Harvest – Simple and integrates with many project management tools.

Toggl Track – User-friendly with strong reporting features.

Clockify – A free option with robust functionality.

Timely – AI-powered tracking to reduce manual input.

The best tool is the one your team actually finds easy to use. Trial a few options and gather feedback before committing.

Overcoming Common Objections to Time Tracking

Even with the best system, some team members may still resist time tracking. Here is how to address common concerns:

“It is just an extra administrative task.”

Solution: Choose tools that automate tracking or make it as simple as possible.

“It feels like I am being watched.”

Solution: Reinforce that tracking is about better pricing, hiring, and workload distribution – not micromanagement.

“I do not have time to track time.”

Solution: Keep categories broad and require only essential details. A good system should take minutes, not hours.

Final Thoughts: Time Tracking is a Superpower (If Done Right)

Agency time tracking does not have to be a burden. When implemented strategically, it is a powerful tool for profitability, efficiency, and team wellbeing.

STANDSTILL agencies make time tracking a chore – complex, punitive, and disconnected from real benefits.

STANDOUT agencies use time tracking to empower teams, improve pricing, and prevent burnout.

If you are not tracking time, you are making decisions based on guesswork. And guesswork? It is a risky way to run an agency