The workforce represents 70% of the average organisation’s total operating costs.* Executives looking to manage this expense more tightly should turn to automated workforce management systems to strategically manage labour spend and gain a higher return on investment (ROI).
Time and attendance tracking, workforce scheduling, leave case management, workforce analytics and fatigue management should all be automated. Even by conservative estimates, a successful workforce management project can save the business millions in annual recurring expenses, freeing up budget for other strategic initiatives.
Here are six ways automated systems can maximise the business’s return of workforce management investment.
1. Control costs
Real-time visibility into workforce management capacity and deployment can help managers identify where they can implement cost-saving measures more quickly. Automated systems can significantly improve labour costs and drive total overtime costs down by 19%.**
2. Increase efficiencies
Eliminating manual processes can reduce errors in pay calculation and data collection, and help organisations to quickly process accurate retroactive calculations. Automated systems with self-service tools let employees manage their own shifts and time off. This helps to reduce administrative task workloads for HR teams.
3. Boost morale
Organisations with automated systems can promote work-life balance by giving employees real-time visibility into time-off accruals and letting them bid for and swap shifts. This helps to boost employee satisfaction and morale.
4. Simplify compliance
Automated systems manage a full range of national and local wage laws, leave regulations, union rules, corporate policies and regulations specific to an organisation’s industry. This helps to reduce human error in keeping records up-to-date and curbs compliance risks.
5. Extend value
Organisations that integrate real-time data from automated workforce systems with existing technologies, such as ERP and payroll systems, will gain maximum value for their investment. Sharing workforce management data with other applications can give the organisation deeper insights into workforce trends and help drive processing efficiencies.
6. Reduce your total cost of ownership (TCO)
Cloud-based solutions reduce the TCO and ensure organisations remain up-to-date via incremental updates.
* Human Capital Management Institute, Managing an Organisation’s Biggest Cost: The Workforce (http://www.hcminst.com/files/OrgPlus_Total_Cost_Workforce_.pdf)
** Aberdeen Group. “Bottom Line Reasons for a Total Workforce Management Strategy.” December 2014.
Leslie Tarnacki, VP of Human Resources and ANZ GM, WFS Australia