2. Strategic Planning, Training, and OD Chapter #2

3. Learning Outcomes  By the conclusion of this discussion you should: å Have reviewed the strategic planning process and learned how the process effects HRD. å Understand the importance of including HRD professionals in the strategic planning process. å Understand the basics of a learning organization. å Be able synthesize the principles of strategic planning and HRD strategy and apply those principles to an actual case study.

4. Strategic Planning Mission & Goals Formulate Strategy SWOT (External & Internal) Implement Strategy External Competition Suppliers Distributors Environment Internal Structure & design Culture Resources Labor

5. Influence of HRD on Strategy  HR issues are central to long-term business success. å Employees must work quickly & be more responsive å Employees must be flexible and adapt to change å Employees must have the KSA to grow the business. Shrinking labor pool with requisite KSA

6. Learning Organizations  Organizations whose systems support creativity, KSA acquisition, and transfer.  Employees change behavior in accordance with new KSA.  KSA are inherit to organizations competitive advantage.  Organizations who invest large amounts of time, energy, and people in the effort.

7. HRD and the Learning Organization  Know the business and the strategic direction.  Create learning situations, opportunities, and systems. å Must fit culture, systems, and values  Empower employees to identify and meet training and development needs.  Implement technology for record keeping and training administration.

8. HRD Strategy  External HRD Factors å Competition/Resources (external providers) å Law and regulations å Technology å Economic Conditions  Internal HRD Factors å Organizational and HR strategy å Organizational culture

9. Strategic Training Alternatives  Primary Provider å Training activities are provided in house å Centralized HRD function (adequate staff) å Advantages: control, consistency, cost  Manager/Intermediary å Training activities are provided by outside venders å Used in small organizations or large organizations with rapidly changing environments å Advantages: flexibility, decentralized structure

10. Conclusion  HR and HRD must be included in the strategic planning process of any organization in order for the plan to be successful.  HRD must pay attention to both the external and internal environmental factors that effect the strategic planning process.  Good HRD professionals will orchestrate the HRD strategy to perfectly align with the overall business strategy.