Using Technology to Improve Employee Engagement &Drive Business Decisions

MATTHEW ZELEK, STRATEGIC ACCOUNT ADVISOR

– KRONOS FOR RETAIL

Today’s Speaker

Matthew Zelek

Strategic Account Advisor –

Kronos for Retail

31 Years in Retail Labour

Management Industry

Today’s Agenda

Evolution of

workforce

management

technology in

Retail

Leveraging

technology to

improve business

performance

Why it’s all about

employee

engagement

Customer

success

Mandatory Software Benefits

4

We understand your business

Reduce Labor Costs

To provide value,

WFM software

solutions must

provide value in

one or more

of these five areas.

✔

✔

✔

✔

✔

Increase productivity

Increase Employee Engagement

Increase Sales / Improve Customer Service

Reduce Compliance, Litigation Costs

How do I know who

the right person is to

hire?

How can I managethem more effectively?

How can I accurately

and efficiently

pay them?

What’s the best way to scheduleand utilize my staff?

Why isn’t there one simple, single-source

answer to all my needs?

We Know You Are Facing ToughChallenges…

The Kronos® Workforce Central® Suite Is Your Answer.

Workforce Management Addresses “Necessary Business Processes”

• Poor communication

• Redundant data entry

• Manual/paper-based processes

• Create silos of critical data and information

• Higher risks of noncompliance

• Fines and penalties

• Increased resources and costs

• Unguided decisions

• Unpredictable results

• Slow down organization

• Impacts business performance

• Increased payroll errors

Tracking Labour Costs Converting Hours to Pay Cheques Regulatory Compliance

Federal versus

Provincial

Skills & Certification

sI9, W4 Onboarding

FLSA

UnionAgreementsCompany

Policies

EEOC

?

Solving Critical Business Issues

Minimize Compliance RiskControl Labour Cost Improve Workforce Productivity

Time and

Attendance

Forecasting

and

Scheduling

Absence

Management

Analytics

Data

Collection

Hiring

HR and

Payroll

Activities

It’s all about employee engagement

What does it mean to be an “engaged” employee?

ENGAGED employees work with passion and feel a profound

connection with their organization, team members, and goals.

Culture describes “the way things work around here,” while engagement describes “how people feel about the way things work around here.”

Source: Gallup

NOT ENGAGED employees are checked-out and put neither

energy or drive into their work. They get through the day doing what

they need to do to stay employed.

ACTIVELY DISENGAGED employees undermine the

efforts of engaged employees and spread their misery to everyone.

Gallup’s 3 Types of Employees

1

2

3

Source: Gallup Research

Majority of Global Workplaces Fail to Engage Employees

Source: Gallup (surveyed 230,000 employees in 142 countries)

63% of

employees are disengaged

workers

24% of

employees are ACTIVELY

disengaged workers

ONLY 13% of employees

are engaged workers

Disengaged employees impact how you serve your customers

“The way your employees feel is the way your customers will feel. And if your employees don’t feel valued, neither will your customers”

• Sybil F. Sterchic

Source: Gallup: Employee Engagement: How to Build a High Performance Workforce

take an average of

2.69 sick

days per year

compared with

6.19 for

ENGAGED EMPLOYEES

DISENGAGED

ENGAGED employees are the key to your success

A Harvard Business

Review study

found that

organizations with

highly engaged

employees

experience 22% greater productivity

Source: Harvard Business Review Study, July 2013

Are you asking your employees if you are meeting their expectations?• I know what is expected of me at work.

• I have the materials and equipment I need to do my work right.

• At work, I have the opportunity to do what I do best every day.

• In the last seven days, I have received recognition or praise for doing good work.

• My supervisor, or someone at work, seems to care about me as a person.

• There is someone at work who encourages my development.

• At work, my opinions seem to count.

• The mission or purpose of my company makes me feel my job is important.

• My associates or fellow employees are committed to doing quality work.

• I have a best friend at work.

• In the last six months, someone at work has talked to me about my progress.

• This last year, I have had opportunities to learn and grow.

