A.C. 1.2 – Analyse how HR planning impacts on the strategic plan


According to CIPD (2019), HR planning is identified as a core business process for aligning changing organisation needs with people strategy. This is affirmed by Hoch and Dulebohn (2013), who note it as a comparison of organisation resources with forecast labour demand. This leads to the scheduling of practices to acquire, train, redeploy, and discard labour. Also, Mintzberg (1994) had noted that planners should not establish strategies but need to supply data, assist managers in thinking strategically and programming the vision. In ABC, the Bouhali et al. (2015) strategic thinking and planning is used in establishing the link between HR planning and strategic plan (see figure 2);

Figure 2: ABC integration of HR planning and Strategic Planning

The impacts of the strategic plan from HR Planning include:

  • Employee utilisation plans– In ABC, the strategic impact of this involves the use of planning to understand aspects such as number of hours worked, workplace flexibility, rewarding employees, and capacity development. Leigh (2008) note that through a link of HR results to key financial metrics such as market share and profitability, it is an evident that there is a recognition of the employees’ role and that of the management team.
  • Learning and development plans– In ABC, HR planning inform on the relevant L&D plans with the strategic plan being focused on new employees recruited in the organisation, redeployment strategies of employees, technology, legislation changes, tasks organisation and in particular aims and objectives set in ABC.
  • Performance management and motivation plans-According to Maslow’s theory of business needs, performance management systems must be aligned with set entity aims and objectives and rewards (Jerome, 2013). In ABC, the areas of focus include attaining new performance needs and standards of quality, changes in culture, specific behaviour and performance encouragement, career support, and harnessing motivation.
  • Reward Plans– In ABC, any alteration of their structure as a strategic practice necessitates the need to embrace flexible working practices with reward strategy being prioritised.
  • Employee relations plans– This is one of the essential aspects that links workforce planning and strategic practice. This impacts on (how – deleted) changes in employee relations and resourcing strategies. The issues of focus are as illustrated in figure 3:

Figure 3: HR Planning and Strategic Planning Relationship

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