CLC HUMAN RESOURCES

Guide to Prioritizing Critical Employee Segments for Workforce Planning

Overview:
This guide helps HR Business Partners (HRBPs) prioritize the most critical employee segments in order to better allocate workforce planning resources.

Why is this important?

Organizations have limited time and resources to spend on workforce planning (including hiring, redeploying, coaching, and developing talent). Therefore, HRBPs need to identify the most critical and least critical employee segments to effectively allocate the available resources. Using this exercise, HRBPs can optimize workforce planning resource investments.

How to Use This Guide:

HRBPs should follow the steps highlighted below to use this guide: Step 1: Identify all employee segments, where current or future workforce gaps may need to be addressed, using the Guide to Translating Business Strategy into Workforce Strategy. Employee segment refers to a group of positions/roles that may be categorized by employee level, function, or job profile. Sample employee segments may include line managers, communication specialists, assembly line supervisors, production managers, etc. Step 2: Evaluate employee segments using the criteria provided on page 2. HRBPs should separately score each individual employee segment for comparison purposes. Step 3: Calculate the total criticality score for each employee segment using the criteria on page 2. View the prioritization framework on page 3 to assess the criticality of each segment based on each segments score.

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Guide to Prioritizing Critical Employee Segments for Workforce Planning

Evaluating Employee Segments
This template helps you individually assess the criticality of each employee segment using the criteria below. To score the segment, rate each criterion on the scale shown below. Scale for Evaluating Criticality of Each Segment: 1-Very Low, 2-Low, 3-Moderate, 4-High, 5-Very High Evaluation Criteria Questions to Assess Criticality of Employee Segment to Business Performance Level (or expected level) of impact of the employee segment on bottom-line results Extent to which roles within this segment are involved (or will be involved) in developing growth opportunities in the organization Extent to which roles within this segment are involved (or will be involved) in developing business strategy Extent to which roles within this segment are involved (or will be involved) in designing new products Extent to which roles within this segment optimize (or are expected to optimize) business processes Extent to which roles within this segment impact process outcomes that improve revenues Level of risk to business performance if roles within this segment are left vacant Extent to which roles within this segment influence other business critical positions in the organization Questions to Assess Difficulty of Sourcing and/or Training Employees Level of difficulty of sourcing for the skills/roles within this segment Level of costs involved in hiring employees within this segment Level of costs involved in training the employees within this segment Level of future availability of the roles/skills within this segment Degree of specialized skills or knowledge required for roles within this segment Level of current market value (compensation offered) of the roles within this segment Degree of competition for this segment in the marketplace Add up the scores for each criterion to calculate the total criticality score. Total Criticality Score for Employee Segment (HRBPs will need to calculate individual criticality score for each employee segment using separate evaluations):

Score

Score

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Guide to Prioritizing Critical Employee Segments for Workforce Planning

Prioritization Framework
Based on the total criticality score calculated for each employee segment, use the framework below to understand its priority level and the required workforce planning action. Employee segments falling within Priority 1 should rank highest on the workforce planning agenda and HRBPs should prioritize resource allocation to address any current and future gaps within these segments.

Priority 1 Score Range 56-75 Description of Talent Segment: These segments are most critical for the organization due to their impact on business performance, degree of specialization, market value, and hiring and training costs. Workforce Planning Action: HRBPs should prioritize workforce planning resources to ensure that all roles/positions are occupied within these segments and staff can perform required skills. HRBPs should consider all talent management options including, hiring, training, or realigning staff to address talent gaps.

Priority 2 Score Range 36-55 Description of Talent Segment: These segments should receive second priority in the workforce planning strategy, as they maintain a medium to high criticality level for the organization. Workforce Planning Action: HRBPs should assess the various talent management options (hiring, redeploying, and upskilling) to fill gaps within these segments and select the lower cost options. HRBPs may set longer timeframes for addressing talent gaps within these segments.

Priority 3 Score Range 15-35 Description of Talent Segment: These segments are least critical for business performance and typically require low skill levels. Workforce Planning Action: These segments should receive the lowest priority on the workforce planning agenda due to their low criticality level. HRBPs can consider outsourcing and other lowcost options for addressing talent gaps within these segments.

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Guide to Prioritizing Critical Employee Segments for Workforce Planning

NOTE TO MEMBERS This project was researched and written to fulfill the research request of several members of The Corporate Executive Board Company and as a result may not satisfy the information needs of all member companies. The Corporate Executive Board Company encourages members who have additional questions about this topic to contact the Member Support Center at EXBD_Support_HR@executiveboard.com for further discussion. The views expressed herein by third-party sources do not necessarily reflect the policies of the organizations they represent. PROFESSIONAL SERVICES NOTE CLC Human Resources has worked to ensure the accuracy of the information it provides to its members. This project relies upon data obtained from many sources, however, and CLC Human Resources cannot guarantee the accuracy of the information or its analysis in all cases. Furthermore, CLC Human Resources is not engaged in rendering legal, accounting, or other professional services. Its projects should not be construed as professional advice on any particular set of facts or circumstances. Members requiring such services are advised to consult an appropriate professional. Neither The Corporate Executive Board Company nor its programs are responsible for any claims or losses that may arise from any errors or omissions in their reports, whether caused by The Corporate Executive Board Company or its sources.

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