Workforce Management Applications Return $7.88 for Every Dollar Invested, Nucleus Research Finds

Mobile apps and cloud services improve productivity and cut IT costs

BOSTON – December 19, 2011 – Workforce management (WFM) applications are delivering significant return on investment (ROI), with an average benefit of $7.88 returned for every dollar spent, according to Nucleus Research analysts. Based on customer case audits published as ROI case studies, Nucleus found the $7.88 return was driven by reduced payroll error, increased productivity, and avoided excess paid time off.

“Those who haven’t yet embraced the use of workforce management to support HR-related processes are without a doubt missing out on significant cost savings. With the ability to mitigate the likely increase of labor costs — payroll taxation, healthcare, and employee compensation — companies should view workforce management as a way to effectively manage overall costs” said David O’Connell, Principal Analyst, Nucleus Research.

Cost Reduction and the Cloud

Nucleus found WFM investments lead to reduced payroll error rates of up to 99.7 percent, a significant driver of ROI. The WFM deployments with the highest ROI enabled employees to reduce payroll inaccuracies, eliminate paid time off miscalculations, and reduce leave liability concerns.
Nucleus also found that WFM enabled significant returns and increased productivity with mobile technology and cloud-based applications. By minimizing the time required for HR-related interactions, mobile apps improve workforce productivity and have little impact on an employee’s normal workflow. Cloud-based WFM offerings are deployed as a way to manage costs and dedicate IT staff to more important tasks.

The full research note is available at NucleusResearch.com

About Nucleus Research

Nucleus Research is a global provider of investigative, case-based technology research and advisory services that provide real-world insight into maximizing technology value. For more information, visit NucleusResearch.com.