LATEST NEWS

Important information to hire better and build your career from the experts in human capital.

Categories

Why Is Strategic Workforce Planning More Important When Hiring Gets Harder?

Strategic workforce planning becomes more important when recruiting gets harder because organizations have less room to treat talent needs reactively. By forecasting capabilities, identifying workforce risks, and aligning hiring with business priorities, leaders can address talent gaps earlier and build a workforce better prepared for changing business demands.

The hiring market has changed, but the need for specialized talent has not disappeared.

SHRM’s 2025 Talent Trends research found that 69% of U.S. organizations surveyed reported difficulty recruiting for full-time regular positions. Among organizations experiencing recruiting challenges, 51% cited too few applicants, while competition from other employers and candidate ghosting were also significant obstacles.

At the same time, the skills organizations need are changing. SHRM found that 28% of organizations said full-time roles they had hired for required new skills, and 47% of those organizations were modifying existing roles to incorporate new skills.

The takeaway for business leaders isn’t simply that recruiting is difficult.

It’s that workforce strategy needs to begin before the job opening does.

Key Takeaways

  • 69% of organizations surveyed by SHRM reported difficulty recruiting for full-time positions in 2025.
  • Workforce planning starts with business objectives and the capabilities required to achieve them—not simply current vacancies.
  • Skills requirements are evolving, making capability planning increasingly important.
  • Employers can consider multiple ways to address workforce gaps, including hiring, developing existing employees, redeploying talent, and using flexible workforce models.
  • Labor-market and internal workforce data can help leaders identify risks earlier.
  • Alignment turns workforce strategy into business performance.

What Does Today’s Hiring Data Tell Business Leaders?

Today’s hiring data suggests that recruiting difficulty persists even as the overall labor market changes. That means employers should distinguish between broad labor-market conditions and the availability of the specific skills, experience, and capabilities their organizations require.

SHRM’s finding that 69% of surveyed organizations experienced difficulty recruiting full-time employees deserves context. Recruiting difficulty has actually declined from the unusually high 91% reported in 2022, but it remains significant.

Meanwhile, the broader U.S. labor market has been shifting. Bureau of Labor Statistics data show that U.S. job openings averaged approximately 7.1 million during 2025, down by 571,000 from 2024.

Those two findings can coexist.

A cooling or changing labor market does not automatically mean every employer can easily find the talent it needs. Hiring conditions vary considerably by occupation, industry, geography, skill set, compensation, and other factors.

SHRM, for example, found that skilled-trades employers reported technical-skills challenges at higher rates than employers in many other industries.

For executives, that makes a broad question such as “Is it easier to hire right now?” less useful than more specific questions:

  • Which capabilities are most important to our business?
  • How available are those capabilities in our target labor markets?
  • Which positions are consistently difficult to fill?
  • Where could a vacancy create operational or revenue risk?
  • Which capabilities will become more important over the next 12, 24, or 36 months?

Those are workforce strategy questions—not simply recruiting questions.


Why Can Reactive Hiring Create Business Risk?

Reactive hiring can create risk because recruiting begins only after the organization has an immediate need. When critical talent is scarce, that can leave businesses with fewer options, longer capability gaps, additional workload on existing employees, or pressure to make hiring decisions faster than they would prefer.

Traditional workforce planning can easily become an exercise in headcount.

A department loses an employee. A requisition is opened. Recruiting begins. A replacement is found.

That process may be appropriate for some positions, but it doesn’t necessarily answer a more strategic question:

Does replacing yesterday’s position build the workforce the organization needs tomorrow?

Strategic workforce planning approaches the problem differently.

Reactive Hiring Strategic Workforce Planning
Begins with an open position Begins with business objectives
Focuses on immediate vacancies Focuses on future capabilities
Responds to skill gaps Identifies potential gaps earlier
Often replaces existing roles Reassesses what capabilities are needed
Primarily measures recruiting activity Connects workforce decisions to business outcomes
Asks “Who do we need now?” Asks “What will we need next?”

Neither approach eliminates uncertainty. No organization can perfectly predict future workforce demand.

The advantage of strategic planning is optionality.

Leaders can identify potential talent constraints early enough to consider multiple solutions rather than relying on one urgent external search.


How Can Organizations Build a More Strategic Workforce Plan?

Organizations can strengthen workforce planning by connecting business priorities to future capabilities, identifying workforce risks, analyzing internal and external talent supply, and choosing the appropriate combination of hiring, development, redeployment, and flexible talent solutions.

The process doesn’t have to begin with a massive transformation initiative.

It can begin with five questions.

1. What Capabilities Will Our Business Strategy Require?

Workforce planning should start by translating business objectives into capabilities. Instead of asking only how many employees the organization will need, leaders should determine what knowledge, skills, experience, and specialized expertise will be required to execute the strategy.

