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

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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 labor we require?

What changes are occurring in the Canadian labor market?

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

 

 

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?

 

 

 

There are five HR strategies for meeting your organization's needs in the future:

 

Restructuring strategies

Training and development strategies

Recruitment strategies

Outsourcing strategies

Collaboration strategies

 

Restructuring Strategies

This strategy includes:

 

Reducing staff either by termination or attrition

Regrouping tasks to create well designed jobs

Reorganizing work units to be more efficient

 

 

If your assessment indicates that there is an oversupply of skills, there are a variety of options open to assist in the adjustment. Termination of workers gives immediate results.

 

Generally, there will be costs associated with this approach depending on your employment agreements. Notice periods are guaranteed in all provinces.

 

Be sure to review the employment and labor standards in your province or territory to ensure that you are compliant with the legislation.

 

Documenting the Strategic HR Plan

 

Implementing the Strategic HR Plan

 

Agreement with the Plan

Ensure that the board chair, executive director and senior managers agree with the strategic HR plan. It may seem like a redundant step if everyone has been involved all the way along, but it's always good to get final confirmation.

 

Communication

The strategic HR plan needs to be communicated throughout the organization.

 

Your communication should include:

How the plan ties to the organization's overall strategic plan

 

What changes in HR management policies, practices and activities will be made to support the strategic plan

 

How any changes in HR management will impact on staff including a time frame if appropriate

 

How each individual member of staff can contribute to the plan

 

How staff will be supported through any changes

 

How the organization will be different in the future

 

 

It is impossible to communicate too much (but all too easy to communicate too little), specially when changes involve people. However, the amount of detail should vary depending upon the audience.

 

Legislation and mandate

 

Ensure that the actions you are considering are compliant with existing laws, regulations and the constitution and bylaws of your organization.

 

To review laws relating to employment, visit the HR Toolkit section on Employment Legislation and Standards

 

Organizational Needs

Whether you are increasing or reducing the number of employees, there are implications for space and equipment, and on existing resources such as payroll and benefit plans.

 

Evaluation

 

HR plans need to be updated on a regular basis. You will need to establish the information necessary to evaluate the success of the new plan. Benchmarks need to be selected and measured over time to determine if the plan is successful in achieving the desired objectives.