OPINION

February / March 2008

Preparing Your Workforce for a New World of Work: Company Goal-Setting in 2008

By Scott Stoppler, President
Executrade

The Alberta economy continues to be on a high. According to an article that appeared in the Financial Post on December 13, 2007, CIBC World Markets released an economic activity index which revealed that “…the Alberta capital [Edmonton] has the hottest local economy in Canada…”¹ and Calgary is in “…second spot with a score of 24.5, compared with 30.1 for Edmonton.”²

Further supporting these scores is a Conference Board of Canada report that names Calgary and Edmonton as the top two Canadian cities to “lead the country in terms of growth this year”³, based on forecasted GDP gains. Calgary is listed as number one with a 4.2% expected gain. Meanwhile, Edmonton is close behind at 4%, demonstrating the continued growth in the Alberta market.

Can the economic high last? Both Edmonton and Calgary are experiencing such a rapid rate of growth that it’s almost too dizzying to watch and almost just as hard to see beyond the blissful haze that is the current economic boom. Almost. If we take a closer look through the fog, we’ll quickly find that smart, successful companies aren’t just riding the high with the rest of the province. Instead, they’re thinking about the next step, about the unpredictable future and what they have to do to prepare for it. They’re thinking about workforce planning.

There’s a definite chance that, if you are a company operating in Alberta, you will grow this year, or at least experience a fluctuation in work flows. Changes in the external environment and internal growth of an organization don’t always occur simultaneously, and this can put stress on already allocated resources, especially your workforce. Workforce planning can help you anticipate staffing needs and prepare for the unpredictable in a more proactive way. Recognized as a systematic approach, workforce planning helps companies manage their human capital and prevent staff shortages and surpluses due to production variations. There’s no set model; however, there are some simple steps that you can follow as you engage in your own company workforce planning:

1. Review your strategic plan and goals for 2008.
Revise your long-term strategic plans when the company expands and grows. As your company sets objectives, you should also be forecasting what your human resource activities are and what your needs will be. Examine and try to forecast the external and internal (see point 2) environments. Externally, you should consider the economy and technology because of their impact on growth. Labour market changes, regulations, competition, and overall trends are also all vital external factors in your analysis.

2. Analyze current workforce skills and abilities. Determine which ones are required to achieve goals.
Evaluate staff strengths and weaknesses. Does your workforce meet the demands of the organization’s goals and projects? How will you leverage resources and staff to complete new projects and generate revenue? This will help you determine whether everyone is in the right position to facilitate maximum company performance.

3. Conduct a gap analysis. In other words, determine the gap between what talents are required for your company to achieve its goals and what’s currently on hand. This step helps you focus on specific human resource issues. If you don’t identify the gaps now, you may be scrambling later to build your staff capacity and talent pool.

4. Plan out strategies to fill gaps.
Included below are some suggestions, but the list of potential strategies will vary depending on what works best for your own company.

Collect resumes early: Start collecting resumes and conducting interviews early. Finding someone new who’s the right fit takes time. Having resumes on-hand of prospective employees can ensure that work doesn’t become unmanageable or production doesn’t slow down between when employees leave and when new staff are hired.
Maintain and grow your networks: Networking with people reduces the unnecessary stress of having to find people who are right for the job and opens you up to qualified referrals.
Consider alternative work options: You can help relieve the workload with part-time or temporary contract staff. If the temporary overload ends up becoming more permanent in nature, you can always move these positions over to your permanent payroll.

The growth of an organization can be overwhelming, but setting the right goals and creating an action plan for the short- and long-term future will lead to a smoother, less chaotic transition during upswings and less depressing lows during economic downturns. To avoid overloading current employees or slowing production, start building your workforce early on. Consider revising your strategic plan and find better ways to transform weaknesses into strengths for maximum company performance. Determine the gaps between the talent you already have and the talent needed to further your business. Enjoy the economic high but also work on building a talented, responsible, and flexible workforce that will help you increase your bottom line now and in the future.

¹ & ² Beauchesne, Eric. “Edmonton's economy hottest in Canada: CIBC.” The Financial Post, CanWest News Service. 3 December 2007: front page.

³ The Canadian Press, “Western cities lead Canadian economic growth: report.” ctv.ca. 21 January, 2007: Top stories-Canada section.