Consider an organization planning to automate a manufacturing operation.

The workforce conversation isn’t simply:

How many employees will we need?

It becomes:

What technical capabilities will we need to operate, maintain, optimize, and manage a more automated environment?

That shift matters because jobs themselves are evolving.

The World Economic Forum’s Future of Jobs Report 2025 found that employers surveyed globally expect nearly 40% of skills required on the job to change by 2030. The report also found that 63% identified skills gaps as a major barrier to organizational transformation.

The exact impact will vary significantly by organization and industry, but the direction is clear: workforce planning increasingly needs to consider capabilities, not just headcount.


2. Where Are Our Most Significant Workforce Risks?

Workforce risk is concentrated where talent is critical to execution but difficult to replace, develop, or access. Identifying these positions and capabilities early allows organizations to prioritize succession, recruiting, retention, cross-training, and contingent workforce strategies.

Not every vacancy carries the same business impact.

A strategic workforce assessment can examine factors such as:

Business criticality: Which roles directly affect production, customers, revenue, compliance, innovation, or strategic initiatives?

Talent scarcity: Which capabilities are particularly difficult to find in the external market?

Time to proficiency: How long does someone need to become fully productive?

Concentration of knowledge: Is essential institutional or technical knowledge held by only one or two people?

Succession exposure: What happens if a key employee leaves unexpectedly?

Future demand: Which capabilities will the organization need more of as its strategy evolves?

This creates a much more useful picture than simply looking at an organizational chart.

It shows leaders where talent issues could become business issues.


3. Which Capabilities Should We Build, Buy, Borrow, or Redeploy?

Not every workforce gap requires a permanent external hire. Organizations can evaluate whether capabilities should be developed internally, recruited externally, accessed through contract or project talent, or filled by redeploying existing employees.

This is where workforce strategy becomes more flexible.

For example, an organization may decide to:

Build capabilities by upskilling employees.

Buy capabilities through direct hiring.

Borrow capabilities through contract staffing, consulting, or project-based talent.

Redeploy employees whose existing skills can address needs elsewhere in the organization.

The appropriate solution depends on factors such as urgency, talent availability, cost, project duration, strategic importance, and whether the capability will be needed permanently.

SHRM’s research provides an important signal here. More than one-third of organizations reported training existing employees for hard-to-fill roles, demonstrating that employers are already looking beyond external recruiting to address talent shortages.

The strategic question becomes:

Are we automatically opening a requisition—or deliberately choosing the best way to access the capability?


4. How Can Skills-Based Planning Expand Talent Options?

Skills-based workforce planning focuses on what people can do rather than relying exclusively on job titles, degrees, or traditional career paths. It can help organizations identify transferable capabilities among existing employees while potentially expanding the external talent pool for hard-to-fill positions.

This is especially relevant as jobs evolve.

SHRM’s skills-first research defines skills-first talent management as evaluating people based on their skills and competencies throughout the talent lifecycle, regardless of where those capabilities were acquired.

For workforce leaders, this can mean reconsidering whether every historical qualification remains essential.

Ask:

Does the position truly require a specific degree?

Are years of experience the best predictor of capability?

Could adjacent industry experience transfer successfully?

Which technical competencies are non-negotiable?

Which capabilities can be developed after hiring?

Are internal employees being overlooked because their current job titles don’t reflect their potential?

Removing unnecessary barriers does not mean lowering standards.

It means becoming more precise about what the standard actually needs to be.


5. Are Workforce Investments Aligned With Business Priorities?

Strategic workforce planning is most effective when talent investments directly support the organization’s highest-priority business objectives. Leaders should understand why positions and capabilities are needed, what outcomes they support, and where workforce investment can have the greatest business impact.

This is the point where workforce strategy becomes business strategy.

If an organization’s priorities include entering a new market, implementing automation, expanding production, strengthening cybersecurity, launching a new product, or transforming customer experience, its workforce plan should reflect those priorities.

Hiring decisions made independently of the business strategy can create misalignment.

Organizations may continue investing in capabilities that mattered yesterday while struggling to build those required tomorrow.

A useful planning sequence is:

Business Strategy → Capability Requirements → Workforce Supply → Gaps & Risks → Talent Strategy → Business Outcomes

That connection creates clarity around where recruiting fits—and where another solution may be more appropriate.


How Can Workforce Data Improve Strategic Planning?

Workforce data helps organizations move from assumptions to more informed decisions. Combining internal workforce information with external labor-market intelligence can provide leaders with better visibility into turnover, skills, talent availability, compensation, recruiting difficulty, and emerging workforce risks.

Internal data can help answer questions such as:

Which positions experience the highest turnover?

Which jobs take longest to fill?

