Unleashing the Benefits of Strategic Workforce Planning: 9 Key Benefits
Have you ever found yourself in a situation where your company was gearing up for a new software launch, only to be reminded of the shortage of workforce and the right skill set? This is where Strategic Workforce Planning steps in as a vital component of any organisation’s success.
In simple terms, strategic workforce planning is the process of aligning your people strategy with your business strategy. The ultimate goal for every organisation is to optimise its workforce for the present while proactively planning for the resources needed in the future.
This strategic approach allows decision-makers to address fundamental questions such as, “Does our current resource plan support our business forecast?” or “Do we possess the right set of skills to achieve our targeted revenue?” With a few clicks, you can evaluate the demand against supply, identify gaps, and chart a course to secure the required workforce.
By foreseeing the headcount and skills essential to support your business strategy, you can confidently answer questions like, “Do our employees possess the right skills to accomplish our future plans?” Through scenario exploration, which considers current and anticipated demands, you can examine the long-term resource requirements.
The Oracle Strategic Workforce Planning Advantage
Key Goals of Strategic Workforce Planning
Organisations leverage workforce planning frameworks to harmonise their hiring processes with overall priorities and goals. When the workforce and hiring practices align with the company’s needs, leaders can hire staff more efficiently, avoid capability gaps, and prevent unnecessary personnel spending.
The primary objective of workforce planning is to help organisations succeed by maintaining a workforce that is the right size, shape, cost, and capability. The right size translates to minimal friction, no vacancies, and avoidance of overstaffing. The right shape encompasses succession management and focuses on critical competencies. Cost efficiency ensures manageable costs for maximum impact. Lastly, it entails the right agility, flexibility, and resilience.
This model assists in identifying the organisation’s needs, the skills required to fulfill those needs, and the staff necessary for successful execution. Strategic personnel planning empowers leadership and the HR department to continually evaluate employees and their performance, preventing the business from being adversely affected by the ever-changing needs of the workforce.
Benefits of Strategic Workforce Planning
The benefits of implementing Strategic Workforce Planning include:
1. Preparing for the Future: It establishes a long-term recruitment strategy that addresses current workforce issues and analyses future risks. Leaders can answer the critical question, “How will employee costs be affected as the company grows?”
2. Analysing Workforce Discrepancies: Workforce planning ensures a deep understanding of necessary skills, competencies, and qualifications required for future hiring and promotions.
3. Anticipating and Planning for Change: Leaders can establish metric benchmarks to identify and address workforce risks before they impact business goals. It empowers informed decisions about processes, retirements, and workflow maintenance.
4. Decreasing Hiring Costs: Detailed headcount overviews and productivity assessments reduce recruitment costs and enhance overall operations, boosting employee morale, engagement, productivity, and revenue.
5. Improving Recruitment Processes: Analytics can identify the traits, skills, and characteristics of high-performing employees, streamlining hiring to match business goals and culture.
6. Aligning HR Processes with Business Strategy: By aligning HR programs and policies with business strategy, workforce planning improves employee retention rates, positively impacting company growth.
7. Driving Talent Investments: Workforce Planning identifies areas requiring additional resources to reach their full potential and high ROI employee groups that warrant investment in training and development.
8. Identifying Talent Gaps: Alignment of workforce strategy and business goals helps detect existing gaps and anticipate hiring needs during company expansion.
9. Implementing a Retention Strategy: It automates raises, bonuses, and promotions, preventing resignations through predictive analytics identifying top performers and those at risk of leaving.
If you’re looking to empower your business with the benefits of Strategic Workforce Planning, consider partnering with PCL, your Oracle HCM Implementation Partner. We specialise in aligning your people strategy with your business strategy, helping you optimise your workforce and plan proactively for the future.
Explore the power of Oracle Strategic Workforce Planning with PCL, and set your organisation on a path to success by ensuring you have the right workforce in place when it matters most. Contact us today to learn more about how we can assist your business in achieving its HR and organisational goals.
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