In 2020 before the pandemic, a McKinsey Global Survey found that nearly nine in 10 executives and managers say their organizations either already face skills gaps or expect gaps to develop within the next five years.¹ With changes accelerated by the COVID-19 pandemic, many companies say that finding talented workers is their biggest obstacle to growth. If this sounds familiar, you’re not alone.

In 2021, employers and employees are navigating the transition to a post-COVID work environment together. Over the past year and a half, employers have sped up their long-term plans to introduce new technologies that will not just increase efficiency but create safer work environments for employees. Employees left the workforce, voluntarily or involuntarily, retired more quickly than expected, adjusted to working in new environments, and set goals to enhance their skills during the economic downturn.

So, what is workforce planning and how will it help your company grow?

Workforce planning is anticipating and preparing for future trends that impact the workforce. Effective workforce planning will help your company anticipate and proactively address workforce needs to meet growth goals and ensure employees grow with the company.

Workforce needs can vary drastically depending on the industry, but many companies are experiencing the following issues:

• Shortage of skilled workers to fill open positions
• Mismatch between skills current employees have and skills they need
• Looming retirements of highly skilled workers

Unfortunately, these issues will not resolve without action. Retirements, skills gaps, lack of access to childcare, and other challenges employers experience today existed before, but the pandemic escalated these issues. The workforce of 2021 looks drastically different than it did in 2019, and as the economy continues to evolve, workforce planning is critical to the success of employers and employees.

Developing Your Workforce Plan

The perfect workforce strategy looks different for every organization, but any good workforce plan should focus on the following areas:

1. Assessing Workforce Needs
   1. Supply — Document the supply of workers within your company today. What does your current workforce look like? What are your key sources of talent? Where are you currently under- or over-staffed?
   2. Demand — Anticipate the future demand for workers within your company based on company strategy. Which divisions are growing, and which are not? Has your company added or removed certain products/services? What kinds of new technologies will be introduced, and will employees be prepared to use them?
2. Identifying Workforce Gaps — Compare your workforce supply with future workforce demand. What gaps have emerged? What kinds of skills will employees need that they don’t have today? Which populations are underrepresented in your workforce?
3. Developing Workforce Solutions — Develop solutions to address gaps in supply and demand. Which education and training programs exist to prepare people with skills your company requires? Which jobs will you need to hire externally for? Which jobs can employees do with new skills training? What new sources of talent can you leverage?
4. Building Workforce Partnerships — Pursue partnerships that will contribute to the solutions you developed. Who can you work with at your local community college, K-12 school district, non-profit organizations, and training providers to recruit future and upskill existing employees?
5. Focusing on Workforce Agility — The best workforce plans must constantly be updated. Effective workforce planning evolves at the speed of your business (or faster), so that your workforce enables, not impedes, your company’s growth.

A growing company requires a growing workforce, whether in size, skill, or both. Effective workforce planning isn’t easy, and it requires resources, expertise, partnerships, and buy-in to be successful. However, when executed properly, a good workforce strategy creates incredible ROI by enabling business growth and tapping into new sources of talent to lead your company into the future.

Workforce growth starts with a plan. Workmorphis provides workforce planning to help organizations identify current needs and plan for the future, including needs assessments, long-term workforce pipeline creation, and post-pandemic workforce planning. Give us a call at 877.999.7717 to start planning for tomorrow.

^1. https://www.mckinsey.com/business-functions/organization/our-insights/beyond-hiring-how-companies-are-reskilling-to-address-talent-gaps