GALLUP’S

EMPLOYEE

ENGAGEMENT

SURVEY

Since Gallup

finalized the Q12

question wording

in the late 1990s,

the survey has

been administered

to more than 25

million employees

in 195 different

countries and 70

languages

Source: Gallup

Your employees want four key things

TO MAKE AN IMPACTTO BE KEPT SAFE TO HAVE FLEXIBILITY TO BE TREATED FAIRLY

1 2 3 4

“Keep me safe”

“Give me flexibility to maintain

work/life balance”

“Treat me fairly”

“Empower me to make an

impact”

Don’t schedule me for jobs I am not trained and qualified for

Don’t overwork me (I need appropriate rest)

Properly staff my line so I am not overworked

Ask me if I feel safe on the job

Give me appropriate time off

Help me through work/life issues

Give me visibility to open shifts

Give me flexibility and the ability to swap shifts

Pay me accurately every time

Consistently apply policies

Give me equal opportunities for overtime

Give me ownership over managing my time

Give me a manager who is invested in my performance

Show me how my work impacts the company

Enable me to be part of the improvement process

Empower me to share my ideas

So How Can You More Effectively Engage Your Hourly Workforce?

Don’t Schedule Me Where I’m Not Qualified I Need Work/Life Balance

I Want Policies to be Applied Consistently

How Does My Job Help our Company’s Goals?

Don’t Overwork Me I Want to Be Cross Trained

I’m Not Getting OT Shifts

Am I Good at My Job?

Your Employees Have Valuable Information & Opinions

They Want to Share

!

Kronos Associate Engagement

Safe. Flexible. Fair. Impactful.

I want to swap

my next shiftMy pay cheque

is not accurate

I want to share

a best practice

I had a safety

issue today

Kronos walks the walk with employee engagement

Being a great place to work

5,000+KRONITES

“Customers will

never love a

company until

the employees

love

it first.”

Simon Sinek, Author,

Start With Why

This review is based on 839 employee surveys, with a 95% confidence level and

a margin of error of ± 2.85. It was published on Sep 10, 2015. 2306 Visitors

Workforce AnalyticsKey Benefits

► Data Visualization, Analysis, Guided

Decision Making and Dashboards enhance

reporting

► Self Service report and dashboard creation

capability

► Single source for workforce data

CAPABILITIES

Institutionalize best practices in decision

making

Simplified interface and data for

business to increase innovation

Labor to Volume analysis provides new

insights to the workforce and business

KEY BENEFITS

Managing in the Moment

• Desk Retailer: decision-making removed from the action

• Reactionary decisions can’t be made until it’s too late

• WF Tablet provides WFC in a portable & intuitive form

• No longer need to toggle between the real world and the isolation of a

back office

Get back in the action

Real-time Alerts

Kronos PhoneTablet InTouch

10 Timecard

exceptions holding

up payroll

Minors on the

clock reaching

limits

Sarah, Bill & Tom

are approaching

overtime

20 time off

requests waiting

for approval

4 open shifts

need to be filled

today

3rd Party

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nd

Att

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nce

Activitie

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Ab

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Ma

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Kronos Real Time Alerting System

Customer success stories and realized value

Staples Canada Increases Engagement While Aligning Labour with Demand

Employees

8,000 hourly, 1,000 salaried

300+ Stores

Their Story Automated Time Keeping

Automated Scheduling

Employee Self-service

Forecast labour demand to store demand

Planned and Controlled Overtime

A focus on change management

Prior to solution implementation, “we built a robust change management strategy, starting with high stakeholder engagement,” says Joe Sherratt, senior manager of business processes

Staples Canada Increases Engagement While Aligning Labour with Demand

Our Solution “The volume-driven model of reducing

overall spend by putting it in the right place

with the right labour at the right time has

worked quite well for us,” notes Sherratt.

“In the first year, we spent within our labour

budget and grew sales, spending less on

labour as a percentage of sales.”

Complete Integrated WFM Solution

Advanced Scheduling

Integrated POS data, inventory, ERP & HR

Employee Self-service

Mobile access to schedules and time off requests

Collectively, the 300-plus stores have saved more

than 70,000 hours annually in labour and

workforce management time.

“Mobile has had a big impact,” shares Sherratt.

