For the best video editing, follow this sequence (although you may not include each of these steps in every video project you work on).
1. Import images, recording files, video clips, and audio and arrange the clips on the timeline.
2. Make basic edits to the clips on the timeline. Cut and split clips, move clips, add markers, etc.
3. Record camera video (webcam) or add a video clip as a Picture-in-Picture (PIP) on the timeline.
4. Edit the audio.
5. Add voice narration.
6. Add title clips and transitions.
7. Apply SmartFocus and add Zoom-n-Pan keyframes to zoom in on the recording to draw viewer's attention to specific action in the video.
8. Add other effects such as callouts, captioning, Flash quizzes or surveys.
Source: Camtasia Help Menu