The paper "Strategic Human Resource Planning Process" is a good example of human resources coursework. In any organization, human capital is considered the bulk of personality attributes, knowledge and competencies that are embodied in the staff’ s ability to perform labor in a manner that will produce positive economic value (Becker 1994). Human capital simply refers to the people who work for an organization. More often than not, human capital is often referred to as the most valuable asset in any organization (Carroll, Levy & Richmond 2008). According to the Corporate Leadership Council (1998), for any organization to be successful, it has to strategically manage its human capital.
For this to be done effectively, workforce planning is necessary because it will align the priorities and needs of the organization with those of its labor force so as to ensure that the organization meets its service, production, organizational, regulatory and legislative objectives (Itzkoff 2003). It is noted that most organizations plan for other activities and have strategic plans such as the strategic business plan, financial plan and marketing plan among others in their overall business planning process (Jamil 2004).
According to Goldsmith and Carter (2010), the strategic human resource plan also has to be part of the overall business planning for any organization to effectively manage its human resources. Planning for human capital is essential to the success of any organization with a diverse human capital (Charan, Drotter & Noel 2001). This essay will discuss the importance of planning for human capital in an organizational context, making reference to certain workforce planning theories. The essay will consider who within an organization should be involved in the human resource planning process as well as the advantages and disadvantages of strategic human resource planning.
This paper will also discuss whether organizational planning should precede strategic human resource planning, or whether they should be conducted concurrently, or whether human resource planning should precede organizational planning. Mahroum (2007) argues that the question of whether strategic human resource planning (HRP) should precede organizational planning, or the two should be conducted concurrently, or organizational planning should precede HRP has always been contentious in many organizational contexts. Organizational planning may be defined as the process through which an organization identifies its long term and immediate objectives then formulate and monitor specific strategies that are meant to guide it towards the achievement of these objectives (Mahbub ul 1996).
Organizational planning entails resource allocation and staffing, therefore being a key responsibility of the management team in any organization (Itzkoff 2003). Organizational planning entails coming up with a plan on how to manage and run an organization so as to help it achieve its goals (Jaques 1989). According to Kesler (2002), organizational planning should be conducted concurrently with strategic HRP.
This is because organizational planning entails the setting of both long term and short term objectives on all aspects of an organization, including resource allocation and human capital (Bowles & Gintis 1975). Since strategic HRP is part of organizational planning, it is advisable for the two organizational processes to be conducted simultaneously so as to achieve the desired results (Keeley 2007). When preparing an overall plan of work for the entire organization, the list will definitely have to include the human capital of that organization over a specified period of time.
It would be more practical and advantageous to conduct the activity of preparing an organizational plan simultaneously with the preparation of a strategic human resource plan. This will ensure that the objectives of both requirements can be met simultaneously because they are related. It would be difficult to separate the two planning processes because they are both dependent on each other when it comes to fulfilling the overall goals and objectives of the entire organization.