Human Resource Planning Assignment Essay
A demand for a commodity, service, etc. which is a consequence of the demand for something else. In respect to Strategic Human Resource Planning, derived demand applies specifically to labor. The demand for labor is derived from the demand for the goods and services that labor is used to produce. The demand for labor is also influenced by the level of economic activity and the relative cost of labor compared to capital.
An organization will try to plan for vacancies and market fluctuations but derived demand can be difficult to plan for if you have a product or service that has very little discernible …show more content…
As recently mentioned previously, image and public relations are very important to Stonewall (and in a commodity market in general). In any industry layoffs are view critically buy the public. The company is viewed to be insensitive and public relations tend to take a hit.
In mentioning layoffs, another environmental factor that will impact planning is that of an internal nature. Internal employees that are questioning the future of the company are likely to seek other employment. As mentioned by Belcourt et al., the high performers are the ones that are likely to find new employment and if the company was only looking to downsize they will be left with the average or underperformers.
4. Identify and explain the various techniques for forecasting labour supply and labour demand. What can organizations do in the short run when they recognize a gap in which supply far exceeds demand. What could Stonewall do in this situation? (20 marks)
• Data simply is projected forward based on an established formula
• Predicts what will happen based on what has happed historically
• Uses chronologically arranged data to arrive at forecasting
• Can account for seasonal differences in demand
Cause and Effect Models
• Assumes that an activity (ie implementation of