HRM Group 3
HRM Group 3
On
HR PLANNING FOR SEASONAL INDUSTRIES
perspective)
perspective)
Human resource planning (HRP) is the continuous systematic planning process to achieve
optimum use of an organization's most valuable asset quality employees. HR planning ensures
the best fit between employees and jobs while avoiding manpower shortages or surpluses.
There are four key steps to the HRP process. They include analysing present labour
supply, forecasting , balancing projected labour demand with supply, and supporting
organizational goals. HRP is an important investment for any business as it allows companies to
remain both productive and profitable.
KEY TAKEAWAYS
Human resource planning (HRP) is a strategy companies use to maintain a
steady supply of skilled employees while avoiding staffing shortages or
surpluses.
HRP needs to meet short-term staffing challenges while adapting to changing
conditions in the business environment over the longer term.
Having a good HRP strategy in place can mean productivity and profitability
for the company.
HRP is made harder by the fact that not everything can be predicted.
There are four general steps in the HRP process: identifying the current supply
of employees, determining the future of the workforce, balancing between
labour supply and demand, and developing plans that support the company's
goals.
1
traditional industries with consistent workforce needs, seasonal industries require a strategic
approach to ensure the timely availability of skilled employees while minimizing the risks of
overstaffing during off-peak periods.
HRP in seasonal industries focuses on aligning workforce strategies with business cycles. It
involves not only the recruitment and retention of seasonal employees but also managing the
transitions between peak and non-peak seasons. By effectively planning for labor needs,
organizations can enhance operational efficiency, maintain service quality, and optimize labor
costs. (investopedia, n.d.)
Key considerations in HR planning for seasonal industries include understanding labor market
trends, managing employee turnover, and creating a pipeline of skilled workers for recurring
seasonal roles. Additionally, HR planning must address challenges such as training and on
boarding new hires quickly, maintaining organizational culture with a transient workforce, and
ensuring compliance with labor laws related to seasonal employment. HR planning for seasonal
industries can help with:
Building a strong organizational culture: An annual HR plan can help build and
maintain a strong organizational culture by boosting productivity, engagement, and
retention.
Some steps in the HR planning process include:
Analysing organizational objectives
2
Inventorying current human resources
Forecasting demand
Estimating gaps
Formulating a human resource action plan
Integrating and implementing the plan
Monitoring, controlling, and providing feedback
Some examples of HRP in action include:
An e-commerce business that forecasts the need for more IT capacity during peak seasons.
A design agency that identifies higher demand for digital media and develops strategies to
upskill its employees.
A law firm that develops internal leadership candidates and recruits external talent to prepare for
employee retirements.
In essence, HR planning for seasonal industries is about building flexibility and resilience into
workforce management. This enables companies to thrive during high-demand periods and
sustain operations during quieter months, ultimately contributing to business growth and
success.
In this context, it is imperative to highlight that seasonal industries have varying and
unpredictable cycles in their sphere of business that necessitate an appropriate and competent
workforce. The precise number of employees necessary varies widely depending on the industry,
however, the following factors are more likely to be present in the majority of them:
3
Adaptability: Description of the required positions, knowledge, and skills: These tasks
assume that seasonal laborers can quickly acquire new skills and work in a variety of
schedules and workloads.
Reliability Seasonal workers may be called upon to cover many long hours including
weekends, thus the aspect of time management and self-discipline is of utmost
importance.
Positive Attitude: Seasonal workers are required to possess a favorable and customer
service-oriented mind especially in instances where they are exposed to customers.
Physical Fitness: Some other types of seasonal industries like farming and construction
also requires a lot of energy and ability to work under hard conditions. (GCstaffing, n.d.)
Tourism:
Agriculture:
Workforce forecasting
Workforce forecasting is a component of workforce management where the future staffing
requirements are estimated. This is very useful for seasonal businesses as it projects the
requirements of labor during peak weeks as well as low weeks. It guarantees sufficient staffing,
reduces costs, ensures efficiency in the allocation of resources, and shortens the time required for
recruitment, while also being responsive to changes in the marketplace. There are two types of
workforce forecasting:
4
influenced by seasonal cycles, a company’s own initiative changes, and unexpected
events.
