 Human Resource Planning is “an effort to anticipate future

business and environmental demands upon and organization and

to provide personnel to fulfill that business and satisfy that
demand”
(Bowey, 1974)

What you do when you have to organize an event. The first thing
well be planning. You need to plan out various activities involved
and resources to make the event successful.
Isn't planning a very basic and initial step for performing a task?
- A good plan leads to good outputs.

 Through, human resource planning, management of an

Human resource planing
organization determines its future HR requirements
 Human Resource planning ‘is the process of
determining human resource requirements
and the means of meeting those requirements
in order to carry out the integrated plan of
the organization’
-‘ Coleman

 Human Resource planning ‘is the process of

 determining human resource requirements
 and the means of meeting those
requirements
 in order to carry out the integrated plan of
the organization’
 -‘ Coleman
 HRP is both a process and a set of plans
◦ a process by which management of an organization
determines its future HR requirements
◦ a plan to fill the future HR requirements from internal
and external sources
 Assessment of human resource requirements in advance
vis a vis organizational objectives, production schedules,
and demand fluctuations
 HRP relates to
◦ establishing job specifications
◦ determining the number of personnel required
◦ developing the sources of human resource

HRP
What are the responsibilities of HR
department for effective manpower
planning?
Demand supply
characteristics of HRP

Forecasting HR Requirements
 maintain the required quantity & quality of HR
 turnover/attrition rates
 Effective Management of Change
 coping with changes in market conditions, technology,
govt. regulations et al
 Realizing Organizational Goals
 expansion, diversification
 Promoting Employees
 database on skill repertoire
 Effective Utilization of HR
 surplus/unutilized employees vis a vis downsizing
Better view of the HR dimensions of
business decisions
Lower HR costs through better HR
management.
More timely recruitment for anticipate HR
needs
More inclusion of protected groups
through planned increases in workforce
diversity.
Better development of managerial talent

Benefits of HR Planning
Process of HRP
1. environmental analysis
Deals with the internal & external
environment
Internal- strength & weakness
External- threats & opportunities
2. determining HR objectives &
policies:- HRIS helps by providing
related information in this course of
action.
3. human resource forecast
Determination of HR demand
Determination of HR supply
4. Action Plan
Recruitment ,selection & socialization
Training & development
Job analysis & evaluation
Transfer & promotion
5. control & evaluation
Compare HR objectives with achievement.
Develop HR indicators
 FOLLOWING FACTORS HAS INCREASED
THE IMPORTANCE OF HR PLANNING –
1.TECHNOLOGICAL CHANGE,
2.GLOBALIZATION,
3.JOB DIVERSITY,
4.NEED FOR ORGANIZATIONAL DEVELOPMENT,
5.INCREASING LEGAL PROVISIONS,
6.JOB DIVERSITY, AND
7.LABOR UNION PRESSURE.

IMPORTANCE OF HR PLANNING
 REDUCES UNCERTAINTIES –
FORECAST FUTURE SHORTAGE & SURPLUS.
STEADY TRENDS & ADVISE MEASURE TO
HANDLE.
 ENVIRONMENTAL ADAPTATION –
FUTURE GUIDELINES HELP TO ADOPT CHANGE.
 ACQUISITION OF HR –
STUDY PAST, ASSESS PRESENT & DETERMINE
FOR FUTURE NEEDS.
IMPORTANCE
 HELP IN GROWTH & EXPANSION.
 PRODUCTIVE UTILIZATION OF HR.
RECRUIT QUALITY STAFF, PROPERLY
DEPLOYED.
 GOOD HUMAN RELATIONS -
PLANNING ENCOURAGES PARTICIPATION.
PARTICIPATION CREATES TRUST.
& TRUST RESULT GOOD RELATIONS.
 GOAL ACCOMPLISHMENT –
PLANNING IS GOAL DIRECTED-
ORGANIZATIONAL AND DEPARTMENTAL.
WEAK PRACTICE OF HRP.
LOW PRIORITY.
LACK OF HUMAN RESOURCE INVENTORY.
LACKING EFFECTIVE JOB ANALYSIS.
NO SUCCESSION PLANNING.
SHORT TERM HORIZON.
OVER STAFFING HR.
PRIVATE SECTOR ORGANIZATION.
DUMPING UNWANTED EMPLOYEES, AND
AD HOC APPROACH IN HR.

