The need for effective employee performance tracking tools has never been greater — which is no small achievement for a concept that’s almost 2000 years old.

These days, the best performance tracking tools help ensure accountability, high work standards, and a culture of continuous improvement. They also provide insights that help managers identify blockers, streamline workflows, and improve employee well-being. 

But how do you choose the best one for your organization? The answer lies in understanding the tangible benefits these tools bring.

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Why employee performance tracking is essential

In an increasingly competitive landscape, businesses are under pressure to employ and retain productive people in order to be successful. However, improving performance is difficult without measuring it.

Tracking employee performance also helps companies stay ahead of the curve and maintain a productive, motivated workforce.

Benefits of performance tracking

  • Improved productivity. Performance tracking tools help in monitoring employee progress and identifying bottlenecks. This then leads to more efficient workflows and increased productivity.
  • Better goal alignment. These tools ensure that individual employee goals are aligned with the overall objectives of the organization, leading to a cohesive work environment.
  • Enhanced employee engagement. Regular feedback and performance reviews boost employee morale and engagement, which creates a more driven workforce.
5 Steps to Measure Employee Performance

(Source: Canva user)

Key metrics to track

Now that you understand the benefits of performance tracking, what criteria should you actually be looking at? Here are a few examples:

  • Output quality. Instead of merely tracking the number of tasks employees perform over a period of time, focus on the standard of work they produce. This approach to employee performance helps maintain high-quality deliverables in the long run. Regular performance evaluation ensures that quality remains consistent and meets organizational standards.
  • Goal achievement. Track the completion of set goals to ensure teams are going in the same direction. Regularly reviewing goals helps keep employees focused and motivated. The right goal tracking tools allow for timely adjustments if goals are off-track.
  • Skill development. Monitor employee performance through growth and development opportunities. Regular assessments help identify strengths and areas for improvement that help employees reach their career goals. 
  • Team contributions. Recognizing and rewarding contributions can boost team morale and motivate other team members. Effective goal setting and employee feedback are crucial in this process, as they ultimately lead to a more cohesive and productive team.

Key features to look for in performance tracking tools

A performance tracking tool can be a catalyst or hindrance to employee performance. Ideally, the tool should streamline performance evaluations and provide actionable insights to evaluate employee performance.

Plus, real-time feedback capabilities can significantly improve your performance management strategy. Here are some key features to consider when selecting the employee performance tracking tools for your business.

Customizable dashboards

Hubstaff dashboard

Customizable dashboards are a staple in the best performance management tools. With these dashboards, you can see real-time performance data, integrate 360-degree feedback, and offer a well-rounded perspective on an employee’s strengths and potential weaknesses.

Dashboards empower managers and employees alike, making it easier to track progress and provide meaningful feedback. However, the intuitiveness of the tool is crucial. The easier a tool is to grasp, the more likely employees are to embrace it.

Goal setting and tracking

Goals and objectives are what steer the proverbial business ship. As a critical component of employee performance management, goal setting helps every team member understand their role in the company.

By leveraging employee data, managers can create personalized goals that not only increase productivity but also enable constant growth. Incorporating goal setting and tracking into the performance management process also encourages accountability, which is key to improving employee performance.

Automated reporting and analytics

Real-time performance data is great, but not if you can’t hold onto it. The best employee performance tracking tools have reporting and analytics capabilities to provide a detailed view of various performance benchmarks. 

Hubstaff Time & Activity Report

Reports support employee development by identifying unique strengths and skill gaps that can be addressed in one-on-ones, performance reviews, and other career development checkpoints. They provide a high-level performance overview and help ensure that employees are making progress both in professional and personal aspects.

Integration with existing systems

Ideally, your performance management processes should integrate with other tools you use. When performance management software integrates smoothly, HR teams can easily access and utilize data, helping them make informed decisions that impact:

  • Promotions
  • Onboarding
  • Training
  • Employee surveys
  • KPIs and OKRs
  • Retention

By integrating with existing CRM, customer support, and communication tools, performance management software can provide a comprehensive view of employee performance and personal development plans.

