Metrics for Workforce Planning
Workforce planning is one of the most important factors in organizational growth. However, many organizations still don’t fully understand their current and future workforce needs. This can severely limit their ability to reach key goals and may also stunt growth.
Being proactive about workforce planning can ensure your organization can afford to meet its short- and long-term human resource needs. Here are tips to help you improve your workforce planning process –
Analyze overtime data: Take a look at your overtime costs for each position for the last year and compare that number to the previous three to five years. Map this data to specific positions, then determine whether the causes of overtime are likely to persist. Calculate whether it would be more cost-effective to add headcount.
Review employees who hold multiple roles: Sometimes, cross training is a win/win. But if an employee fills multiple positions and consistently works more hours than budgeted, or is displaying signs of burnout, you risk vacancies in multiple roles. Consider a different staffing model or increasing headcount.
Assess seasonality: It's crucial to take into account the cost of adding temporary workers during peak seasons. The addition might not be based on headcount, but merely an augmentation of skill gaps of your current manpower complement.
Ideally, your workforce plan is a living document that must be revisited regularly to make adjustments based on real-time data. That way, the organization can respond quickly to internal and external factors that could disrupt business operations.
