Demographic shifts create both opportunities and obstacles for manufacturing employers, and they must adapt to them to keep pace with the changing expectations of the workforce. How an organisation manages these is key to creating operational resilience in the Industry 4.0 era. New technologies continue to redefine how factories operate, and the value of an engaged workforce that is prepared to navigate working processes cannot be understated.
This means that the biggest challenge—not only in manufacturing but across all verticals—is the ability to attract and retain talent. Findings from the Future of Jobs Survey indicate that for 40% of employers worldwide, declining working-age populations are driving transformation, while 25% are being transformed by growing working-age populations.
The ability to shift operational processes with emerging changes and technologies depends on an engaged workforce. Workforce management software can help manufacturing organisations navigate these challenges by supporting capabilities that have a significant impact on employee engagement, helping them become employers of choice in a challenging labour market. Advanced features like operational communications, time and attendance, and sophisticated workforce scheduling software can also help manufacturers achieve greater operational efficiency.
How a Workforce Management System Helps Attract and Retain Talent
While manufacturing organisations depend on a deskless workforce, they are often overlooked in terms of technology investments. Despite this, employees increasingly expect to have access to consumer-grade technology to support their basic needs. A recent Ricoh study revealed that European employees expressed concerns about their employers’ technology adoption rates, with 42% suggesting that their organisation lags, which negatively impacts their overall job satisfaction.
Similarly, 28% of workers cited working conditions and their employee experience as a reason they would look for another job, and 24% of employees noted the quality of technology software and technological devices as a leading contributor to them seeking alternate employment.
To this end, workforce management processes have a powerful role in how an employee feels about their employer. Moments like not getting leave approved, not having access to a schedule in advance of a shift, and being asked to work when not available—these events can be irritating in isolation, but overtime can become significant drivers of attrition.
These actions are not malicious oversights but are more likely the result of complex requirements tied to production cycles, absences, and business needs. Workforce management capabilities can alleviate these challenges by giving employees consumer-grade solutions to manage time and attendance, scheduling, and operational communications.
The Value of Sophisticated Scheduling Capabilities
Traditionally, manufacturing organisations rely on keeping an increased headcount in order to secure production against disruptions, but securing sufficient talent has become increasingly challenging. Manufacturers are finding that there is a need for more sophisticated scheduling, demand-based scheduling and skill-based scheduling.
Advanced scheduling and labour forecasting capabilities are pivotal for unlocking greater value. Pairing these capabilities with a more flexible organisation, where workers are upskilled and can be scheduled based on production demand. This strategy depends on an engaged workforce that is ready to take on multiple roles.
Ultimately, employees want to have a say in their schedules, and this is why half (50%) of frontline workers cite the lack of flexibility and work-life balance as a leading motivator for attrition. Providing this capability can be challenging when production environments depend on tight timelines.
Whilst many manufacturers may currently use a system to manage employee schedules, manufacturers are recognising the need for more sophisticated scheduling options to build flexibility. 82% of manufacturing leaders plan to invest in new scheduling technology in the next 3 years.
Leveraging Time & Attendance to Support Diverse Workforce Needs
Pay and compensation are the top priority for employees, and so, it should be obvious that even minor discrepancies in pay can have a significant impact on how a person feels about their employer. Unions, collective bargaining agreements, national, country-specific, and municipal rules all affect employee pay, making production locations subject to some of the most complicated scheduling, time, and compensation requirements.
Organisations that want to reduce these costly payment errors should consider the value that a modern time and attendance system can offer. As new working styles like annualised hours become a more common means of expanding workforce headcount, workforce management technology can simplify compliance requirements while offering an easy-to-use interface.
Closing Thoughts
As workforce demographics shift and employee expectations evolve, companies must embrace advanced workforce management systems that not only address operational challenges but also prioritise employee satisfaction and engagement. By leveraging technology to offer flexibility, streamline communication, and ensure fair pay, organisations can foster a positive workplace culture that empowers employees and reduces attrition. Ultimately, those who invest in robust workforce management strategies will position themselves as employers of choice, capable of thriving in an increasingly competitive landscape.
Watch the on-demand webinar to learn how workforce management can support Industry 4.0 resilience.
