Employee Monitoring | Its Effect On Productivity

What Is The Effect of Employee Monitoring On Productivity?


2024-08-21

What Is The Effect of Employee Monitoring On Productivity?

Today, there are many actual questions concerning whether employee monitoring affects productivity. Some may argue they are under strict control, but others mention this option makes them get more benefits at work. According to Gartner research, employees (more than 50%) feel more comfortable with monitoring tools, if a director tells them what he is doing and why. Let’s start answering the main questions about this idea: what lies in the essence of employee monitoring and how it affects the productivity of both parties: the administrative and working staff.

What is Employee Monitoring?

Employee monitoring is an option under which an employer gets access to the overall working process of the employee. This can relate to receiving the data on computer use, email/messenger communications, phone calls, and physical presence through cameras or access control systems. As we’ve mentioned already there are controversial viewpoints on this subject. One of which is to control, another - to enhance. No way to deny, its main idea is to enhance the productivity of the staff. The administration has short-line access to the effectiveness of their staff working process. Moreover, it helps cope with small-sized, not overwhelming issues before it starts growing.

What is Employee Productivity Definition?

Employee productivity is a measure weighing the efficiency and effectiveness with which an employee completes tasks and contributes to the set goals. Often it is subdivided as the amount of output or work done within a definitely-limited period, relative to the resources (such as time, tools, and support) used to achieve that output.

Employee productivity can be qualified variously. Predominantly, it depends on the nature of your work. If you are an office clerk, your capacity will be estimated as projects completed within the deadlines. But if you are working in a manufacturing environment, the number of units produced per hour indicates your effectiveness of work. So this yield is a confirmation of how efficient every member of staff is working at the moment and, as well as, in progress.

Why is Employee Productivity Important?

Employee productivity is a great aspect to look through. Every managing director strives to get more profit but it is almost impossible without 100% employee productivity. Let’s consider the main points why all businessmen take all their efforts to reach the highest levels of their staff productivity:

  • Increased efficiency. The more projects are done, the more profit you get. Such a great rate of the completed projects highlights the effectiveness of the working staff. So, every businessman motivates his/her clerks to work harder, to contribute to the profit, to be flexible. One of such tools to monitor employee productivity is an employee monitoring software. Such software is a way to improve the credibility of every member of the staff within a short period of time.

  • Cost savings. The productivity assessment is the way to reduce the costs and time to realize one certain project in order to get more profit. The more accomplishments staff gets, the more profit it brings.

  • Higher profitability. When the working staff are productive, the company can produce more goods or services. As a result, it leads to increased sales and profitability.

  • Improved quality of goods/services. Productive employees tend to be more focused and engaged. Furthermore, it enhances the company's reputation when showing higher-quality work with fewer errors.

  • Innovation and growth. The rightly motivated staff can contribute to innovation and help the company grow. Finally, the staff always focuses on new ideas and ongoing improvements.

  • Resource optimization. Higher productivity ensures that resources, such as time, talent, and equipment, are used effectively, maximizing their value to the organization.

  • Sustainable business growth. Consistent productivity contributes to long-term business sustainability. It ensures that the company remains viable and competitive in the market.

This list is no way complete. But still it clears out the main points on why employee capacity plays a crucial role in business development.

Customer Satisfaction (CSAT) As An Indicator of The Tool Potency

Customer satisfaction

Customer Satisfaction (CSAT) is a key sign used by companies to gauge how satisfied customers are with a product, service, or specific interaction. Employee monitoring can influence CSAT scores by ensuring that employees adhere to quality standards, respond to customer inquiries effectively, and handle issues promptly.

Some resources show that effective employee monitoring can lead to higher customer satisfaction. For instance, some tools that focus on key performance indicators (KPIs) like First Call Resolution or Average Speed of Answer can directly improve CSAT by reducing the time customers spend waiting for assistance and ensuring their issues are resolved quickly. This leads to better customer experiences and higher satisfaction scores.