Real-time feedback mechanisms

Unlike traditional performance appraisals that occur annually or semi-annually, real-time feedback enables ongoing dialogue that allows managers to address issues promptly and recognize achievements as they happen.

Employees receive immediate, constructive input they can apply to their current projects. By integrating real-time feedback mechanisms into talent management strategies, companies can drive higher levels of productivity.

One of the best ways to incentivize real-time feedback is through our last point: powerful integrations.

For example, tools like OfficeVibe offer Slack integrations where employees can receive anonymous surveys right to their DMs. 

Example of a survey question in the Slack and Officevibe integration

Top employee performance tracking tools for 2024

1. Hubstaff

Hubstaff Insights Dashboard

Hubstaff is a versatile performance management solution that streamlines employee performance tracking with its comprehensive suite of features.

With its intuitive interface, Hubstaff makes it easy for employees to understand their own performance, monitor progress, and generate detailed reports to support evaluations.


  • Activity monitoring. Hubstaff can track application and website usage to help teams pinpoint time wasters and improve their efficiency. Try Hubstaff Insights for app and URL classifications, utilization rates, and more. 
  • Time tracking, timesheets, and payroll. Track time across various devices and projects. Time tracking data becomes automated timesheets that you can also use to pay teams on Gusto, PayPal, Wise, and other payroll integrations simultaneously.  
  • Project management integration. Hubstaff integrates with popular project management tools like Hubstaff Tasks, Trello, and Asana. 
  • Detailed reporting and analytics. With over 17 in-depth reports, Hubstaff helps managers analyze performance trends and make informed decisions.

Best for

Hubstaff is ideal for small to medium-sized businesses looking for a comprehensive tracking solution that streamlines employee performance management and supports remote work environments. It’s also a great choice for teams that want to understand their own performance and identify performance trends.

2. BambooHR

BambooHR homepage

BambooHR is a performance management solution designed to streamline human resources processes and enhance employee performance tracking. With an intuitive user interface, BambooHR helps employees understand their key results and how they fit into overall business goals.


  • Performance reviews. Simplifies the performance evaluation process with customizable review templates.
  • Employee self-assessments. Encourages employees to reflect on their own performance and set personal development goals.
  • Reporting and analytics. Offers insights into key results and performance trends to support informed decision-making.

Best for

Businesses seeking an effective performance management system that integrates seamlessly with existing human resources processes. BambooHR’s user-friendly interface and robust features ensure employees understand their role on the team.

3. Lattice

Lattice homepage

Lattice helps companies focus on data-driven performance management. Its extensive features support human resources teams in conducting thorough performance evaluations.


  • Real-time feedback. Encourages continuous feedback to support employee growth and development.
  • Analytics and reporting. Provides detailed insights into performance trends and key results.
  • 1-on-1 meetings. Supports regular check-ins between employees and managers to discuss progress over time.

Best for

Companies focused on data-driven performance management. Lattice’s powerful features and user-friendly interface help employees understand their performance goals, and managers establish and track Key Performance Indicators (KPIs).

4. 15Five

15Five homepage

15Five empowers employee engagement and growth. It provides human resources teams with the tools for transparent performance evaluations and encourages communication.


  • Weekly check-ins. Facilitates regular communication between employees and managers to track progress and address issues.
  • Feedback and recognition. Encourages feedback and peer recognition to boost morale and engagement.
  • Engagement surveys. Measures employee engagement and identifies areas for improvement.

Best for

Small to medium-sized businesses that prioritize employee engagement and continuous feedback. This focus on regular check-ins and real-time feedback makes 15Five ideal for organizations aiming to build a culture of growth and open communication.

How to choose the right performance tracking tool

Assess your company’s needs

Consider the size of your organization, your workforce’s unique needs, and your existing infrastructure. Understanding these factors will help you identify priority features for your performance tracking tool.

Whether you need a solution for a small team or a large enterprise, tool alignment is essential for effective performance management.

Compare costs and features

Look for a solution that offers a good return on investment by balancing the price with the features provided. Evaluate the feature set to ensure it includes everything necessary for your performance management strategy, such as real-time feedback, goal tracking, and detailed reporting.

Additionally, consider the tool’s scalability to accommodate your company’s growth over time.