HR PLANNING IN NEPALESE
ORGANIZATION
 How many and what kinds of employees do I currently
have in terms of the skills and training necessary for the
future?
 Are resources available – internally or externally – to fill
those needs?
 Internal supply
 skills inventory
 succession planning
 promotability
 External supply
 availability of qualified labor; surplus? shortage?

Analyzing Current Supply

 Responsibility of HRP

 To assist & counsel the operating management to

plan & establish objective.
 To measures & monitor performance against the
plan & keep the top mgmt.
 To provide necessary research for effective
manpower & organizational planning.
 To collect & summarize data in total organisation
terms & to ensure consistency with long range
objective.
Once the target & objectives have been
fixed, next step is to have audit of
existing manpower which give indication
of gap.
From the information collected the
employees are classified in various groups
such as age, education, training,
experience etc.

Man power audit

Job analysis:-job analysis is the process of
studying & collecting information relating
to operation & responsibility of a specific
job. Job analysis is a systematic
exploration of the activities in a job.
Job description:- it is an organized ,factual
statement of the duties & responsibility of
a specific job. it should tell what is do be
done, how it is done & why.
 job specification:-it is a minimum
acceptable human qualities necessary to
perform a job properly.
IT IS THE SYSTEMETIC RECORDING OF
ACTIVITIES INVOLVED IN A JOB.
IT IS A PROCESS BY WHICH
INFORMATION ABOUT EACH ACTIVITY OF
JOB IS OBSERVED AND RECORDED.
QUALIFICATION NEEDED TO PERFORMD
THE JOB ARE IDENTIFIED.

JOB ANALYSIS
EDWIN B. FLIPPO –
“THE STUDY OF JOB CONTENTS TO
DETERMINE HUMAN REQUIREMENTS
IS TERM JOB ANALYSIS.”
o DECENZO & ROBBIBS –
“JOB ANALYSIS PROVIDES
INFORMATION ABOUT JOB
CURRENTLY BEING DONE & THE
SKILLS, KNOWLEDGE AND ABILITIES
THAT INDIVIDUAL NEED TO PERFORM
THE JOB ADEQUATELY.”
DEFINITION -
 IT IS A SYSTEM HAVING INPUTS, PROCESS,
OUTPUT AND FEEDBACK COMPONENTS.
A. INPUTS –
 ORGANIZATIONAL OBJECTIVES ,
 ORGANIZATION STRUCTURE,
 TECHNOLOGY USED FOR DOING JOB.
 PURPOSE – SHOULD CLEARLY
UNDERSTOOD, IT MAY BE FOR,
ACQUISITION, DEVELOPMENT ETC.

JOB ANALYSIS IS A SYSTEM

SELECTION OF JOB – SPECIFIC JOB,
IDENTIFY THE INFORMATION NEEDED.
IDENTIFY THE SOURCE OF
INFORMATION.
COLLECT & PROCESS – INFORMATION.
CHOOSE METHOD – OF JOB ANALYSIS.

B.PROCESSING -
 C. OUTPUTS –
 JOB DESCRIPTION –
IT IS A WRITTEN PROFILE OF JOB
 JOB SPECIFICATION –
CHARACTERISTICS OF HUMAN, NEEDED FOR
PERFORMING THE JOB.
 JOB EVALUATION –
THE RELATIVE VALUE OF EACH JOB IN
ORGANIZATION.
D. FEEDBACK –
o CORRECTIVE ACTION IF NECESSARY.
1)TO PREPARE JOB DESCRIPTION & JOB
SPECIFICATION:- written records of job &
its requirement.
2) TO EVALUTE JOB- FOR DEVELOPMENT
OF COMPENSATION PACKAGES.
3) HELP IN ACQUISITION FUNCTION OF
HR:-recruitment-no.
required ,methods ,sources ,no. candidate.
Selection-interview method ,test method
(supervisor & manager)