Where do we have succession gaps?

Which teams rely heavily on overtime?

Which skills exist internally?

Where are we consistently losing candidates?

External labor-market data can add another dimension.

Organizations can evaluate:

  • Talent availability by geography
  • Market compensation
  • Competitor demand
  • Emerging skills
  • Occupational trends
  • Labor-force conditions
  • Hiring difficulty

The goal isn’t to accumulate more dashboards.

It’s to make better workforce decisions earlier.


How Far Ahead Should Organizations Plan Their Workforce?

The appropriate planning horizon depends on the business, but workforce planning should extend far enough to influence decisions before talent needs become urgent. Many organizations benefit from examining immediate needs alongside 12-, 24-, and 36-month capability requirements.

Near-term planning can focus on known hiring requirements, turnover, projects, and capacity constraints.

Longer-term planning can consider growth plans, technology investments, retirements, geographic expansion, succession, and emerging capabilities.

Because forecasts become less certain over time, organizations should avoid treating long-term workforce plans as fixed predictions.

Instead, consider scenarios.

What happens if demand grows faster than expected?

What if a major project accelerates?

What if a critical skill becomes harder to find?

What if automation changes the capabilities required?

What if business conditions slow?

A workforce strategy that considers several plausible scenarios can help leaders respond faster when conditions change.


What Does a Proactive Workforce Strategy Look Like?

A proactive workforce strategy gives leaders visibility into what capabilities the organization has, what it is likely to need, where gaps may emerge, and what options are available to address them. The goal isn’t perfect prediction—it’s better preparation.

That distinction is important.

Strategic workforce planning cannot eliminate labor-market volatility, prevent every resignation, or guarantee that every difficult role will be filled quickly.

What it can do is give organizations more time and more choices.

Instead of waiting for a critical vacancy, employers can build pipelines.

Instead of discovering a skills shortage during a transformation initiative, they can begin developing capabilities earlier.

Instead of assuming every need requires a permanent employee, they can evaluate different workforce models.

And instead of treating talent acquisition as an isolated HR function, they can connect workforce decisions directly to business priorities.

Alignment turns workforce strategy into business performance.


How Can The Panther Group Support Strategic Workforce Planning?

The Panther Group helps organizations connect workforce needs with business priorities through specialized recruitment, contract staffing, workforce solutions, and HR consulting. The objective is not simply to fill positions, but to help employers determine how talent can best support where their business is going next.

Today’s talent challenges require more than faster recruiting.

They require clarity around the capabilities that matter, expertise in the markets where those capabilities exist, and a workforce strategy flexible enough to respond as business conditions change.

Whether the challenge is an immediate hard-to-fill position or a longer-term workforce requirement, the starting point is the same:

What does the business need to accomplish—and what workforce will make it possible?

Plan ahead. Align talent with strategy. Build for what’s next.

Learn more at thepanthergroup.com.


Frequently Asked Questions About Strategic Workforce Planning

What is strategic workforce planning?

Strategic workforce planning is the process of aligning an organization’s future workforce capabilities with its business objectives. It typically involves analyzing the current workforce, forecasting future requirements, identifying talent or skills gaps, and developing strategies to address those gaps.

How is workforce planning different from recruiting?

Recruiting focuses primarily on attracting and hiring candidates, while workforce planning determines what talent and capabilities the organization will need and how those needs should be addressed. Recruiting is one component of a broader workforce strategy.

Why is workforce planning important when hiring is difficult?

Workforce planning gives organizations more time and more options. Instead of beginning after a critical position becomes vacant, employers can anticipate potential needs, develop talent pipelines, upskill employees, evaluate flexible workforce models, and prioritize high-risk capabilities.

What data should organizations use for workforce planning?

Useful workforce-planning data can include turnover, time-to-fill, skills inventories, retirement eligibility, internal mobility, compensation, talent availability, occupational trends, and business forecasts. The right metrics depend on the organization’s strategy and workforce risks.

Can strategic workforce planning help with skills shortages?

It can help organizations identify potential shortages earlier and evaluate multiple responses. These can include recruiting, reskilling, upskilling, internal mobility, succession planning, contract staffing, project-based talent, and redesigning roles around essential skills.

How often should a workforce plan be updated?

Workforce planning should be an ongoing business process rather than a once-a-year exercise. Organizations should revisit assumptions as business priorities, economic conditions, technology, talent availability, and skill requirements change.

How Can The Panther Group Help?

The Panther Group helps organizations navigate workforce challenges through specialized recruitment, contract staffing, workforce solutions, and HR consulting. As Experts in Human Capital, our team works with employers to connect talent strategy with business priorities and build stronger, more adaptable workforces.

Contact our team to start the conversation

Facebook
Twitter
LinkedIn
Email
Skip to content