Workforce Planning Fatal Flaws

Workforce Planning (WFP) is a relatively new specialty and function within the broader areas of strategic planning and human resources. There’s a lot of discussion occurring in human resources circles about what makes WFP successful, and how to structure WFP functions and organizations to achieve best results.

I have watched WFP efforts wither on the vine at several companies because of three “Fatal Flaws.” I was responsible for launching a successful WFP strategy and function for my organization composed of ~6500 highly skilled professionals, management, and business support personnel. Learning from the failures of others has helped us avoid similar mistakes. 

First Fatal Flaw: Reliance on Zealots. The WFP methods and processes relied on one or two “zealots” in the organization who “made it happen.” Because the processes were not embedded and integrated with other core business processes, when those individuals moved on to other things the WFP efforts stalled. Zealots can get things moving quickly, but they will not assure sustainable forward progress.

Second Fatal Flaw: Lack of Line Experience. The people who performed and managed the WFP function were Human Resources professionals with many years of experience, but lacked true understanding of the core business, the knowledge and skills required for success in critical positions, and how the various line groups interact to achieve results. Over reliance on line subject matter experts meant they were constantly seeking unsustainable levels of support from line managers and key personnel. The fix? While HR may be the right place in the organization for the WFP function, the WFP leader and some of the people providing WFP services need to have extensive line experience. 

Third Fatal Flaw: Lack of Skill in Data Analysis.  I’ve observed WFP efforts fail because forecasts and analysis just didn’t provide the information decision makers needed. For example, percentages of “retirement eligible” employees are of little value when employees continue to work. In another case, broad attrition averages were used that grossly under-predicted the loss of employees in high demand job categories. Every workforce planning team must have core competencies in data analysis and statistics, understanding what information decision makers need, and how to effectively communicate to them. Success depends on staffing the WFP team with the right people and developing forecasting tools and metrics that executives trust and rely upon.

ClearTrend LLC Files Provisional Patent for Innovative Workforce Analysis Technique

This is great news!  This week we took a big step forward in formalizing our Workforce System Simulation process.  In preparing our patent application we received advice from many our our friends and colleages in industry and in the academic community.

The provisional patent applicaiton is titled “A System and Method for Modeling and Analyzing Workforce Systems Using Dynamic Simulations.”

Here’s the first paragraph of the abstract: 

“Workforce problems are analyzed and needs such as workforce development, hiring, training, promoting and transferring workers are quantified and forecasted using workforce system models that allow dynamic simulation of multiple scenarios to derive optimal strategies.  The model for a given workforce includes input and output of people through the system, the “flow” of people within the system, and constraints on movement and advancement.  Models allow simulating various “what if” scenarios to identify probable results of workforce plans, decisions, strategies, and external forces acting on the system.