However, it’s important to note that while monitoring can boost productivity and customer satisfaction, it must be implemented carefully. Over-monitoring or using these tools covertly can negatively affect employee mental health, which in turn could harm customer interactions and satisfaction. Therefore, a balanced approach that uses the collected data to support and empower employees is crucial.

What Are The Types of Employee Monitoring?

There are many types of employee monitoring. They may be applied as individually as in combination. The softs may be installed on all computers in the office or on an exact one. It depends on what the manager wants to get finally. We’ve collected the most popular types of such monitoring that may considerably improve the staff productivity.

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Internet and App Usage

Internet and app usage monitoring is one the key elements monitored by the managing staff. It is not surprising as this element is the main destructive for staff engagement to the work. Such a control is necessary to get the statistics on how often an employee uses non-work-related apps. One more reason why the companies should be in touch with what apps staff use to provide security measures. It helps prevent access to malicious websites, downloading unauthorized software, or sharing sensitive company information through unapproved channels.

Types of Internet and app usage monitoring tools:

  • web activity
  • application
  • keystroke logging
  • screen capture
  • bandwidth

Screen Video and Capture

Screen video and capture monitoring is a type of employee control that involves recording and capturing an employee's computer screen activities in real-time. This method is often used in workplaces to ensure productivity, maintain security, and verify compliance with company policies.

Such a function is used as a real-time recording, periodic snapshots, video playbacks. Of course, this function is justified in employee productivity control. There are the main reasons to start using or to continue using this function:

  • productivity oversight
  • security monitoring
  • quality assurance

There are also many benefits it brings. It provides a clear view of what employees are doing at their workstations. All the information received can be useful for performance evaluations, training purposes, and ensuring compliance with company policies. Besides, by tracking screen activity, companies can detect suspicious behavior, such as attempts to access or transfer sensitive data.

Time/File Tracking

Time and file tracking are two important aspects of employee monitoring, especially in digital work environments. They help employers ensure that work hours are spent productively and that company files are handled appropriately. These both functions bring many benefits such as:

  • increased accountability
  • resource management
  • accurate billing
  • data security
  • compliance
  • transparency

With time tracking function, for example, it is possible to detect the following key moments:

  • time logging
  • activity monitoring
  • break management
  • reporting

The reporting benefit can assess and provide the report on how time was spent, including breakdowns by task, project, or application. These reports can be used for performance evaluations, payroll, and project management. It seems the reporting function combines all the previous ones to make the overall picture visible.

Keylogger

Keylogger is a method of monitoring and recording every keystroke made on a computer or mobile device. This technique is often used in employee monitoring to track what is being typed, including emails, chat messages, and even passwords. According to the reviews, keylogging can help employers ensure that employees are using company devices for appropriate and work-related activities, but it also raises significant privacy concerns due to its invasive nature.

Keyloggers can be of two types:

  • software-based, running in the background on a device
  • hardware-based, attached physically to the computer.

Keyloggers allow employers to track how employees use their time by monitoring what is being typed. This helps identify whether employees are focusing on work-related tasks or spending time on personal activities, thus helping to improve overall productivity.

Such a function promotes the idea that employees should spend all time-working with determined breaks.

Email, Phone and Voicemails

Email, phone, and voicemail control are key components of employee monitoring strategies. Each of the communicative tools may leak sensitive information for the company. It also helps define that employees adhere to communication protocols and maintain professionalism.

Phone communication control is justified when your job is closely connected with customer support services, communication with clients over phone, sales, etc. The quality control department stays on top of it in order to make adjustments in time.

Every of the tools analyzed may help understand whether the employee productivity is on a high level or a burnout comes. If the second - it is time to take a break and then get harder.

Do You Actually Get Profit from Employee Monitoring?

Certainly, yes! The integration of employee monitoring will bring profit for both parties. Though the integration should be carefully thought, honest and open. If one member of the staff is aware of such a control, but another - not, the situation may worsen when it becomes publicly accessible. First - think, then - do!

Do you actually get profit from employee monitoring?

