What is workforce management?

A guide to workforce success.

Preface

Workforce management (WFM) is one of those concepts that can be easy to define but challenging to execute. Forecasting demand weeks or even months ahead, balancing employee needs, meeting efficiency targets—it’s a lot to manage. Add in variables like intraday management and performance tracking, and it can quickly become overwhelming.

That’s why understanding the nuances of WFM is crucial. It’s not just about keeping operations running smoothly—it’s about supporting long-term business goals.

So, what makes WFM such an essential part of successful operations? And how do you find the right solution for your business?

In this guide, we’ll walk you through everything you need to know about WFM, from its importance to the key features that make a WFM solution effective.

Chapter 1

What is workforce management?

Workforce Management (WFM) is the strategic approach organizations use to optimize the workforce performance. At its core, WFM ensures that companies are effectively managing their most valuable asset—people—while balancing efficiency goals.

WFM involves a range of essential functions that work together to create a seamless, efficient workforce.

Fig. 1

WFM Essential Functions

Forecasting

Accurately predicting demand to align workforce capacity with evolving business needs.

Scheduling

Designing employee schedules that meet operational requirements while considering individual preferences and availability.

Time and attendance tracking

Monitoring work hours to ensure compliance, streamline operations, and maintain efficiency.

Performance management

Leveraging data and analytics to assess employee performance, identify trends, and uncover opportunities for growth.

Chapter 2

Chapter 3

Key benefits of workforce management

WFM solutions are designed to help organizations achieve their objectives.

Fig. 2

WFM Key Benefits

Chapter 4

Core components of workforce management

How exactly does WFM help leaders maximize workforce resources, run operations smoothly, and keep employees motivated —all while meeting their broader business goals?

The following elements are the foundation of any successful WFM strategy.

Chapter 5

Challenges in workforce management

From managing fluctuating demand to balancing employee preferences with business needs, organizations may face challenges in maintaining efficiency and employee engagement.

Fig. 3

WFM Challenges

Fig. 4

Agent Turnover

A recent study conducted by Metrigy of nearly 700 companies showed that agent attrition/turnover rose to 28.1% in 2023 and is expected to reach 31.2% in 2024.

Managing multichannel operations

As digital channels continue to evolve, organizations are expected to operate across multiple platforms—such as phone, email, chat, and social media.

Managing workloads and teams across these diverse channels can be complex, requiring accurate forecasting and effective intraday management to ensure seamless service delivery.

Balancing compliance and flexibility

Navigating labor laws and regulations—such as union agreements, overtime rules and mandatory break requirements—while also offering employees the flexibility they need can be a tough balancing act.

Workforce management tools help streamline compliance by automating processes, ensuring organizations meet legal requirements while giving employees greater control over their schedules.

We, at Aspect, make sure that all those rules and regulations are considered at scale, not as rigid boundaries but as guidelines that the system handles on the back end. This way, agents can have a seamless self-service experience while the rules act underneath.

Darryl Kelly

CEO, Aspect

Thriving in hybrid and remote work environments

The shift to hybrid and remote work models has introduced new challenges to WFM. Workforce leaders now must consider variables like different time zones and productivity levels.

WFM solutions help adapt performance metrics and scheduling to these unique dynamics, ensuring that teams remain aligned, regardless of work location.

Beyond logistics, workforce management tools promote remote collaboration, supporting business goals and company culture.

Managing outsourced resources

Outsourcing offers flexibility, but it also comes with challenges. These include aligning external teams with your organizational goals and culture, maintaining consistent service quality, and integrating performance data across different systems.

Effective workforce management help coordinate all these moving parts. It ensures that outsourced teams work seamlessly with in-house staff, leading to smoother collaboration and better overall performance.

Chapter 6

Workforce management technologies

Technology has completely changed the way workforce management works. Today’s workforce management systems go beyond just improving scheduling and operations.

