Transcript Strategic Staffing

Strategic Workforce Planning:
Part 1: Developing and Implementing
an Effective Process
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Copyright Tom Bechet 2007
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Session Overview
Discuss the SWFP process
• Redefine the workforce planning process and its objectives
• Improve the efficiency of the SWFP process itself
Describe the context within which SWFP works “best”
• Describe some very “non-traditional” processes and practices
• Discuss how to deal with uncertainty
Discuss process implementation
• Provide some implementation “hints”
• Discuss roles and accountabilities
Review some examples
Answer your questions…
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Some Simple Definitions
Staffing includes all managed movement into, around, and out
of an organization (e.g., recruiting, hiring, promotion,
transfer, redeployment, attrition, retention)
An issue is a "gap" between where you are and where you
need to be to achieve business objectives or implement
business strategies
A strategy is a long term directional plan of action that
describes how objectives will be met
... and what is the difference between data and information?
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Developing Workforce Plans...
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Some Key Questions...
What is “workforce planning” or “strategic staffing”?
What makes staffing strategic in the first place?
What does the process include?
• Defining near- and long-term staffing requirements
• Forecasting staffing availability
• Comparing “demand” to “supply” to define staffing gaps and
surpluses
• Defining short-term (usually one period) staffing plans/actions
Why aren’t traditional (macro) practices more effective?
What should we be doing differently?
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How do we Make WFP Work?
1. Redefine the process and its objectives
2. Change the context within which the process is
implemented (perhaps drastically!)
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1. Redefine the Process and its
Objectives
Definition: A process for defining and addressing the most critical staffing
implications of business strategies and plans (both skills and staffing
levels)
Objectives:
• Create longer term staffing strategies that “best” eliminate critical
gaps/surpluses
• Use those strategies as a context within which effective short term
staffing decisions are made
Deliverables:
• Longer term staffing strategies
• Specific shorter term staffing plans and supporting actions
• Answers and solutions!
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A Workforce Planning Overview
Long
Term
Develop longer term staffing
strategies that support business
strategy
Time
Frame
Address staffing
strategically
Develop shorter term
staffing plans
Short
Term
Few
Many
Scope
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Examples of Strategies and Plans
Sample staffing strategies:
• Focus full time hiring and training/development on “proprietary” jobs
and use contingent staff for “commodity” positions (IT)
• Develop staffing processes that can absorb 25% swings in business
without affecting full time staffing levels (Wireless Infrastructure)
• Meet needs at senior technical levels by using outside hires and modify
recruiting practices as required (Utility)
Sample staffing plans:
• Hire 10 full time line mechanics in the first quarter
• Redeploy 10 staff from A to B providing accelerated development
• Use an outside staffing agency to meet third shift needs for 3 Techs
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The Workforce Planning Process
1. Identify the parts of the business that will be included
2. Define staffing gaps and surpluses for all planning
periods
• Define staffing requirements
• Forecast staffing availability
• Compare supply to demand
3. Develop staffing strategies across planning periods
4. Define specific staffing plans/actions for each planning
period
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Defining Gaps and Surpluses
An Overall Process Design
The Supply Side
The Demand Side
Current Supply
Future Requirements
Gaps/Surpluses
Reduce Deficits
and Surpluses
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Defining Gaps and Surpluses
An Overall Process Design
The Supply Side
The Demand Side
Current Supply
Future Requirements
Gaps/Surpluses
Reduce Deficits
and Surpluses
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Defining Gaps and Surpluses
A Better Process Design
The Supply Side
The Demand Side
“Supply Now”
Assumptions (re: Staffing and Turnover)
“Supply Then”
“Demand Then”
Gaps/Surpluses
Reduce Deficits
and Surpluses
Define New Staffing Actions
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Defining Gaps and Surpluses
The Best Process Design
The Supply Side
The Demand Side
“Supply Now”
Assumptions (Uncontrollable Staffing)
“Supply Then”
“Demand Then”
Gaps/Surpluses
Reduce Deficits
and Surpluses
Adjust Controllable Staffing Actions
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2. Change the Context within
which the Process is Implemented
Within what context should this workforce planning
process be applied?
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All units?
All jobs?
Common process, timing, planning parameters, and templates?
Compiled results?
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Change the Context of SWFP
Modify traditional approaches
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Focus on workforce planing and action, not workforce analysis
Aim to be proactive, not to react more quickly
Focus on staffing issues, not organizational units
Vary planning parameters
Include only those jobs that merit a strategic focus (e.g., “proactive” and “time
to implement”)
Don’t compile; keep results separate and detailed
Instead of a common approach, consider “Workforce Planning at 30,000 Feet”
Address needs across planning periods instead of fixing one period at a time
Don’t just build capability -- solve problems and address issues
Don’t think of SWFP as and “event” -- apply it whenever changes are discussed
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What is a Staffing Issue?
Hint: Potential staffing “issues” might include:
• Significant changes in required staffing levels
• Major changes in required capabilities (including positions where
required skills may be unknown)
• Positions that will be particularly critical
• Positions that will be hard to fill
• Positions with long learning curves
• Skill sets that you have not needed or looked for previously
• Skill sets for which there is extreme competition externally
Remember to keep strengths strong!
