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Workforce Management Software

Workforce Management software enables organisations to plan, track, and manage the allocation and requirements of labour resources. Digital Workforce Management solutions also help organisations develop and retain top talent. These employee management systems allow businesses to optimise staff scheduling, while reducing labour costs. Workforce Management software is related to Human Resource software, Payroll software, Scheduling software and Time Clock software. Find the best workforce management tools for your organisation in Australia.

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Workforce Management Software Buyers Guide

Introduction

Workforce management software is the name given to applications that allow businesses and their leaders to plan, track and manage the allocation of labour resources, as well as the needs of employees. Also known as a workforce management system or as staff management software, such a tool can be deployed in order to manage personal information, create and distribute work schedules, streamline operations, automate predictable processes, track attendance and absences, and monitor business operations. In addition, the best workforce software will allow users to leverage existing data in order to make evidence-based forecasts about future business needs.

A key component of most labour management solutions is the presence of a staff database, which will typically include names, contact details, current job roles, salary information, start dates, and other important information, all in a standardised format. Beyond this, tools will usually exist to organise scheduling and communicate that information to those who need it. Some software solutions go further and allow employees to actually make adjustments to their own schedule, providing workers with more control and a greater amount of flexibility.

Many of the best applications of this kind will also include performance metric tracking, which can be valuable for informing staff appraisals and helping leaders to manage the provision of training and coaching services. Moreover, the included ability to monitor work times, attendance, and compliance means that programs of this kind can often function as an all-purpose labour tracking software solution within a wide range of business settings.

With these various features in mind, workforce management software is closely related to employee scheduling software, talent management software, performance appraisal software, and attendance tracking software solutions. In many cases, it can function in combination with these packages, although workforce software will include many of the same features, so it may be able to replace the need for some of these programs too.

Of course, the precise range of features contained within workforce management solutions can vary significantly from one program to the next, and this is especially true if the software in question is targeted towards a specific industry or business type. Nevertheless, most options on the market will include the same core features, allowing users to:

  • Manage important information, including contact and employment details
  • Use past and current data to anticipate future labour requirements
  • View employee availability, assign shifts, and create work schedules
  • Track, view, and amend work hours and overall attendance for each employee
  • Evaluate the performance of workers, using key performance indicators

What is workforce management software?

Workforce management software is designed to enable businesses to plan, track, and manage the allocation of labour resources and the needs of a workforce. Software of this kind can be perceived as an all-in-one solution, allowing for everything from work scheduling and labour forecasting, through to attendance monitoring and performance tracking. Being able to carry out these functions from a single location can be valuable for efficiency and convenience.

A large component of most workforce management systems is the ability to consolidate important information related to work and employees. With this in mind, a common feature is an employee database containing important data, such as contact information, employment contract details, salary information, and attendance figures, all in one place for quick and easy access. Additionally, the centralised nature of the information stored in workforce software can help to overcome compatibility issues that may otherwise arise if multiple programs were being used instead.

Essentially, workforce management software can help companies to be better organised in the present and better prepared for future events too. The forecasting component allows business leaders to anticipate difficulties or challenges in advance, take action to mitigate threats, and resolve or alleviate workforce issues before they actually become a significant problem. Meanwhile, performance tracking can be used to inform staff appraisals and training provisions.

What are the benefits of workforce management software?

The benefits of workforce management software are largely related to its ability to bring many different tools into one application, which can help to make the tasks associated with business management much more efficient. However, the plus points of using an application of this type do extend beyond simple efficiency advantages, and it is important to weigh up all of these benefits when deciding on whether or not to make a purchase. Some of the main benefits allow users to:

  • Streamline management functions: the ability to use a single application to carry out a variety of different management tasks and functions is a major plus point associated with workforce management software. A comprehensive program will allow managers to handle actions that may otherwise require the use of a number of different applications, and bringing these tasks together can provide new opportunities for integration too. Centralisation of key information can also reduce the sheer amount of time required to input data, potentially freeing up employees to spend more of their time focusing on core business activities and operations instead.
  • Provide automation options: many workforce management software packages on the market include options to automate certain processes, including scheduling. This will typically work by creating a schedule based on employee availability information, which can potentially be added to software of this kind by the employees themselves. When this is possible, it can free up more time. Automation can also help to pinpoint when absences pass a certain threshold or when business performance either improves or starts to drop, allowing for timely interventions. Compliance checking tools may also provide options to automatically flag up when action needs to be taken in order to bring staff up to the required level or make alterations to processes.
  • Pinpoint areas of strength and weakness: solutions that allow key performance metrics to be tracked have the advantage of allowing users to easily pinpoint the areas where the business is performing well, as well as the areas that require improvement. From there, they can start to evaluate why certain aspects of the business are successful and why other areas are not performing the way they should. When managers and other business leaders gain a better sense of the strengths and weaknesses of different employees, departments, and branches, they can start to take appropriate actions in order to optimise business performance across the board.
  • Inform hiring and training decisions: one of the big advantages of having software that can forecast labour requirements is the fact that this information can then be used to inform both hiring and training decisions, and these decisions can be made before the need becomes too great. If software forecasts increased demand affecting a particular area of a business, senior staff can make decisions about improving competency levels of current staff to cope with that demand or hiring new staff to help to tackle the extra workload. In some instances, forecasting may predict very short-term needs for more staff, and this can allow recruiters to hire temporary staff rather than investing in full-time employees who may not be needed beyond a certain point.
  • Boost levels of employee satisfaction: the ability to manage employee schedules more accurately, provide flexibility, and review performance can all lead to greater employee satisfaction. Clarity over shifts can play a major role in boosting morale, while the ability to track performance also offers opportunities to recognise top performers. Finally, the work hours tracking capabilities offered by many applications in this category can improve satisfaction by helping to ensure that all staff are paid fairly, accurately, and on time.

