In a previous article, I explored the importance of crafting a solid business case before embarking on a WFM implementation. A comprehensive business case encompasses an ROI study, execution roadmap, business transformation, change management considerations, and project risk assessment. Now, let’s delve deeper into constructing a dependable business case through four essential steps:
1. Map Current WFM Ecosystem and Business Objectives
Understanding your organization’s current workforce management situation is essential. Whether it involves an existing WFM system or manual processes supported by spreadsheets, identifying inefficiencies helps us determine necessary improvements. This step extends beyond mere operational tweaks—it’s about aligning with the needs and workflows of the people using these systems, making sure these elements are central to the planned solutions. Engaging with stakeholders and working with an unbiased consulting firm can provide insights into the vendor landscape and emerging trends, aiding in the development of a clear future vision and establishing key requirements.
2. Review Opportunities, Industry Trends, and Best Practices
With a clear vision and identified requirements in hand, the next step is to bridge the gap from the current state to the desired future state. Start by compiling a comprehensive list of opportunities and categorize potential savings into Soft Cost Savings, Hard Cost Savings, and Intangibles. Assessing the costs associated with acquiring, maintaining, and implementing the new system is crucial for developing accurate ROI calculations.
3. Conduct ROI/Business Case Analysis and Set SMART Goals
Once potential savings are identified and the costs of the new solution are understood, measure the benefits. This might include enhanced forecasting and scheduling to reduce unnecessary overtime (Hard Cost) or cutting down the time managers spend on scheduling each week (Soft Cost). When calculating these savings, adopt a conservative approach, applying only 25-75% of the estimated savings based on confidence levels. This does not apply to definite savings, like the discontinuation of maintenance costs for old systems, which should be fully included.
Setting SMART goals during this phase refocuses efforts from administrative tasks to strategic activities, improving workplace satisfaction and efficiency. It’s about enabling managers and their teams to focus more on core responsibilities.
4. Create an Execution Roadmap and Balanced Scorecard
Develop a comprehensive execution roadmap and balanced scorecard that not only tracks logistical progress but also remains attuned to the human aspects of change. The roadmap should outline key milestones and include robust change management strategies to support staff during transitions. A balanced scorecard, using performance metrics derived from the key savings identified in the ROI study, helps maintain alignment with broader business goals.
Conclusion
Building a reliable business case for WFM implementation involves a deep understanding of both quantitative metrics and the human impact of changes. By thoroughly analyzing the current state, anticipating benefits, and thoughtfully planning for the human elements of implementation, organizations can ensure their investments in new WFM systems are strategic and yield substantial benefits. This holistic approach not only enhances operational efficiency but also boosts employee engagement and satisfaction.