Compensation planning for the future workforce needs of the organization after analyzing the organization’s current human resources, the external labour market and the future workforce environment that the organization will be operating in. The analysis of HR management issues external to the organization and developing scenarios about the future are what distinguishes strategic planning from operational planning. The basic questions to be answered for strategic planning are:
- Where are we going?
- How will we develop workforce strategies to successfully get there, given the circumstances?
- What skill sets do we need?