Strategic HR Planning Guide: Importance, Process & Best Practices

1. Employee Resourcing: The Planning & Recruitment Phase Chapter 2 in Carberry & Cross (2013) Human Resource Management

2. Outline the nature of human resource planning (HRP) and how HRP links with both the organisation’s overall business strategy and its specific recruitment strategy • Describe the stages in the human resource planning process and recognise the importance of on-going HR Planning in organisations • Differentiate recruitment from selection activities within an organisation’s resourcing strategy • Distinguish between terms used in recruitment such as job analysis, job description, person specification and competency profiles • Explain the advantages and disadvantages of different recruitment methods • Describe ways of generating an ‘applicant pool’ and attracting candidates • Explain key legislation in relation to recruitment and the flexible workforce

4. HRP / Talent Planning • Labour Market • Employer Brand • Recruitment • HR Analytics • Employee Resourcing • Talent Acquisition • Talent Pipeline

5. General Comments on HR Planning • Key aspect of HR • Should link Business Strategy and HR • Arguments for and against HRP • HR Planning varies greatly across companies • Data Analytics the new buzz word

6. What is HR planning? A core process of human resource management that is shaped by the organisational strategy and ensures the right number of people with the right skill, in the right place at the right time to deliver short and long term organisation objectives Workforce planning guide, CIPD 2010

7. Aims of HR Planning • Obtain & retain the quantity and quality of manpower needed • Make the best use of manpower resources • Anticipate potential surpluses/deficits

8. Why is it important for an organisation to conduct HR Planning? • .. • .. • .. • .. Marchington & Wilkinson, Core Personnel & Development 2000 Human Resource Management

9. Also……. • Reduced costs • Improved planning of employee development • Make equality improvements • Useful tool for measuring HR success

10. Talent Planning Strategies Organizations that invest in talent workforce planning and/or succession planning place themselves in a better position to achieve their business goals and objectives. Planning is an integral part of recruiting, developing and retaining employees and leaders. While these processes can exist without an effective planning component, their capability is considerably limited. Recent research has shown that best-in-class organizations use long-term strategic workforce planning to maximize their recruitment and retention strategies. What is succession planning? It is about creating the continuous pipeline of people who may one day run the organization

11. Listen to this video in your own time. Practical Approaches to Succession Planning Tim McConnell, SPHR & HR Strategist with McConnell Consulting Ottawa

12. Questions on Video Clip • What is Succession Planning? • Why is HR Planning important today? • Why is Succession Planning the most important element of HR Planning? • Finish the sentence: “hired for your resume,………….” What does this sentence mean?

13. Human Resource Management

14. Case Study : • Describe the purpose of workforce planning? • Explain why companies engage in workforce planning. Relate your answer to ScottishPower & the current environment in which it is working • What approaches do ScottishPower currently use to attract new young employees?

15. Stages in the HRP Process

16. HR Planning Process • Stocktaking / Analysing • Forecasting • Planning • Implementation

17. Personnel & HR Management, Gunnigle et al, 1997 Human Resource Management

18. 2. Forecasting • Demand Forecasting • How many employees will be required for the future? • Supply Forecasting • Where are future employees are going to be found? Inside the company or in the labour market or combination of both?

19. Workforce planning guide, CIPD 2010

20. Exercise: Supply of labour local to organisations List factors that influence the supply of employees in the area LOCAL to an organisation?

21. Sources of supply - Local • Level of unemployment • Open & closure of new workplaces • Nos. and qualifications of school and college leavers • Housing & transport developments • Employer reputation in the area

22. Stage 3: Planning By going through stages 1,2,3 an organisation establishes whether it is going to have a labour shortage or surplus. From this it will then need to PLAN how it is going to address this shortage or surplus. This is called the planning stage.

