After locating the gaps, such as skills, workforce numbers, or new roles needed, you can decide which ones take top priority based on how critical they are to reaching strategic goals. Workforce Gap Analysis: A gap analysis identifies the gaps between your current workforce supply and the future demand. Here are some questions to ask when analyzing workload demand: How much work do you expect to have each year? How many employees do you need to execute that work? What is driving the work changes - increased efficiency or other changes? Does the current workforce supply match the forecasted demand? The goal is to understand how well your workforce currently supports your business strategy, what skills it has to offer, and how you expect it to grow or decrease in the near future.ĭemand Analysis: The information in a demand analysis consists of what type and amount of work an organization performs and what kind of changes it anticipates. Workforce Supply Analysis: Examining your current workforce situation and projected changes over time involves creating staff profiles and compiling employee characteristics, such as age, location, salary, employment type, skills and competencies, worker satisfaction, turnover rates, numbers of employees at different levels, and pending retirees. What are the short and long-term goals? How are market trends shifting, and what is your competition doing? What policy, economic, or workforce challenges will the organization be facing? This stage serves two purposes: to clarify the broader organizational strategy in order to make sure that HR strategy aligns with it, and to identify issues that may impact your workforce. ![]() Organizational Strategy: This is an opportunity to clarify the direction in which your organization is heading in the next three to five years and look closely at strategic drivers. Whether you are focusing on a particular issue that you need to address, such as projected budget cuts or market changes, or using workforce planning as an ongoing method for ensuring that your workforce is on track for meeting business objectives, the process usually involves six stages: This is a complex process, but it can provide vital information to help mitigate future issues. Then, analyze the scenarios that present the most impactful and unpredictable challenges and develop strategic resolutions. ![]() After identifying potential scenarios (which may be based on internal or external changes), prioritize them based on the impact they would have on your workforce and the level of uncertainty they carry. Assessing the impact that these scenarios might have on a business can help you prepare for such events and determine what impact they might have on your workforce needs. One aspect of workforce planning is scenario planning, which involves imagining future scenarios that may impact your business, such as regulatory changes, new technologies, an uncertain political climate, or a natural disaster. Workforce planning can help determine employee potential, develop staff to move into future roles, address changing business priorities, and resolve gaps in employee skills and competencies. Having the right people in the right roles will help any business run smoothly. It is a systematic approach to aligning your workforce with the strategic direction of your organization. Strategic planning helps businesses anticipate future needs based on market changes, growth potential, staff retirement, and other changes. ![]() Workforce planning allows an organization to reach its goals by training executives to proactively acquire or develop the talent they need, rather than react as issues arise.
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