Report on Human Resource Strategic Planning for KFC Business

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This report delves into the realm of strategic human resource (HR) planning, using KFC as a case study. It begins by defining strategic HR planning and explores the political factors, such as tax and economic policies, political stability, and foreign trade regulations, that influence business operations. The report then outlines various options for sourcing labor, including comprehensive BPO, selective BPO, contracting, license agreements, and out-tasking. It also identifies five potential objectives addressed by a strategic plan, such as financial management, resource allocation, employee performance, sales, and market position. The report further examines KFC's employment branding and the impact of emerging market practices, like changing customer preferences and economic trends, on the company and its staff. It analyzes how market changes affect staff recruitment and the implications of legislative changes on staffing. The report concludes by discussing the implementation, monitoring, and review of the strategic plan, including risk management and the importance of adapting to changing circumstances.
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Manage Human Resource
Strategic Planning
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Table of Contents
INTRODUCTION................................................................................................................................3
MAIN BODY.......................................................................................................................................3
TASK A................................................................................................................................................3
1. Meaning of strategic HR planning...............................................................................................3
2. Three political factors of legislation and regulation surrounding business.................................3
3. Defining five options for sourcing labour....................................................................................4
4. Five potential objectives to be addressed by strategic plan.........................................................5
TASK B................................................................................................................................................5
1. Case study on KCF related to targets and goals creating impact on staff....................................5
2. Research of emerging practice impacting KCF staff...................................................................6
3. Information researched creates impact on KFC and its staff in the future..................................6
4. Explaining changes in market place affect the recruitment of staff.............................................6
5. Changes to legislation which creates impact on staffing.............................................................7
TASK C................................................................................................................................................7
1. Discussing ideas with senior management..................................................................................7
2. Defining importance of values and policies of objectives...........................................................8
3. Documenting strategic objectives for agreed plan.......................................................................8
4. Two options for achieving objectives..........................................................................................8
5. Defining support
from senior management for strategic human resource plan...........................................................9
6. Risk management plan.................................................................................................................9
TASK D................................................................................................................................................9
1. Defining how work is done for plan to be implemented & the way in which it is monitored and
.........................................................................................................................................................9
review...............................................................................................................................................9
2. Adoption of plan with change in the circumstances..................................................................10
3. Evaluating and reviewing the performance of plan against objectives.....................................10
CONCLUSION..................................................................................................................................10
REFERENCES...................................................................................................................................11
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INTRODUCTION
Human resource planning is considered as one of the most important activity for every business
organization. It is associated with the process of identifying both current as well as future needs of
business related to human resources for accomplishing the set defined business goals. Thus,
managing of these resources in a cost effective manner is very essential. The present report is based
on KFC which is one of the largest American fast food chain having its headquarter in Louisville,
Kentucky. This food chain is conducting its business globally with specialization in Fried chicken
and other foods, beverages. The report will discuss in depth meaning of strategic HR planning.
Also, it will define the impact of human resource strategy plan designed for achieving business
goals on staff and worker of the company. At last, the report will provide a brief about risk
management plan essential for managing contingencies and human resource plan.
MAIN BODY
TASK A
1. Meaning of strategic HR planning.
The term strategic HR planning is associated with management of human resources of the
business. It is defined as a process of evaluating the requirement of business organization for
carrying on business activities. It deals with monitoring the current as well as future need of human
resource by the business which are essential for attaining business goals. Proper and effective
management of the available business as well as human resources will lead to successful completion
of business process and thereby helps in meeting customer demand timely.
A business should always focus on formulation of sound business strategies and plans for
the betterment of company as well as its employees (Noe and et.al., 2017). With the help proper
planing and strategies, mobilization of planned resources can be made for conducting of productive
business activities. These strategies and plans helps in coping and managing with changes taking
place in the market forces. Also, it helps in proper allocation of available resources thereby reducing
unnecessary wastage and cost expenses.
2. Three political factors of legislation and regulation surrounding business.
Political factors are those government regulations, law and rules creating influencing impact
on the business activities either in positive manner or in negative form. Factors such as political
stability & changes, formation of new legislation, laws etc. are having impact on the functioning of
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business operations. Every business should focus on formulating sound strategies and plans for
coping up with these political factors so as to minimize the risk of business uncertainty. These
political factors are as follows:
1. Tax and economic policies – With regular increase or decrease in the taxation rate by
government, it can impact the overall profitability of the company (Zinovieva and et.al.,
2016). Also, it has to make compliance of the new reforms implemented by government
from time to time.
2. Political stability – If country is having an instability in the political norms, it will lead to
direct impact on the business operations. It can hamper budget, strategies and plans made for
future business activities as well.
3. Foreign trade rules and regulations – For conducting business operations in the global
market, it is very important to comply with foreign trade regulations. Continuous change in
this regulation can affect the working of company to compete in the market.