PURPOSE OF JOB ANALYSIS

4) JOB PERFORMANCE STANDARD FOR
EVALUATION & CONTROL:-job
specification & description helps to
evaluate according to standard
5) training & development needs:- what
skill employee posses & what s/he need to
posses.
6)HRP:- what type of skill & knowledge
required & why to perform job.
1) Understanding the purpose of job
analysis:- job analyst should know
nature & purpose
2) Understanding the strategic meaning of
the jobs in an organization:- if job
analyst fail to establish relations of
individuals jobs & organizational
objective, it will be meaningless.
3) Position benchmarking:-job analyst try
to select some representative jobs &
categorize the different position

PROCESS OF JOB ANALYSIS

4) Selecting the methods of job analysis:-
Observation method, interview method-
individual & group, structured
questionnaire method & technical
conference method.
5) Prepare job description & specification:-
need to reviewed with concerned
supervisor.
30
FOLLOWING TYPES OF INFORMATION IS
GENERALLY COLLECTED –
1.WORK ACTIVITIES,
2.HUMAN BEHAVIOR,
3.MACHINES, TOOLS, EQUIPMENT & USED.
4.PERFORMANCE STANDARD,
5.JOB CONTEXT,
6.HUMAN REQUIREMENT.

JOB ANALYSIS INFORMATION

JOB ANALYSIS GUIDELINES
JOINT EFFORTS BY HR EXPERT,
WORKERS, SUPERVISOR & RELATED
MANAGERS.
COLLECT INFORMATION FROM ALL
DEPARTMENTS .
MAKE SURE THAT THE USED
QUESTIONS AND THE PROCESSES
ARE CLEAR.
USE DIFFERENT TOOLS FOR JOB
ANALYSIS
 OUTCOMES OF JOB ANALYSIS ARE –
1.JOB DESCRIPTION,
2.JOB SPECIFICATION, AND
3.JOB EVALUATION.
 ALL THESE SERVE DISTINCT PURPOSE
IN THE JOB ANALYSIS PROCESS.
 JOB ANALYSIS IS CONCEPTUAL,
ANALYTICAL ACTION THAT
GENERATES THESE VERY IMPORTANT
OUTCOMES.
JOB DESCRIPTION

 IT IS THE FIRST OUTPUT OF JOB ANALYSIS.

 IT IS THE WRITTEN STATEMENT OF WHAT THE JOB HOLDER
DOES ? H0W IT IS DONE ? UNDER WHAT CONDITION ? & WHY ?
 IT IS A JOB PROFILE THAT ACCURATELY PORTRAY THE JOB
CONTAINS, CONDITION & ENVIRONMENT OF EMPLOYMENT.
 IT PROVIDES WRITTEN RECORDS OF THE JOB & ITS
REQUIREMENTS.
 TODAYS FLEXIBLE JOB DESCRIPTION IS WRITTEN TO COPE WITH
CHANGES IN THE ORGANIZATION DUE ENVIRONMENT.
EDWIN B. FLIPPO –
“THE FIRST AND IMMIDIATE PRODUCT
OF JOB ANALYSIS PROCESS IS THE JOB
DESCRIPTION. AS ITS TITLE INDICATES,
THIS DOCUMENT IS BASICALLY
DESCRIPTIVE IN NATURE & CONSTITUTES
A RECORD OF EXISTING & PERTINENT
JOB FACTS.”
 IT DESCRIBES “JOB” NOT “JOB HOLDER”.

DEFINITION OF JOB DESCRIPTION

 DESCRIBE THE JOB TO POTENTIAL CANDIDATES.
 GUIDENCE TO NEWLY EMPLOYED EMPLOYEES.
 DEVELOPING CRITERIA FOR PERFORMANCE
EVALUATION.
 ESTABLISHING THE RELATIVE WORTH OF JOB
FOR COMPENSATION.
 SO JOB DESCRIPTION PLAY IMPORTANT ROLE IN
RECRUITMENT, SELECTION & PERFORMANCE
APPRAISAL.

