While preparing for my presentation at the Workforce Planning Seminar that will be presented by Knowledge Resources on 23 July 2024, I have realised the value of discussing workforce planning, its significance and the benefits it brings to organisations.
Workforce planning is a crucial business component, and it is essential for organisations to establish processes that support the development and implementation of effective workforce planning strategies.
This blog will delve into what workforce planning entails and the steps involved in the workforce planning process.
What is Workforce Planning?
Workforce planning involves analysing, planning, and forecasting the supply and demand of the workforce. This process includes reviewing the current staff, assessing both current and future personnel needs, and identifying gaps between workforce supply and demand. As an integral part of the organisation, workforce planning assists in:
- accurately directing hiring goals and practices,
- determining who to hire and when, and
- understanding the importance of these hires at specific stages.
According to the National Institute of Health – Office of Human Resources, these are the six steps that are involved in an effective workforce planning process:
- Establish strategic direction: start the process by developing your strategic roadmap. This critical phase involves thorough planning and a well-defined sense of direction. At this stage, you assess the business’s goals, objectives, strategies, and key performance indicators (KPIs).
- Conduct supply analysis: Assess the current composition and capabilities of your workforce. This entails evaluating the skills, experience, and availability of your existing employees.
- Perform demand analysis: Forecast the future workforce requirements based on anticipated business needs. This entails projecting the necessary skills, roles, and capacities required to meet organisational objectives.
- Conduct gap analysis: Identify the disparities between your current workforce and future demands. This step involves comparing the supply of skills and talent within your organisation with the projected demand.
- Implement solutions: Develop and execute strategies to bridge identified gaps. This involves deploying recruitment, training, development, and retention initiatives to address workforce needs effectively.
- Monitor and evaluate progress: Continuously track and assess the effectiveness of your workforce planning efforts. This involves measuring key metrics, soliciting feedback, and adjusting strategies as needed to ensure alignment with organisational goals.
Workforce planning crucial for aligning talent with organisational needs and preparing for future challenges. By systematically analysing current capabilities, forecasting future needs, and implementing targeted solutions, organisations can enhance agility, operational efficiency, and strategic alignment.