Workforce Management Software

by Jennifer King
HR Analyst, Software Advice
May 8, 2012

Workforce management refers to the complex systems and processes used to schedule employees, track workforce time and attendance, and manage absences. Given the complexity of scheduling, technology and volume of employees, traditional systems of punching a time card and submitting written requests can be incredibly cumbersome. HR software developers understand organizations’ needs for increased efficiency, reduction in clerical work and streamlined processes to ensure minimal chance for human error. In fact, there are well over 180 different software systems that do just that. For organizations large and small, though, finding the right tool is essential for the successful utilization of their workforce. We’ve written this buyer’s guide to help you review top workforce management software and determine the right solution for you.

Here’s what we’ll cover:

What Is Workforce Management Software?
What Type of Buyer Are You?
Market Trends You Should Understand

The Talent Management Vendor Landscape
Benefits & Potential Issues

What is Workforce Management Software?

Workforce management software solutions automate the full spectrum of processes required to effectively distribute workers and track time/attendance. There are integrated suites available to streamline the process, allowing managers to spend less time filing paperwork and more time ensuring their operations run smoothly and efficiently.

There are also best-of-breed solutions designed specifically to manage the timekeeping needs for a large workforce, often easily integrated with HR management system (HRMS) and payroll systems. With a total workforce management system, the time spent managing time off requests, shift trades and absence tracking is drastically reduced. The Software-as-a-Service (SaaS) module now offers employees and managers even greater accessibility from anywhere there is an Internet connection.

What Type of Buyer Are You?

Before reviewing workforce management tools, it’s important to assess what type of buyer you are. We believe that the majority of buyers fit into one of these categories:

• Integrated suite buyers. These buyers work for organizations where some of their HR processes have become outdated or disjointed. These buyers therefor require a robust suite of solutions to help manage their many complex tasks, including integrated work scheduling software, payroll applications, and absence tracking and management. Integrated buyers may have high turnover among employees or manage numerous shifts of employees across a large organization. Integrated HR suites are the best option to help support a fluctuating workforce with ease, working seamlessly and efficiently with multiple HR applications.
• Best-of-breed buyers. These buyers are looking for straightforward ways to specifically enhance their processes. The organization may already have an HR system in place but needs more efficient ways to track time and manage employees’ schedules. These buyers want solutions that help simplify their daily workload, while integrating easily with existing HR systems.
• Cost-conscious buyers. These buyers are looking solutions with high functionality to manage processes while keeping costs low. Although there are affordable best-of-breed options that can be deployed on premise, SaaS-based modules may be a good choice. That’s because these Web-based solutions are often available for a monthly fee, making it easier to control spending while enjoying access to the same high level of functionality.

The Vendor Landscape

Market Trends You Should Understand

• Software-as-a-Service. SaaS has changed the way we do HR, providing more wide-scale accessibility to solutions once only available in an on-premise deployment. And given the fact that SaaS solutions are web based, it’s easy for organizations to establish employee self-service portals to post shifts for trade, request time off, and view time cards. SaaS offers the highest usability for managers and employees, helping eliminate endless paperwork for both. Although SaaS options offer best practices and allow for configuration, it’s important to note that specific customization options can be limited.
• Consolidation.Larger HR software developers have been acquiring best-of-breed solutions as a means of expanding the breadth of their integrated suites. For buyers, this means increased functionality and integration with the rest of your HR system. Buyers are able to tap into a larger resources, fully automating their processes and maximizing efficiency. On the other hand, best-of-breeds have worked hard to offer competitive alternatives to buyers who aren’t interested in implementing an entirely new system. Be sure to weigh your options carefully to ensure you find the best solution for your needs.

Benefits & Potential Issues

Whether you are looking to update your entire HR suite with an integrated system or deploy a standalone, best-of-breed system, workforce management solutions can help you streamline your operations throughout your organization. By creating more efficient ways to schedule shifts, track time, and submit requests, both managers and employees alike can make better use of their working hours. Managers can grant time off, approve shift trades, and track absences at the click of a button. And clock in/out functions record time for all hourly employees automatically, and managers are able to view real-time attendance reports for quick reference. Automated systems minimize the margin for error in payroll, drastically reducing the time spent making corrections and issuing new checks. When it comes to creating efficiency and managing time, an outdated, paper-based system simply cannot keep pace given the time demands and complexities of your team.

Conversations in the Market

The following topics have been popular discussion points amongst HR technology experts:

• Acquisitions of workforce planning software vendors. The acquisitions of SuccessFactors in December 2011 and Taleo in February 2012 are keeping HR experts on their toes as they speculate future consolidations within the talent management market. But the trend continues within the workforce planning space after Saba announced the acquisition of HumanConcepts on March 20, 2012. Saba plans to integrate HumanConcepts’ organizational modeling and visualization features into its existing talent management and enterprise platform for enhanced workforce planning.
• A new credential for workforce management professionals. The advancement in payroll, time tracking, and attendance technologies are traditionally overshadowed by talent management applications such as recruiting or learning management tools. To bring more visibility to emerging workforce planning systems, the Workforce Educational Organization (WEO) announced plans to introduce a new professional credential in 2013. According to the WEO, this would help raise the profile of workforce management vendors and professionals in the field.
• The rise of workforce analytics and data analysis. After the Society for Human Resource Management released a draft for human capital metrics and workforce analytics standards in April 2012, the industry seems convinced that the use of big data and workforce analysis for people management is on the rise. New workforce management tools and applications for this type of analysis could be influential as HR professionals strive to provide decision makers and C-level executives with ROI data around productivity, training, and employee recognition programs.

Have an opinion on this guide? Email the authors. We appreciate the feedback.