an introduction to strategic workforce planning (swp)

www.babcockinternational.comMarine Land Aviation Nuclear

An Introduction to Strategic Workforce

Planning (SWP)The FIRM – 17th March 2021

www.babcockinternational.com

In Confidence

Marine Land Aviation Nuclear

What IS Strategic Workforce Planning (SWP)?

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• SWP is our approach to determining and securing the capabilities we need to deliver to our customer and build a

successful, sustainable business for the long-term.

• We use SWP to articulate and enable the “People Strategy” we need to adopt to deliver our business strategy. It provides

a coherent framework to maximise the benefits of our strategic people interventions.

• SWP is a collaborative process between HR, the Business and the customer supported by a robust review cycle that will

ensure continuing strategic alignment.

• The SWP Programme will evolve as the business evolves to stay relevant and to ensure we derive maximum value from

the investments we make in our people.

It is an evidence based workforce evolution strategy that enables an organisation to manage its workforce in such a way that

critical roles and skills are both aligned to the overall business strategy and protected for the long term.

Strategic Workforce Planning helps to ensure the LONG TERM SUSTAINABILITY OF THE ORGANISATION.


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Marine Land Aviation Nuclear3

Planning Horizons


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Placing of strategic workforce planning


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Our Strategic Workforce Planning

Approach5 Step Process

Step 1: Articulate the

Business Strategy

Step 2: Translate into Demand and

Supply

Step 3:

Analyse the Gap

Step 4: Interventions, and Scenario

Modelling

Step 5: Finalise and

launch People Strategy

SWP Stage Description

Step 1: Articulate the Business

Strategy

Working with our stakeholders in the business

we work to translate our strategy into “people

implications” in terms of skills and capabilities

over time

Step 2: Translate into Demand

and Supply

We translate the business requirements into a

clear detailed picture of future demand and

projected supply in terms of skills and

capabilities

Step 3:

Analyse the Gap

We analyse the gap between our demand and

supply based on our current supply strategies

Step 4: Interventions and

Scenario Modelling

In collaboration with the HR CoE’s, Business

Partners and technical SME we test scenarios

and formulate interventions to present options

for solutions to the business

Step 5: Finalise and launch

People Strategy

We compile a final agreed People Strategy.

SWP then provides the analysis to support the

review cycle and continuing Programme

Management to ensure we realise the benefits

and maintain a fit for purpose/fir for future

strategy


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Shared ownership defines Success


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Workforce Problem Statement

• Ageing workforce

• Average age of an engineer in UK is 56

• Shortfall in engineering talent (dependent

on source) of between 20,000 and 50,000

annually for the next 5 to 10 years

• Competition for engineering talent from industries who are possibly more

attractive and (may) pay better such as oil & gas, mining, construction,

renewables, bio-fuels, nuclear, financial services and consultancies.

• Our geographic locations make it difficult to hire skilled engineering talent “on our

door-step”

• And last, but definitely not least, the potential impact of Brexit


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ObservationsEstablishing a Devonport People Capability

Strategy

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• The resources needed to recruit are

scarce in the market and take time to

develop

• As a result there is a need to ‘grow our

own’ capability via apprenticeship,

graduate programmes, adult upskilling

programmes, cross-industry upskilling

to supplement recruitment

• A greater focus is required on retaining

existing and new employees by reviewing

our employment offering, providing clear

career development and progression and

retaining knowledgeable employees in

coaching roles.

Band reflects 5% - 7% attrition.

Gap of 3600 based on 7%

Gap of 2890 based on 5%

Band reflects potential growth

increase of 1900 to a 5500 gap

(conversion of agency to staff and

removal of overtime from utilisation

rates)


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• Recruitment via the

Manpower RPO will

continue

• Standard recruitment

volumes will reduce over

the 7 year period as we

focus on building our

own capability

• Apprenticeships will be diversified to ensure we are getting the

right levels of people to meet requirements

• Level 2 programmes will be introduced will lower entry

requirements to target those who may want to remain in

industrial roles

• Investment in the Babcock Academy will enable higher volumes

of apprentices

• Broaden our apprenticeship offering to cover areas such as

project controls and procurement & supply chain

• Introduction of ‘marinisation’ enables us to

recruit people with the right qualifications and

abilities from other industries and train them in

nuclear/ marine work

• Introduction of adult apprenticeships enables

us to recruit people with the experience

required to train and develop them into skilled

roles

• Bridge the demographic gap at mid career

level

• Agency levels are assumed to remain static (not

increase in line with growth)

