BSBHRM602 Strategic Planning Sample Assignment
Research Planning Requirements
To develop, implement and maintain a strategic approach to managing human resources in an organization, it is essential to undertake research. Research and the analysis of information will contribute to planning and to the identification of achievable objectives and targets.
Document the processes and steps involved in researching the ongoing HR requirements for organization for which you work. If you are not currently working address the question from the point of a generic organization.
Answer these questions:
1. What research would you undertake and what sources of data would you access? Give detailed responses.
Human resource (HR) planning in the establishment phase of the employment cycle involves forecasting the number of employees available and the number of qualified employees demanded in the future. HR planning must be related to business strategies. A common strategy used in order to achieve the objective of increased profitability may be to reduce business costs. HR must forecast the future demand for employees and estimate the supply available to meet that demand in order to avoid having too many employees on the payroll. If supply of employees is forecast to be greater than demand, HR will have to plan for a reduction of the workforce. For example, large supermarket chains in Brisbane will have to plan for the likely staffing effects of customer self-scanning facilities. With as many as six in ten shoppers now scanning their own supermarket items, chains such as Woolworths and Coles must plan for what may inevitably mean a decrease in the number of checkout operators.
Human resource planning that is related to the business strategy of the organization has never been more important. Given the pace of today’s technology and the global economy we now operate in, organizations must respond to change faster. If an organization does not plan their human resource needs in line with their business strategy, it is unlikely that the business will succeed.
Human resource planning in the establishment phase of the employment cycle requires that an organization constantly monitor and plan:
- the number of employees required
- their qualifications, including skills, previous experience and knowledge
- when and where these employees will be needed.
2. How would that data be analyzed and how would it contribute to strategic planning procedures for the HR function in the organization? Give examples.
We understand that human resource management must be related to business strategy let's focus in the establishment phase of the employment cycle in relation to job analysis and job design. Job analysis is a systematic study of each employee’s duties, tasks and work environment. A job analysis examines:
- actual job activities
- the equipment used on the job
- specific job behaviors required
- working conditions
- the degree of supervision necessary.
The job analysis for a particular position typically consists of two parts:
- a job description: a written statement describing the employee’s duties, and tasks and responsibilities associated with the job
- a job specification: a list of the key qualifications needed to perform a particular job in terms of education, skills and experience. Once staffing needs have been identified, an organization is able to begin its recruiting procedures.
Whereas job analysis concentrates on the work required for a job to be completed, job design details the number, kind and variety of tasks that individual employees perform in their jobs.
In the past, jobs specialisation — where production was broken down into distinct tasks that were performed by individual employees — often resulted in employee boredom and dissatisfaction. To counter this effect, three job design approaches have been used based on intrinsic rewards — the good feeling that one gets from doing something well.
- Job rotation: employees switch, for a period of time, from one job to another. This provides variety and gives employees a more comprehensive view of the organisation or the production process.
- Job enlargement: employees are given more things to do within the same job. This provides job variety and a greater challenge for employees.
- Job enrichment: employees are given more control and independence over how they do their work. This makes the job more interesting and challenging and provides motivating opportunities for self-satisfaction.
Develop Human Resources Strategic Plan
How would you develop, for your organization, a suitable human resource strategic plan and what data you would use when developing the plan. Consider strategic targets and the goals of the organization.
- Describe the organization and its core business.
- Whether the plan will simply extend the current HR operations into the future or whether it will be necessary to make changes?
- Whether it will be necessary to conduct a cost-benefit analysis and to develop risk management and contingency plans?
- Who would you submit the plan for ratification/authorization?
- Who you would collaborate and consult with?
A strategic plan serves as a road map for an organization in terms of its vision, mission statement, core values, objectives and goals. It gives functional areas such as distribution, manufacturing, marketing, finance, operations, research and development and human resources a framework for contributing to goal achievement. It is within this framework that human resources must develop a strategic plan for what the authors of “Successful Strategic Human Resource Planning” call “people management” to ensure workforce availability, competency and competitiveness.
The planning process becomes smoother with preparation. During this preliminary “plan-to-plan” stage, individuals who will be involved, the project’s time frame, information needed and sources for that information are identified. The first step in writing a strategic human resource plan involves a thorough study of external factors affecting the business: economic conditions, political/legislative atmosphere, competitive climate, market conditions, industry outlook and trends in technology. This “environmental scanning” identifies threats the organization faces and opportunities to exploit.
The internal analysis centers on corporate culture, employee competencies and workforce composition by location in terms of workers with general knowledge versus specific skills, contract labor and what author and professor emeritus George W. Bohlander calls “alliance/partners” — those whose skills do not relate directly to the organization’s strategy. Forecasting encompasses labor demand and supply predictions to indicate any surplus or shortage that the HR strategic plan must address. Demand estimates must consider the organization’s objectives, business unit goals, budgets and historic turnover, absenteeism, retirement and attrition rates. Supply estimates are based on labor market characteristics such as unemployment rate, demographic trends, government regulations, education levels and worker mobility.
The final step in writing a strategic human resources plan compares the current workforce inventory with the labor forecasts. Gaps related to skills, position types (e.g., managers, specialists, plant workers) and workforce size are addressed with action plans based on organizational structure, employee development, succession planning, outsourcing, recruitment and technology strategies.