Strategic workforce forecasting: This type looks into the future HR requirements of an
organization in the time period of one to five years looking for changes in the internal
objectives, the level of competition and the availability of talent in the market. (zendesk,
n.d.)
Demand Forecasting
This is perhaps the most important and the most fundamental in the estimation of the number of
and the type of personnel that will be required in the future. This answers questions like what
kind of schooling, skills, and work experience will be required for each of these jobs. Demand
forecasting anticipates how many individuals will have to be employed at a given period in the
future. It is significant for a seasonal industry.
(researchgate.net, n.d.)
5
Supply Forecasting
This is the other key of workforce management: determining where your demand will come
from. With supply forecasting, you need to determine what your current supply (your current
workforce) is and what it consists of. Similar to demand forecasting, determine their schooling,
skills, and work experience, but you also want to know how large this supply is. Understanding
what this supply looks like will help you determine what your demand will be. (eddy, n.d.)
Tools and methods used for workforce demand and supply forecasting
Effective workforce planning is necessary in organizations so as to enhance operational activities
and strategic objectives. There are quite a few tools and methods that are often used for
workforce demand and supply forecasting such as:
Qualitative Methods:
6
Delphi method questionnaire example.
Quantitative Methods:
Trend analysis: This involves the use of past periods’ data to estimate the future demand
of, for example, a workforce. It assists in determining future requirements based on
certain past occurrences.
Ratio analysis: This forecasting technique would aid the organization in decision-making
with reference to placing employment needs for the projected employee requirements. In
determining the need for employees, the company may, for example, measure the
7
relationship between sales and employees.
8
Technological Tools:
Recruitment Techniques
1. Start Early and Plan Strategically: One to three months prior to busy times, start the hiring
process. Alignment with company needs is ensured by strategic planning with internal
departments, including marketing and human resources.
2. Target the Right Talent Pools: To draw in students, part-timers, or retirees, use social media
sites and neighborhood employment boards. You can increase your reach by attending job fairs
or collaborating with regional chambers of commerce
9
According to Asian development bank, With 30% of the workforce in agriculture moving to
temporary non-agricultural work during off-seasons, targeted recruitment strategies for these
groups can yield success. (Asian Development Bank, 2016)
3. Rehire Previous Employees: Training time and expense can be decreased by keeping a
database of dependable seasonal workers. Returning employees can receive loyalty bonuses from
many companies.
According to Asian development bank Retention of prior seasonal workers is cost-effective. The
garment industry often rehired over 25% of its seasonal workforce in 2023. (Asian Development
Bank, 2016)
4. Use Referral Programs: Provide incentives to current staff members who recommend
possible recruitment. Higher-quality prospects are frequently the result of referrals.
Training Approaches
10
reduced training ramp-up periods by nearly 40% in recent initiatives. (Asian
Development Bank, 2016)
1. Flexible Scheduling: Make use of scheduling software to take into account the other
obligations of seasonal workers, which will increase attendance and morale. Flexible
work arrangements in agriculture and retail have decreased absenteeism by 10–15%.
(Trading Economics, 2024)
2. Competitive Compensation: To attract and retain talent, employers can provide higher
compensation during periods of strong demand in addition to performance bonuses or
benefits like discounts. According to TBS News Seasonal workers in Bangladesh earned
15–20% more during peak demand, improving attraction and retention. ( TBS News,
2024)
3. Inclusion and Engagement: Treat seasonal employees as essential team members by
holding social events, regular feedback sessions, and recognition programs. According to
Asian Development Bank Regular feedba.ck and inclusion initiatives, like in garments,
improved retention by 20%. (Asian Development Bank, 2016)
4. Upskilling and Future Opportunities: Providing training in transferable skills or clear
pathways to permanent roles motivates seasonal employees to perform well and consider
long-term association with the company. According to Trading Economics Upskilling
seasonal workers led to permanent job transitions for 10% in key sectors like IT and
textiles. (Trading Economics, 2024)
High Competition for Talent: Seasonal industries often overlap in their hiring periods,
making it difficult to attract workers from a limited labor pool.Competitive wages,
bonuses, and flexible work arrangements are necessary to stand out.
