Guest Feature: Retail under pressure – Why efficient workforce management is crucial now
Companies such as Müller & Egerer, Flink and Indigo are gaining a competitive advantage with AI-powered scheduling from Quinyx
Declining margins, rising labour costs, short-term absences and growing expectations from employees and customers – the retail sector is facing enormous challenges. Having the right person in the right place at the right time sounds simple, but in practice, it is anything but. Scheduling has become a strategic success factor – and this is exactly where artificial intelligence (AI) comes in to increase efficiency.
German brands such as Flink and Müller & Egerer and international retail companies, including Canada’s largest book and lifestyle retailer, Indigo Books & Music., whose success story is presented below, recognised the advantages of AI-based workforce management early on and are already benefiting from simpler, data-driven and employee-centred planning.
The biggest challenges in retail scheduling
Whether it’s a supermarket, fashion store or drugstore, many retail companies struggle with the same problems: overstaffing and understaffing in stores, compliance with complex labour laws, the risk of declining employee satisfaction and the resulting loss of knowledge when experienced employees leave.
According to the Quinyx trend study ‘The State of the Frontline Workforce 2024’, up to 66 per cent of employees suffer from work-related stress, often caused by excessive working hours or unfair scheduling. The consequences: higher turnover, rising costs and, ultimately, dissatisfied customers. Yet this is entirely avoidable – with modern, data-driven planning that fosters transparency and considers employee preferences.
How AI is revolutionising workforce management
Workforce management (WFM) means making optimal use of existing staff, such as employing the right number of employees with the right qualifications in the right place at the right time. Digital tools now make what used to be a manual task much faster and easier, but AI unlocks the full potential.
AI-supported WFM solutions, such as Quinyx software, analyse historical and current data – for example, on customer frequencies, public holidays, or promotional campaigns – and use it to create accurate demand forecasts. This results in schedules that automatically balance demand, legislation and employee preferences.
Even short-term changes, such as sick leave, can be adjusted at the touch of a button. Modern systems automatically check labour law requirements, take collective agreements into account and minimise planning errors. This ultimately leads to less stress, greater fairness, and increased planning security for everyone involved.
Six advantagesof AI in workforce management
The advantages for retail companies are obvious:
1. Higher employee satisfaction
Fair schedules and consideration of individual availability create trust and motivation.
2. Scalability
AI remains efficient, whether for 200 or 20,000 employees. With manual planning, on the other hand, the time required and planning responsibilities increase.
3. Increased Sales
Thanks to demand-driven scheduling, there are always enough employees on site to provide optimal customer service. Loss of sales due to understaffed teams is now a thing of the past.
4. Optimal use of resources
AI automatically balances out peak loads and reduces unnecessary overtime. Peaks can therefore be better cushioned with existing staff and overtime reduced.
5. Time savings
Automated scheduling massively reduces administrative effort. This leaves more time for advising customers and supporting employees, which ultimately boosts motivation within the teams.
Real-life example: Indigo Books & Music relies on AI
Canada’s largest book and lifestyle retailer, Indigo Books & Music, faced similar challenges to many retail companies in Europe: regional labour laws, strong seasonal fluctuations and high planning costs. With 4,800 employees at 175 locations, this was a mammoth task.
With Quinyx’s AI-powered solution, Indigo was able to fully digitise and automate its scheduling. The result: less administrative work, higher forecast accuracy and greater satisfaction thanks to transparent preferred shift schedules.
Lisa Nordin, Vice President of Retail Experience & Operations at Indigo, sums it up: ”When we can give employees the shifts they want, we get better results – because people work when they are most productive.“ This example shows that AI is not only an efficiency booster, but also a tool for improving work culture.
First steps for retail companies
Getting started with AI-supported workforce management is easier than many people think. Solutions such as those from Quinyx are cloud-based, intuitive to use and can be seamlessly integrated into existing systems – without additional hardware.
AI in workforce management is no longer a topic for the future – it is already a decisive competitive factor in retail today. Those who act now will secure motivated employees, satisfied customers and, ultimately, long-term success.
