Strategic Workforce Planning Chris MacRae May 2012

Problem: The business does not have a clear, consistent, rigorous approach to understanding and building the future mix of talent required to deliver its strategy. Impact: This can cause costly, reactionary measures to be taken to close urgent, unforeseen, business-critical talent gaps. In extreme cases, failure to proactively identify and address future talent gaps creates significant risk in our ability to deliver critical business priorities. Solution: a forecasting and planning process that focuses and aligns talent management activities to ensure that an organisation has the right people, with the right capability, in the right place at the right time and at the right price to execute its business strategy 2

Identify Strategic Talent Needs Develop a Workforce Plan Approach Identify Strategic Talent Needs Assess Supply Risks Develop a Workforce Plan Identify the most critical talent needs required to execute an organisation’s strategy. Conduct an internal and external talent assessment to surface key risks to strategy execution. Develop a Workforce Plan to close current and potential future talent gaps. 3

Identify Strategic Talent Needs Identify the most critical talent needs required to execute an organization's strategy. What are the most important organisation and talent areas of focus required to deliver our business strategy? How should we prioritise our investment in organisation capabilities to deliver our strategy? Which roles are most critical to delivering our strategy? T1 - Strategic Discussion Guide T2 - Identifying & Prioritising Capability Gaps T3 - Assessing Role Impact What are the critical requirements for a Key Role? Key Role Success Profile Role Purpose Results & Accountabilities Differential Functional / Technical Competencies Differential Leadership and Interpersonal Behaviors Ideal Experiences T4 - Developing Role Success Profiles 4

R 1 - Current Workforce Assessment Assess Supply Risks R 3 – Scenario Planning Adds future focus for areas identified in the Environmental Scan as potential high impact with uncertain outcomes Increased Rigour Demand (What competencies/qualities are needed in the workforce?) Supply (How can we match talent to demand?) External ROW - Rest of World What factors, events, trends are occurring or might occur in the world that may affect the Workforce? Labour Market What is the external supply of needed skills for critical roles / to achieve our strategy? Internal Organisation How do the organization’s strategy and strategic initiatives impact internal demand for workforce capability? Employees What are workforce issues that impact the execution of strategy? R 2 – Environmental Scan Internal and external sources Adds rigor to internal perspectives R 1 - Current Workforce Assessment Asks “To what extent can the current workforce deliver on strategic talent needs?” Relatively “quick and dirty” Uses internal sources (e.g., managers of individuals in key roles, etc.) Can be conducted as a survey or interviews Uses internal data 5

Develop a Workforce Plan P1 - Strategic Workforce Plan What are the gaps in talent we need to deliver the business strategy now / in the future? What can we do to close these gaps? What can we do from a systems perspective to improve the performance of all individuals in this key role? P2 - Factors that Impact Demand for Talent P 3 - Considerations for Filling Current and Future Gaps in Talent (aka Build vs. Buy) P 4 - Common Factors that Impact Workforce Performance 6