3. Defining five options for sourcing labour.
Sourcing of labour in the business should be done properly with in turn can lead to
attainment of business goals and objective in a cost effective manner. Different options are available
for sourcing labour:
1. Comprehensive BPO – This method of outsourcing basically deals with engagement
process of company with training partner for multiple time period with the aim of
strategically managing comprehensive processes set among different functional areas
(Cascio, 2015).
2. Selective BPO – It is a complex and long term process of engagement like comprehensive
one, which engages the training partner for managing multiple processes among one
functional area only.
3. Contracting – It is one of the common form of outsourcing in which company hire labour
for performing a particular task on either hourly, daily, weekly or monthly basis. On
completion of task, contract is ended (Bratton and Gold, 2017).
4. License Agreement – Is a form of out sourcing which is better suited in case of sourcing of
tangible asset in form of technology, real estate etc. This agreement can be exercised for
multiple year in case when set up & implementation cost are high and vice versa.
5. Out Tasking This process is based on business model which is less complex in nature,
contain fewer processes having limit to only one functional area. The main purpose of this
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source is labour orientation.
4. Five potential objectives to be addressed by strategic plan.
Strategic plan should be framed by the company with a view of making high profits and
improving business performance as well. Reasons why these plans are made:
1. Financial management – With the help of proper planning and strategies, a company can
manage its overall business activities and operations (Grünig and Morschett, 2017).
Management of funds, capital and other business resources should be done in effective
manner by formulating budgets etc.
2. Resource Allocation - Available business as well as human resources has to be allocated in
manner that it can lead to attainment of set defined business goals and also fulfils the
requirement of business needs as well.
3. Employee performance – Strategic plan made by companies helps in evaluating the
performance level of company as well as employees. This will help in taking measures for
bringing improvement in the overall business performance thereby creating more value.
4. Sales – The main aim of every business after carrying on production function is to make
large sale of its products and services (Bryson, 2018). Marketing and promotional activities
helps business in increasing its sales margin and becoming customer aware about new
product in the market.
5. Market position – Along with high profitability and better performance level, company
always desire to acquire large market share. This can be achieved by company with having
strong business plans and strategies.
TASK B
1. Case study on KCF related to targets and goals creating impact on staff.
KFC is one of the largest fast food chain restaurant serving large number of people across
the globe. The main aim and objective of KFC is to sell its food in a fast manner and to become
environment friendly so as to meet the needs of health conscious consumers. In the year 2007, KFC
has started the U + KFC brand specially from the perspective of recruitment, training and careers of
its employees. This employment brand depicts the reputation of business firm as an employer. KFC
has focuses on the objective of creating employer branding (Frost, 2019).
This branding factor will help the company in attracting, engaging, retaining of the best
quality employees which will in turn leads to development of company brand as well. KFC has
always focuses on maintaining good working culture as well as employment relation with its
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employees for making more profit.
2. Research of emerging practice impacting KCF staff.
All the current market emerging practices, trends in the food market has created huge impact
on the customer taste and preferences. This has also impacted the overall business performance,
sales as well as profit margins of the company. The trends which has impacted the staff and its
employees are as follows:
1. Changes in the way of customer buying process – With the change in time, customer
tastes and preferences also changes. A lot of new dishes and beverages options has been
coming in the market which attracts customers towards itself (Ambrosini, Jenkins and
Mowbray, 2015). This affects the buying behaviour of customer which has to be understand
by staff of KFC and make action for meeting them.
2. Community expectations – With increasing market options of foods, beverages staff and
employees has to remain updated and focuses on making proper strategies and plans for
meeting the expectations level of the community as per their desire.
3. Economic trends – With economic and political instability in the market, staff of KFC has
to focus on the pricing as well as quality feature of its products and services. It should mould
its business operations as per the current trends of the economy in which it is performing.
4. New products or services introduced in the market – With introduction of competitive
firms such Uber eats, McDonald's etc., KFC has to face tough competition for remaining in
the market. It has impacted the overall profitability, performance level of its employees as
well as its business too.
3. Information researched creates impact on KFC and its staff in the future.
As per the case study of KFC, it has been assessed that the company has launched
employment branding feature. With the introduction of rivalry business firms, KFC has to makes
emphasises on the personal development feature of its employees with the help of training,
coaching, appraisal session etc. For remaining competitive, KFC has to makes strong plans and
strategies along with minimization of cost expenses associated with unproductive business
operations (Brewster, 2017). Also, staffing will need to be increased or decreased
due to current trends, recruitment of skilled staff will help in keeping pace with the changing trends
in the market.
4. Explaining changes in market place affect the recruitment of staff.
Changes in the market condition has to be monitored by business organization timely. Also,
it is very important to make assess that how these changes will affect the availability of resources.