Starbucks Corporation is the largest coffee house in the world and it is a very profitable organization. It is a global coffee brand which provides different, creative products and fine services. It has around 16 600 stores in around 50 countries. Starbucks emphasize positioning its stores in high traffic areas, including mini-stores located in hotels, upscale grocery stores, shopping mall food courts, and other ventures which are not free-standing. The organization depends on a main competitive advantage, retail of coffee. Some of Starbucks products are beverages (coffee, tea, Tazo, soda, juices), pastries, whole coffee beans and merchandise (mugs, CDs). The company has also adopted a highly aggressive globalization strategy to capitalize upon European tastes and interest in American coffee products. Equally significant, according the company's emphasis on Starbucks' in-store experience of customer service. Company executives believe that this orientation has been the key to the firm's success in world wide. They use internet to provide customers with online opportunities to purchase coffee and other food products as well as a growing range of kitchen and beverage accessories.
A basic competitive strategy for Starbucks
There are three types of competitive strategies. They are, cost leadership, differentiation and focus. The most suitable competitive strategy to introduce Starbucks is Differentiation. Starbucks serve coffee or any other beverages in their own way. For example, they serve coffee with ice cream, and also they put ice cream with a design. They serve their pastries and every other product with a different look, other than every other coffee shop. They serve niche buyers than rivals. They focus high class customers than the mid and lower level customers. So there are focus competitive strategy also. They serve as customer need, but it also in a range.
Workforce requirements at Starbucks
- Replaces a reactive approach (reduce headcount across the board, cut labor costs by x%) with more precise interventions
- Decisions are based on clearer understanding of critical factors and relationships –in effect, a ‘risk audit'
- Which roles or jobs have biggest business impact?
- Which will be hardest to fill internally and externally in the future? Which have the steepest or longest learning curve?
- Which skills and competencies will become increasingly or decreasingly valuable to future performance?
- Which talent segments need to be protected as feeder pools?
Organizations can model alternative scenarios to compare long-term consequences for talent supply.
To obtain those requirement they use the following for more strategic.
- Retail forecast tools
- Dashboard analytics
- Ad-hoc analysis
- Environmental scanning
- Talent segments
- Pivotal roles
- Planning workshops
- Action planning and progress monitoring.
In these sessions, Starbuck’s planning workshop leadership team consider:
- The environmental scanning reports shown above (what affects my workforce?)
- The current state (where am I now?)
- No change future state (where am I heading if everything remains the same?)
- Scenario planning (what are my ideas about vision given different operating climates?)
- Targeted future (what is my targeted or likely future?)
- Action planning (how do I get there?)
- Setting up progress monitoring (is my plan right? am I on track?).
A key issue at the moment is, understanding ghost turnover.
The team look at,
- Demise of a Competitor
- Unionization of Workforce
- Distribution Optimization
- Process Teams don’t have the right capabilities
- Full Automation of Production Lines
- Failure to open 5th Roasting Plant at 75 mm pounds
- Store of the future.
New employees get 25 hours of in-store training, themselves in information about coffee and how to meet, greet and serve customers. Full health-care benefits (medical, dental, vision and alternative services) are offered to all employees, including part-timers who work at least 240 hours per calendar quarter. The EAP is available to all employees. Employees share in the company’s growth via "Bean Stock" (stock options) of up to 14 percent of their gross pay, and a stock-investment plan allows them to buy shares of Starbucks common stock at a discount (85 percent of fair market value) through payroll deductions. The company also matches employees’ contributions to their "Future Roast" 401(k) plans, adding from 25 to 150 percent of the first 4 percent of pay, depending on length of service.
As a result of such measures, Starbucks employees have an 82% job-satisfaction rate. This compares to a 50% satisfaction rate for all employers and 74% for Hewitt’s "Best Place to Work" employers. Though the company won’t release specific numbers, it also claims that its turnover is lower than that of most fast-food establishments. But it’s not just the benefits that attract employees. Another company survey found that the top two reasons why people work for Starbucks are "the opportunity to work with an enthusiastic team" and "to work in a place where I feel I have value."
Starbucks encourages its employees, who are called partners, to keep in mind its mission statement, monitor management decisions, and submit comments and questions if they encounter anything that runs counter to any of the six points.
After they train employees, they give black aprons displaying the title ‘coffee master’.
This apron worn by employees, who have completed the coffee master course which educates employees in coffee toasting, growing regions, roasting and purchasing.
Specific Human Resource (HR) policies and activities necessary to produce these work force requirements
The specific HR policies are called ‘SWOT’. SWOT analysis means “S” for Strength, “W” for Weaknesses, “O” for Opportunities and “T” for Strength.
Starbucks SWOT Analysis are as follows.
Starbucks Corporation is a very profitable organization, earning in excess of $600 million in 2004.The company generated revenue of more than $5000 million in the same year.
It is a global coffee brand built upon a reputation for fine products and services. It has almost 9000 cafes in almost 40 countries. Starbucks was one of the Fortune Top 100 Companies to Work For in 2005. The company is a respected employer that values its workforce.
The organization has strong ethical values and an ethical mission statement as follows, 'Starbucks is committed to a role of environmental leadership in all facets of our business.'
