An example of strategic HR policy is an organisation that links its HR approach directly to the company’s long-term objectives. Consider, for instance, a growth strategy in which you invest in staff development two years in advance, so that the right people are available at the right time. Strategic workforce planning thus ensures that human capital becomes a conscious choice, rather than an afterthought. In this article, we answer the most frequently asked questions about strategic HR policy, from the basics to the role of coaching.
What are the key components of a strategic human resources policy?
Strategic human resources policy consists of a coherent set of decisions relating to the recruitment, development, retention and departure of staff, all aligned with the organisation’s long-term objectives. It is not about isolated HR activities, but rather a coherent approach in which every decision contributes to the direction in which the organisation wishes to move.
The main components are:
- Strategic workforce planning: to identify the roles, skills and capacity that the organisation needs now and in the future
- Recruitment and selection: targeting the recruitment of people who are a good fit for the future direction of the organisation
- Learning and development: investing in knowledge and skills that will help the organisation move forward
- Career policy: helping staff to develop within or outside the organisation
- Leadership and culture: ensure that managers are able to steer the organisation in the desired direction and communicate this direction
- Sustainable employability: enable staff to continue working with enjoyment and energy over the long term
Each of these elements reinforces the others. Without a clear picture of future staffing requirements, a recruitment campaign is pointless. Without a development policy, you will lose the people you have worked so hard to attract.
How does strategic personnel policy differ from operational HR policy?
Strategic human resources policy focuses on the long term and demand Where is the organisation heading?, whilst operational HR policy centres on day-to-day implementation: contracts, leave records, payroll and absence management. Both are essential, but they operate at different levels.
The difference lies mainly in the time horizon and the perspective. Operational HR resolves issues that are relevant today. Strategic HR anticipates issues that will become relevant in two, three or five years’ time. An operational HR manager handles the onboarding of a new employee. A strategic HR adviser asks whether the organisation will still need the same roles in three years’ time, or whether technological developments will require a completely different profile.
Organisations that focus solely on operational HR are constantly reacting to circumstances. Organisations with a strategic HR approach create the conditions under which they wish to operate.
What are some specific examples of strategic human resources management in practice?
Specific examples of strategic HR policy include talent programmes for future leadership, internal mobility projects in which staff are supported in transitioning to a different role, and development pathways that align with the organisation’s strategic growth objectives.
Here are a few practical examples:
- Talent programmes: An organisation identifies staff with leadership potential and offers them a multi-year development programme, ensuring that there are always internal candidates ready to take on senior roles
- Internal mobility: Instead of recruiting externally for a new department, existing staff are retrained and placed internally
- Competency-based recruitment: Positions are no longer filled solely on the basis of qualifications, but on the basis of behavioural preferences and cognitive talents, as measured using scientifically validated methodologies
- Career guidance as standard: Every employee is entitled to a career review and an individual development plan, not only when problems arise but as a standard part of the HR cycle
- Strategic collaboration with coaches: Organisations work on an ongoing basis with external coaches to support staff through personal development, change or the transition to a new role
Large organisations such as KLM, Rabobank and Shell have been applying this kind of strategic HR approach for years. But medium-sized companies and local authorities can also get started with this straight away.
How do you draw up a strategic staffing plan?
You draw up a strategic staffing plan by taking the organisation’s strategy as your starting point and, from there, determining which people, skills and capacity are needed to implement that strategy. The plan bridges the gap between the current situation and the desired future.
A practical, step-by-step approach:
- Analyse the organisational strategy: What are the objectives for the next three to five years, and what will this require of staff?
- Assess the current situation: What skills are currently available, where are the gaps, what is the age profile, and what are the expected staff departures?
- Identify the gap: The difference between what you have now and what you need is the basis of your plan
- Set out actions: think of recruitment, internal development, career guidance or redeployment
- Make it measurable: set specific objectives and review points
- Involve managers: Strategic workforce planning only works if HR and management work together
The plan is not a static document. In a rapidly changing world, it requires regular updating, particularly when the organisation’s strategy or the labour market shifts.
What role does coaching play in a strategic HR policy?
Coaching plays a key role in strategic human resources management because it helps employees to align their personal development with the organisation’s objectives. Whilst training courses impart knowledge, coaching helps people to actually change their behaviour and become more effective in the long term.
As part of a strategic HR approach, you utilise coaching at several levels:
- Leadership development: coaching managers to uphold the organisation’s culture and direction
- Career guidance: support staff in making the transition to a different role, whether internally or externally
- Personal effectiveness: to help individual staff members perform better, enjoy their work more and make the most of their talents
- Team development: supporting teams in collaboration, communication and shared leadership
Coaching is always tailored to the individual. What an employee needs in order to develop varies from person to person and from situation to situation. That is why it works best when coaching is a structural part of HR policy – not as a stopgap measure, but as an investment in people.
When is it time to review your HR policy?
It is time to review your HR policy when the organisation’s strategy changes, when structural bottlenecks arise in staffing or staff development, or when the labour market shifts so significantly that existing approaches no longer work. Strategic HR policy is not a one-off exercise.
Signs that a review is needed:
- The organisation is either growing rapidly or shrinking, and current policy is not geared towards this
- There is a high staff turnover rate with no clear cause
- Staff lack the skills the organisation needs for new developments
- There are few opportunities for internal career progression, which means that talented staff are leaving
- The organisational culture is no longer aligned with the desired direction
- Managers and HR are working at cross purposes rather than together
By 2026, we will see organisations increasingly having to contend with technological change, shifting employee expectations and a tight labour market. This means that reviewing strategic HR policy is not a luxury, but a necessity for any organisation that wishes to remain relevant.
How Nieuwkans helps with strategic workforce planning
At Nieuwkans, we support organisations in developing and implementing a strategic HR policy that really works. Our approach is always bespoke, taking the individual employee and the organisation’s objectives as our starting point. We believe that long-term employability starts with people who know where their talents lie and how they can put them to good use.
What we offer in concrete terms:
- Personal coaching focusing on behaviour, leadership and personal effectiveness
- Career guidance and outplacement for staff looking to change direction
- Team development for better cooperation and shared leadership
- Scientifically-based talent analyses using the BrainsFirst methodology, which enables us to identify cognitive behavioural preferences and natural talents
- Tailor-made development programmes for both staff and managers
Whether you want to draw up a strategic staffing plan, support staff in their career development, or strengthen teams: we’d be happy to help you find the right approach. Get in touch and find out what we can do for your organisation. Would you like more information about related solutions? Then please also visit Skillscapers.