Workforce management (WFM) is no longer just about keeping operations running. When executed with the right tools, it becomes a powerful driver of business value.
Optimized workforce management helps companies:
- Control labor costs by aligning staffing with actual demand
- Reduce time spent on administrative tasks through automation
- Improve employee satisfaction and retention by offering more control and visibility
In this article, we’ll explain how to assess the return on investment (ROI) from workforce management tools and what to expect when they are used correctly.
Why ROI Matters More Than Ever in Workforce Management
Workforce management has evolved from being viewed as a cost center to a strategic business lever.
The shift is clear: businesses are turning to workforce management software not just to schedule shifts but to drive measurable productivity, efficiency, and compliance improvements.
Whether you’re optimizing labor budgets, reducing turnover, or avoiding compliance penalties, the right platform can directly impact the bottom line. ROI should be a top decision-making factor for organizations and executives choosing workforce management software.
The Hidden Costs of Outdated Workforce Tools
Many businesses still rely on legacy systems or manual processes. The result? Hidden inefficiencies and rising costs.
- Manual scheduling overload: Managers spend hours building and adjusting schedules each week
- Compliance risks: Missed breaks or labor law violations can result in steep penalties
- Overstaffing and understaffing: Without data-backed forecasting, labor is often misaligned with actual demand, impacting both service quality and employee satisfaction
- Limited visibility: Legacy tools lack real-time data, making proactive labor planning impossible
Forrester’s Total Economic Impact (TEI) study quantified the economic impact. Organizations using Legion WFM achieved $14.3M in hard dollar savings over three years for a 10,000-employee company. According to the study, businesses can expect a 13x ROI by modernizing workforce management with Legion.
What to Expect from Modern Workforce Management ROI
Workforce management software delivers measurable gains across HR, operations, and finance. According to the Forrester study, ROI shows up most often in several key areas. All savings are based on a company with 10,000 employees moving from a legacy WFM solution.
Improved Schedule Optimization
More accurate forecasts and AI-powered labor optimization delivered nearly $6.1 million in savings. Companies reported achieving 95% forecast accuracy, enabling better staffing alignment with demand while reducing waste.
Reduced Employee Turnover
By empowering employees to control their schedules and providing modern communication tools, organizations reduced turnover, generating $3.6 million in savings.
The 2025 State of the North American Hourly Workforce report reinforces this, revealing that 61% of hourly workers cite schedule flexibility as their top non-pay priority for staying in a job.
Increased Manager Productivity
AI automation of scheduling tasks produced more than $4.2 million in labor cost savings. On average, store managers saved five hours per week previously spent on creating and maintaining schedules.
Lower Overtime Costs Through Compliance Automation
Legion’s automated compliance checks and schedule adjustments reduced overtime pay by 10%, helping organizations avoid premium labor costs and remain compliant with labor laws.
How to Calculate Workforce Management ROI
The basic ROI formula is simple:
ROI = (Net Gain from Investment – Cost of Investment) / Cost of Investment
For an accurate calculation, track these metrics before and after implementation:
- Manager scheduling time (hours/week)
- Sales before and after Legion
- Labor cost as a percentage of revenue
- Absenteeism and turnover rates
- Employee satisfaction scores
- Customer satisfaction scores
Choosing Workforce Management Software That Pays for Itself
Not all platforms deliver the same ROI. To ensure your investment drives results, look for software that offers:
- AI-powered demand forecasting
- Labor optimization
- Automated, compliant scheduling based on demand and employee skills and preferences
- The ability to calculate employee productivity and schedule top performers at key times
- Real-time labor visibility and dashboards
- Quick time to value and seamless integrations with payroll, HR, and POS systems
Avoid tools that appear inexpensive upfront but require costly add-ons, workarounds, or IT support. A strong vendor should be able to demonstrate clear ROI with real customer use cases.
How Legion Delivers Measurable ROI
Legion’s WFM Platform is built to deliver ROI across every labor-related metric. A company of 10,000 employees moving from a legacy system could see the following benefits over three years:
- 13x ROI
- Up to $6.1M in labor optimization savings
- $3.6M in savings from reduced employee turnover
- Up to 5 hours saved per week per manager and 4.2M in productivity improvements
Legion’s AI-driven forecasting, demand-aligned scheduling, mobile-first design, and compliance automation enable these outcomes. Together, they reduce costs and increase performance.
Let ROI Guide Your Workforce Management Decision
The best workforce management platforms don’t just streamline operations—they generate measurable financial results. Whether you’re tracking hours saved, turnover reduced, or improvements in customer satisfaction, ROI should be central to your software decision.
Want to see how workforce management ROI could look in your business? Book a free demo and ROI analysis with Legion today.
