Chapter 6 Learning Objectives (test 2)

forecasting planning process

1. consider company strategy

2. forecast / estimate demand

3. estimate available supply

4. compare estimated need and availability

5. develop plan to address gap

6. monitor results and revise as needed

forecasting labor needs

consider business activity, anything impacting this

forecasting tools

-ratio

-regression

-trend analysis

-judgement forecasting

-return on investment

forecasting internal labor

-fit

-culture

-no sign of relocation bonus

-known performance

-employee retention and morale

tools for estimating labor availability

-talent inventory

-employee survey

-judgement

-replacement charts

forecasting external labor

-new ideas / perspective

-expertise, skills, experience

tools estimating labor availability

bureau of labor statistics website

action plan to address gaps

-long and short term of predicted labor shortage

-long and short term of predicted labor surplus

predicted labor shortage: long term

-increase salary

-increase supply of labor

-retraining

-automate some functions

predicted labor shortage: short term

-hiring incentives

-use temp workers

-more expensive recruiting methods

predicted labor surplus: long term

-layoffs / downsizing

-reduce hours

-early retirements

-buyout incentives

-retraining

predicted labor surplus: short term

-reduce hours

-temporary layoffs

-move to another department

timeline

-submit application

-phone screen

-test

-in person interview

-offer

-acceptance

costs

-testing

-travel / relocation

-meals

-time

-reviewing resume

transition matrix

a table used by recruiters to track candidates and the actions taken at each stage of the hiring process

judgmental forecasting

relying on the experience and insights of people in the organization to predict a firm’s future employment needs

return on investment analysis

measures whether the value created by new hires is greater than the cost of recruiting them

scatterplots

graphically shows how two different variables are related

talent inventories

database that summarizes each employee’s skills, competencies, and qualifications

replacement charts

shows each of the possible successors for a job and summarizes their present performance, promotion, readiness, and development needs