Sunday, April 13, 2008

The Importance of Resource Planning and Acquisition Policies

Organizational policies are the policies of the performing organization regarding staffing and the rental or purchase of supplies and equipment. These policies must be considered during resource planning to ensure that your project will run as smoothly as possible.

Organizational policies are the result of tried and true business practices. Company policies can encompass a wide range of issues from employee benefits to resource acquisition.

Staffing issues are covered by your company's human resource policies. A collective bargaining agreement is a factor that might affect your company's policies. These agreements place restrictions upon employers concerning hours of work, wages, and job security. They can determine overtime, vacation pay, and safety standards. Consider the example of Kurt, a project manager for an appliance manufacturer.

Another example of staffing policies are company hiring policies. These policies may include equal opportunity programs, internal hiring practices, and educational requirements.

Not abiding by these policies can lead to employee dissatisfaction, high employee turnover, and even lawsuits. To avoid these potentially debilitating problems, you will want to commit your organization's staffing policies to memory.

The other policy areas of interest to resource planners are organization's equipment and materials policies. These policies specify how you are to acquire resources from suppliers.

For example, your company may have policies:
  • requiring that all suppliers be approved by the Quality Assurance department
  • listing preferred suppliers from which you must choose
  • regarding each step of the acquisition process.
Other policies may exist to help you decide whether to rent or purchase the necessary materials and equipment. If a project requires equipment or materials for a short period of time, a company may determine it is cheaper to rent rather than purchase the equipment or materials.
Each step of acquiring resources may have an accompanying policy. Make sure you know what your company has determined regarding these resource decisions before you begin. Failure to abide by resource acquisition policies can destroy hard-won relationships with favored long-term suppliers and may result in significant increases in supply costs which could result in project budget overages.

Organizational policies act as a guide to ensure a quality project. They help your project run more smoothly because everyone knows what is expected in terms of resource planning and acquisition. In addition, these policies serve to protect against the negative effects of not abiding by policy, which can include employee lawsuits, damaged relationships with long-term suppliers, and increased project costs.

1 comment:

Megan Parks said...

Human resources planning is a crucial factor of a company's success, along with many others, obviously. I don't think we need to discuss its' importance, but try to figure out how to make it easier for us - all the HR people. With a simplified dynamics 365 licensing guide you can choose the perfect software option, which can help you handle the planning better.