OBJECTIVES OF JOB DESCRIPTION

 THERE IS NO STANDARD FORMAT FOR JOB
DESCRIPTION, A COMMON FORMAT INCLUDES ;-
1. JOB IDENTIFICATION – JOB TITLE, DEPT.,
DIVISION, PLANT, JOB CODE NO. ETC.
2. JOB SUMMARY – SHORT DEFINITION.
3. DUTIES PERFORMED – WHAT IS BEING DONE,
HOW AND WHY IT IS DONE.
4. SUPERVISION GIVEN & RECEIVED – WHO ARE
UNDER & OVER THE JOB.
5. RELATION TO OTHER JOB – VERTICAL &
HORIZENTAL.

CONTAINS OF JOB DESCRIPTION

6 MACHINE TOOLS & MATERIALS – TYPE,
MODEL & MADE ETC.
7 WORKING CONDITION – HOT, COLD,
DUSTY, NOISY, DRY. ETC.
8 DEFINITION OF UNUSUAL TERMS – IF ANY
TECHNICAL & UNUSUAL TERMS ARE USED
THAT NEEDS DEFINITION (EXPLAIN).
9 COMMENT – EXTRA COMMENTS IF
NECESSARY.
Job description
guidelines
SOME HINTS FOR JOB DESCRIPTION
 BE CLEAR – POTRAY THE WORK .
 INDICATE SCOPE – SCOPE & NATURE
OF THE WORK.
 BE SPECIFIC – SELECT THE MOST
SPECIFIC WORDS.
 BE BRIEF – BRIEF ACCURATE
STATEMENT USUALLY ACCOMPLISH
PURPOSE.
 RECHECK – LASTLY IS IT COMPLETE &
CLEAR TO UNDERSTAND JOB.
 JOB SPECIFICATION IS SECOND IMPORTANT
OUTPUT OF JOB ANALYSIS.
 IT IS A PROFILE OF HUMAN CHARACTERISTICS
NEEDED FOR JOB PERFORMANCE.
 IT STATES THE MINIMUM ACCEPTABLE
QUALIFICATION THAT THE JOB HOLDER MUST
POSSESS.
 SO IT IDENTIFIES REQUIRED KNOWLEDGE,
SKILLS, AND ABILITIES TO GET JOB DONE
EFFECTIVELY.
 IT MAY BE THE SECTION OF JOB DESCRIPTION
OR A SEPARATE DOCUMENT.

JOB SPECIFICATION
DEFINITION OF JOB
SPECIFICATION
 DAVID A. DECENZO & STEPHEN P. ROBBINS
“THE JOB SPECIFICATION STATES THE MINIMUM
ACCEPTABLE QUALIFICATIONS THAT THE
INCUMBENT MUST POSSESS TO PERFORM THE
JOB SUCCESSFULLY.”

 EDWIN B. FLIPPO
“A JOB SPECIFICATION IS A STATEMENT OF
THE MINIMUM ACCEPTABLE HUMAN QUALITIES
NECESSARY TO PERFORM A JOB PROPERLY.”
ESSENTIAL ATTRIBUTES- SKILLS,
KNOWLEDGE, AND ABILITY.
DESIRABLE ATTRIBUTES-
QUALIFICATION.
CONTRA-INDICATORS –
NOT ACCEPTABLE

JOB SPECIFICATION INCLUDES THREE

ATTRIBUTES
 JOB TITLE AND LOCATION - ,
 EDUCATION – DEGREE, SPECILIZATION,
 TRAINING – TYPES & PERIOD OF TRAINING.
 EXPERIENCE – JOB EXPERIENCE IN TERM OF
YEAR & NATURE OF JOB.
 PHYSICAL HEALTH – HEALTH, STRENGTH, AGE
RANGE, SEX, HEIGHT, VISION ETC.
 SKILLS – COMMUNICATION, COMPUTER,
DRIVING, TYPING, REPORT WRITING ETC.
 ABILITY – PHYSICAL AS STANDING, WALKING,
SITTING ETC & MENTAL AS DECISION MAKING,
GETTING ALONE, JUDGEMENTAL ETC.