Starbucks is the leading retailer and roaster for brand specialty coffee in the world. Strong brand image with the motto ‘The Starbucks Experience’. Starbucks is a global organization with more than 16.000 retails in 48 countries in the entire world. One of the strongest franchises in the world with more than 6500 licenses shops in the world. Starbucks is known for providing superior products and services. Have loyal customers in all of Starbucks’ existing countries. Have a consistent high quality of service.
Outlets positioned in high street locations, malls, within other businesses areas like offices building. Wi-Fi Internet service in all of Starbucks retails. The process of preparing the product does not need highly sophisticated technology. They have limited number of strong competitors. They have high market share and market growth. Welcome all questions, comments and feedback where customers could send it by email, sms or just inform it in Starbucks retails. Have a Starbucks Workers Union which helps employees to inform their thoughts to management.
Starbucks has a reputation for new product development and creativity. However, they remain vulnerable to the possibility that their innovation may falter over time. The organization has a strong presence in the United States of America with more than three quarters of their cafes located in the home market. It is often argued that they need to look for a portfolio of countries, in order to spread business risk. The organization is depen on a main competitive advantage, the retail of coffee. This could make them slow to diversify into other sectors should the need arise.
High pricing which cost not all kind of market could buy Starbucks’ products. Starbucks considered ‘American Global’ which cost sentimental issue for customers in some countries. Too focus on US domestic market. Starbucks refuses to guarantee that milk, beverages, chocolate, ice cream, and baked goods sold in the company’s stores are free of genetically-modified ingredients. Because of its perfectness of employees service, some employees complaints about the management which push them to always be perfect. That is why they make Starbucks Workers Union.
Starbucks are very good at taking advantage of opportunties. In 2004 the company created a CD-burning service in their Santa Monica (California USA) cafe with Hewlett Packard, where customers create their own music CD. New products and services that can be retailed in their cafes, such as Fair Trade products. The company has the opportunity to expand its global operations. New markets for coffee such as India and the Pacific Rim nations are beginning to emerge. Co-branding with other manufacturers of food and drink, and brand franchising to manufacturers of other goods and services both have potential.
The potential employees are educated people which make it easier to train them. Customer is not price sensitive. Could be able to change negative image of coffee into positive one. High consumerism in Indonesia. Easier to penetrate market because what it sells is the fulfilment of self esteem and need to be love or to belong to community which is the major reason why peoples buy a product. Strong financial support. High growth of economy and market in Indonesia, especially in urban areas. The democratic economy policies in Indonesia make it easier for Starbucks to expand their business. Peoples in Indonesia positioned Starbucks places as one of the best meeting point. Could diverse their product not only in coffee. Many of Starbucks coffee are using organic beans. Some of Starbucks beans are harvested in Indonesia island of Sumatra and Sulawesi. Starbucks purchasing high quality beans in these island at premium prices to help farmers to support their families and invest in a sustainable production. Starbucks paid an average price of $1.20 per pound against the commodity average price of $0.40-0.50 per pound
Who knows if the market for coffee will grow and stay in favor with customers, or whether another type of beverage or leisure activity will replace coffee in the future? Starbucks are exposed to rises in the cost of coffee and dairy products. Since its conception in Pike Place Market, Seattle in 1971, Starbucks' success has lead to the market entry of many competitors and copy cat brands that pose potential threats. Global financial crisis which make peoples tend not to spend too much money. Low income in Indonesia makes it hard for Starbucks to penetrate more market segmentation. Sentimental issue to the bad effect of coffee from society. Some people believes that Starbucks turning the world into a giant corporate generic mess. Critics said that it exploits farm workers in third countries.
It said that Starbucks domination driving small cafes out of business. Issues stated that Starbucks exploit their workers by paying a very minimum wage with a very high standard of work they need to fulfill. Threats of substitute products and services include other drink items such as colas, teas or juices that are sold in retails.
Suggest for metrics you could use to measure the success of the Human Resource strategy
There are three possible competitive strategies planning. They are, cost leadership, Differentiation and Focus.
- Cost leadership,
Star bucks target high class customers. It is good and currently the strategy running well. But I suggest to make some facilities to fulfill mid class customer satisfaction by reducing price or reducing conditions. May be possible, if reduce conditions and create low condition stores under the Starbucks name. Because the name, now is very popular in the market. And also the mid level customer also willing to get their services.
Consumers must be can recognize that different Starbucks stores have different menus, other than the standard menu. This make the customer feel fresh when they enter in to any store, with new food items. Especially at the coffee shop they need to do many changes regarding what they make every day. This is a way that we can attract the consumers and also we need introduce different food items and drink items.
Starbucks target high class customers. It is possible. But I suggest to target mid level customers also. It is very fruitful decision to establish these kinds of organization nearly to mass population areas. Especially, inside the shopping malls and in the cities.
Implement Human Resources Strategic Plan
Describe how you would implement a new human resources strategic plan.
How would you communicate the plan to others and how would you generate support for implementation of the plan?
Describe the procedures you would follow to monitor and review performance against the overall plan objectives.
Explain why this is necessary and what monitoring and evaluation will achieve.