What are the features of workforce management software?

The features of workforce management software are based on managing day-to-day issues related to scheduling, business needs, and the needs of employees. Of course, the precise range of features on offer are going to vary from one solution to the next, but the majority of workforce software options will include the same core features and functions. Here are some of the most common features of workforce management software:

  • Employee database: create and manage a comprehensive database, including key information about workers, such as their name, contact details, start date, contract details, job description, and salary information. Keeping all of this information in one place, in a standard format, allows anyone who needs this information to easily find it. Records can be kept up-to-date, the database can be shared across different departments and different premises, and changes made to the database can update for everyone, in real-time. Access controls will also mean that confidential information can be kept secure from prying eyes, while most workforce management software with database capabilities will also include comprehensive search functionality too.
  • Labour forecasting: utilise past data and current data in the books to identify specific workforce trends, and make more informed, evidence-based forecasts about future labour requirements. The ability to predict staffing needs within an organisation with a degree of accuracy can be vital for making future plans and for responding to labour shortages in a timely fashion. For example, if internal data shows that work demands increase every summer, it is easy to identify this trend and take action in advance before the business experiences any negative consequences associated with tackling this greater demand with a workforce that is too small.
  • Employee scheduling: establish work schedules, identify workload changes, and allocate shifts to employees while factoring in business needs, employee availability, current levels of qualifications and specialisation, and other important information. Ultimately, the employee scheduling component of a workforce management system will allow for the creation of realistic, workable schedules, which suit all parties, and which minimise the need for changes to be made at short notice. However, when changes do need to be made, this can also be carried out easily so that all employees know what is expected of them. Top of the range solutions may also include automated scheduling, which will create work schedules based on the data that is in the system, along with established work patterns and other key details. Automated schedules can help to make scheduling more efficient and can actually remove some of the most common problems that may be associated with human error.
  • Time and attendance: track, monitor, and manage employee work hours to know exactly when someone was at work and how many hours they worked. Additionally, keep a record of any sickness absences, holiday periods, or time spent on maternity or paternity leave so that an accurate picture of overall attendance can be formed. Tracking work hours and attendance in this way can be essential for identifying trends or circumstances that may lead to absences, understaffing, overstaffing, and a variety of other issues. The time and attendance feature within staff management software can also improve payroll accuracy, reducing employee pay disputes and ensuring that any disputes that do occur are resolved more swiftly.
  • Compliance tracking: keep important compliance information in one place, and monitor business operations, to ensure an organisation is always acting in accordance with rules and regulations. Information that can typically be stored within workforce software include certificates, union agreements, industry-specific regulations, discrimination laws, and wider employment rules and regulations. From there, users can monitor labour standards, track the provision of training, ensure operations are all in accordance with employment law and identify any areas where operations are falling short or where problems could potentially arise in the future.
  • Performance metrics: view and continually track relevant performance metrics related to individual employees and the workforce as a whole. By understanding where a business is performing well—and where there is room for improvement—more evidence-based decisions can be made with regards to recruitment, and the provision of training and coaching services. Furthermore, performance metrics can help to provide managers with the information they need to carry out staff appraisals and provide staff with recognition for their efforts. This can be especially important in organisations with remote workers. In fact, Gartner research actually identified employee recognition as one of the six main areas to focus on when trying to maintain employee performance levels.

Capterra's workforce management software directory makes it easy to sort the available software options based on the features they provide. When these sorting tools are used effectively, the available packages can be narrowed down, so only the options that include the required features are presented. This means less time spent exploring unsuitable software and more time focusing on the applications that could provide the greatest benefits.

What should be considered when purchasing workforce management software?