Let’s see and estimate how high a company may soar when using such a soft:

  • enhanced productivity
  • cost efficiency
  • improved quality and customer satisfaction
  • enhanced security and compliance
  • better decision-making
  • risk management

Statistics' Data: Does Employee Monitoring Make The Productivity Up or Down?

Employee monitoring tools help ensure that your team is focused on their tasks, reducing time spent on non-work-related activities. When employees know that their activities are being monitored, they tend to be more disciplined and efficient, which can lead to a significant increase in overall productivity. This boost can drive business growth by enabling you to accomplish more in less time and with the same resources.

According to the ZIPDO Education Report, 60% of employers monitor their employees' internet usage. Great rate shows the same report, 90% of companies monitor employee devices and 72% of employers use monitoring software to track employee productivity.

One more service known as CurrentWare shows that 92% of workers are open to the collection of data on them and their work, but only if it improves their performance or well-being or provides other personal benefits.

Such a great rate of this soft usage confirms that annually more and more companies use it to improve the productivity of every staff member. Such well-known enterprises are already a part of employee monitoring software group:

  • IBM (Technology and Consulting)
  • Barclays (Banking and Finance)
  • PwC (PricewaterhouseCoopers)
  • Amazon (E-commerce and logistics)
  • Microsoft

The Pros

We’ve arranged a table for you to get the pros for both employers and employees:

Aspect Employees Employers
Enhanced productivity Increases overall productivity and efficiency. Helps employees stay focused and manage time effectively.
Feedback and development Allows for targeted training and development programs. Provides data for constructive feedback and skill improvement.
Workload management Helps in identifying overworked employees and reallocating resources. Enables better workload distribution and task management.
Security Helps prevent data breaches and protects sensitive information. Protects employees from being blamed for security breaches.
Transparency Ensures compliance with company policies and regulatory standards. Clear communication about monitoring builds trust and clarity in expectations.
Recognition and rewards Facilitates the identification of top performers and their contributions. Monitoring data can be used to recognize and reward high performers.
Accountability Allows tracking of task completion and adherence to deadlines. Encourages accountability and responsibility for work tasks.
Flexibility Supports remote work by ensuring that productivity levels are maintained outside the office. Monitoring tools can support flexible work arrangements by ensuring productivity is maintained remotely.

The Cons

As any software stuff, employee monitoring may have the cons, but not numerous:

Aspect Employers Employees
Employee morale May decrease morale and trust. Can feel invasive, leading to dissatisfaction.
Legal risks Potential legal issues if not compliant with laws. Concerns over data misuse and fairness.
Cost Expensive to implement and maintain. Increased stress and pressure from constant monitoring.
Innovation impact May stifle creativity and innovation. Feeling watched can inhibit risk-taking and creativity.
Turnover risk High monitoring can lead to increased employee turnover. May lead to lower job satisfaction and loyalty.

What 2024 Research Data Shows - Key Takeaways

According to statistics, a significant number of companies already use employee monitoring. Some of the statistics shows the following rates:

  • 60% of employers monitor internet usage.
  • 90% of companies monitor employee devices.
  • 72% use monitoring software to track productivity.
  • 92% of employees are open to data collection if it improves their performance or provides personal benefits.

More important aspect: Employee monitoring can indeed bring profit for both employers and employees if implemented thoughtfully, with transparency and honesty. The key is to ensure that all staff members are aware of the monitoring to avoid trust issues. In such a way, every business brings in the highest outcomes.

Legal Considerations

Different countries and states have varying regulations on employee monitoring. For example, the GDPR in the European Union requires strict data protection measures, while the U.S. has different standards depending on the state.

What Is The Picture of Employee Monitoring in Some US States?

We've decided to take two US states: New York and Florida to show you how legal it is to use such monitoring patterns. Of course, these two states do not show the overall picture but will help understand the legality of this option. Employee monitoring doesn't act as a controller but as a contributor to the future profit of both employers and employees. Let's get more details:

New York

New York

New York has implemented various privacy protections, including the Electronic Communications Privacy Act (ECPA). This Act governs the monitoring of electronic communications under which employers must notify employees about the monitoring. There are also restrictions on the extent of surveillance, particularly when it comes to personal communications.