Short Recruitment Timelines: Hiring must often be done within a very short window
before peak seasons. This urgency can lead to rushed hiring processes and potentially
unsuitable hires. Solutions include starting recruitment earlier and building a database of
11
past seasonal workers for quick rehiring. Recruitment databases helped speed up hiring
in export manufacturing by 25% during 2023. (Trading Economics, 2024)
High Turnover: Seasonal employees often lack long-term commitment and may leave
prematurely if better opportunities arise. This results in ongoing recruitment needs and
added costs for onboarding replacements. According to TBS News Offering end-of-
contract bonuses in sectors like garments reduced turnover by 15%. ( TBS News, 2024)
Unpredictable Demand: Fluctuations in demand make workforce planning challenging.
Overstaffing increases costs, while understaffing can harm customer satisfaction.
Leveraging historical data and workforce management tools can help predict staffing
needs more accurately. Historical demand data in agriculture helped reduce under- and
over-staffing by 10–20%. (Asian Development Bank, 2016)
Limited Time for Training: Compressed timelines often result in insufficient training
for new hires, impacting productivity and service quality. Implementing digital
onboarding tools, concise role-specific training, and shadowing programs can improve
preparedness. Digital onboarding tools in Bangladesh reduced preparation time by 30%. (
TBS News, 2024)
Logistical Challenges: Organizing shifts, managing payroll, and handling administrative
processes for a large number of short-term workers can overwhelm HR teams.
HR tech solutions that automate scheduling, payroll, and communication can streamline these
processes. Trading According to Economics HR automation tools streamlined payroll and shift
management, cutting administrative burdens by 40%. (Trading Economics, 2024)
Based on particular seasons and employment, seasonality has a significant impact on industry.
Human resource (HR) managers must invest extraordinary resources in hiring, educating, and
retaining employees since this generates a cyclical employment situation. This case study
examines, from a global and Bangladeshi perspective, the practical consequences of HR planning
in the seasonal business. Savoy Ice Cream Company has been chosen for Bangladesh perspective
and Atlantic Canada Tourism Industry for worldwide viewpoint analysis.
12
Figure: HR process
Bangladesh Perspective
A well-known ice cream manufacturer, Savoy Bangladesh has been satisfying consumers with its
superior, creamy, and delectable ice cream goods. Savoy has established a solid name in the
Bangladeshi market by emphasizing the use of premium products and creative flavors. Their goal
is to make every customer happy by providing exceptional quality, service, cleanliness, and
value.
The mission of Savoy is to offer ice creams that capture the finest aspects of nature. Quality
products from natural sources, innovation, sustainability, and customer happiness are the
objectives. The company's vision and mission serve as the foundation for the HR process.
The HR process's fundamental steps are:
Staffing:
Strategic Planning:
It is the process of allocating department's resources, initiatives, and procedures to place the best
candidates in the most advantageous positions in order to maximize company value.
13
In the cutthroat ice cream market of Bangladesh, Savoy Ice Cream, which is run by Sena Kalyan
Sangstha (SKS), has difficulties growing its business and enhancing its market positioning. A
streamlined HR strategy plan to meet its goals is provided below:
Goal: To compete with bigger competitors, raise manufacturing capacity from 1,600 liters per
day to 3,000 litres per day in two years.
Plan: Recruit and train a further 25% of operational personnel, emphasizing qualified workers for
quality assurance and machine operations.
Strategy: To improve product quality and brand perception, implement twice-yearly training
programs for all employees that concentrate on customer service and production efficiency.
Strategy: Implement career development programs and performance-based bonuses with the goal
of reducing yearly employee turnover by 10%.
Cost Management Goal: Strike a balance between financial sustainability and HR investment.
Strategy: Set aside 5% of the yearly budget for HR-related tasks, making sure that hiring,
training, and benefits are all done efficiently.
Metrics in Numbers, By 2026, the turnover rate should have decreased from 15% to 10%.
Productivity Gains: By 2025, aim for a 20% increase in production output per worker.
By 2026, the employee satisfaction score should reach 85% thanks to frequent surveys and
feedback systems.
14
Recruiting:
They select the candidates on the basis of experience sometimes they prefer much innovative
person who can think out of the box. They mainly focus on launching unique item with
nutritional value. For example - for the first time in Bangladesh they introduced Shahi Khir and
Jalpai Ice-cream.
