Based on the present staff and existing organization, human resource departments usually use trend analysis to establish future human resource supply forecasts. Trend analysis provides essential data on how turnover impacts the workforce and can help to predict the supply of workforce that may be available in the future.
Typically, trend analysis data include turnover data, transfers, promotions, years of service, new-hire retention rate, and hiring and retirement patterns. This data is essential in making critical decisions in maintaining an active and productive workforce. Trend analysis also helps an organization plan in advance for future projects and allocate tasks efficiently.