Once the HR strategy has been developed, the plan must be implemented. Oftentimes, companies spend time and money developing plans that are filed in a drawer and never utilized. By creating a viable HR strategy, businesses can avoid this pitfall and develop a plan that will help their business improve. The HR strategy, while a driving force of the company, needs to be flexible to meet the ever changing needs of the company. Implementing a new strategy can be confusing and tiring. Company executives may be reluctant to ‘rock the boat’ with new methods of human resource planning. It should be noted, however, that the leadership of the company sets the tone for how the employees react to new systems. If the company executives embrace the new plan and demonstrate a willingness to utilize the new HR strategy, it is more than likely that the rest of the company will follow suit.
A gradual implementation of the strategy may be utilized, focusing on adding one feature at a time to allow current employees to grow accustomed to the new ideals. This may be demonstrated in the evaluation and realignment of compensation packages. Instead of introducing a new pay scale, a new hiring process and new job responsibilities all in the same meeting, it may be more prudent to introduce the new pay scale one week, and the new hiring process a few weeks later.
Subsequently, the next step in developing an effective HR strategy is to begin seeking out the required human resources. This portion of the strategy includes not only hiring a talented workforce, but determining the methods of attracting that workforce.
- Would attending a job fair be a useful means of attracting potential employees?
- Does placing a classified ad generate the type of skilled labor force you require?
This may require an evaluation of the demographics of the existing labor force. Aging workforces face employee retirements, typically higher wages and the need for retraining on new methods. Including a plan to bridge the gap between current skills and future needs will help the HR strategy succeed. As older employees reach retirement, companies are losing valued resources that have skills and knowledge. The HR strategy must include a process to allow for the transfer of knowledge between employees.
Further, the HR strategy needs to include the areas that provide the competitive advantage within the job market, and find ways to maximize that advantage. Identifying weaknesses among the company staff members as well as providing a framework and timeline for correcting that area is also an important feature of the HR strategy.
- Will your company offer retraining as needed or allow for department transfers to find a more suitable position if the employee is unable to perform their job adequately?
- What is the length of time that the employee will have to self-correct any concerns about job performance?
As the overall plan emerges, the HR strategy may encompass the use of new technologies and business practices such as work-from-home plans, remote access and virtual workspaces. The proper oversight and handling of these additions to the HR strategy do not change the overall goal and direction of the company; they simply add a new facet to the responsibilities of the HR plan.
As the HR strategy is put into place, there needs to be an evaluation of the processes used. Consistent redesign and tweaking allows the company’s employees to adhere to the policies and procedures of the HR department, while still exercising creativity and innovation. Design of a training program to develop corporate culture will be beneficial to an effective HR strategy.
Implementing measurement tools to evaluate employee job performance is imperative to help shape the company’s human resource department. These evaluations may be done in the form of 360 evaluations, career development reviews, performance reviews or other formats. The results of employee evaluations can help the strategy realign with company goals, install new training mandates to communicate job responsibilities and goal, as well as give indication of the overall climate of the workplace.
For a HR strategy to be effective, it must be measurable. Determining specific and measurable objectives are necessary to ensure that the strategy is working, and that it is beneficial. These objectives must give clear indication of how the success of a strategy will be measured.
If your HR strategy included the objective of ‘Fulfill hiring needs of company’ it would be difficult to determine if that goal had been met. By changing the objective to read ‘Filling 5 vacancies with qualified individuals to meet the needs of the sales department’, you have established a base-line for success and it is easy to quantify the success or failure of the objective.
Generalized objectives aren’t useful because they are difficult to manage and evaluate. ‘Increase safety measures’ is a valid goal, but impossible to qualify. Do the new fire extinguishers that were installed count? If you replace the batteries in the smoke detector have you increased safety measures? ‘Develop safety awareness through staff training program that all employees will complete by their employment anniversary date’ is both specific and measurable.
Constant evaluation of success is imperative to a comprehensive HR strategy. With that regular need for evaluation, you must also consider the potential need for change. Suppose sales figures indicate a need for increased staff. The HR department puts considerable effort into hiring the extra dozen people needed, and begins their staff training. When the company begins to have trouble making the payroll and it is revealed that sales figures were overstated the HR strategy will need to make rapid changes. Monitoring legal requirements and regulations can also necessitate change through the implementation of new laws or mandates that affect business. An increase in minimum wage may affect the budget and staffing needs of a company, requiring the company to make changes accordingly.
Diligence is required
Designing and implementing a responsive HR strategy requires diligence and work. Establishing the vision of the company, developing the role of the HR department as well as creating a workforce plan for the company are all part of the ways the strategy is designed. Implementing the plan through seeking out needed employees, ensuring the qualifications of the job are being met and then evaluating the success of the strategy are all elements of developing the HR strategy.
An effective HR strategy can benefit a growing company. Used incorrectly, the HR strategy can be fatal to a company’s overall health. Human resource strategies can be useful in developing the goals and initiatives of a company. It’s vital to include the company’s mission in the development of the HR strategy. Trying to develop one without the other can lead to disgruntled and misguided employees. Establishing a workforce plan without the appropriate goals or objectives of the company renders the workforce plan meaningless and weakens the overall company.
SUMMATIVE ASSESSMENT 1
What are the common human resources practices and functions in a business organization?
Human resources functions are significantly different from HR practices. Functions are comprised of transactional activities that can be handled in-house or easily outsourced. Practices are part conceptual, part implementation of an HR strategy, comprised of systems that follow the normal or customary way of doing business. The term "best practices" refers to the HR systems that have the greatest impact on the workforce and the organization.
