Labor shortages, rising wages, and increased turnover rates are impacting businesses around the globe. Retailers have it especially tough, with 94% of retailers having trouble hiring for open positions and 74% expecting labor shortages in customer-facing positions this year.
Investing in your workforce has never been more important, or more rewarding. Workforce Management (WFM) solutions can help businesses take more control over their labor costs while providing employees with an elevated work experience and more control over their schedules.
In a newly released report, Nucleus Research found that Blue Yonder’s WFM solution helped a global retailer cut labor spend by more than 5%. Plus, they implemented and deployed our solution across the 50 countries where they operate in just six months. It’s important to mention this global retailer employs more than 40,000 employees across more than 700 locations.
Upon implementing Blue Yonder’s WFM, the company also reduced voluntary employee turnover rates. Hiring a new employee typically costs a business 1.25 – 1.4 times the annual salary for the position, so any reduction in turnover rates is an instant cost saver. Today, the cost is likely higher, since there is such a universal labor shortage and demand is pushing up average salaries. The report found employers can cut turnover rates as much as 60% with WFM systems.
Blue Yonder’s WFM uses advanced algorithms to calculate the specific labor resources needed for every location, date and hour and creates schedules automatically in compliance with labor regulations. Employees input availability and define their work preferences, such as their preferred day off, preferred hours per shift, preferred job function and more. By implementing a scheduling plan that includes these details, employees are empowered to work the shifts that are best for them. The report found scheduling automation helped reduce scheduling inefficiencies, which led to a more than a 5% reduction in payroll spend.
More than 7.2 million employees are scheduled every week using Blue Yonder’s WFM. The system is designed for maximum flexibility, with the option to adjust schedules when things change. Employees can easily give up shifts, claim extra shifts, swap shifts, or request time off, making it easier to achieve the work-life balance they desire. Plus, since it’s built upon the Microsoft Azure platform, there’s built-in security controls and advanced threat intelligence that keeps your organization protected from today’s cyber threats and keeps your paychecks flowing.
Read the full Nucleus Research report and visit our website to learn how Blue Yonder can help your business tackle today’s labor challenges.