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Where do I Look for Staffing Issues?
Hint: Focus on significant/strategic changes
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Changes in business focus, objectives, or activity
Business expansion/contraction
Changes in markets or customer base
Capital expenditures/projects
Changes in technology or manufacturing process
Changes in product mix
Changes in competitive positions
Productivity improvement/cost containment
Changes in organization (e.g., structure, acquisition, divestiture)
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Measure your Results
Business Plans/
Strategies
Staffing
Issues and
Implications
Staffing
Strategies
Staffing
Actions
Effectiveness
Efficiency
Results
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Dealing with Uncertainty...
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Ways to Deal with Uncertainty...
“Alternatives to Perfect Data...”
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Do the most you can with what you have
Fully solve part of the problem (it’s better than doing nothing at all)
Model “what if” scenarios and contingency plans
Develop strategies that incorporate flexibility and uncertainty (e.g.,
plan for “pools”, not individual units)
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An Example...
Patient
Census
Time
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An Example...
Maximum
Patient
Census
Midpoint
Minimum
Time
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An Example...
Patient
Census
25
Full Time
Time
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An Example...
Patient
Census
40
Part Time
25
Full Time
Time
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An Example...
50
Agency
Patient
Census
40
Part Time
25
Full Time
Time
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Implementing SWFP...
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Implementation “Hints”
The development and implementation of workforce
planning requires a line/staff partnership
• Line managers are ultimately responsible for SWFP
• Human business partners directly support managers in identifying
staffing issues and developing staffing strategies
• A core of HR staff provide high level consulting and process expertise
• HR functional staff support the development and lead the
implementation of staffing plans
Spreadsheets (linked to HR data systems where possible)
provide more than adequate technology support
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Obstacles to Overcome
• Managers
– Expect that HR staff can continue to react sufficiently
– Typically have a short term, results orientation that is not consistent with longer
term workforce planning or the development of people
– Are sometimes unwilling to participate fully in the SWFP process
• HR Staff
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May not understand the business well enough
May be “stuck” on common practices, applied identically
May not take a long term, strategic perspective
May be used to reacting, not being proactive
May think (and sometimes act) within functional "silos”
• Data Issues
– Partial or no information on staffing requirements
– “Spotty” supply data
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An Implementation Bias
High
Approach B
Organization
Impact
Low
Approach A
Narrow
Broad
(Few)
(Many)
Organization
Scope
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An Implementation Bias
Approach A
High
Approach B
Organization
Impact
Low
Approach A
Narrow
Broad
(Few)
(Many)
Organization
Scope
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An Implementation Bias
High
Approach B
Approach B
Organization
Impact
Low
Approach A
Narrow
Broad
(Few)
(Many)
Organization
Scope
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What Does a Staffing Model
Actually “Look Like?
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Examples…
…and Questions
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Example
Biotech IT Function
• Strategic context
– “Technical Services” unit provides IT support to other units (e.g, network, cabling,
database, systems reconfiguring)
– Need for service exceeds available resources
– Desire to define actual work performed and true “value added”
• Strategic Staffing
– Focus on
• Corporate IS projects to be implemented in 2001
• Critical jobs only (e.g, network, desktop, infrastructure)
– Create a “rolling four quarter” supply/demand model
• Outcomes
– Staff “oversight” positions with full time employees
– Staff “hands on” positions with contractors
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Example
Electric Utility
• Strategic context
– An aging workforce will result in a large number of retirements in the coming 3-5
years
– The specific impacts of these retirements was undefined, even though both staffing
levels and capabilities will be affected
• Strategic Staffing
– Based on eligibility requirements, forecast the number of retirements
– Identify those job categories most at risk
– Focus the analysis on at risk categories only
• Outcomes
– Specific staffing plans (recruiting and internal movement) to address critical
shortages (e.g., line mechanics)
– Development and knowledge transfer plans to address key losses
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Example
Medical center
• Strategic context
– Competitor entering the marketplace
– Competitor will “poach” key staff
• Strategic Staffing
– Define job categories that are most vulnerable
– Make assumptions regarding losses that are tied to competitor plans
– Develop scenario-based staffing models to forecast the impact of poaching
• Outcomes
– Specific staffing plans regarding replacement in the short term
– Staffing strategies that aimed to make the the organization’s staff “unpoachable” in
the future
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Example
Telecommunications company
• Strategic context
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Radically new technology will be implemented
Implementation will be nation-wide, spread over four years
New technical and “soft” skills will both be needed
Many in current workforce nearing retirement
• Strategic Staffing
– Focus on Central Office Technician role (which encompasses many current
jobs/titles)
– Create a supply demand model
– Develop alternate retirement scenarios
• Outcomes
– Redeployment and training requirements
– Plans for hiring and staff reductions
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Example
Insurance company
• Strategic context
– Growth and replacement increased needs for branch managers
– Traditional paths (through underwriting) take time
– Alternative sources will be required
• Strategic Staffing
– Create a supply demand model
– Include jobs along the traditional path
– Build in “lags and leads”
• Outcomes
– Define required size of trainee pool
– Define number of external hires in advance
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