- Recruitment and Selection - The recruitment and selection function ensures that organizations have qualified employees. The hiring process starts when a manager identifies an open position within the organization. The recruiter places a job advertisement that lists the duties and qualifications of the position, screens applications as they arrive and selects candidates to interview. Recruitment professionals also administer pre-employment tests, conduct background checks and make employment offers to selected candidates.
- Training and Development - Training and development are HR management functions that include new-employee orientation, job skills training, leadership training and professional development. These activities improve employees' job skills in their current positions and equip them with skills and expertise for cross-functional work that can increase their value to the organization. Professional development supports an organization's succession planning strategy by preparing future leaders for higher-level jobs and more responsibility. HR management training and development functions reflect promotion-from-within practices and support employees' work goals.
- Work-Life Balance - Work-life balance emerges as an important area influencing employee attitudes towards their employer. It is important to consider work-life balance for all employees not just those with young children and the type of flexibility that people want. It is often not so much reduced hours that employees indicate they would benefit from but the possibility of varying hours at short notice to deal with whatever pressures they have outside of work.
- Induction - The process of induction (sometimes called orientation or even onboarding) introduces new employees to the job and shows them where they can find the basics they need to begin the job. An effective induction program is carefully planned to introduce new employees to the job, their coworkers, the organisation and how it operates. Topics covered in the induction program include information about the history of the organization, its culture, general conditions and benefits, training, safety and career paths.
- Remuneration - Remuneration refers to the financial payment an employee receives in return for working for an employer. These payments can be made in the form of a wage or a salary. Remuneration is one factor in retaining productive and efficient employees who are loyal and display a high degree of commitment to their work.
- Compensation Management - The compensation function helps balance the budgetary needs of an organization with the need to use competitive compensation to attract and retain employees. Compensation analysts and managers develop job descriptions, set compensation levels for hourly and salaried positions, communicate with employees regarding compensation issues and determine how much it will cost to compensate employees.
- Benefits Administration - Some companies offer health insurance, life insurance, disability coverage, tuition reimbursement, flexible spending accounts and other benefits in order to attract and keep employees. Benefits professionals prepare for the open benefits enrollment period, select benefit providers, pay monthly benefit premiums, answer employee questions related to benefits, conduct presentations to educate employees about benefits, maintain employee benefits files and comply with state and federal laws related to benefits administration.
- Strategic Planning - Strategic planning allows human resources professionals to align department activities with the overall goals of the organization. This function involves activities that contribute to the growth of a business. Compensation professionals participate in strategic planning by analyzing existing compensation plans, forecasting trends in compensation and determining how changes in the compensation field will affect the organization. Recruitment professionals participate in succession planning, which refers to the process of identifying employment openings and carrying out activities designed to fill those openings. Training professionals participate in strategic planning by offering training programs that prepare employees to fill future staffing needs.
- Legal Compliance - Human resources professionals must abide by state and federal employment laws such as the Americans with Disabilities Act, Family Medical Leave Act, Title VII of the Civil Rights Act of 1964, National Labor Relations Act and Fair Labor Standards Act. HR professionals who engage in this function maintain legal files and ensure that company decisions comply with applicable laws. This reduces the risk of lawsuits based on a lack of compliance with employment and labor laws.
- Performance Management - The performance management function helps employees and managers improve the effectiveness of an organization. This involves setting work expectations, monitoring employee performance, helping employees improve their performance, appraising performance and rewarding good performance. Performance management professionals develop performance appraisal tools and conduct employee performance reviews.
- Recognition and reward - In the workplace, an effective recognition and reward program should help to attract, retain and motivate employees. Recognition refers to acknowledging the fact that an employee has performed well. Acknowledgement may involve giving the employee a reward, such as a bonus, in exchange for doing a good job.
- Termination management - Termination of employment is when an employee leaves a particular workplace, ending the employment relationship. Termination of employment is usually managed by the human resource manager, who must ensure that the employee is treated both fairly and within the law.
- Health, safety and security - Employees have the right to have someone represent them on workplace health and safety matters. This person is called the health and safety representative (HSR). If the workplace does not have an HSR, employees have the legal right to ask their employer to set up a health and safety group.
- Involvement and communication - The opportunity to contribute to decisions and have a sense of involvement is valued by most employees. Much of the knowledge required by organisations to be more productive is in employees’ heads, so accessing it makes good business sense. Where managers encourage involvement it is associated with higher levels of satisfaction with management in organisations. Effective communication is a further vital part of the process. The good intentions of leaders can be ruined and mutual trust damaged by managers who do not pass on messages, who distort the message they are entrusted with, or who do not feed-back what they have been told by staff. A range of mechanisms are used by organisations to promote involvement and participation by staff, for example employee opinion surveys, suggestions schemes, town hall meetings, partnership committees and works councils.
- Human resources information systems - A HRIS, which is also known as a human resource information system or human resource management system (HRMS), is basically an intersection of human resources and information technology through HR software. This allows HR activities and processes to occur electronically.
- Performance Appraisal - Performance appraisal involves five main objectives:
- to provide feedback from management to employees regarding work performance
- to act as a measurement against which promotion and pay rises can be determined
- to help the organization monitor its employee selection
- to identify employees’ training and development needs
- to identify new objectives and put a plan in place to improve future performance.
