Human Resource Planning Part 1
Some facts
HRM= People Dimension in
Management HRM has 4 steps: ATMM (Acquisition, Training and Development, Motivation & Maintenance ) Getting and Keeping good people is critical to the success of every organization whether it be public or
What is HR Planning ?
Human Resource Planning is the process by which an organization ensures that it has the right number and kind of people, at the right places, at the right time, capable of effectively and efficiently completing those tasks that will help the organization achieve its overall objectives.
( Source: Decenzo and Robbins 2000, Personnel/Human Resource Management))
HR/ Manpower Planning is the process of acquiring and
utilizing human resources in the organization. It ensures that the organization has the right number of employees in the right place at the right time.
(Source: Adhikari, Dev Raj, 2001,Human Resource Management )
Employment planning is the process of formulating plans
to fill future openings based on an analysis of the positions that are exppected to be open and whether these will be filled by inside or outside candidates.
( Source: Dessler, G. 2000,Human Resource Management )
Reasons For Manpower Planning
Projection of corporate objectives unto human
resource objectives Forestalling shortage of workers Ensuring sufficient skill pool Employee career development Succession planning Boost human capacity utilization Development of effective attraction and retention systems
Trends that Influence Manpower Planning
Staff Turnover
Employee Advancement
Business Growth New Skill Requirements
Obsolescence of Current Skills
Labour Costs Technological Changes
National Economy
Demographic Changes
Contemporary Steps in Manpower Planning
Ascertain organizational objectives
Determine impact of organizational objectives on each department, section and unit Deaths, Promotions, Resignations, Transfers, Discharges, Retirements Find out the KSA required to achieve stated objectives
Determine type and number of human resources required to achieve stated objectives Ascertain net manpower requirements (Future manpower requirements at specific time less current manpower level) Establish resourcing action for mitigating against gap Recruitment, Selection, Development Skills inventory
Predictabl e changes
Attrition, Discharge
Components of Skills Inventory
Bio-Data Job History
Work Experience
General Education Professional Qualifications Training History Achievements Skills Future Assignments (Company & Personal
Preferences) Medical History
Managing Human Resources
Human Resource (HR) Planning
The process by which managers ensure that they
have the right number and kinds of people in the right places, and at the right times, who are capable of effectively and efficiently performing their tasks.
Helps avoid sudden talent shortages and surpluses.
Steps in HR planning:
Assessing current human resources
Assessing future needs for human resources
Developing a program to meet those future needs
Current Assessment
Human Resource Inventory
A review of the current make-up of the
organizations current resource status
Job Analysis
An assessment that defines a job and the behaviors
necessary to perform the job
Knowledge, skills, and abilities (KSAs)
Requires conducting interviews, engaging in direct
observation, and collecting the self-reports of employees and their managers.
Current Assessment (contd)
Job Description
A written statement of what the job holder does,
how it is done, and why it is done.
Job Specification
A written statement of the minimum qualifications
that a person must possess to perform a given job successfully.
Meeting Future Human Resource Needs
Supply of Employees Demand for Employees
Factors Affecting Staffing
Strategic Goals Forecast demand for products and services Availability of knowledge, skills, and abilities
Why Human Resource Planning is important ?
Linking business strategy with operational strategy:
HRP is an important process to maintain the link between business strategy and it operation. It follows different procedures including the need to assess the impact of technological changes on new jobs and new skills.
Why Human Resource Planning is important ?
Minimizing the risk of losing:
By forecasting the needs of technical and other human resources it can minimize the future risk of losing. Delay in recognizing human resources might be costly and expensive in the future.
(Example: Government run banks are compelled to upgrade own staff by providing latest skills and knowledge to them to compete with other fast growing banking organizations.)
Why Human Resource Planning is important ?
HRP needs for HRD :
HRP is important for planning the investment in the development and utilization of human resources. Any investment in the HR activities is considered an investment for the future growth and development of the organization.
(Example: When curriculum has to be changed, required knowledge and skills of teachers/instructors should be developed prior to implement the new curriculum. So, educational institutions have to be aware of that)
Why Human Resource Planning is important ?
HRP is pro-active, not reactive :
For solving any sort of future HR problem HRP is pro-active rather than re-active.
(Example: HRP might be helpful to accommodate government legislation regarding inclusion, qualification, possible future demand of trade unions)
Why Human Resource Planning is important ?
HRP is not in isolation :
HRP recognizes that there must be an explicit link between planning function of human resources and other organizational functions, such as strategic planning and market forecasting.
Why Human Resource Planning is important ?
HRP promotes awareness :
HRP promotes the awareness that human resource activities are equally important at every level of the organization. Both lone and staff managers have to be involved in HR planning activities.
Problems in HRP
1. Resistance by Employers and
Employees 2. Uncertainties 3. Inadequacies of information system
Recent Implications
Overstaffing 2. VRS / Golden-handshake 3. Delayering and Downsizing
1.
Recent Trends in HRP
Most of the organizations started to plan for outsourcing human resources rather than HRP in order to: Reduce cost of human resources Avoid the difficulties in human resources management Reduce the negative implications of overstaffing.