HUMAN RESOURCE PLANNING

HUMAN RESOURCE PLANNING

Definition: It is the process by which management
determines how an organisation should move from its
current manpower position to its desired manpower
position. Through it management strives to have the
right number and the right kind of people at the right
places, at the right time, doing things which result in
both the organisation, and the individual receiving,
maximum long-rang benefit
Human Resource Planning
HRP Process of forecasting an organizations future
demand & supply of the right type of people in the right
number.
HRP Subsystem in the total organizational planning.
HRP Facilitates the realization of the companys
objectives by providing the right type & right no. of
personnel.
HRP Called as Manpower Planning, Personnel
Planning, Employment Planning.
HRP- What it includes
Includes the estimation of how many qualified people
are necessary to carry out the assigned activities, how
many people will be available.
It must ensure that personnel supply equals personnel
demand at the appropriate point in the future.
It is a process by which an organization ensures that it
has the right no. & kind of people, at the right place, at
the right time, capable of efficiently & effectively
completing those tasks that will help the organization
achieve its overall objectives.
Definition: HRP (contd)
HRP translates the organizations objectives & plans
into the no. of workers needed to meet those objectives.
Without a clear cut planning, estimation of an
organizations human resource need is reduced to mere
guess work.
Objectives of HRP
To ensure optimum
use of existing HR
To forecast future
requirements for HR
To provide control
measures
To link HRP with
Organisational
Planning
To determine levels
of Recruitment and
Training
To estimate cost of Hr
and Housing needs of
Employees
To provide a basis for
MDP
To facilitate productivity
Bargaining
To meet the needs of
Expansion and
Diversification
programmes
To assess shortage and
surplus of Hr

ADVANTAGES OF PERSONNEL / MANPOWER PLANNING
1. Facilitates recruitment and selection
2. Raises effectiveness of HRD programmers
3. Ensures orderly working and growth of an organization
4. Regulates cost factor
5. Encouragement to the existing employees
6. Prevents sudden disruption

LIMITATIONS / PROBLEMS OF PERSONNEL / MANPOWER
PLANNING
1. Future manpower needs are uncertain
2. Surplus manpower makes HRP redundant
3. Time-consuming and costly
4. Inadequate attention to environmental changes
5. Shortage of skilled labour turnover

SCOPE OF PERSONNEL/MANPOWER PLANNING
1. Estimation of manpower requirements and recruitment
2. Manpower allocation
3. Manpower motivation
FACTOR AFFECTING HRP





















EXTERNAL FACTOR
INTERNAL FACTOR
1) Governments Policies 1) Policies and Strategies
2) Level of Economic Development 2) HR policy of the company
3) Business Environment 3) Formal & Informal Groups
4) Level of Technology 4) Job Analysis
5) Natural Factors 5) Time Horizons
6) International Factors 6) Type & Quality of Information
7) Company's Productional
Operations policy
8) Trade Unions
Importance of HRP
1. Future personnel needs
Planning helps to determine future personnel needs.
Eg. Surplus / Deficiency in staff strengths is the result
of the absence of or defective planning.

2. Coping with changes
HRP enables an enterprise to cope with changes in
competitive forces, markets, technology, products &
govt. regulations.
Such changes generate changes in job content, skill
demands & no. & type of personnel.
3. Creating highly talented personnel
Jobs getting highly intellectual & incumbents are
getting vastly professionalized.
HR manager must use his ingenuity to attract & retain
qualified & skilled personnel.
Job hopping creates frequent shortages in the
organization.
MPP helps to prevent such shortages.
Further more technology changes will often upgrade
some jobs & degrade others.
4. Protection of weaker sections
In matters of employment & promotions, sufficient
representation needs to be given to SC/ST candidates,
physically handicapped, OBC etc.
These groups enjoy a given percentage of jobs, not
withstanding the constitutional provisions which
guarantees equal opportunities for all.
A well conceived personnel planning programme
would protect the interest of such groups.
5. International strategies
International expansion strategies depend upon HRP
with the growing trends towards global operations, the
need for HRP will grow & the need to integrate HRP
move closely into the organizations strategic plans.
HRP will grow increasingly important as the process of
meeting staffing needs
6. Foundation for personnel functions
MPP provides essential info for designing &
implementing personnel functions, such as recruitment,
selection, T&D, personnel movement transfers,
promotion etc.
7. Increasing investments in human resources
HRP is the investment an organization makes in its
human resources.
An employee who gradually develops his skills &
abilities becomes a more valuable resource.
8. Resistance to change & move
There is a growing resistance among employees to change
& move.
There is also a growing emphasis on self evaluation & on
evaluation of loyalty & dedication to the organization.
Certain changes makes it more difficult for organizations
to assume that it can move its employees around anywhere
& anytime it wants.
9. Other benefits
Upper management has a better view of HR dimensions of
business decision.
Time invested to locate talent.
HRP Process
Organizational
Objectives & Policies
HR Needs Forecast HR Supply Forecast
HR Planning
HRP Implementation
Control & Evaluation
of Programme
Surplus
Restricted Hiring
Reduced Hours
VRS, Lay off etc
Shortage
Recruitment and
Selection
Environment