Make a list of 10 legislative, regulatory and industrial requirements that can be applied in the context of human resource management.
- Annual Leave Act 1973
- Long Service Leave Act 1976
- Occupational Health and Safety Act 1989
- Disability Services Act 1991
- Human Rights Act 2004
- Fair Work Act 2009
- Workers Rehabilitation and Compensation Act, 1986 (South Australia)
- Work Cover Corporation Act 1994 (South Australia)
- Racial Discrimination Act 1975 (Commonwealth)
- Sex Discrimination Act 1984 (Commonwealth)
HR personnel need to be aware of the labor market options/common options for sourcing labor supply. Explain what this means and what labor options might be available or required. You might, for example, consider full- and part-time employment, contractors, offshore or off-site workers etc.
Companies can use strategic human resource (HT) planning to forecast current and future staffing needs using a variety of techniques, but the end goal is to limit exposure to surpluses or shortages in labor. Managers need to anticipate the movement of people into, within and out of an organization. They need to be able to approximate the level of future demand for the business' goods and services. Lastly, they need to implement processes and activities that promote employee competencies within the framework provided by supply and demand estimates.
Labor supply, or the amount of labor required by a business to meet its business objectives, can come from within an organization or from outside sources. Using strategic HR planning, a company assesses the level of skill and overall productivity within the business. It tends to be much more expensive to make new hires than to improve the existing skills of employees, which means companies generally have a strong incentive to foster productivity internally as a first option.
Demand forecasting is more difficult than supply forecasting. Unsurprisingly, there are competing philosophies on how to best approach it. Businesses need to assess the level of consumer demand in the future and begin building an infrastructure to meet those demands. They need to understand their turnover rates and the labor market. Smaller businesses gravitate toward less technical and qualitative methods. Larger companies, where it is too difficult to assess individual workers off of "gut feeling," must rely on a certain amount of statistical metrics and trend analysis. Workforce planning always involves a certain degree of guessing. Businesses better at recognizing, acquiring and cultivating talent have a large competitive advantage.
Technological advances are constant. All organizations, regardless of size or of core business, will utilize some form of technology. How is technological development likely to impact on the HR function in a business?
Technology has changed the business world many times over. In the Information Age, the advent of computers and the Internet has increased that impact significantly. Many businesses cannot even function without the use of computer technology. One way in which human resources has been significantly impacted by technology is in the area of recruiting. Before the Internet, HR recruiters had to rely on print publications, such as newspapers, to post jobs and get prospects for open positions. Other methods such as networking also were used, but HR recruiters did not have the ability to post a job in one or more locations and have millions of people see it all at once. Technology has made recruiting more efficient and, in the hands of the right recruiter, more effective as well. Information technology makes it possible for human resources professionals to train new staff members in a more efficient manner as well. The ability to access company information and training programs from remote locations eliminates the need for trainers to work directly with new hires on all training. Some interaction will always be necessary on some level, of course, but training in virtual classrooms makes it possible for the HR professionals to train a large number of employees quickly and to assess their progress through computerized testing programs. Technology also makes it possible for human resources professionals to simply print the forms that are needed for employees. Printing on demand eliminates the need to dig through an endless number of files in the file cabinet to find what is needed. Enhanced performance management is another byproduct of technological improvement. Human resources professionals can use computer technology to assess employee performance and also to get employee feedback to be used for the betterment of the organization. Various software programs make it possible for human resources professionals to examine employee performance using metrics to ensure that employees are meeting performance standards. Employees that don't measure up can be subjected to additional training or let go in favor a replacement who can come in and do the job.
What is strategic planning, what are the basic requirements of a strategic plan; what is it intended to achieve and why is it necessary?
Growing a business means taking many decisions about the way you want to expand your operations. Creating a strategic plan is a key component of planning for growth. It will help you prepare a realistic vision for the future of your business and in doing so can maximize your business' potential for growth.
A strategic plan should not be confused with a business plan. A business plan is about setting short- or mid-term goals and defining the steps necessary to achieve them. A strategic plan is typically focused on a business' mid- to long-term goals and explains the basic strategies for achieving them.
THE PURPOSE OF STRATEGIC PLANNING
The purpose of strategic planning is to set your overall goals for your business and to develop a plan to achieve them. It involves stepping back from your day-to-day operations and asking where your business is headed and what its priorities should be.
Why strategic planning matters more to growing businesses
Taking the decision actively to grow a business means embracing the risks that come with growth. Spending time on identifying exactly where you want to take your business - and how you will get there - should help you reduce and manage those risks.
As your business becomes larger and more complex, so strategy formulation will need to become more sophisticated, both to sustain growth and to help you muster the leadership and resources you need to keep your business developing.
The process of strategic planning is about determining the direction in which you want to take your business. It involves setting out your overall goals for your business. By contrast, the purpose of the business plan is to provide the detailed roadmap that will take you in your desired direction.
Your strategic planning and your business planning should be complementary, but effective strategy development requires you to shift your focus from the day-to-day concerns of your business and to consider your broader and longer-term options.