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Any change in the market rule of demand and supply will have to be analysed so as to make the
process of staff recruitment effective one (Pournader, Tabassi and Baloh, 2015). Labour market
helps the company in controlling the demand and supply forces of labour, staff recruitment. If
people supply having good knowledge and skill is less as compared to demand, then the hiring
process will require more efforts to be made. On the flip side, if the demand forces are less than
supply, the process of recruitment will become much easier. Changes in labour law, demographic
factors, competitors strategy always affects the recruitment process of company.
5. Changes to legislation which creates impact on staffing.
KFC has initiated an e-recruitment tool which has helped the company in making right
recruitment process. This tool has provided an opportunity to large number of employees to apply
for job online. KFC has launched online recruitment system for seeking employment of best and
well suited employees for the job post. For this tool, KFC has formed two target groups viz. Team
members including customer service, food service and other is Managers (Dad and Karim, 2019).
Each employees of the restaurant receives initial training prior to employment related to
food safety, specific role, orientation of Team Member, online testing with the aim of making
employee familiar with the business operations and to develop champions in them. Training
provided by KFC are web based using the Learning Management System and Virtual Classroom
Tools. With the help of this, employees are remained updated about new concept, technology to be
implemented in business for improving the overall performance level.
TASK C
1. Discussing ideas with senior management.
For achieving better productivity, it is very important for a business firm to have good
workforce and employee base. Skilled, creative and knowledgeable manpower will make company
growth within a short period of time. For this recruitment of better employees has to be done by the
company. For undertaking this process, company should make effective plans and strategies.
Email - Please find attached that by carrying on recruitment process, company can get better
employees for future business growth and success. This can lead to increase in profit margin as
well. Company should focus on recruiting the best & talented employees having good
communication and leadership skill which can assist in accomplishment of business goals in short
run in a cost effective manner. Also, the higher management has agreed with the fact that with
strong manpower, a company can grow much better.
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Minutes of meetings - As per the meeting conducted by the company with the agenda of
recruitment process, it has been decided by the senior management that selection of best and
suitable employees will be done. The goal behind recruiting talented and skill employee is to gain
competitive advantage in the market by grabbing of opportunities as and when it arises.
2. Defining importance of values and policies of objectives.
For every business organization, it is very important to focus on development of its
employees performance level, business processes, equal employment opportunity
and other resources as well. Also, proper allocation of human resource, information systems can
help in betterment of business goals in a cost effective manner (Taylor, Doherty and McGraw,
2015).
Also, the company should focus on conducting of induction programmes, training sessions
so that employees can become aware about the latest business processes, technologies and its uses.
By making recruitment of the best candidate in terms of skills, knowledge for the job post, company
can perform better & acquire market share as well.
3. Documenting strategic objectives for agreed plan
With the help of training and development, induction sessions the performance level of the
employees can be improved. Also, it will help employees in increasing the skill and capability level
of its employees which in turn will provide better employees option to company. By providing
effective training sessions, employees will be able to perform better with reduced time period, in a
cost effective way and minimum resource wastage. With regular training and development,
employees will become more capable of performing better wit updated knowledge, technologies
and processes thereby increasing overall sales margin.
4. Two options for achieving objectives.
For achieving objective, two option are:
1. Training and development – It increases overall productivity of business as well as of the
employees. Also, directly improves the operational efficiency of employees & business.
With the help of this, employees remain up dated with new technology, processes and uses
the existing ones in a better way (Cohen, 2017).
2. Induction session – It provides a brief introduction about the company and it business
processes, beliefs, values, working culture to the employee, so that it can ease them in
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setting in new business environment.
5. Defining support
from senior management for strategic human resource plan.
Training and development plan will facilitate greater employee engagement for the
company. With proper and effective planning, company can improves it business performance along
with employees. Plan for training and development includes:
1. Identifying the needs of business as well as of the employees.
2. Analysing gap related to skills and capability
3. Framing of training methods best suited for employee
4. Evaluating and monitoring effectiveness of this training session and availing benefits arising
from this.
6. Risk management plan.
A good risk management plan consist of number of tools and strategies with the aim of
mitigating business risk. Plan can start by identifying risk areas and developing action plan for
mitigating it. In case of training session, employees will face time management issue and are
required to maintain balance between their job & training session. This will help both company as
well as employees in minimizing business losses (Sadgrove, 2016)
TASK D
1. Defining how work is done for plan to be implemented & the way in which it is monitored and
review.
For implementation of plan, it is very necessary to have an effective implementation
strategy. On successful implementation of plan, it is very important to have a regular check on the
growth and impact of the plan by evaluating the outcomes. Following are the ways in which plan
can be monitored and review:
1. Update – After formulation of plan, it is very important to implement it. Plan implemented
has to be checked regularly for any update or changes to be made for making it more
effective.
