What Is Workforce Management?
Workforce Management refers to a collection of procedures used by companies to tell staff members where and when to be in order to minimize risks and increase productivity. How this works exactly and what advantages it offers your company, we present you here.
What Does Workforce Management (WFM) Mean?
Workforce Management is a method for allocating employees as effectively and efficiently as possible, taking capacity and demand into account. The phrase refers to a complicated system of employee analysis, planning, and management that is based on the operational procedures of an organization. It´s primary goal is to raise productivity.
Since the 1980s, the phrase has been in use, particularly in call centers. However, it is becoming more crucial for HR in particular because processes like digital transformation and similar initiatives call for more flexible working hours and employment models like remote work.
Is Workforce Management the Same as Workforce Planning?
No they are not the same. Workforce Planning is just one important component of Workforce Management. The more professionally personnel planning is carried out as part of a multi-level Workface Management, the better employees can be deployed in line with their skills and the company’s needs. While Workforce Planning focuses on assigning employees to specific shifts, workstations, machines, etc., Workforce Management looks at a broader planning horizon and the dependencies of staff deployment on demand.
Future-proof your team.
Why Use Workforce Management?
The foundation of an effective Workforce Management plan is a precise specification of the workload that will be necessary to complete a given activity, with efficiency and security given first priority. Based on this, businesses can utilize it to develop forecasts that are demand-driven and schedule workers accordingly. Performance can also be measured to give employees feedback and incentives.
Workforce Management helps businesses decide how to effectively invest in their workforces. This is why a good Workforce Management approach should also include online coaching and training. The only way to guarantee that each employee’s abilities are current is through this.
By using continuous and automated monitoring, it can help lower expenses and enhance customer service. It can be used, for instance, to anticipate future demand for seasonal specialists or to more accurately estimate savings in particular departments or a call center. Additionally, overstaffing is a thing of the past thanks to Workforce Management, which can be utilized to determine the optimal staffing ratio for each shift.
Finally, it makes it simple and quick for companies to monitor staff productivity. Companies are also utilizing mobile Workforce Management more and more since the pandemic-related rise in remote employment. This enables them to keep an eye on the hiring, development, and performance of remote workers.
Workface Management Goals
Making the best use of existing staff resources and being able to adapt quickly to changes in demand are the two main goals of Workforce Management. Ideally, workload and capacity should be as closely synchronized as possible. The goals can be summarized as follows:
- Demand-optimized personnel deployment
- Highest possible flexibility around the working time
- Increased employee satisfaction through attractive working time arrangements
- Cost savings through precise workforce planning
- Optimization of productivity and profitability
- Reduction of administrative tasks to a minimum
Challenges of Workforce Management
Companies today operate in very turbulent markets. Sharp fluctuations in the order situation or customer volume, the advancing digitalization of the working world, the shortage of skilled workers and the new demands of a younger generation on the workforce pose major problems for companies of all sizes and in all sectors. These can hardly be managed with strict work plans and fixed processes. Instead, they require a high degree of flexibility.
Elevatex Helps You Find the Right It Freelancers
No-fuzz processes
Upon request, you’ll receive tailored profiles within a maximum of 48 hours. With fully digitalized processes, everything goes by itself.
Future-proof your projects
Future-proof your team and use the expertise of our IT experts to drive innovation in your business.
Clear-cut matching
Work with IT freelancers who match your needs and meet high-quality standards.
Vetted experts
Spend less time worrying and more time creating: Work with vetted and qualified experts.
We're your right partner. Let's get started.
How Do Companies Benefit from Workforce Management?
Every industry has its own requirements, unique obstacles, and special characteristics. Nevertheless, Workforce Management benefits businesses across all industries.
Here’s a quick overview:
Workforce Management in…
- Retail: When a consumer enters the store and needs assistance, employees are working on the sales floor.
- Call Centers: When a significant volume of calls are scheduled, employees are on duty.
- Logistics: When a large number of pallets need to be picked or a large number of shipments need to be loaded, workers are available.
- Production: Orders can be processed with extreme precision thanks to the precise setup of the machines, lines, and the full shift planning.
- Healthcare: Based on bed utilization and occupancy rates, duty planning. This guarantees patient-centered care.
Finding Freelance Experts Made Fast and Simple
We analyze your needs
In a personal, free needs assessment, we will find the tailored solution to your needs for free.
Receive Recommended Profiles Within 48 Hours
Pick your perfect candidate from a pool of curated IT experts.
Start working with your new team member
Meanwhile, ElevateX assists you during the whole project.
What Are Five Elements of Workforce Management?
Demand Analysis:
- What are the relevant influencing variables that trigger the personnel requirement? For example number of calls in call centers, number of customers at the point of sale, number of shipments in logistics, and so on.
- How are the influencing variables distributed over time periods (days, weeks, months, year)?
- Which special effects are to be included? (marketing campaigns, seasonal effects)
- How high are the workloads for certain tasks?
Determination of Personnel Requirements:
- Number of employees required?
- When or for how long?
- At which location?
- With which qualification?
Design of Working Time Models:
- Which models are needed to cover the operational, revenue-oriented and service-oriented requirements?
- What are the needs of the employees?
Personnel Structure Adjustment:
- What is the optimal personnel structure for each team, each area, each company?
- How can the existing personnel structure be optimized accordingly?
Controlling:
- Are the forecasts coming true?
- Are the measures working?
- Where is there a need for optimization?
What Are the Benefits of Workforce Management?
It can help to improve operational efficiency and productivity. For example, if schedules are better adhered to as part of Workforce Management, or if the speed of response to customer inquiries is increased, this can lead to an improvement in service quality. With the help of a precise staffing needs assessment, personnel capacities can be deployed in line with requirements in order to avoid overtime or unproductive time, for example. Staff shortages in customer service can lead to customers having to wait a long time for service and to a drop in customer satisfaction. This risk can be minimized through service- and cost-optimized synchronization of personnel requirements and capacity. In addition, companies gain a flexibility advantage when they respond to changing internal and external factors such as fluctuations in demand in line with their needs. Through cost-optimized scheduling, companies save on personnel costs. At the same time, they increase the productivity and satisfaction of their employees by deploying them in line with requirements and employee needs.
ElevateX Freelance Experts
FAQs
What Is Workforce Management?
Workforce Management is a method for allocating employees as effectively and efficiently as possible, taking capacity and demand into account.
What Is Workforce Management Used for?
It can help to improve operational efficiency and productivity. For example, if schedules are better adhered to as part of Workforce Management, or if the speed of response to customer inquiries is increased, this can lead to an improvement in service quality.
Why Do Companies Use Workforce Management?
Companies can utilize the process to develop forecasts that are demand-driven and schedule workers accordingly. Performance can also be measured to give employees feedback and incentives.
Workforce Management is a method for allocating employees as effectively and efficiently as possible, taking capacity and demand into account.
It can help to improve operational efficiency and productivity. For example, if schedules are better adhered to as part of Workforce Management, or if the speed of response to customer inquiries is increased, this can lead to an improvement in service quality.
Companies can utilize the process to develop forecasts that are demand-driven and schedule workers accordingly. Performance can also be measured to give employees feedback and incentives.