• Agency support will need to be reviewed once a

Devonport outsourcing strategy is established

and IR35 legislation changes have been actioned

and the impact is understood

• Volumes of graduates will increase

• Programmes to be reviewed to ensure we

optimise the apprentice levy

• Programmes need to be reviewed to

ensure placements at the end of the

programme fulfil the business

requirements

Sourcing Strategy• Site wide Outsourcing strategy needs to

be considered and integrated

• This will have an impact on the sourcing

strategies going forward


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Buy (Long Term Hire) Hiring New (external) Permanent Talent from the market

Borrow (Short Term Hire) Hiring New (external) Contingent Talent from the market either as contract workers or sub contracted

Build (Recruit to Train) Developing capability for existing employees and through Graduate and Apprentice programmes, or

adult upskilling and re-skilling

Bump (Transfer/ Train)Promotions and succession (identification and development of talent) focusing on both technical and

leadership capability

Bind (Retrain/Retain)Retaining critical employees, retraining and upskilling our existing workforce and ensuring knowledge

transfer from those leaving

Bounce (Re-Locate) Either re-locating the work to where there is a large supply of skilled people or re-locating people from

those geographies

Bail (Remove) Removing unproductive workers as well as those whose skills are no longer needed (and can’t be

easily re-trained onto core skills)

Bots (Technology &

Innovation)

Realising the potential of new technology and innovation to deliver increased productivity and new

ways of working

Interventions & The “8B’s” of SWPOne common language when developing our People Strategy


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Delivering the 8 B’s Responsible areas and

Enabling Infrastructure8 B’s Area Responsible for Delivery Enabling Infrastructure

Buy HR CoE - Resourcing

• Resourcing Team

• Manpower RPO

• External Recruitment Branding

Borrow HR CoE - Resourcing • Manpower MSP

Build

HR CoE – Learning, Training and

Development

HR CoE – Talent & Early Careers

• “Babcock Academy”

• Partnering with educational / training organisations

• On the job training

• Internal mentor population

• Apprenticeship Levy

Bump

HR CoE – Talent

HR CoE – Learning, Training and

Development

• Fit for purpose performance management structure

• Progression through Career Paths & recognition of

technical mastery

Bind HR CoE – Reward

HR CoE - Talent

• FFP Reward framework

• FFP Employee Value Proposition

Bounce HR – Reward & Mobility • Technology (and willingness) to support remoter working

• Capable line management population

Bail HR - ER • FFP performance management framework

“Bots”Potential CTO

HR CoE – L&D• To be determined

All

interventions

are built in

consultation

with Senior

HR Business

Partners and

the respective

Capability

Leads for the

job family.


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Prioritising Roles for SWP

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Criticality• Roles are defined as Critical / Non-Critical based on business impact of the role – some roles we must have in the organisation

regardless of mode of engagement.

• How comfortable are we potentially outsourcing critical functions? What would be the customers view?

Time to

Competence• Roles with a long lead-time to competence potentially need to be prioritised first as we lack the time to develop the re internal capability

we need over the short term

Scarcity• Roles where there is “Absolute scarcity” – the skills we need (at any scale) are hard to find

• Roles where there is “Scarcity at scale” – the volume of skilled individuals we need is hard to find

• Roles where there is “geographic scarcity” – and how much of that is in our control

Internal Supply

• Can we transfer skills from elsewhere?

• Can we promote into these roles or by promotion and create opportunities for new entrants?

• Can we cross-skill, upskill or re-skill into these roles?

• Current levels of engagement / attrition / demographics

• What is the enterprise-wide picture for contingent demand for this role?

Sustainability

• Over what period do we require this skills?

• Is it emergent and will be replaced by permanent resource in time?

• Is it a skill/role that will change significantly due to other factors (i.e technology)?

• Is this a skill that over the medium/long-term we will no longer require?


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External Analysis

13


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Job Catalogue

14


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Project Management Job Catalogue Example

15

an introduction to strategic workforce planning (swp)

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