When purchasing workforce management software, there are several things that should be given careful consideration in order to identify the best software package for the company’s needs. A good way to approach this is to ask some key questions about the software and how it works, as well as the business requirements and the ways in which the software will be used. With this in mind, the following should all be considered before making a final purchasing decision:

  • What are workforce management tools needed for? This simple question can help when thinking about the features included in different software solutions on the market and when giving consideration to the features that are actually needed. It is worth noting that businesses may use the software in completely different ways. Therefore, the best security workforce management software may not necessarily be the best call centre WFM software solution or the best option for a software development business, and so on. Think carefully about which features matter the most to the business or which specific tools are likely to be needed within the industry, and then use this information to narrow down the available options.
  • How much does workforce management software cost? Cost is an important factor that can influence any purchasing decision, so opt for software that fits within the available budget. However, with workforce management software, there are other factors to consider beyond the upfront costs associated with actually buying software. It is best to approach this consideration by calculating the total cost of ownership. This will mean factoring in any subscription fees associated with Software as a Service (SaaS) solutions, calculating the costs of setup or installation, and thinking about any additional expenditure that may be necessary—such as staff training—and the costs that may be linked to any future need to access technical support.
  • Can workforce software integrate with existing tools? Although a good workforce management software solution will typically offer a wide range of different management-related features and functions, a chosen package is unlikely to allow every essential task to be performed. This means it is almost certainly going to need to function alongside other packages, and compatibility and integration can be important considerations here. Try to find an option that will work on the devices employees use, which is compatible with existing software solutions, or where changes to current processes can be made without causing major disruption.
  • What is the best deployment model to use? Deploying software and storing data on-site is only one possible approach, and it is important to give consideration to the alternatives. These options include deploying the software on-site but using cloud storage or opting for a full cloud-based option, where a subscription fee is paid to a third-party company. This company then takes responsibility for providing cloud-based access to the software, for any future software updates, and for keeping data safe and secure in the cloud. There are advantages and disadvantages associated with each deployment method, so the best option will depend on a range of factors. Cloud-based subscription models can reduce upfront costs and make ongoing costs more predictable, but on-site deployment may offer a greater sense of overall control and will not result in a business being tied into an ongoing subscription.
  • Is mobile workforce management software available? Many businesses have only recently started to embrace remote or hybrid work models, while others have always had employees working in the field who could benefit from the ability to access work schedules from a mobile device, such as a smartphone or tablet. If this applies, it may be worth taking the time to explore the available workforce management systems and identify one that includes a mobile app or which offers access to the central database via a mobile web browser.
  • What optional features may be useful? The various software solutions on the market may include similar core features, but the optional features on offer can vary drastically. Examples of some of the optional features that might be found in some packages include built-in payroll and recruitment management tools, workflow management options, and shift swapping options for employees, allowing them to pick up and pass off shifts. These extra features can often be among the best ways to separate different solutions that already cater for core needs, so try to think about some of the supplementary features that may appeal or provide the most value.

The most relevant workforce management software trends tend to centre around the ways in which software and digital technology are continually evolving, especially within the workplace. For instance, the increased adoption of remote work and the heightened focus on data protection have led to increased spending on cloud technology, while users also now have greater expectations when it comes to software delivering automation options. Some of the specific workforce management software trends to be aware of are:

  • Increased popularity of cloud-based software: One of the most significant general software trends of recent times involves the increased adoption of cloud technology. In fact, a survey from Gartner shows that the majority of businesses intend to maintain or increase current expenditure on cloud computing in the near future, and the challenges associated with the COVID-19 pandemic helped to accelerate this shift, as companies became more aware of the benefits of providing access to a distributed workforce. This trend is important to factor into decision-making on workforce management software because some employees may need to access the software remotely, and cloud-based solutions can often make this both easier and more secure.
  • Improved artificial intelligence capabilities: Artificial intelligence is improving all the time, and both AI and machine learning can help to boost the quality of workforce management software. Some options will provide automated scheduling and other similar functions, which will learn from the information available and create intelligent schedules based on availability and business needs. This can not only make the process of creating a work schedule more efficient, but it can actually lead to fewer errors, as humans may overlook information in a way that AI will not. However, the best solutions offering such functions will also allow the AI-generated schedules to be amended, resulting in a blend of intelligent AI and human intervention when it is needed.
  • Changing workforce expectations: There is now a greater expectation from workers in many industries that they will have greater flexibility in their work schedule and opportunities to work from home, when appropriate. This can influence a decision on which software package to opt for because some packages will accommodate remote access more easily than others. Beyond this, there is also increased scrutiny of zero-hours contracts, with people on these contracts expecting a fair amount of work, and the option to refuse work. This can make the scheduling component of workforce management software more important and may require employees to have access to this area of the software, along with permission to swap shifts or make amendments.
  • More comprehensive software solutions: Finally, as workforce management software continues to advance, we are seeing a greater number of solutions on the market which provide a comprehensive range of features rather than focusing on specific areas. It is not unusual to find software that can provide employee databases, scheduling, compliance tracking, payroll, performance monitoring, labour forecasting, and workflow management functionality, all in one place. These options can be excellent for startups or businesses looking to streamline.