THE THREE KEY ELEMENTS OF STRATEGIC PLANNING
Developing a strategy for business growth requires you to deepen your understanding of the way your business works and its position relative to other businesses in your markets. As a starting point, you need to ask yourself the following three questions:
- Where is your business now? This involves understanding as much about your business as possible, including how it operates internally, what drives its profitability, and how it compares with competitors. Keep your review separate from day-to-day work and be realistic, detached and critical in distinguishing between the cause and effect of how your business operates. You should also write it down and review it periodically.
- Where do you want to take it? Here you need to set out your top-level objectives. Work out your vision, mission, objectives, values, techniques and goals. Where do you see your business in five or ten years? What do you want to be the focus of your business and your source of competitive advantage over your rivals in the marketplace? This step should be the foundation for the final plan and motivate change.
- What do you need to do to get there? What changes will you need to make in order to deliver on your strategic objectives? What is the best way of implementing those changes - what changes to the structure and financing of your business will be required and what goals and deadlines will you need to set for yourself and others in the business? Think about the business as a whole, for example consider diversification, existing growth, acquisition plans, as well as functional matters in key areas.
While the second question - Where do you want to take it? - is at the heart of the strategic planning process, it can only be considered usefully in the context of the other two.
You should balance your vision for the business against the practical realities of your current position and changes, such as increased investment in capital and other resources that would be required to implement your vision. A strategic plan needs to be realistically achievable.
SUMMATIVE ASSESSMENT 2
This project will enable you to demonstrate skill and underpinning knowledge – performance evidence and knowledge evidence – and produce end products suitable for use in the work place.
Develop a strategic human resources plan which includes relevant research and data and demonstrates a clear alignment with broader business objectives.
How the human resources strategic plan will be implemented and reviewed
The human resources strategic plan should include information that relates to the human resources practices and functions, labor market options for sourcing labor supply and the technology that has and may impact on job roles.
The University of Mindanao is the largest private, non-sectarian university in Mindanao located in Davao City on the Southern Philippine island. Established in 1946, the University of Mindanao has ten branches spread over thirteen campuses in Southern Mindanao. It is currently an Autonomous Status per CEB Resolution No. 076-2009 with Category A (t) per CMO No. s. 2009 standing accredited by Commission on Higher Education (CHED). Its Accountancy, Computer Engineering and Information Technology programs are Centers of Development(COD) and its Business Administration, Criminology and Teacher Education programs are recognized as Centers of Excellence(COE) by CHED. It is the largest private university in Mindanao and hailed as the institution with the second highest number of programs accredited by PACUCOA in the country today.
The University of Mindanao has more than 10 colleges and school located in three campuses. The Colleges of Business Administration, and Law and the Graduate School are located in Bolton Campus. The Colleges of Arts and Sciences, Nursing, Engineering, Computing, Architecture, Education, Forestry, Accountancy, and Criminology are located in Matina Campus. The Technical and Vocational Courses are located in Bangoy Campus. Each college is supervised by Dean and Program Heads/Instructor Coordinator.
Most of its academic programs are accredited by the Philippine Association of Colleges and Universities Commission on Accreditation (PACUCOA) and the Federation of Accrediting Agencies of the Philippines (FAAP).Its Electrical Engineering is the first in the country granted Level III Reaccredited Status. Level III status is the highest accreditation granted by PACUCOA—a seal of excellence and quality in a given academic program. Its Architecture Program is the first in the country to be granted Level I Accreditation. UM is the first PACUCOA school in Mindanao granted Level III for various academic programs and one of the top five (5) schools in the Philippines with the most number of accreditation.
The Commission on Higher Education (CHED) has granted Center of Excellence (COE) and Center of Development (COD) to its various academic programs, having the most number of COEs and CODs in Mindanao. The programs granted with COE are Teacher Education, Criminology, and Business Administration. The programs granted with COD are Accountancy, Computer Engineering, Information Technology, Electrical Engineering and Mechanical Engineering. UM Digos College granted with COD on Information Technology program. UM Tagum College granted with COD on Teacher Education program.
As we look to advance, our Human Resources Services team continues to focused on creating a recognized workplace which helps us to retain, attract, develop and inspire our exceptional group of employees. To promote an engaged, healthy and versatile workforce now and in future, HRS will continue to align our efforts to enable University priorities, collaborate with our various community partners to help them achieve their goals, deliver excellence in service and solutions, empower learning, as well as champion opportunities for individuals to grow their careers at UM.
On behalf of our HR team, I am pleased to share our new HR Strategic Plan with you. This document will showcase our priority areas of focus through to 2020, and how we will demonstrate our ongoing commitment and value to our University community. We look forward to partnering with you as we enhance existing and implement new programming, services and processes which will further UM's reputation as a wonderful place to learn, work and thrive.
ACHIEVING OUR HUMAN RESOURCES MISSION
ENABLING UNIVERSITY STRATEGY
We enable University strategy, economic sustainability, and the cultivation of human potential in a manner which is responsive to the evolving needs of our community.
Align HR services with University strategy and arising needs across the organization
Enhancing the UM's brand through our people initiatives (recruitment, development, retention)
Ensuring we have an effective HR Model
Developing opportunities to inspire new thinking
Facilitating creativity, innovation and excellence across our community
Champion an inclusive, equitable and engaged culture
Demonstrating the values of Trust, Respect, Accountability, Integrity & Teamwork
Building leadership capability to enable a positive workplace culture
Promoting diversity initiatives to help build an inclusive community
Demonstrate operating efficiency and organizational affordability
Maximizing cost savings and streamlining operating expenses
Delivering Value-added HR programs within our funding allocation
Generating positive bargaining outcomes
COLLABORATING WITH OUR COMMUNITY
We deliver expert advice and excellent service through inclusive and collaborative community partnerships.