A recent post by a Facebook user named Shakil Ahamed has gone viral, bringing attention to
Savoy Ice Cream's thoughtful HR practices.
According to Shakil, Deputy Manager (Accounts & Finance) at Standard Engineers Ltd, a civil
engineering firm, job candidates at Savoy Ice Cream received an envelope at the end of their
interviews.
Inside each envelope was 1,000 taka and a note from the HR department that acknowledged the
candidates' interest and effort. The note read: "Dear Candidate, We appreciate your interest in
Savoy Ice Cream Factory Ltd and the effort you put into the interview process. It was a pleasure
to meet you and learn more about your experiences and qualifications… We wish you all the best
for the bold journey that you have embarked on. Best regards, Human Resource Department,
Savoy Ice Cream Factory Ltd."
Farhan Ishraq Abir, Senior Brand Executive at Savoy, confirmed that this was not a one-time
event but part of the company's regular HR policy.
"According to our company's policy, we offer lunch to those who come for a job interview, and
after the interview, we provide an honorarium amount to them as they put in the effort, use their
own transportation, and dedicate their time. This is one of their remarkable strategy at the
process of staffing (Business Standard)
15
(Business Standard, 05 November, 2024, 11:45 pm)
Motivation:
The motivation behind Savoy Ice Cream Company is to create high-quality frozen treats that
bring joy and satisfaction to every customer, while continuously innovating and embracing new
flavors to enhance the ice cream experience.
Job Design: Savoy Ice cream Company design their job focusing on creating roles that
are both engaging and aligned with employees' skills. The company designs jobs that not
only match the employee's capabilities but also offer opportunities for personal growth.
Feedback mechanisms are integrated into roles to guide performance improvement. This
approach enlarge job satisfaction, motivates employees, and promotes a positive work
environment.
Employee performance appraisal: Employee Performance at Savoy Ice-cream
Company is a comprehensive process designed to assess individual contributions and
support career development. Employees are evaluated annually based on key
16
performance indicators (KPIs) relevant to their assigned task, such as production
efficiency, sales targets, and customer satisfaction. The appraisal includes 360-degree
feedback, accumulating input from managers, peers, and subordinates. This holistic
approach assures a well-rounded evaluation.
Rewards and Compensation: Savoy Ice-cream Company offers a comprehensive
rewards and compensation system to recognize and motivate its employees. This includes
both monetary and non-monetary rewards, such as salary increments, performance
bonuses and "Employee of the Month" appreciation. The company provides health
insurance, paid leave, and a provident fund to ensure financial and personal well-being.
These rewards and benefits are designed to enhance job satisfaction and encourage high
performance.
Employee benefits: Savoy Ice-cream Company is promised to the well-being and
satisfaction of its employees by offering a comprehensive range of employee benefits
designed to enhance their quality of life. The company provides robust health and
wellness initiatives, involving comprehensive health insurance covering employees and
their impelling services. Financial security is a priority, with provident fund
contributions, gratuity schemes, and interest-free loans available for emergencies or
higher education expenses.
Maintenance:
Savoy Ice Cream Company places a strong emphasis on upholding quality using cutting-edge
procedures and technology. It prioritizes innovation in its production, sourcing machinery from
leading global manufacturers. Regular maintenance and adherence to European standards ensure
high-quality, hygienic, and safe ice creams. Their sustainability efforts include environment-
friendly packaging and efficient resource management to maintain operational excellence.
Safety and health: Safety and health are critical components of Savoy Ice Cream
Company’s operations, ensuring the well-being of employees and the smooth functioning
of its facilities. It fosters a safety-first culture by encouraging employees to report hazards
or near-misses, promoting open communication on workplace safety. The company
prioritizes a safe working environment by providing regular training on the proper use of
machinery, handling of hazardous materials, and emergency procedures. Employees are
17
equipped with personal protective equipment (PPE), including gloves, helmets, and
safety goggles, to minimize risks during daily operations.
Communication: Effective communication is a cornerstone of operational success at
Savoy Ice Cream Company. It ensures that all departments work cohesively, enabling
seamless coordination between production, maintenance, and quality assurance teams.
