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Tools for strategic HR planning

Review organization strategy


Clearly understand why workforce planning is needed.
Documents to review include vision and mission statements,
organizational performance plans, financials and budgets,
organization charts and studies, staffing plans etc.
Organize a multidisciplinary team to conduct planning (HR,
Finance, Budget, Unions and Business Leaders etc.).
Gather data for the "big picture: strategic plans, current and
projected budget information, external market data/trends.

Create a set of assumptions to set the scope of the


planning effort including:
Focus of Plan (key roles, unit, function or organization; high
turnover or declining performance areas)
Number of years to project (2-5)
Workforce characteristics such as permanent, temporary,
contractors etc.
Diversity and cultural issues making sure barriers are not being
created
Baseline financials (annual and projected budgets, headcount).

Research internal labor market


Collect the "people" data for the group in scope
(headcount, titles, grades, performance ratings,
qualifications, tenure, age, race, compensation, benefits
etc.).
Create acurrentworkforce profile; number, turnover,
location, demographics (age, gender, race),
competencies, job levels , education, certifications,
status (Full Time/Part Time).
Validate findings with managers and business leaders.

Assess existing and planned HR pool


Using the current workforce profile, identify trends; time
in position, turnover, increased/decreased
compensation, growth or contradiction of value of role;
validate findings with managers and business leaders.
Create aprojectedworkforce "profile" based on trends
and assumptions. Ask questions such as:
What changes (technology innovations, organizational
structure, outsourcing etc.) are expected over the
planning period?

How will that affect volume, type and locations of work?


Skill mix?
What will the planned organization look like (what
competencies, how many people, what certifications?).
Prioritize the top 5-8 competencies that are essential;
rank these to differentiate one job level from another.
Summarize the projected (demand) staffing levels and
competencies that can/will meet the need.

Identify future skills demands/needs


and gaps/excesses
Align the current and projected workforce profile and identify:
Gaps in headcount, grades, knowledge, skills, abilities, experience
Excesses in headcount, grader, knowledge, skills, abilities, experience

Draft a Solution Analysis to address Gaps and Excesses, cover:


Vital skills needed for success
Skill imbalance create by turnover; retention strategies and associated
costs
Training vs. recruiting to fill competency gaps
Contractors vs. staff

Re-assignment of resources with excess skills to other


key roles to create development opportunities; create
mentoring for staff needing nominal development.

Model the workforce against the


hypotheses
Review findings with business leaders to validate
projections and secure support; confirm, gaps and
excesses and define associated actions; model alternate
projection scenarios.
Reach agreement on overall skill needs, rank criticality
of skills, determine broad timing and staff requirements,
etc.;
determine compensation structure.

Define workforce requirements


Refine needs in terms total numbers and competency
requirements.
Outline how the skills can be developed; Recruited,
developed through training, re-training, relocation, onthe-job etc. and the lead times involved to be fully
competent.
Use these elements to define the "workforce system"
(the recruiting , training, retention, realignment
functions) that reflects what is required to fill the critical
roles.

Develop alternate scenarios (best case/worst case) and


their consequences e.g. lack of skills/expense of
resources in market shifts focus to training.
Develop a communication strategy to communicate
workforce plan and expectations to impacted
employees and stakeholders.
Inventory HR programs that will require modification as
a result of the projected requirements e.g., tuition
reimbursement, certification awards, completion of
training.

Develop resourcing strategy with


the business
Agree upon guiding principles and philosophical
approach to talent acquisition.
Assess labor pool in key geographies for critical skills
and competencies needed and :
Determine whether internal candidates can meet need and
how internal sourcing will be handled

Assess need for external recruiting support; establish


preferred provide contracts with reputable recruiting firms;
leverage the organizational brand to solicit better hires
Identify alternative sourcing strategies campus/trade
schools, flexible arrangements, relocation, secondments, etc.
Information sources include published labor market analysis;
internal skills and competency databases.

Develop Resourcing Plan and


engage with business
Establish project lead and project management team(s).
Develop a high level action plan that includes activities
and costs required to implement the sourcing strategy.
Review with key stakeholders to gain buy-in, confirm
their role and establish critical success factors and ways
of working together (collaboration on interviewing, tools
in place, hiring process, who has final say on
compensation, etc.)

Review plan with legal to determine whether any "red


flags" exist; develop mitigating actions
Monitor progress and track costs

Implement and measure


Appoint a project team to oversee implementation and
monitor progress against goals.
Develop a detailed action plan that includes all the tactical
activities required to implement the workforce plan:

Project Management Office


Communication strategy: employees and leadership
Training
Recruiting
Technology systems
Policy and Program Revisions
Measures of Success during implementation and on-going

Integrate with other planning


processes
Strategic Workforce Planning (SWP) can be an integral
part of the corporate planning cycle and scenarios from
the corporate cycle can be used in scenario modeling at
workforce level. In some organizations the SWP tools
are part of the wider corporate toolset.

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