HR Planning and Forecasting

HR Planning Process

• Based on the HR planning process model, after conducting forecasts of labor supply/demand, setting goals, and strategic planning, the next step is program implementation.
• Forecasting labor supply and demand to predict labor surplus or shortage is followed by goal-setting in the HR planning process.
• The first step in the human resource planning process is forecasting.

Forecasting

• Assessing the supply and demand for labor in relevant labor markets exemplifies forecasting in the HR planning process.
• Statistical forecasting methods excel at capturing historical trends, differentiating them from judgmental methods.
• Statistical forecasting methods provide predictions that are more precise than judgmental methods.
• A leading indicator is an objective measure predicting future labor demand.
• Statistical planning models benefit from subjective judgments of experts.

Transitional Matrices

• Transitional matrices are useful for charting historic trends in a company's supply of labor.
• Downsizing is a reason firms change location for economic reasons.

Goal Setting

• HR analysts set goals in the human resource planning process based on the analysis of the labor supply and demand.
• Setting specific quantitative goals focuses on a problem and provides a benchmark for determining the relative success of programs addressing labor shortages or surpluses.

Testing

• Cognitive skills is not ideally tested via physical ability test,
• Cognitive ability tests assess verbal comprehension, quantitative, and reasoning abilities.
• Evaluating how Francine would launch a product with a limited budget and timeline assesses reasoning ability.
• Quantitative ability signifies the speed and accuracy in solving arithmetic problems.

Selection

• Banding is exemplified when a hiring team treats job applicants within each job knowledge test score cluster the same for selection purposes.
• Verbal comprehension is a person's capacity to understand written and spoken language.
• Digital traces of an applicant's activities is a more objective approach for personality factors in the selection process.

Personality

• A talkative, social employee with high warmth likely has high extroversion.
• Someone open to new experiences is curious and imaginative.
• An agreeable person is courteous and trusting.
• To validly assess the Big Five personality dimensions, obtain assessments from those who know the job applicants well.
• Someone conscientious is dependable, organized, persevering, thorough, and achievement-oriented.

Emotional Intelligence

• An emotionally intelligent person like Trudie, who "reads a room" well, possess emotional intelligence.
• CEO Kristen Smith, who recognizes her mood and its effect on interactions/decisions, demonstrates self-awareness.
• VP Vanessa Fox, who remains calm and focused when dealing with difficult people, exemplifies self-regulation.
• Brooklyn, who perseveres at Comstone Company despite lack of feedback, possesses self-motivation.
• Miranda Chan, who relates to patients' emotions, exhibits empathy.
• Cliff, through his gregariousness, effectively manages people, demonstrating social skills.

Assessment Methods

• A work-sample test simulates a job to observe an applicant's performance in a pre-hiring context.
• An assessment center is a program that employs multiple selection methods to rate applicants' managerial potential.
• Reference checks have low reliability and validity; therefore, they have low generalizability for all job types.
• Personality inventories have high reliability, low to moderate criterion validity, and low generalizability.