Workforce Management Software

(WFM)

Glossary of HR Terms Workforce Management Software (WFM)

What is WFM?

Workforce Management (WFM) Software is a digital solution that helps organizations optimize employee scheduling, time tracking, labor forecasting, and compliance with labor laws. It provides tools to align workforce capacity with business demand while ensuring employees are scheduled fairly and efficiently.

Why it matters

Effective workforce management improves productivity, reduces labor costs, and enhances employee satisfaction by ensuring schedules are predictable and compliant. For industries with hourly, shift-based, or large frontline workforces, WFM software ensures the right people are in the right place at the right time.

Where it fits in the HR stack

WFM sits in the operations and compliance layer of the HR stack. It integrates with payroll systems (to process time and attendance), HRIS platforms (to sync employee data), and analytics tools (to forecast labor needs and costs).

Common use cases/Examples

  • Creating automated shift schedules based on employee availability and business demand.
  • Tracking time, attendance, and overtime.
  • Ensuring compliance with labor laws, union rules, and company policies.
  • Forecasting staffing needs during peak seasons.
  • Allowing employees to swap shifts or request time off through mobile apps.

Examples of companies that use it

  • Retailers and hospitality organizations like Walmart, Starbucks, and Marriott to manage large hourly workforces.
  • Healthcare providers using WFM to manage 24/7 staffing needs and compliance with patient care standards.
  • Manufacturing and logistics companies leveraging platforms like Kronos (UKG), ADP Workforce Manager, or Ceridian Dayforce for complex scheduling.
  • SMBs using tools like Deputy, When I Work, or Paycor for simplified scheduling and time tracking.

FAQ

HRIS manages employee records and HR processes, while WFM focuses specifically on scheduling, time, attendance, and labor optimization. Many companies use both, often integrated.

Yes. By forecasting demand and optimizing schedules, WFM reduces unnecessary overtime and ensures compliance with labor rules.

No. While large enterprises rely heavily on WFM, many SMB-friendly platforms exist to help smaller businesses manage shift-based workforces efficiently.

Most modern systems include mobile apps that allow employees to check schedules, request time off, or swap shifts easily.

Predictable, fair schedules improve work-life balance, while mobile self-service features empower employees with greater control over their shifts.