CONTENTS OF JOB
SPECIFICATION
 Job evaluation is the systematic determination
of the relative worth of jobs
within an organization,
used for compensation planning purposes

Job evaluation is a tool which helps to

understand the requirement of job and
accordingly hire employees of desired
Job Evaluation
qualification, skills and experience.
44
 JOB EVALUATION IS THE THIRD OUTPUT OF JOB
ANALYSIS.
 IT COMPARES DIFFERENT JOBS & RANK THEM IN
ORGANIZATION.
 IT CONTRIBUTES BY SPECIFYING THE RELATIVE
VALUE OF EACH JOB.
 RELATIVE VALUE OF JOB IS THE BASIS OF
COMPENSATION ADMINISTRATION.
 IT RATES THE JOB NOT THE JOB HOLDERS.
 IT AIMS AT FIXING FAIR & EQUITABLE WAGE
STRUCTURE SO THAT A PERSON GET WAGE AS PER
THE WORTH OF THE JOB.

JOB EVALUATION
 DAVID A. DECENZO & STEPHEN P. ROBBINS
“BY JOB EVALUATION, WE MEAN USING JOB
ANALYSIS INFORMATION TO
SYSTEMETICALLY DETERMINE THE VALUE
OF EACH JOB IN RELATION TO ALL JOBS
WITHIN THE ORGANIZATION, IN SHORT JOB
EVALUATION SEEKS TO RANK ALL JOBS IN
THE ORGANIZATION IN A HIERARCY THAT
REFLECTS THE RELATIVE WORTH OF EACH.”
 RANKING OF JOB DEPENDS ON – EFFORTS,
SKILLS, RESPONSIBILITY AND WORKING
CONDITION OF THE JOB.

DEFINITION OF JOB EVALUATION

1. REMOVE INCONSISTENCIES IN WAGE
STRUCTURE.
2. CREATE GOOD INDUSTRIAL RELATIONS.
3. HELPFUL IN WAGE ADMINISTRATION.
4. JOB INFORMATION – IN SELECTION,
TRANSFER, PROMOTION, TRAINING ETC.
5. PRICING A NEW JOB ON THE BASIS OF
EXISTING JOBS.

PURPOSES/IMPORTANCE OF JOB
EVALUATION
 FORMATION OF EVALUATION COMMITTEE.
 IDENTIFYING THE JOB TO BE EVALUATED.
 ANALYSE & PREPARE JOB DESCRIPTION.
 CHOOSING EVALUATION METHOD (RANK.
GRADING, COMPARISION, POINT, TIME SPAN &
DECISION BANDING METHOD)
 RANKING THE JOB IN HIERARCHY.
 DETERMINATION OF COMPENSATION.
 REVIEWING PERIODICALLY.

PROCESS OF JOB EVALUATION

1.What is the purpose of human resource planning?
Ans. To strike a balance between the future human resources
needs and the future enterprise needs.

2.State True or False:

 Job analysis doesn’t include the preparation of job descriptions
and job specifications.

Ans. False
 Skills inventory is used in Auditing human resources
Ans. True

Check Your Learning

 NBL is the oldest bank of Nepal.It has more than 110
branches all over the country. It has more than 6000
employees. The advent of joint venture and private
sector banks has adversely affected the business of
NBL. Customers have been complaining about delays
and are switching to other banks.
 Nepal Bank has decided to computerized its branches.
The Kirtipur branch is one of the candidate for
computerization inside Kathmandu Valley. The man
power situation forecasted by HRD of the bank after
computerization is as following:

Case study: HRP for computerization in

NBL Kirtipur branch
Employee category present proposed
 Branch Manager 1 1
 Assistant Manager 2 1
 Officers 15 8
 Senior Assistant 5 2
 Junior Assistant 5 3
 Cashier 1 1
 Clearks 15 10
 Support Staff 10 5
Total 54 31
The computerization is completed in November,
2004 by outside consultants. Excess man power
was transferred to other branches. However, the
management of the bank was shocked to find
that, the employees in the branch were using
the old manual system along with computers.
The computer system was not working well. In
the bank were hostile to computerization.

Questions:
1. What were wrong in HR planning by the bank for
computerization of Kirtipur Branch?
2. What should be done to make computerization
at Kirtipur branch work?
53