What is workforce optimisation, and why is it so important?

Workforce optimisation is about improving how teams work. It aims at streamlining the work effort and getting more done in an effective way. Results are achieved faster, and the process to get there is smoother. The section below provides a definition of workforce optimisation and insight into why it is important for business success.

What is workforce optimisation?

Workforce optimisation is also referred to as WFO. It forms a set of strategies that aim at streamlining the work effort within the organisation by increasing process efficiency and decreasing operational costs. To be effective, workforce optimisation makes use of qualitative and quantitative data. The analysis of such data provides critical insight into business processes and ways of functioning that will lead to optimisation in many areas across the business.

Workforce optimisation should be an ongoing practice in the business to ensure working processes are constantly improved. Doing so will lead to cost reduction, operational efficiency and increased productivity.

The importance and benefits of workforce optimisation

Streamlining work processes often means applying the best use of technologies to business. As such, workforce optimisation has a direct impact on customer satisfaction, operational efficiencies and costs, employee satisfaction, staffing and much more. Let’s explore below some core benefits of workforce optimisation for your organisation.

Enhances productivity

For leaders, the team’s efficiency is paramount. Workforce optimisation provides them with successful outcomes through the data collected and the insight from that data.

Optimises the cost of labour

Optimising the workforce has many benefits. One of the main ones is the savings generated from labour. By ensuring the best use of time by your staff you maximise what they can deliver and therefore save on recruitment, training and HR costs.

Improves customer service

Workforce optimisation involves tailoring services, staff and solutions to client needs. This means that customers will be satisfied, thus having a direct impact on client retention.

Measures employee performance

Workforce optimisation techniques can help leaders gauge the performance of their teams. It gives them the visibility they need to understand what changes need to be implemented to ways of working, or what training programme their employees need.

Streamlines work processes

When it comes to project management, workforce optimisation is a must for efficiency. Project management involves planning, preparation, task management and much more. All these tasks need to be anticipated and managed in order to deliver the desired outcome. Analysing the success of project management work will give leaders the opportunity to understand what works in their teams and what doesn’t. With that knowledge in hand, they can drive change leading to more effectiveness.

Boosts recruitment strategies and attracts talent

Workforce optimisation has a direct impact on the talent base of the business and how it is utilised. As such, it allows businesses to attract and retain talent. The analysis that is part of the process provides insight on the skill gaps in the business and therefore may result in the recruitment of specific skill sets that will benefit the organisation in the long term.

Minimises the risks of non-compliance

Businesses have a duty to comply with work regulations and employment laws. By managing their workforce closely, they will avoid penalties and ensure compliance.

WFO is a way to boost your business productivity. The data collected in the process will provide valuable insight to decision-makers and may lead to internal changes that will put the business on a path toward further success.

Workforce optimisation best practices and strategies

Workforce optimisation is a practice that requires investment in time, people and technology. The section below provides business leaders with strategies and best practices when it comes to workforce optimisation.

Have the right tools and resources for your staff

Ensure your employees are equipped with the adequate tools to be successful and efficient in their job. Not giving them adequate resources will slow down your business’s overall productivity. Providing employees with the tools and resources they need to succeed is a critical success factor. Not only should businesses ensure their employees have the right tools, but they should also ensure optimal use is made of them. As such, they should deliver appropriate training to staff. This approach should be seen as an investment that will benefit the organisation in the long run.

Ensure the right resource is positioned on the right task

Matching your employees’ skill set with the tasks assigned to them results not only in more efficiency but also better customer satisfaction. Managers should have a clear view of their team’s attributes. With this knowledge in hand, they are able to match employees to tasks that suit their skill set.

Make the best use of technology

Scheduling tools or workforce optimisation software are available to businesses. Utilising them will ensure maximum efficiency and avoid a lot of hassle. For example, some tools make it easier to manage overtime or even match customer demand against employee time.

Ensure performance goals are SMART

SMART goals are specific, measurable, achievable, relevant, and time-bound. Workforce optimisation needs to apply this principle to employees’ goals setting. Doing so will lead to employee development and help them maintain a healthy work-life balance .

Monitor and review the business goals and performance

WFO should not be a one-off exercise. It should be part of an ongoing strategy for the business. As such, it is essential that the business performance is monitored and that goals are reviewed on a regular basis. Customer demand may evolve at a fast pace and as such it is essential that businesses are on top of customer’s needs.

Implement a training and development programme

Workforce optimisation goes hand in hand with training and development programmes. WFO may shed light on skill gaps that the business needs to address. This is where training and development comes in. For more on training and development have a look at our two articles on:

• How to implement an effective employee training and development programme
• 5 steps to creating an effective training and development programme

Take an agile approach

Successful businesses have a plan but know when to be flexible and adapt. Workforce optimisation needs space for some agility in order to maximise the results. For more on an agile approach at work, see our guide to agile teams.

Workforce optimisation is essential for businesses to evolve and continuously gain efficiency. It involves multiple factors that together aim at boosting the business’ performance. When executed well, workforce optimisation provides businesses with a competitive advantage through process optimisation, maximised use of technology, training and development programmes and much more.