Hi all,
please provide the guideline on 'Strategic Human Resource Planning'.
How can I assess our 1) current HR capacity, 2) Forecast HR requirements and 3) Find the Gap
If there is any format, please provide,

From India, Bangalore

Get Dual Certificates from IIM Shillong and SHRM →
Promoted: IIM Shillong - PG Certification in Human Resource Management (Explore Course)
Dear Indranil,

Strategic Human Resource Planning is derived from the strategic plan of your company. Please confirm type of your industry, what is your finished product or service, what market research you have done of your industry, your position vis-a-vis your competition etc.

In strategic planning, we use various tools like Michael Porter's 5S, McKinsey's 7S, SWOT Analysis. Strategic HR Planning will be based on the outcome of the application of all these tools. You cannot look at the HR department in isolation.

I conduct a training programme on "Strategic Leadership". In my training, I handle these tools. The phrases, strategic leadership, strategic planning and strategic management are used interchangeably. Therefore, do not concentrate much on the nomenclature of the programme.


Dinesh V Divekar

From India, Bangalore

The strategic HR planning process

The strategic HR planning process has four steps:

Assessing the current HR capacity

Forecasting HR requirements

Gap analysis

Developing HR strategies to support organizational strategies

Assessing current HR capacity

Based on the organization's strategic plan, the first step in the strategic HR planning process is to assess the current HR capacity of the organization. The knowledge, skills and abilities of your current staff need to be identified. This can be done by developing a skills inventory for each employee.

The skills inventory should go beyond the skills needed for the particular position. List all skills each employee has demonstrated. For example, recreational or volunteer activities may involve special skills that could be relevant to the organization. Education levels and certificates or additional training should also be included.

An employee's performance assessment form can be reviewed to determine if the person is ready and willing to take on more responsibility and to look at the employee's current development plans.

Forecasting HR requirements

The next step is to forecast HR needs for the future based on the strategic goals of the organization. Realistic forecasting of human resources involves estimating both demand and supply. Questions to be answered include:

How many staff will be required to achieve the strategic goals of the organization?

What jobs will need to be filled?

What skill sets will people need?

When forecasting demands for HR, you must also assess the challenges that you will have in meeting your staffing need based on the external environment. To determine external impacts, you may want to consider some of the following factors:

How does the current economy affect our work and our ability to attract new employees?

How do current technological or cultural shifts impact the way we work and the skilled labour we require?

What changes are occurring in the Canadian labour market?

How is our community changing or expected to change in the near future?

To read more about the changing labour force and why it matters to non-profit employers, go to the Diversity at Work section of the HR Toolkit:

Why diversity at work matters

Gap analysis

The next step is to determine the gap between where your organization wants to be in the future and where you are now. The gap analysis includes identifying the number of staff and the skills and abilities required in the future in comparison to the current situation. You should also look at all your organization's HR management practices to identify practices that could be improved or new practices needed to support the organization's capacity to move forward. Questions to be answered include:

What new jobs will we need?

What new skills will be required?

Do our present employees have the required skills?

Are employees currently in positions that use their strengths?

Do we have enough managers/supervisors?

Are current HR management practices adequate for future needs?

From India, Mumbai
HRM can play a crucial role in environmental scanning in order to identify and analyse external opportunities and threats that may be crucial to the company\'s success. HR is in unique position to provide competitive intelligence that be useful in the Strategic planning process. Information in respect to incentive plans being used by competitors, customer complaints, pending labour laws etc. can be made available to strategy makers.

HR participates in the Strategy formulation process by providing various information concerning the company\'s internal strengths and weaknesses, which can have a determining effect on the viability of the firm\'s strategic options. In several cases, the unique HR capabilities of an organization have served as a driving force in strategy formulation.

Few HR Strategic Implementation can happen in the areas of:

HR Effectiveness - Can get aligned with Business Strategy aligning HR Practices, It will be in terms of HRM outcomes such as, employee competence, motivation, commitment, flexibility which are seen in terms of quality of goods and services provided and productivity which ultimately results in financial performance. Keeping in view the above points - HR can come up with goals and strategy formulation.

From India, Bangalore
Thanks all for your valuable opinion.
From India, Bangalore

If you are knowledgeable about any fact, resource or experience related to this topic - please add your views using the reply box below. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone.

Please Login To Add Reply →

About Us Advertise Contact Us Testimonials
Privacy Policy Disclaimer Terms Of Service

All rights reserved @ 2021 CiteHR.Comô

All Material Copyright And Trademarks Posted Held By Respective Owners.
Panel Selection For Threads Are Automated - Members Notified Via CiteMailer Server