Research in New York shows that moderate employee monitoring, coupled with clear communication and purpose, can enhance productivity by 20-30%. In contrast, intrusive monitoring practices can lead to stress and a productivity dip of around 5-10%.

Florida

Florida permits employee monitoring with fewer restrictions in case it is done transparently and for legitimate business purposes. However, there are still federal laws, like the ECPA, that must be adhered to.

In Florida, statistics show that companies utilizing balanced monitoring strategies report productivity go up 18-28%. On the other hand, overly aggressive monitoring can result in a backlash, decreasing productivity by approximately 7-10%.

Florida

As you can see, both states have permitted the use of such software. Anyway, if you follow the legal regulations, there would not be any problems with legal and ethical considerations.

Top 5 Tips

The constantly developing digital world pushes people to find new ways to grow up. We analyze the spheres of employee monitoring and its effects on staff productivity and collect top 5 2024 tips. They may look similar year after year but still are able to contribute to the final result. Let’s get close look at them:

#1: Clear goals and future results

Every staff member should definitely understand what his role is. First, he should get what goals are set for him personally. It is necessary to touch on such goals clearly in order not to mix up and spoil the work of the month, for example. Besides, a headman should spell out the outcomes he plans to get. As a result, many businessmen prefer using employee monitoring tools to enhance the connection between the set goals and final results.

#2: Innovative tools and ideas

The usage of innovative tools and ideas is the way to become a pioneer in your specific niche. You may start using high-tech apps, softs or create your own product that will enhance the productivity of every employee. Besides, state-of-the-art ideas help break through the competitors and take the leading place with greater profit. Constant monitoring of employees and how they cope with the tasks speeds up the advancement process.

#3: Regular breaks

When being monitored, staff may feel unconfident to make breaks. They have no clue on how the program will behave itself and a director as well. According to the Harvard Business Review, 59% of employees feel burnout when working with no breaks at all. Such a burnout and latent engagement in projects are the consequences of hindered performance.

#4: High-trust and positive surrounding

A supportive and positive work environment boosts morale, leading to higher engagement and productivity. Employees are more motivated to do their best in a workplace they enjoy. To reach such a high-trust between all parties, everyone should participate in open communication, recognize and reward achievements, and encourage collaboration and teamwork. Every problem should be discussed and resolved in a maximum eco-friendly environment. Such an approach will create a positive microclimate in even big enterprises.

#5: Task management and delegation

Effective task management and delegation ensure that work is distributed according to skills and priorities. It allows employees to focus on what they do best and what is most important. If you can get and analyze the overall picture of any employee productivity, a management staff will get an opportunity to maximize the future outcomes. Employee monitoring will provide many tools to contribute to the capability of a personnel as in certain projects as well as the common working process.

Frequently Asked Questions

Will Employee Monitoring Considerably Help Improve Productivity?

Yes, employee monitoring helps considerably improve the staff productivity. Everything every managing staff should do is to make it openly. As a result of such a transparent collaboration, the boost in personnel productivity is high enough to speed up the working process.

Will This Method of Control Help Handle The Issues Before They Start Growing?

Yes, of course. When you have enough control over the staff performance, you will get a little time to handle the upgrowing problem. Every function of employee monitoring software should be used to cope with the problem, not to infringe the employees’ rights for personal info confidentiality.

What Effective Employee Monitoring Can Help Achieve For Your Business?

First, such software is a way to enhance employee productivity. In many cases, productivity is higher as it was predicted. Second, your staff starts collaborating. They work harder, the projects are implemented faster with positive outcomes. Third, within such a framework, every department looks for special devices and apps to speed up the working process. Besides, not less important, all the sensitive data is almost 100% secure.

Summary

Concluding all the previous information, we confess employee monitoring is the right way to affect the productivity rate. It has many tools to enhance the staff capacity. One of which is employee monitoring software with many different functions. If the procedure of installation and utilization is transparent, everyone will win.

Keep in mind about the legal regulations. They depend on what country or US state you are going to use such software. Better get acquainted with all the data in advance.