Maintenance teams rely on clear reporting mechanisms, such as digital maintenance
management systems, to document and track issues in real-time. Feedback loops are
another vital aspect, allowing employees to report concerns or suggest improvements
while receiving timely responses. This two-way communication fosters a sense of
collaboration and mutual respect. Besides, the company prioritizes transparency, keeping
employees informed about safety protocols, operational changes, and organizational
goals.
Employee relations: Employee relations play a critical role in fostering a positive work
environment, enhancing productivity, and ensuring organizational success. At Savoy Ice
Cream Company, strong employee relations are built on mutual respect, open
communication, and fairness. The company prioritizes transparent communication
channels where employees can voice concerns, provide feedback, and contribute ideas for
workplace improvements. A systematic approach to conflict resolution makes sure that
disagreements are settled quickly and equitably to preserve peace at work. In addition to
improving job happiness, Savoy Ice Cream Company cultivates a devoted and devoted
team by cultivating positive employee interactions.
Savoy Ice Cream Factory Limited employs 178 employees. The Savoy Ice Cream Factory
Limited management team includes A Ayes Ashiqul Alam (Head Of Modern Trade and Corporate
Sales (Ice-cream, Chocolate and Essential products), Haseeb Ahmed (Director), and Kamal
Sharma (Director - Operations)
18
Figure: Number of employee of savoy company (rocketreach.co/savoy-ice-cream, n.d.)
Challenges:
Seasonal Workforce Demand: Demand for ice cream surges during summer, requiring a
larger workforce for production, logistics, and sales. Conversely, the off-season results in
a reduced workload.
Employee Retention: Retaining skilled workers is challenging, as temporary staff often
seek stable, year-round employment.
Training Needs: Seasonal hires need rapid onboarding and training to ensure consistent
quality and productivity.
Workplace Motivation: Maintaining motivation and engagement for both permanent
and seasonal employees is crucial for performance.
19
HRM Strategies Implemented by Savoy Bangladesh:
Flexible Workforce Planning:
Savoy developed a hybrid workforce model with a core group of permanent employees and a
pool of pre-identified seasonal workers. Contracts were streamlined to allow quick hiring during
peak seasons.
Effective Training Programs: The company introduced short-term, intensive training sessions
focused on production efficiency, quality assurance, and customer service to prepare seasonal
workers.
Employee Retention Initiatives: To retain skilled seasonal workers, Savoy offered loyalty
bonuses, priority re-hiring, and career growth opportunities for high-performing temporary staff.
Outcomes:
20
Global Perspective
21
Atlantic Canada's tourism-related industry employment estimate:
22
Conclusion
Human Resource (HR) planning for seasonal industries is critical for maintaining efficiency,
optimizing labor costs, and ensuring a smooth operation throughout the year. As seasonal
industries face fluctuating demand based on seasons, events, or market trends, HR planning must
be flexible and proactive.
Some strategies for effective HR planning in seasonal industries like - Forcasting labour need
which is anticipating staffing requirements based on historical data and market trends to align
workforce size with peak seasons and off-peak times. Flexible Staffing Models which are
Implementing strategies like temporary hiring, part-time work, or on-call labor to meet the
demands during peak periods while reducing costs during quieter times. Training and
Development which is Investing in training programs for seasonal workers ensures that they are
productive quickly and can be retained for future seasons, thereby reducing recruitment and
onboarding costs.
Talent Pool Management which is building a reliable pool of skilled seasonal workers can help
minimize recruitment time and ensure that the workforce is readily available when needed.
Retention Strategies which is creating incentives or benefits for seasonal employees to encourage
return for subsequent seasons can help reduce turnover and the associated costs. Effective
Communication is clear communication about work schedules, expectations, and employment
duration helps improve worker satisfaction and efficiency.
Legal and Compliance Considerations is adhering to labor laws regarding seasonal employment,
including contracts, wages, and benefits, is essential to avoid legal complications. By effectively
implementing these strategies, seasonal industries can not only cope with fluctuating demand but
also maximize their productivity and profitability while maintaining a satisfied and motivated
workforce.
23
References
eddy, [Online] https://eddy.com/
24