The Human Resources (HR) planning process includes strategy development, management systems creation, requirements predicted and performance measurements established. To begin the human resources planning process, the business must create an HR strategy that is in alignment with the overall corporate strategy and mission. The business can then decide on the design, policies and practices that will need to be followed in order to carry out the overall business strategy. In order for human resources to function properly, forecasts should be made about the workforce size and job structures. The final step of the human resources planning process should be designing benchmarks and measurements to make sure that the department is meeting performance expectations.
Developing a strategic plan that is in alignment with the corporate strategy accounts for a large segment of the human resources planning process. This strategic plan must discuss its current human resources capacity, needs and direction. It should include an inventory of the skills its current workforce has, along with which skill sets will be needed for the company to fulfill its objectives. Throughout the strategic plan, it should be clear about what the purpose and outcomes of each recommendation are and how they support the overall strategic plan of the organization.
Constructing management systems involves deciding on the design, policies and practices to put in place for carrying out the strategic plan. This includes whether the company will adopt outsourcing, flexible work hours and peer reviews. The cost savings of each policy or practice should be objectively weighed, and its benefits and risks outlined. If the business wants to consider adopting a work-at-home option, it could save on overhead expenses but negatively affect its ability to build the skills of its workforce. If the business’s strategy is to have the most knowledgeable team, then having this work-at-home policy may negatively affect its ability in achieving the overall business objective.
Forecasting the workforce size and job structures is a necessary part of the human resources planning process that requires creating an inventory of what the business has currently. Employees should be segmented according to their capabilities, skills, education and potential. If there is a gap between the capabilities and workforce numbers, then a forecast should be done to see how many employees will be needed for each position. Reviewing the inventory of current employees is also a useful method to determine if future jobs can be filled by internal promotions, which can be a powerful motivational tool when facing company-wide changes.