Provide service through alignment of valued HR services and advice
Building strong relationships across our University community
Promoting and leveraging synergies with University partners to create efficiencies
Developing programs that drive organizational goals (i.e. equity & inclusion, leadership, health and wellbeing, administration efficiency)
Understand client and stakeholder needs
Reviewing and understanding strategic and operational plans of our client groups
Build community partnerships
Informing our community of the HR Service Standards
Building HR trust and reputation
Soliciting meaningful feedback on service delivery in all HR areas
DELIVERING SERVICE EXCELLENCE
We continuously review and improve what we do and how we do it to ensure we are aligned efficiently and provide professional HR services.
Practice continuous improvement
Coordinating regular process improvement reviews with key stakeholder groups
Organize and integrate our internal HR services and resources
Conducting an HR organizational review
Building partner capabilities by utilizing HR tools and resources
Capitalize on available and emerging technologies
Identifying proactive technology solutions with our partners
Increasing our systems and technology proficiencies to streamline and simplify work
EMPOWERING LEARNING & GROWTH
We embrace diversity, ensure equity, leverage unique strengths, promote continuous learning and celebrate accomplishments.
Find, keep and develop the right people
Developing a comprehensive people strategy and succession plan for HR
Hiring and onboarding knowledgeable HR professionals who complement our existing team
Promoting diversity initiatives which help build an inclusive community
Mentoring and developing team members
Building knowledge of leaders and partners who are responsible for HR activities
Creating a positive employee experience for our HR team
Model excellence in teamwork
Providing avenues for open dialogue and collaboration
Leveraging the strengths and expertise of our team
Recognize and celebrate accomplishments
Developing a recognition program for HR
Linking recognition and reward to achievement of goals
OUR HUMAN RESOURCES SERVICES COMMITMENTS
As an HR Department, we will:
- Be responsive to the emerging needs of our UM community
- Provide trusted consultation and advice subject matter expertise and education
- Be approachable and resourceful to help partners achieve their strategic goals
- Value diverse perspectives and treat others with respect
- Be solution oriented
- Focus on building long term community relationships
- Facilitate change as well as opportunities for innovation and improvement
We will continue to monitor progress on the achievement of our strategic goals through the following Key Performance Indicators.
ENABLING UNIVERSITY STRATEGY
Recognition in the Philippines' Top 100 Employer competition (annual)
Employment Equity Census results (year over year)
Collective bargaining agreements delivered within mandate (annual)
COLLABORATING WITH OUR COMMUNITY
Overall Employee Engagement Survey scores (survey over survey)
Number of participants in Training programs (Health & Safety, Leadership/Employee Development) (annual)
Number of community members involved in HR/OD facilitated committees and working groups (annual)
DELIVERING SERVICE EXCELLENCE
Overall Customer Survey Satisfaction score (survey over survey)
Self-service utilization rates (on-line HR modules and resources)
Number of process reviews completed/implemented
EMPOWERING LEARNING & GROWTH
Overall HR Employee Engagement results (survey over survey)
HR retention ratios (annual)
HR Tuition Assistance usage rates to support development activities (annual)
OUR HUMAN RESOURCES SERVICES TEAM
HUMAN RESOURCES SERVICES CENTRE
The HRSC acts as the initial point of contact for professional human resources and pay-related inquiries and support to all UM employees (Faculty, staff, managers, retirees). Our HR Operations and HR Reporting & Control teams provide support including:
- Employment Services (hiring, on-boarding, immigration)
- Employment documentation and verification
- Status Change Requests
- Benefits and Retirement Plan administration
- Time and Payroll inquiries
- Reporting and Analytics requests
- General policy and legislation interpretation
EMPLOYEE AND LABOUR RELATIONS
The Employee & Labour Relations Team leads in the provision of Human Resources Services in these areas:
- Collective Bargaining
- Collective Agreement interpretation and administration
- Labour Relations and employment expertise and advice
- Employee Relations
- Strategic grievance, arbitration and /or litigation processes
- Dispute resolution
- Training related to labour and employment
- Intake and investigation of employee discrimination, harassment and sexual harassment complaints
- Independent Contractor (ICQ) administration
- Tuition Assistance and Dependent Bursary administration
HEALTH, SAFETY & RISK MANAGEMENT
Environmental & Occupational Health Support Services (EOHSS) is a team of health, safety and risk management specialists committed to achieve standards in the areas of environmental and occupational health, safety, loss prevention and mitigation.
- Health & Safety training & development
- Risk Management advice & support
- Campus Insurance
- Lab Safety
- Occupational health testing
Organizational Development fosters a collaborative, healthy and inclusive workplace culture through:
- Employee engagement, recognition and wellness strategies
- Enabling community volunteerism and citizenship
- Personal and professional development experiences
- Building Leadership and organizational capability
- Consultation and program design
- Partner support with new and existing OD initiatives
- Employee Empowerment (on boarding through pre-retirement planning)
- Employment Equity and Diversity initiatives
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