Internal and external environmental scanning factors

Examples of the Rest of the World – your External Demand

1. What trends, events, or factors are occurring or might occur in the world and may

impact the organization's workforce?

2. These trends, events, or factors are out of our control.


Political Demography
Environmental Economy
Social Government
Technological Environment


1. Business journals

2. Online news

3. Local, national, and international print

4. Professional organizations

5. Global demographic data

6. National demographic data
a. (HCI, 2010)

Examples of the Labor Market – your External Supply

1. What is the supply of needed skills for expansion and replacement?

2. What is becoming complex within the labor market?
a. Getting older
b. Growing/declining

3. How is the labor market trending in our organizational location?
a. Tightening
b. Loosening

4. Are competitors entering or leaving the marketplace?

5. What are the geographic constraints?

6. What is happening in the industry that may impact the workforce (HCI, 2010)?

Examples of your Organization – your Internal Demand

1. This is addressed in the organizational strategy and segmentation portions of this process.

2. Includes organization goals and plans.

3. Other potential factors
a. Layoffs/reductions
b. Technology changes
c. Mergers and acquisitions
d. Expansions
e. Budget constraints
f. Reorganizations
g. Changes in processes

4. Sources:
a. Bureau of Labor Statistics
b. International Labor Organization
c. Google Public Data Site (HCI, 2010)

Examples of your Employees – your Internal Supply

1. Look at profile data:
a. Job
b. Salary composition
c. Geography
d. Employment status
e. Length of service
f. Retirement
g. Gender
h. Age distribution
i. Skills, abilities, competencies
j. Performance review

2. Look at trend data:
a. Turnover/churnover/separations
b. Promotions and internal moves
c. length of service
d. Engagement
e. Hiring patterns
f. Quality of hire by sourcing channel
g. Overtime by role
h. Recruitment/redeployment patterns (HCI, 2010)

Data gathering resources within the state of Minnesota


a. Coming in July 2011

3. MMB extranet reports:

4. Intra-agency data

Use of the quadrant approach to gather data has several advantages

1. It is a comprehensive, disciplined approach.

2. It considers both supply and demand, both within and outside the control of our organization.

3. It prepares for big surprises that occur externally.

4. It focuses on alignment between internal supply and demand.

5. It supports expansion plans that are impacted by the labor market.

6. Balances supply (workforce supply) and demand (what needs to be done).

7. It distributes into the scenario planning process (HCI, 2010).

Estimating risk and prioritization

1 . Map each items from the quadrants onto the 9-box prioritization instrument by asking the following two questions of each factor:
a. What impact would it (the item) have on the organization, the workforce, and a specific role?
b. How likely is it to occur?

2. High/High items are pivotal to address.

3. High/medium should be planned for as well.

4. Consider the time line when plotting risk potential

5. Do the factors pose operating or strategic challenges?

6. The highest factors will be used in the scenario planning exercise.

Representation of risk and prioritization grid
(HCI, Strategic Workforce Planning, 2010)

Environmental Scan - Governmental Example

Representation of Government example

IO=Impact on Operations, LO= Likelihood of occurrence, H=High, M=Medium, L=Low (adapted from HCI, 2010)

Impact Graph Example
(adapted from HCI, 2010)


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