2. Feedback – Another method of checking whether plan made is performing better or not is
by taking feedback from its user. On receiving feedback, changes should be made
accordingly.
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3. Benchmarking – One of the best way to review the performance level of plan is with the
help of benchmarking tool. It helps in making comparison of its own business processes
with the best one and identifies variables if any.
2. Adoption of plan with change in the circumstances.
With the change in the market forces and environmental factors, company has to adopt
accordingly so as to remain competitive in the tough market competition. Before making any new
business plan and strategies it is very important to conduct market research and survey. Plan has to
framed as per the current market trend and condition. With continuous change in the situation, plan
can be made with the help of budget tool (Bulger and et.al., 2018).
This budget tool will help the company in making projections about future business revenue
and sales margins. Also, it will help the company in ascertaining the amount of cost that will be
incurred by the business for carrying on business activity.
3. Evaluating and reviewing the performance of plan against objectives.
The set defined goals and objectives of the company helps it in determining the performance
level. Company set these goals and objectives as the measuring scale against which the overall
performance of plan is monitored and evaluated. Benchmarking tool is one of the best measure with
the help of which a company can evaluates its performance level with the best one. This tool helps
the company in determining the shortfall if any in the performance by making comparison with the
best performing strategy and plan of the top company of the same industry sector. By setting it as
standard, company can makes improvement in its plans and strategies.
CONCLUSION
From the above report it has been concluded that with the help of proper and effective
business strategies and plans, KFC can cope up with all the changes taking place in the market and
environment. This can assist business in gaining competitive advantages thereby increasing the
overall profitability and performance level of the company.
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REFERENCES
Books and Journals
Ambrosini, V., Jenkins, M. and Mowbray, N. eds., 2015. Advanced strategic management: A multi-
perspective approach. Macmillan International Higher Education.
Bratton, J. and Gold, J., 2017. Human resource management: theory and practice. Palgrave.
Brewster, C., 2017. The integration of human resource management and corporate strategy.
In Policy and practice in European human resource management (pp. 22-35). Routledge.
Bryson, J. M., 2018. Strategic planning for public and nonprofit organizations: A guide to
strengthening and sustaining organizational achievement. John Wiley & Sons.
Bulger, E. M. and et.al., 2018. Implementation of a national trauma research action plan
(NTRAP). Journal of trauma and acute care surgery. 84(6). pp.1012-1016.
Cascio, W. F., 2015. Managing human resources. McGraw-Hill.
Cohen, E., 2017. Employee training and development. In CSR for HR (pp. 153-162). Routledge.
Dad, A. and Karim, A. M., 2019. A Literature Review on External Factors Affecting Export
Competitiveness of Raw Woven Sector of Pakistan. Malaysian Journal of Social Sciences and
Humanities (MJSSH). 4(2). pp.51-58.
Fletcher, L., Alfes, K. and Robinson, D., 2018. The relationship between perceived training and
development and employee retention: the mediating role of work attitudes. The International
Journal of Human Resource Management. 29(18). pp.2701-2728.
Frost, J. D., 2019. HR Data Tool (HRDT): A Modular System for Supporting GDOT Human
Resource Planning and Decision Making (No. FHWA-GA-19-1623). Georgia. Dept. of
Transportation.
Grünig, R. and Morschett, D., 2017. General Strategic Planning as the Starting Point for Going
International for Production and Sourcing. In Developing International Strategies (pp. 67-77).
Springer, Berlin, Heidelberg.
Noe, R. A. and et.al., 2017. Human resource management: Gaining a competitive advantage. New
York, NY: McGraw-Hill Education.
Pournader, M., Tabassi, A. A. and Baloh, P., 2015. A three-step design science approach to develop
a novel human resource-planning framework in projects: the cases of construction projects in
USA, Europe, and Iran. International journal of project management. 33(2). pp.419-434.
Sadgrove, K., 2016. The complete guide to business risk management. Routledge.
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Taylor, T., Doherty, A. and McGraw, P., 2015. Managing people in sport organizations: A strategic
human resource management perspective. Routledge.
Wilkins, K., 2018. Implementation of COPD Guidelines and an Action Plan in a Community
Health Center.
Zinovieva, C. G. and et.al., 2016. Study of external and internal factors affecting enterprise’s
stability. Advances in Systems Science and Applications. 16(1). pp.62-71.
Online
Political factors affecting businesses. 2017. [Online]. Available through:
<http://khaleejmag.com/business/political-factors-affecting-businesses-need-know/>.
Significance Or Importance Of Human Resource Planning. 2019. [Online]. Available through:
<https://accountlearning.blogspot.com/2013/01/significance-or-importance-of-human.html>.
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