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Unformatted text preview: havior, for example, would be relevant for senior and middle managers. In addition, corporate universities can communicate
and also contribute to development of the company’s
strategy, thereby reinforcing desired behaviors and culture as well as providing networking opportunities. T B C G • W F P M A A Strategic Workforce
Plan to Build the
Capabilities You Need W ill you have the capabilities you’ll need
in your workforce in ﬁve or ten years?
Huge gaps are developing in companies’
workforces, owing to both economic ﬂuctuations and demographic shis. It takes
years to train personnel in complex skills and to put in place
other measures to address workforce capacity shortages or
surpluses. Yet currently, only 9 percent of surveyed companies are analyzing their future workforce supply and demand under diﬀerent growth scenarios—and a mere 6 percent have begun developing a retention, recruiting, and
talent management strategy for the job functions at greatest
risk of a labor shortage.
Companies that systematically assess their workforce capacity risk and then put a strategic plan in place to manage that risk will gain a clear competitive advantage in
the next decade. Very broadly, strategic workforce planning involves estimating the future supply of and demand for human capital and then ﬁguring out how to
close gaps. Such planning allows companies to think
through their workforce alternatives to the high ﬁxed cost
of full-time employees.
The supply, of course, is determined by the availability of
employees. A quick analysis, drawing on easily available
company data, can be used to identify locations and business units facing the most critical capacity losses that occur because of attrition, retirement, or other trends. For
those locations and business units, a more granular analysis is necessary, with jobs categorized into relatively
broad groups, narrower families within each group, and
functions within each family.1 With such an analysis in place, businesses can determine
whether they will face surpluses or, more likely, shortages
C P A in key jobs. Since our last global survey, published in
2008, a small amount of progress has been made in understanding workforce supply: 15 percent of respondents
now use a supply model to predict the availability of
workers. (See Exhibit 9.) These models lack sophistication, however: less than half, for example, can simulate
attrition or retirement rates at the job function level.
Demand is more diﬃcult to predict because it hinges on
a company’s corporate strategy. Strategy determines the
markets that a company expects to pursue and the products or services it expects to provide—and consequently
the capabilities that will be needed. Furthermore, companies should anticipate and simulate several diﬀerent demand scenarios, depending on how they anticipate that
markets could develop.
Only 9 percent of the surveyed companies model demand
as well as supply. Most of their demand models, however,
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- Fall '13