Read user reviews and case studies

User reviews and case studies provide valuable insights from other businesses that have implemented the tools you’re considering. They can provide honest information about the tool’s effectiveness, ease of use, and the support provided by the vendor. 

Implementing performance tracking software

Steps for successful implementation

  1. Develop a detailed plan. Outline your goals, timelines, and key milestones for the implementation process.
  2. Train your staff. Support employees in understanding how to use the new software effectively through comprehensive training sessions.
  3. Integrate with current systems. Work closely with your team to confirm if the performance tracking software is compatible with your existing systems.
  4. Conduct pilot testing. Test the software on a small scale to identify and resolve any potential issues before a full-scale rollout.
  5. Communicate benefits clearly. Highlight the advantages of the new system to all employees, emphasizing its impact on their work experience.
  6. Monitor progress and support. Continuously monitor the implementation process, providing ongoing support and additional training as needed.
  7. Review and optimize. Regularly review the tool’s impact on your organization, making optimizations to ensure it meets evolving needs and objectives.

Overcoming common challenges

Introducing new performance tracking software can present several challenges. For instance, resistance to change is a common issue, but it can be mitigated by being transparent with employees during the implementation process.

Data privacy concerns should be addressed by ensuring the software complies with relevant regulations and implementing robust security measures. Consistent use of the software can be achieved through ongoing support, along with regular check-ins to address any issues and reinforce the system’s importance.

In most cases, challenges like these can be addressed with constant, open communication. Keeping employees informed about the implementation process helps them gain their buy-in. Being responsive to feedback also goes a long way in navigating challenges and achieving desired outcomes.

Case studies and success stories

How Hubstaff transformed Alpha Efficiency’s performance

Before implementing Hubstaff, Alpha Efficiency faced significant challenges in managing their remote team, tracking productivity, and ensuring timely project completion.

The lack of accurate time tracking and inefficient bookkeeping processes hindered their overall performance and client satisfaction. After integrating Hubstaff, the agency saw remarkable improvements:

  • Productivity and visibility: ROI increased by over 100%.
  • Bookkeeping: Processes were shortened from 1 week to 1-2 days.
  • Payments: Payments to clients were sped up thanks to accurate tracking.
  • Meetings: Minimized meetings and interruptions through detailed time reporting.

Brian Dordevic, Director of Strategic Planning, encapsulates this transformation: 

“Now, I can give people more autonomy to succeed while identifying what isn’t working. Hubstaff allows me to correct issues in real-time, so labor slippage is minimized.”

How Lattice helped Encompass with performance and engagement

Encompass, a healthcare technology company, significantly improved its performance management processes by integrating Lattice into its operations.

Prior to using Lattice, Encompass struggled with inconsistent performance evaluations and a lack of clear goals for employees. The tool provided a comprehensive solution that enabled employees to understand their key results.

Lattice helped Encompass create a more transparent and engaging work environment. As a result, Encompass experienced improved overall employee performance.

Frequently asked questions

How can you track the performance of your employees?

Performance can be tracked using performance management software with features like time tracking, goal setting, and real-time feedback. These tools also provide insights into employee productivity and progress toward goals. Regular performance reviews and data analytics also help in evaluating overall performance.

What is performance tracking software?

Performance tracking software are tools designed to monitor and evaluate employee productivity and progress. They typically include features like productivity tools, feedback collection, and reporting to help managers make HR decisions and support employee development.

What is the best performance management tool?

The best tool will largely depend on a company’s specific needs like size, industry, and goals. For instance, for teams that need in-depth workforce analytics and reporting, Hubstaff is an excellent option. On the other hand, if constant feedback is a bigger priority, a different tool might be a better choice.


Investing in the right performance management software is more than tracking metrics; it’s about setting up your company for success.

You know you’ve chosen the right tool when it transforms your team in a tangible way. Choose wisely, and watch your organization thrive. Besides, who doesn’t love a little boost in employee performance without the extra meetings?

Are you ready to elevate your remote team’s efficiency? Embrace seamless collaboration, enhanced productivity, and transparent work processes with Hubstaff – the leading employee tracking software! With Hubstaff, you can ensure your team stays aligned and productive

Category: Management, Product