Resources are finite, therefore an organization must manage them effectively and have plans in place to scale them up or down as required. This complex subject is often the root cause of major issues within organizations as they strive to make the best use of their resources.


  • Resources are anything an organization requires to operate that are in some way limited
  • Limits can be time based, volume based due to external factors
  • Resource limitations are constantly changing
  • Surprises will happen in small organizations there is little you can do about this, but when a rapid change happens – react quickly in line with a contingency plan written ahead of time if possible


  • Forecasts can take so long to create that they are incorrect once published
  • Forecasts should be based from a consistent start point, turnover projections, order book, prior years sales or activity with seasonal trends – something external that drives the company that you monitor
  • To learn how to create a good forecast base look to prior years when the complete data set is known – but with care as prior performance is not a great indicator of future need
  • Review forecasts regularly and have scenarios in place, what if event X happens – what is the resource response

When to change

  • The moment resources are seen to be impacting performance you are too late, this applies when increasing workload
  • The moment you have spare resource when workload is decreasing, you are too late
  • It is entirely true that organizations hire too late and reduce resources too late – the practical solution is to be brutally honest in your forecasting and commit as a management team to act upon the information at hand