When compared to job management, which is more employee-centric and less structured, position management demands a more holistic approach. Position management is the process of defining the roles that make up your organization and aligning these roles to strategic goals. This results in a systematic alignment of HR processes like workforce planning, budgeting and internal mobility.

Position management helps to maintain your organizational structure, ensuring that hierarchical relationships remain intact even when employees change roles or leave the company. For example, if the VP of Finance is vacated, that role can still be filled without breaking the chain of command. This means that any requests or approvals can flow up to the next person in line, avoiding any workflow disruptions.

Another benefit of effective position management is that it provides a clearer picture of how your organization will grow. By analyzing the current state of your workforce, you can identify any gaps or redundancies and create new positions that align with your strategic goals. This allows you to plan for future talent needs, preventing budgetary overruns and maximizing your ROI.

Finally, position management also makes it easier to develop a rewarding career framework for your employees. Many people will leave your business if they feel stuck or unfulfilled in their current role, so it’s important to provide opportunities for upward mobility. If you don’t have a position management system in place, it can be difficult to identify available seats and promote the right people.