Mention the term zero-hour contract and both positive and negative connotations immediately spring to mind. The issue is divisive and eats up column inches in the media almost on a daily basis. One of the most recent developments involved Business Secretary Vince Cable announcing a ban on exclusivity contracts, which had prevented employees from finding additional work elsewhere. This previously meant that some workers could be left short of hours if employers didn’t require their services that day, week or month.
Instead of getting swept up in the gritty details of the debate, those responsible for rostering their workforce should look at the basic premise of their job – how do I create the leanest, most efficient, and productive workforce.
Using this as the basis of putting in place a roster that works for the employer and employees will ensure businesses do not go far wrong. For big logistics companies that tend to upscale workforces seasonally, there are many benefits of employing a system based on zero hour contracts. For other companies when they are naturally adding staff to the existing workforce, then there are a raft of benefits of having an engaged and permanent staff.
Essentially, it is almost impossible to have one or two monolithic systems and suggest businesses abide by them. As each business model is different, so too are the resourcing solutions. Yet what we have seen with the event of zero hour contracts and the like, is that there has never been more access to analytical tools that can inform businesses about the resource levels they need to address certain areas of their businesses.
For the large logistical companies, when virtually every hour counts, it is now crucial that these hours are accounted for. Today, workforces can be built, managed and maintained with greater accuracy than ever before. Rather than worry about what system businesses should put in place, they should use the analytics available to them, work with their suppliers and then put in place a bespoke solution.
While employing a zero hour contract system may provide short-term gains for some, other employers need to think about other options when searching for the long-term benefits of a properly resourced workforce and find a middle ground whereby this level of careful analysis is conducted and factored into a detailed resourcing plan. For instance, using a good forecasting and capacity planning model can help businesses to calculate potential surges in demand. Continuously having a fluctuating staff level based on capacity, tends to mean companies only have an arm’s length relationship with the staff, which can impact motivation levels as there is little need to go that extra mile. This is not such an issue for roles that are short-term and high churn, but for more skilled roles, where keeping staff motivated has its intangible benefits.
For example, for a local corner shop, calling in staff for a sudden surge in business is not too much of an issue, but for other industries, such as emergency services, rail or security, asking staff to come in at really short notice is not as easy due to the logistical nature of these sectors and the skill sets required. For employers in these industries, knowing anticipated surges could be vital to ensuring they have the capacity in place to meet demand, while also keeping staff motivated and informed as to when they are expected or not.
The dilemma for employers now is identifying what works for their business. Whether it is crunching data from timesheets to using smart devices to provide real-time feedback or having the ability to plan your resources in advance. It comes down to preference, putting effective plans in place now and evaluating technology that’s available today could benefit your business in the long-term. Essentially employers can now analyse every hour of their workforces’ time, making it easier than ever to have a lean and productive business. The trick is harnessing this information and putting it into practice efficiently.
