Software September 2, 2020

Making Hourly Work Efficient, Connected, and Compliant: Our Investment in Legion

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There are over 82 million shift-based workers in the United States, over half of the total workforce, and labor is the single largest manageable expense for many businesses across various sectors including retail, hospitality, logistics, and healthcare. Labor optimization can drive massive value for these organizations by saving labor costs, improving employee retention and customer experience, and ensuring compliance with local and federal labor laws.

But the reality is that most enterprises are very early in this optimization journey. There is very little automation in labor management today, and many businesses still expect managers to create schedules by hand and employees to take photos of their schedule in the break room. And if employees need to modify their schedule for a given week, the manager typically must text or call other employees to fill the spot and then manually check for compliance issues such as overtime violations.

Many of these challenges can be solved by modern software, but current practices are limited by legacy workforce management software that is updated infrequently and hosted on-premise, inflexible for labor forecasting, and not built for mobile-first use by employees.

Legion’s Solution

Legion is rapidly emerging as the best enterprise workforce management platform by building a modern product that is cloud-based, highly intuitive for managers and employees to use on any device, AI-powered for flexible and accurate labor forecasting, and highly responsive to ensure automatic compliance with local and federal labor laws.
The net result is a massive leap forward for businesses accustomed to legacy workforce management solutions. Corporate executives and administrators reap cost savings and avoid potential compliance liabilities. Store managers save hours each week as they no longer have to create and update weekly schedules. And with the power to request shifts, swap shifts, and request vacation via Legion’s mobile phone app, employees are now an active participant in the workforce scheduling equation with a dramatically better way to manage their livelihoods.

Furthermore, Legion is playing a critical role helping its customers navigate through the COVID-19 crisis. Legion’s product helps customers like Dollar General, Racetrac Petroleum, and Cinemark Theaters operate more flexible staffing models with dramatically better employee communication – both of which are more important now than ever before. While many of Legion’s customers and prospects operate physical locations which have experienced severe business impacts from COVID-19, Legion has remarkably managed to continue signing new customers and renewing existing customers because of its market-leading product in a business critical software category. Since April the company has brought over 18,000 locations live across their customer base, a remarkable feat during normal circumstances and unprecedented given the current market conditions.

Stripes Leads Legion’s $22 million Series B Financing

We invested in Legion’s Series B because we believe that Legion has the best workforce management product for enterprises and is poised to rapidly take share from incumbents as industries continue the shift to modern products. Sanish Mondkar, Legion’s Founder & CEO, is an exceptional leader who previously led Cloud Products at SAP and was Chief Product Officer at Ariba until its acquisition by SAP for $4.3 billion. Sanish, along with Legion’s highly experienced leadership team who have led transitions to the cloud in multiple other industries, deeply understand what is necessary to bring the legacy, but fundamentally critical, workforce management software category into the 21st century.

We are excited to partner with Sanish and rest of the Legion team, and to join existing investors Norwest and XYZ Partners and new investor Workday Ventures. Stripes Operating Partner Paul Melchiorre, who worked alongside Sanish at Ariba, will join Legion’s Board of Directors. We look forward to helping Legion scale its world-class product as it enables customers around the world with shift-based workforces to optimize their workforce management.