HR Planning (often referred to in Workforce Planning) is the process of staffing the organisation via HR forecasting for the purpose of achieving the organisational strategic goals and departmental objectives.  Effective HR Planning requires an understanding of organisational strategic planning, understand organisational financial objectives, output goals, technologies and resource requirements. 

 

Human Resources are one of the organisations highest cost and sound HR planning will impact on the organisation budget and bottom line. Human Resources should work together with accounting, line managers and senior executive to develop a strategic road map and plan for the organisation.

 

 

FORECASTING VARIABLES INVOLVED INCLUDE:

 

Re-evaluation of Stategic and Department Goals

Current Labour Supply vs Current Labour Demand

Areas of Labour Shortage vs Areas of Labour Surplus

Understanding Labour force strengths and weaknesses

Implementing program/initiatives/activities to achieve desired levels of HR

 

 

TECHNOLOGIES TO ASSIST HR PLANNING PROCESS

 

HRIS systems can assist you to understand your current labour supply:

 

  • Identify statistical data to measure labour supply

  • identify people capabilities, strengths and weaknesses

  • Identify capabiliy/skills gaps

  • Identify re-education or learning and development requirements

  • Identify opportunity for succession planning

 

 

DETERMINING YOUR LABOUR DEMAND

 

  • Assess specific future job categories/skills

  • Try to predict a labour demand for one year in advance

  • Choose indicators to measure eg.  required product/service/profit levels

 

 

LABOUR SURPLUS and LABOUR SHORTAGE activities/initiatives/actions may include:

 

SURPLUS eg. options - Downsizing, Renegotiating hours vs pay, Job Sharing, Training, Restructure, Incentive Pay, Short Term contracts

 

SHORTAGE eg. options - Overtime, outsourcing, temporary staff, Transfers, Recruitment, Succession Planning