CHICAGO (September 30, 2009) – From ensuring an optimally scheduled store to selecting the best-fit associates, retailers must make effective workforce decisions. Retailers are increasingly turning to Kronos® Incorporated to control labor costs, minimize compliance risk, and grow revenue. And they are increasingly citing fast payback as a result.
News Facts
* Kronos helps retailers automate workforce management business processes such as time and attendance, budgeting, forecasting and scheduling, absence management, human resources and payroll, hiring, and labor analytics.
* Automation of these processes can result in immediate payback and ROI by minimizing payroll inaccuracies, increasing conversion rates and sales, reducing unnecessary overtime, and decreasing employee turnover.
* According to a recent study by AMR Research, retailers reported 3.8 percent of lost sales due to non-optimized labor scheduling, and 3.5 percent decrease in payroll costs as a result of implementing a workforce management solution.
* Using Kronos, a mid-size grocery retailer cut overtime expenses to half, saving $95,000 in one year.
* Using Kronos, a large consumer electronics retailer with more than 1,000 locations and more than 90,000 employees reduced hourly staff churn by 30 percent and reported ROI of $2.5 million in less than 12 months.
* The AMR Research study also notes that the average fine that retailers paid for noncompliance lawsuits in the last 12 months was $250,000. Kronos helps retailers easily comply with federal, state, and union labor regulations through automated and centralized policy administration, local policy application, and detailed audit tracking.
* Kronos works with retailers around the world including Best Buy, Finish Line, and Jamba Juice.
Supporting Quotes
* Robert Notte, vice president of IT, Jamba Juice
“We were looking for efficiencies and savings in labor scheduling. After reviewing our options, we chose Kronos. In less than a year, the workforce management system was rolled out to Jamba’s company locations and we immediately realized improvements in controlling expenses and optimizing processes.”
* Adrian Peace, head of simplification and productivity, Somerfield UK
“With Kronos now holding all employee information including hours worked, availability for work, and skills, we now have complete visibility into the workforce. We rely less on overtime now that absence levels have reduced and can identify when working additional hours will take a colleague into premium overtime payments. Our premium overtime bill has decreased by £2.3 million per year.”
* Nicholas Hess, senior vice president, operations, Dunn-Edwards Paint Stores
“Kronos helps us optimize our most important asset and largest controllable expense – labor. With Kronos, we are able to optimize store scheduling, leverage historical sales, customer traffic, and store profile data to derive accurate weekly sales and labor plans. No other workforce management vendor has such a comprehensive suite to enable enterprise visibility and control of store productivity.”
* Kara Barker, director of retail industry marketing, Kronos
“Retailers that continue to think strategically about labor through the downturn will be better prepared to profitably handle the influx of customers once the economy improves. Based on our knowledge of hundreds of successful retail implementations, we are committed to helping our retail customers improve hiring practices, enhance customer satisfaction, and boost employee productivity to ultimately sprint – not limp – out of the recession.”
Supporting Resources
* Kronos is exhibiting in booth 350 at the HR Technology Conference & Exposition, being held this week in Chicago.
Source: Kronos