Human Resource

Running head: HUMAN RESOURCE
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Human Resource
Name of the Student:
Name of the University:
Author’s Note:

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Executive Summary
Human resources are the most valuable and significant assets for leading organizational success.
The study has chosen PTP Soda for analyzing its talent planning initiatives during downsizing
process. The organization is going to diversify its drinks for changing market condition and
consumer preferences. Hence, it will downsize for restructuring the business and employ most
talented employees in the new business process. The reduced employment rate will force the
managers of the organization to increase the wage rate of the employees. On the other hand, the
study has described the role of union, employer, government and industry in the talent planning
initiatives. The study has described effective career development and succession planning for
retaining the remaining employees after downsizing. Moreover, the organization will use internal
job posting for developing the career of the employees. Furthermore, the study has advised best
practices of downsizing to the organization through early retirement, buyout package, layoff and
many more.

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Table of Contents
Introduction......................................................................................................................................4
1.1 Current Labor Trends and Their Significance for Workforce Planning....................................4
1.2 Current Labor Trends and Their Significance for Labor Market Conditions............................5
1.3 Role of Employer, Industry, Government and Trade Unions in Talent Planning Initiatives....6
1.4 Strategic Positioning of PTP for Attracting Top Talents...........................................................7
1.4.1 Proven Brand Strength in Job Advertisements...................................................................7
1.4.2 Prioritize Intelligence over Experience..............................................................................8
1.4.3 Targeted Recruitment Strategy...........................................................................................8
1.4.4 Offering Telecommuting Options.......................................................................................8
2.1 Principles and Tools for Development of Potential Succession and Career Plans....................9
2.1.1 Assessment of Skill Gaps...................................................................................................9
2.1.2 Job Posting..........................................................................................................................9
2.1.3 Natural Selection Succession............................................................................................10
2.1.4 Acceleration Pool..............................................................................................................10
2.2 Suitable Recruitment Methods................................................................................................11
3.1 Strategies to Retain Key Talents and Assessment of Reasons for Employees to Leave.........11
3.1.1 Strategies to Retain Key Talents.......................................................................................11
Creating New Career Path.....................................................................................................11
Employee Engagement..........................................................................................................12

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Proper Mission and Vision....................................................................................................12
Reward and Recognition........................................................................................................12
3.1.2 Assessment of Reasons for Employees to Leave.............................................................13
Job Insecurity.........................................................................................................................13
Low Morale...........................................................................................................................13
Unwillingness to Adopt with Changes..................................................................................13
3.2 Evaluation of Cost Benefit Analysis for Human Resource.....................................................14
4.1 Best Practices during Downsizing Exercises...........................................................................14
4.1.1 Early Retirement...............................................................................................................14
4.1.2 Redundancy......................................................................................................................14
4.1.3 Buyout Packages...............................................................................................................15
4.1.4 Layoffs..............................................................................................................................15
Conclusion.....................................................................................................................................15
Reference List................................................................................................................................17

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Introduction
Human resources are the people, who make up workforce in an organization. Human
capitals are considered to be the most important organizational assets for organizational success
(Albrecht et al. 2015). The study has chosen PTP Soda, which soda drink company and wants to
downsize for significant business needs. Moreover, the organization wants to diversify its drinks
with the changing market needs and consumer needs. The study will assess the impact of current
labor trends on the workforce planning and market condition for the organization. Furthermore,
the study will also assess the role of employers, government, trade union and industry in talent
planning initiatives. The strategic positioning of the organization to attract the key talents will
also be described in this study. On the other hand, the study will develop successful career
development and succession planning retaining the remaining key talents. The cost benefit
analysis of downsizing process will also be evaluated in this study. Lastly, the study will advice
best practice of downsizing exercise for the PTP Soda.
1.1 Current Labor Trends and Their Significance for Workforce Planning
Current labor trends can have huge impact on the workforce planning of PTP Soda. The
falling unemployment rate of United Kingdom and the developed international countries can
influence the workforce planning of the organization. In such situation, the demand for key
talented employees will be higher for the organization than supply. Moreover, the unemployment
rate of United Kingdom has remained stable at 4.3% through 18 years (Ons.gov.uk 2018).
Hence, the organization will be forced to increase the wage rate of the employees due to higher
demand of key talented employees for their new workforce planning. On the other hand,
McKenzie, Theoharides and Yang (2014) opined that more than 3.6 million company chiefs are

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about to retire in this year, as younger professionals ascend to managerial slots. Hence, the
organization is bound to hire younger job candidates for the key position of their new workforce
planning.
The use of advanced technology has gained wider acceptance among the job candidates
in the labor market. 75% of labors in the world labor market search jobs through online mediums
(Ons.gov.uk 2018). Hence, the organization must use online technologies for hiring and retaining
talented employees and preparing a successful workforce planning. According to Hanushek et al.
(2017), rising rate of freelancing or part time job trends of the labors also highly influence the
workforce planning of organizations. Moreover, 53 million workers in America work as
freelancer and part time workers, which is expected to reach by 40% by the year 2020 (Bauder
2015). Several talented employees do to want to work in pressurized full time working
environment. Hence, such labor trend can hamper the ability of the organization to hire full time
talented employees.
1.2 Current Labor Trends and Their Significance for Labor Market Conditions
According to International Labor Organization, the unemployment rate in the wealthiest
countries is expected to drop by 5.5% (Bearce and Hart 2017). Such labor market trends have
increased the employment option for the potential job candidates. Moreover, the demand for
labor has been increased quite more than the supply of labors. Such labor market trends have
tightened the labor market condition, where the employers are to increase the wage rate for
hiring key talented employees. Furthermore, Card et al. (2018) opined that the labor trend is
highly mobile occupationally and geographically. The share of migrant employees in the total
UK employment has been increased from 7.2% in 1993 to 16.7% in 2015 (Deming 2017). Such