University of Southern Queensland
STUDY GUIDE
Module 3
Workforce
Planning
MGT3005 Workforce Design
MGT3005 Workforce Design Study Guide Module 3 Page | 1
Module 3 --- Workforce Planning
( You have one week to cover the material in this module )
Introduction
So far we have identified that the process of job analysis results in documents called
job descriptions and person specifications. From this process, the HR expert can now
say what jobs need to be done and what attributes are needed in workers to complete
those jobs. Essentially, HR is well placed to identify and select appropriate candidates
– the organisation knows what it needs. But the HR department needs to establish if
the external labour market is able to support such demands, or whether internally they
have suitable employees that might fill future positions. The HR department also
needs to estimate the types and numbers of positions needed in the future to ensure
the firm can continue to meet its operational demands which filter to the achievement
of strategic goals.
Bearing in mind the need for functional and numerical flexibility, and the unexpected
impact of ‘black swan’ events as discussed in Module 1, workforce planning in
contemporary talent management practice is a ‘tool’ that HR experts use to assist
having the right people (that is those with appropriate skills to do the work of the
organisation) now and into the ‘shorter term’ future and how to fill those positions.
Principal learning objectives for Module 3
The readings associated with this module aim to equip you with the knowledge to
address the following overarching module objectives:
Evaluate the role and contribution of ‘talent management’ in contemporary HRM
practice (continued from Module 1)
Build the case for workforce planning as an essential talent management activity.
Develop a ‘staffing plan’ that can underpin a recruitment effort.
Explain the types of employee turnover and how it can be managed.
Workforce planning: an integral aspect of talent management
Reading 1
Access the reading on the MGT3005 StudyDesk: ‘Workforce planning and
forecasting’ by Dessler (2013) (10 pp).
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Using your preferred learning strategy (such as note-making, voice recording or
highlighting a printed copy) prepare brief summaries that will help you address the
following learning objectives associated with this reading:
1. Define what is meant by ‘workforce planning’.
2. Identify methods that can be used to forecast labour demand.
3. Identify methods that can be used to forecast labour supply both internally and
externally.
Reading 2
Access the reading on the MGT3005 StudyDesk: ‘Resolving gaps between a firm’s
labour supply and labour demand’ by Phillips and Gully (2015) (8 pp).
This reading picks up the workforce planning process from where the first one left
off. In particular, we consider that when the firm’s forecasted labour demand is
compared to the labour supply; it may find it has a surplus or shortage of labour to
meet future staffing needs. We will look at methods that could be used to resolve
gaps between the firm’s labour supply and labour demand.
Using your preferred learning strategy (such as note-making, voice recording or
highlighting a printed copy) prepare brief summaries that will help you address the
following learning objectives associated with this reading:
4. Explain how an organisation might deal with gaps in its labour if it has:
a. A temporary talent shortage.
b. A persistent talent shortage.
c. A temporary employee surplus.
d. A persistent employee surplus.
The ‘staffing plan’ to recruit for the gaps in the workforce
I’ll interrupt this reading to introduce the concept of the ‘staffing plan’. We have
established that the ‘workforce plan’ is: future orientated (the future depending on the
cycle of the business – for example at USQ a cycle could be a semester – so we have
three cycles a year) and it is proactive as it should result in plans for addressing future
potential labour gaps. Let us now consider another plan that contributes to talent
management called the staffing plan. A staffing plan occurs as a precursor to the
recruitment phase and is performed by the HR expert when he/she receives approval
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to fill a position. It is done to improve the success of the recruitment drive for the
position on offer. The staffing plan addresses three questions pertaining to the
immediate recruitment effort:
a. How many people should be recruited? (Basically, how many applications
should we aim to receive to have an adequate pool to choose from?)
b. What resources are needed?
c. How much time will it take?
Because the aim of a staffing plan is to ensure the recruitment process is conducted as
effectively and efficiently as possible, it contributes to the competitive advantage and
thus strategic ambitions of the business.
Continue on with Reading 2 and using your preferred learning strategy (such as note-
making, voice recording or highlighting a printed copy) prepare brief summaries that
will help you address the following learning objectives associated with this reading:
5. Identify the components of a ‘staffing plan’.
6. Describe the concept of ‘staffing yields’ and ‘hiring yields’.
7. Describe the two methods that can be used to estimate the resources needed to
perform the recruitment function namely:
a. workload-driven forecasting.
b. staffing efficiency-driven forecasting.
8. Explain how a ‘hiring timeline’ assists HRM professionals determine timeframes
for the recruitment effort.
Managing the flow of the workforce --- employee turnover
Reading 3
This reading introduces you to the concept of employee turnover. Many articles and
books dealing with workforce planning typically focus on acquiring employees.
However, the practicing HR expert also needs to manage employee turnover and at
times may even engage in involuntary separation processes with particular
employees. When an employee leaves the organisation – be it voluntarily or
involuntarily, it triggers a new cycle of workforce planning for not only that
particular position, but for other positions that may be implicated by the employee’s
departure.
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Access the reading on the MGT3005 StudyDesk: ‘Managing the flow of the
workforce’ by Phillips and Gully (2012) (13 pp).
Using your preferred learning strategy (such as note-making, voice recording or
highlighting a printed copy) prepare brief summaries that will help you address the
following learning objectives associated with this reading:
9. Make the case for achieving ‘optimal’ turnover by discussing the different types
of turnover.
10. Discuss the range of retention strategies that can be used to address the causes of
dysfunctional and avoidable turnover.
11. Explain the different types of ‘involuntary’ separation.
12. Discuss alternatives to ‘involuntary’ separation.