Why companies should include HR leaders in business planning

Businesses engaged in strategic planning may do wise by including human resources leaders in their companies in the planning process. An increasing number of major companies are doing just that, and there are several good reasons why they now do so.

One of the biggest reasons a CEO should consider bringing HR professionals into the planning fold is because they understand what the company’s gaps in skills are. By receiving information from HR, companies can better plan for talent-acquisition strategies and plans. They can also be better equipped to write their succession plans with the information.

HR leaders are also better able to identify problems causing turnover and other such issues. They can thus make recommendations for changes to reduce turnover and the high costs associated with it. HR professionals also are able to analyze the metrics regarding the efficiency of the hiring process. They can then make recommendations to streamline talent recruitment and retention efforts. They can also identify methods the company is currently using that are inefficient and thus more costly.

Business planning is an ongoing process that should be conducted at least yearly to encourage continued growth. By including HR professionals among the people involved in the planning process, the business owner or CEO may be able to draft a more robust and thorough business plan. Owners may also want to consult with their business and commercial law attorney for recommendations regarding changes to the plan, a market analysis or the state of current laws ad regulations. An attorney may also help by drafting the plan for their clients or for making changes that reflect the latest changes in the tax law for even greater savings. An attorney might help their client by participating in the actual planning in order to provide guidance.

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