Human resource planning is the process of systematically forecasting both the future demand for and supply of employees and the deployment of their skills with respect to the strategic objectives of the organization. Human resource planning is a process that identifies current and future human resource needs for an organization, based on the goals and objectives set by upper management. It responds to the importance of business strategy and planning in order to ensure the availability and supply of people—in both number and quality. Human resource planning serves as a link between human resource management and the overall strategic plan of an organization.
Planning
Organizations gain an advantage by planning the implementation of their people.
Planning Process
The planning processes is loosely about determining what will be accomplished within a given time frame, along with the numbers and types of human resources that will be needed to achieve the defined business goals. This is typically accomplished by defining competencies that are required by workers to achieve business goals, matching people with these competencies to the right tasks, and assessing the overall process for progress and improvement.
In this way, human resources professionals need to understand each and every task within the organization, as well as the skills and competencies required of the individuals who carry out those tasks. When appropriate, human resource managers may note experience and/or competency gaps or the need to create new roles or hire new individuals to ensure proper functioning.
Planning to Develop Competencies
Competency-based management supports the integration of human resource planning with business planning by allowing organizations to assess the current human resource capacity based on employees' current skills and abilities. These skills and abilities are measured against those needed to achieve the vision, mission, and business goals of the organization. If the available people lack necessary competencies, the organization plans how it will develop them.
Targeted human resource strategies, plans, and programs work to address these gaps in the organization's workforce through:
- Targeted hiring/staffing
- Employee learning and education
- Career development
- Succession management
Evaluation and Improvement
These strategies and programs are monitored and evaluated on a regular basis to ensure that they are moving the organization in the desired direction, including closing employee-competency gaps. Corrections are then made as needed to the broader human resource planning process. It is a constantly evolving planning process for human resource professionals.