Analyzing Present Conditions with Human Resource Planning
The first step of human resource planning is to identify the company's strengths and weaknesses in the current labor pool. This is when a company performs a comprehensive audit of the skills, demographics, qualifications, experience and compensation of every worker. HR then has to determine if these statistics fit in line with the company's goals. Does the firm need to hire more staff to compete in a future marketplace, or are more automated tools necessary to capture more market share from competitors? Is the status quo acceptable, or should the company reorganize its staff so it can make more money?
HR forecasts demand based on the strategic goals of the company. HR managers may examine market trends, industry analyses and technological improvements to come up with ways to meet the company's goals. Forecasting retirements is also one major facet that needs consideration when businesses assess future staffing levels. Does the company need to replace retired employees, or can new technology do the job? Does a company need more full-time workers, part-time help or outsourced labor?
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