23. Exercise: Planning List actions that an organisation can take if it identifies that it will have a labour SHORTAGE

24. Exercise: Planning List actions that an organisation can take if it identifies that it will have a labour SURPLUS

25. Stage 4: Implementation Workforce planning guide, CIPD 2010

26. Stage 4: Implementation Workforce planning guide, CIPD 2010

27. Best Practice Talent Planning Strategies include: • Identifying workforce gaps to meet business needs • Identifying top performers • Identifying new and emerging job roles • Modelling alternative workforce strategies • Creating processes for knowledge transfer • Developing accelerated career paths for very high potentials • Talent planning needs to be linked to the larger strategic business plans so that HR can provide the right workforce to ensure future business objectives. http://www.pragmatichr.com/talent-planning

28. Workforce Planning in Practice – Top Tips from HR Practitioners • HR must be involved in strategic planning • No one size fits all model • Know what you’ve got • Link workforce planning to more flexible jobs • Relate workforce planning to the demands of a challenging economic environment READ Workforce planning guide, CIPD 2010

29. Summary • HR Planning has come a long way • HR Planning is not a substitute for managerial judgement but an aid to decision making • Changing nature of organisations is going to influence HR Planning • HR Analytics – watch this space!

30. Recruitment

31. General Comments • One of the most important HR function • Recruitment versus selection? Are the two different? • Not just about finding the right person for the job but the person that fits the company • Good recruitment should make selection easier • This is the ‘Marketing’ end of HR • Need to comply with the legislation • Who do you involve in the process? • Important to evaluate the process regularly • Employer Branding is the new buzz

32. Recruitment & Selection Process

33. Job Analysis • The recruitment process begins with Job Analysis: • Identify knowledge, skills, abilities, attitudes and behaviours associated with successful performance in the role • This determines the R&S criteria as well as future performance management, rewarding and training of the recruit • Training for the T&D Department can also be identified from the Job Analysis

34. Job Analysis produces… • Job description Detailed inventory of what a particular job entails. Duties, responsibilities etc.. • Person specification Asks what kind of candidate is required to match the job description? It lists the qualifications, knowledge, skills, personal attributes and experience needed • Competency Profile Very common in large organisations. May be used in conjunction with or instead of Person Specification

35. Job Descriptions • “A broad statement of the purpose, scope, duties and responsibilities that are attached to the job, and as such form the basis of the contract of employment” (Gunnigle et al 2002:91) • Will vary slightly across companies • Becoming outmoded because…. • Still important because

36. TASK:Elements of a Job Description List the items that you think should be included in a job description? • .. • .. • .. • .. • .. • .. • ..

38. Person Specification Describes the ideal person for the job & provides a detailed description of the criteria necessary to do the job effectively

39. Person Specification Number of important functions: • Describes the ideal person • Helps in deciding where to concentrate search & advertising • Can facilitate short-listing (should differentiate between essential & desirable characteristics, etc) • Can help determine the selection criteria

40. TASK: Person Specification List the items that you think should be included in a person specification? • .. • .. • .. • .. • .. • .. • .. • ..

42. A good Person Specification The following are the qualities of a good person specification: • It closely matches the job description • It is specific and detailed • It is weighted (Essential & Desirable) • It is measurable

43. Competency Profile • ‘the behaviours that individuals must have, or must acquire, to perform effectively at work’ (CIPD 2012) • Examples of competencies include • Can include technical skills, soft skills and collaborative skills. • Example Competency Profile

44. TASK: Using the form provided Write a Job Description & Person Specification for a position you have held or are familiar with

45. Terms & Conditions • Refer specifically to the effort-reward relationship • Play an important role in attracting suitable candidates • Must adhere to employment law statutes

46. Terms & Conditions • Hours of work • Shift • Payment method and frequency • Holiday entitlement • Bonus • Allowances • Benefits (sick, pension, VHI…..) • Other…dress standards etc.

47. Case Study 1. Define the terms recruitment and selection. How do these processes enable an organisation like Tesco to get the right people to fill its posts? 2. Describe how job descriptions and person specifications are helpful in the selection process? What other purposes might a job description be used for? 3. Analyse Tesco’s methods of attracting and recruiting candidates. Outline what you consider to be the main strengths and weaknesses of one of these methods. 4. Evaluate the benefits for Tesco of using both interviews and assessment centres in the selection process.

48. Recruitment 3 Functions • Attract a pool of suitable candidates • Deter unsuitable candidates from applying • Create a positive image of the company (now known as employer branding) 3 main approaches Internal and External

49. Recruitment: 2 main approaches • Internal • External

50. Questions to ask yourself? • Do we recruit Internally or Externally or both? • Which recruitment method or methods should we use? • What should the application process be? (CV, application form, etc.)