Chapter 7

AI and machine learning in WFM

AI and machine learning are changing the game in workforce management by making operations smarter and decisions faster. Here’s how these technologies are shaping the future of WFM.

Fig. 5

WFM and AI

Smarter forecasting and scheduling

AI analyzes loads of data—both past trends and real-time information—to predict demand and create optimized schedules. This means workforce managers and analysts can align staffing with needs more effectively and save time by reducing manual planning.

Real-time intraday adjustments

With AI, businesses can monitor live data, like call volumes or customer interactions, and quickly adjust staffing as needed. This helps maintain service levels without managers having to step in manually every time there is a shift in demand.

Planning ahead with predictive analytics

AI tools can identify potential problems—like staffing gaps or missed KPIs—before they happen. By flagging these risks early, managers can act quickly to avoid disruptions.

Chapter 8

How WFM can help businesses in different industries and sizes

WFM systems help improve efficiency, increase employee engagement, and enhance customer experiences in organizations of all sizes, from small businesses to large enterprises.

01

For small businesses

Smaller organizations often juggle limited resources and tight budgets. WFM solutions enable them to:

Optimize staffing to meet demand without overspending.
Automate scheduling and compliance tasks, saving valuable time.
Foster employee satisfaction through better scheduling and work-life balance.

02

For mid-sized companies

As businesses grow, so do the complexities of workforce management. WFM tools can help by:

Streamlining operations to handle increasing workloads.
Providing data insights for better decision-making.
Improving team collaboration across departments or locations.

03

For large enterprises

Managing thousands of employees across multiple locations or departments requires precision and scalability. WFM systems can:

Integrate seamlessly with other enterprise systems like HR or payroll.
Deliver advanced forecasting and real-time adjustments to meet global demands.
Ensure consistent compliance with labor laws and regulations across regions.

Across industries

No matter the sector, WFM solutions address industry-specific challenges:

Contact centers

Optimize agent scheduling and maintain service levels.

Healthcare

Balance patient care needs with regulatory compliance.

Retail

Manage seasonal staffing demands and ensure store coverage.

Manufacturing

Align production schedules with workforce availability.

Airlines

Optimize crew scheduling, manage flight delays, and ensure compliance with aviation regulations.

Financial Services

Streamline back-office operations, align staffing with transaction volumes, and maintain compliance with strict regulatory standards.

Fig. 6

Reimagining WFM

Chapter 9

Reimagining workforce management with Aspect

With over 50 years of industry-leading experience, Aspect transforms how businesses manage their most important asset – their people.

Our platform simplifies workforce management by streamlining scheduling, improving communication, and enhancing collaboration. It’s built to drive better employee engagement, boost operational efficiency, and support business growth.

Whether you’re scaling your workforce, optimizing resources, or enhancing employee satisfaction, Aspect WorkforceOS gives you the tools to transform how you manage your teams.

Explore Aspect’s workforce management tools

Learn about suite of tools including Workforce and WFX, our new product focused on the agent experience.

Learn about WorkforceOS

Tour our products

Schedule a live demo to see how Aspect can power your workforce and drive growth.

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What is workforce management?

What is workforce management?

Forecasting

Scheduling

Time and attendance tracking

Performance management

Why is workforce management important?

Key benefits of workforce management

Operational efficiency

Employee engagement and retention

Customer experience

Informed decision-making

Compliance

Core components of workforce management

Challenges in workforce management

Addressing employee attrition

Managing multichannel operations

Balancing compliance and flexibility

Thriving in hybrid and remote work environments

Managing outsourced resources

Workforce management technologies

AI and machine learning in WFM

Smarter forecasting and scheduling

Real-time intraday adjustments

Planning ahead with predictive analytics

How WFM can help businesses in different industries and sizes

For small businesses

For mid-sized companies

For large enterprises

Across industries

Reimagining workforce management with Aspect

Explore Aspect’s workforce management tools

Tour our products

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