Workforce Planning Theory 

The theory behind workforce planning is rooted in strategic management and human capital theory.

It posits that people are a strategic asset and a source of competitive advantage. 

The core theoretical concept is that by systematically aligning human capital with organizational strategy, a firm can achieve superior performance and mitigate risk. 

It draws from economics (supply and demand), finance (ROI, risk management), and psychology (motivation, skills acquisition). 

Theory provides the “why” and the foundational models, while practice adapts these concepts to the messy reality of organizational life to create value.