h uman r esource s trategies d eveloping and i mplementing w orkforce p lans “if you are planning...
TRANSCRIPT
HUMAN RESOURCE STRATEGIES
DEVELOPING AND IMPLEMENTING WORKFORCE PLANS
“If you are planning for one year plant rice. If you are planning for ten years plant trees. If you are planning for 100 years plant people.”
Indian proverb. Anon
“Develop the business around the people; build it don’t buy it; and, then, be the best.”
Richard Branson
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DEVELOPING AND IMPLEMENTING WORKFORCE PLANS
IN THIS TOPIC YOU WILL LEARN ABOUT:
Components of workforce plans
Assessing internal and external influences on workforce plans
The value of using workforce plans
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WORKFORCE PLANNING
The process of assessing current and future staffing needs
Allows management to be proactive and plan for any changes in the future size or nature of the workforce
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Current workforc
e:Size and
skills
Future workforce:Size and
skills
How? What steps can a business take in
preparation?
Where are we now?
Where do we want to be in the future?
How are we going to get there?
WORKFORCE PLANS
A detailed plan of the strategies that the HR department will undertake to ensure that future workforce needs are met
Remember future workforce needs may be more or less than the current provision
Strategies may include Training Redeployment Internal promotion External recruitment Natural wastage Relocation Restructuring
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COMPONENTS OF WORKFORCE PLANSSTEP 1 ANALYSING THE CURRENT SITUATION
Internal staff auditSkills audit
Existing skills Under utilisation
Personnel performance indicators Recap AS : Labour turnover
Nature of workforce Age Ambitions
Labour market trendsNumber and skills of
entrants Qualifications Skills shortages
Changing demographics Net migration Ageing population
EU directives and UK legislation Working time directive Age discrimination
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COMPONENTS OF WORKFORCE PLANSSTEP 2 PREDICTING LIKELY FUTURE CHANGES
Impact of internal and external audits and trends Are existing staff likely to leave? Who will be available in the market?
Review of corporate and functional objectives What staff will be needed to achieve these? Will staff cuts help achieve these?
Analysis of future requirements Detailed plan of what staff will be needed in the
future How many? What skills? Where?
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COMPONENTS OF WORKFORCE PLANSSTEP 3 WHAT STEPS WILL BE TAKEN?
Having gone through the process of working out what will be needed in the future the business can now decide on the strategies needed to make the transition as smooth as possible
What strategies should be taken: to ensure existing workforce meet future
needs? to ensure any additional requirements can be
fulfilled?
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INTERNAL AND EXTERNAL INFLUENCES ON WORKFORCE PLANS Financial Objectives
Cost minimisation HR budgets
Training budget Maximising
shareholder returns Operational Objectives
New technology Innovation Lean production
Kaizen groups Team work
Marketing Objectives Market growth Market development Low cost strategy
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Workfo
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lansDiscuss how each of
these functional objectives could impact
upon future staffing needs.
INTERNAL AND EXTERNAL INFLUENCES ON WORKFORCE PLANS
Legislation Minimum Wage Health and Safety at Work Paternity rights Discrimination acts
Labour market trends Demographics EU expansion Education
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You will need access to the internet to watch this clip
Bill to expose gender pay gap
You will need access to the internet to watch this clip
What impact will this have on workforce planning?
ISSUES IN IMPLEMENTING WORKFORCE PLANS
Employer/employee relations How are plans communicated with the
workforce? How will staff be affected?
Training Redeployment Promotion opportunities Redundancy
Are employees involved in decision making? Are employees fairly represented?
Employee representation will be looked at in more detail in BUSS3.19 Effective Employer/Employee Relations
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ISSUES IN IMPLEMENTING WORKFORCE PLANS
Cost Recruitment, selection and training Reducing labour turnover Relocation Redundancy payments
Potentially high short term cost to achieve long term savings
Corporate image Media attention
Redundancies Relocation Staff bonuses
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You will need access to the internet to watch this clip
What evidence is there of workforce planning at Rolls
Royce?
ISSUES IN IMPLEMENTING WORKFORCE PLANS Training
Motivation Market failure
Having invested in training and development might the business’ employees seek better positions elsewhere? With the competition!
Opportunity cost Financial cost
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Each of these issues can have positive and negative effects
POSITIVE AND NEGATIVE EFFECTS WORK IN PAIRS TO COMPLETE THE GRID BELOW
Positive Effects Negative Effects
Employer/EmployeeRelations
Cost
Corporate Image
Training
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VALUE OF USING WORKFORCE PLANS
Informs decision making Managers know how functional objectives will
influence future workforce needs Adopt suitable HR strategies
Natural Wastage Can save future redundancy costs
Respond to changing nature of the labour market
Sufficient staff with the right skills to allow the business to run efficiently
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ACTIVITY WORKFORCE PLANS / SUCCESSION PLANNING Read the case study – Fly High Kites
Questions1. What is meant by the term “succession
planning”?2. Analyse the possible reasons why Amir
wants to share his reading of the article from “Management Today” with the managers of other functional areas.
3. To what extent do you think the advice offered in the article will help Amir in his position as HR manager? Justify your answer.
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