The Workforce Planning Makes for a Smarter Reduction in Force
The word “Planning” is one of the most widely used term in an organisation. Every speech of a speaker contains the word “Planning in an effective manner or in an efficient way”. Workforce planning simply denotes how effectively an employee as a resource can be utilized to achieve the desired target. The targets may be long term, short-term or high on priority.
In current scenario when you are living in a “VUCA” environment, the concept of workforce planning becomes highly important. Any company when coming up with a project cannot plan ahead without workforce planning because hiring involves cost and it is the cost to company for the services rendered. You cannot start a project when you do not know how much manpower it will involve.
An effective workforce planning helps you in curbing attrition rate, the amount of hours spent in planning for a workforce will distribute the jobs evenly amongst department. You would never feel any-time during a job that he/she is overburdened or a department is over-staffed. One of the prime-reason of employees being laid-off or sacking of low-performers is lack of work-force planning. There are various means by which it can be achieved such as Job-Rotation, Job-Analysis, Job Enlargement, automation of transactional jobs etc. The lack of workforce planning many a-times gives you an impression of over-staffing, certainly when a profit of company plunges and the common answer is to do away with” low performing individuals” thereby increasing the no. of exits.
There is a very basic concept of demand v/s supply in economics which decides the market rate. A professor of economics would certainly know how to maintain “Market equilibrium” in order to maintain inflation. Similarly workforce planning acts as an equilibrium factor for a smarter utilisation of work-force at the same time smarter reduction in force.
Reduction in Force does not means lowering in attrition rate but proper & effective utilization of work-force. Hence, in my opinion, the journey of organisation while transforming from “Good to Great” begins with the ground-work of effective workforce planning.