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How to Use HR Plans to Increase Results

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Is your business succeeding at the level of your wildest dreams?  If not, this is a perfect time to create a human resources (HR) strategic plan.  Let me explain why.

An HR strategic plan is a natural extension of a business plan (a document that describes where you want your organization to be in the next 1-5 years).  It typically describes the ideal future position of your business in terms of monetary goals, operational effectiveness, customer impact, and innovation.

It’s all about clearly defining how you’ll stay in business.  Without a business plan, you’ll continue to do what you are doing today.  With the rest of the world moving forward as you stay still, you run the risk of becoming obsolete.

An HR strategic plan is a framework of what’s required on the people side of the business to ensure that the organization or company meets its business goals.  It sets specific objectives around what should happen in each of the main areas of HR such as workforce planning and staffing, compensation and benefits, training, organizational development, etc.

Connect the Dots

Let’s walk through an example. A company has the following business goals supporting its strategic objective of growing the business.

With these high-level goals in place, they then define what steps will be taken to reach those targets.

This is where an HR strategic plan comes in.  Ask yourself: What needs to happen on the people side of the business in order to do all of these things?  By looking at each of the goals through the lens of each HR area, strategies begin to emerge.

What are the key jobs that will impact the attainment of this goal?  Are there enough of those individuals?  Do they have the right skills, or do they need training?

Out of each of the HR goals, there are multiple tactics and project plans that emerge.

I’m Too Small for This!

too-small

This planning is essential for companies and organizations of all sizes—large AND small.  Small doesn’t have to mean unsophisticated.  This is a tool for progressive organizations, but size has nothing to do with it.

If you don’t have a dedicated HR department, HR strategy and tactics still must occur.  They are simply handled by someone who wears several hats, such as the Owner, Executive Director/CEO, or Office Manager.

Is it growth you’re after?  You won’t be small for long if you try this tool.  Or maybe you manage a larger and more established organization but need to get it on track with HR?  Stop settling for less and give this strategy a shot. Click here to read a prior article that explains the benefits of starting your HR planning now: 5 Reasons Early HR Planning Will Make You Soar Ahead of the Game

Where’s the Power?

The power behind this magical tool is alignment.  Clearly connecting the dots between your HR efforts and your business goals ensures you reach business targets faster and more efficiently than ever before.

With a plan in place, your HR efforts have maximum impact.  Rather than just a series of generally accepted practices, these practices are the exact ones you need to move your particular business strategy forward.

Implement this and your customers, members, or clients will be delighted by the speed in which you are able to meet their needs.

Taking it to the Next Level

If you’re struggling to make as much money as you’d like, aren’t reaching the customers or audience you’re passionate about serving, or are simply ready to take your organization to the next level, an HR strategic plan is a powerful tool that will focus you and your team on what will move you toward your ideal future.

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