“Many associates view it as a differentiator in

choosing to work for us. It’s a fringe benefit.”

Staples Canada Increases Engagement While Aligning Labour with Demand

Tangible Results

Single version of the truth

Adjust hours to store demand

Manager only takes 5 min to signoff on payroll

Mobile access to schedules and time off requests

Using additional functionality

Next steps for Staples Canada include adding more mobile features for shift swapping, shift bidding, and filling sick callouts and perhaps allowing field workers to clock in and out on mobile devices.

Transform task oriented labour to customer service focus

BEFORE

• MANAGERS WERE SPENDING TOO

MUCH TIME CREATING/EDITING

MANUAL SCHEDULES

• LACK OF INTEGRATION TO OTHER

SOLUTIONS

• IN-STORE POSTED SCHEDULES,

MANUAL TIME-OFF REQUESTS AND

AVAILABILITY CHANGES

• LACK OF VISIBILITY

• INACCURATE FORECASTING

• FORECASTING NOT DATA-DRIVEN

LEADING BIG BOX RETAILER

AFTER

• $70M IN LABOUR SAVINGS PER

YEAR.

• 3X EXPECTED YOY ROI ACHIEVED.

• WALL-TO-WALL SCHEDULING

• REDUCED HOURS TO WRITE/EDIT

SCHEDULES. (4 DAYS < 1DAY)

• AUTOMATED SCHEDULES IN

UNDER 1 MINUTE

• IMPROVED CUSTOMER

EXPERIENCE

• EMPLOYEE EMPOWERMENT

KRONOS BENEFITS

A ‘Game Changer’ for the entire

organization

- VP of Labor and Productivity

“With optimized scheduling we are able to strategically

position our labor, so that the right person is in the right

place at the right time to make sure that we are always

maximizing sales opportunities. Which is competitive

advantage for us”

300,000+Employees

2000+ STORESUS

LEADING RETAILER

Heavily unionized workforce finds improved labour efficiency

BEFORE

WORKFORCE MANAGEMENT:

Lack of Corporate visibility and

control

Need to improve Labor Efficiency

Heavily unionized workforce with

350 complex union labor contracts

to adhere to

Standardization across multiple

banners

SCHEDULING:

Employees unable to manage TOR

and availability

Decentralized scheduling

LEADING US GROCER

AFTER

WORKFORCE MANAGEMENT:

Enterprise labour analysis & reporting

Simplified support for complex union

environment

SCHEDULING:

Wall-to-wall optimized, location specific,

scheduling

Scheduling accuracy to 15-minute intervals

with better alignment to customer needs

EMPLOYEE SELF SERVICE:

Enhanced associate experience for

schedules, TOR and availability updates

KRONOS BENEFITS

1. Fully rolled out 6 months early

2. $1M under budget

3. Favorite Application 2013

338,000Employees

4000 + STORESMidwestern & Southern US

ONE OF THE LARGEST SUPERMARKET CHAINby revenue

Improved Team Member & Customer Experience

BEFORE

WORKFORCE MANAGEMENT:

Decentralized timekeeping

practices

Manual and time consuming

timekeeping activities

SCHEDULING:

• Manual and time consuming

scheduling processes

• Lack of enterprise-wide visibility

MAJOR INTERNATIONAL GROCER

AFTER

WORKFORCE MANAGEMENT:

Consistent pay policies &

processes

Improved Team Member

satisfaction

SCHEDULING:

• Improved coverage and scheduling

accuracy

• Improved Team Member

satisfaction

KRONOS BENEFITS

Better Coverage

“On the Wednesday before Thanksgiving, we

were slammed but no long lines at Customer

Service. Kronos is an early Christmas

present!” -Store Manager at largest store

Call-Offs Reduced by 65%+

“Kronos Scheduling has not only allowed us to

ensure that we are scheduling to demand but

also based on our Team Members’ availability

and preferences” - Director

105,000Employees

400+ STORESUS, Canada, UK

ONE OF THE LARGEST FOOD & DRUG STORE IN USFortune 500, 18 Years on “100 Best Companies to Work”

Thank You

For more information or to schedule a personal product demo please contact:

1 800 225 1561 www.kronos.ca