Human Resource Planning

Chapter 5

Developing Talent at Proctor

and Gamble

Hiring at the entry level and developing and

promoting its manages and executives from
within.

Human Resource Planning

Component of
HRM strategy

It is a proactive
process

All other
functional HR
activities flow
from human
resource
planning process

Human resource
planning process
should be
flexible

Objective of Human
Resource Planning
Prevent overstaffing and understaffing
Ensures the organization has the right employee with the
right skills in the right place at the right time
Ensures that the organization is responsive to changes in
its environment
Provides direction and coherence to all HR activities and
system
Unite the perspectives of line and staff managers

Types of Planning

aggregate

planning
succession

Aggregate Planning
Forecasting the demand of
employees
Multiple regression
Linear programming
Judgement of experienced
managers

Aggregate
Planning
Bottom up planning (Unit
Forecasting)
Top down planning
combination

Aggregate
Planning
Bottom Up Planning (Unit Forecasting)
each individual unit, department, branch
estimates its future needs for employee
Responsive to the need of the market
place because it estimates need t the
point of contact

Aggregate Planning
Top down planning
Involves senior allocating
budgeted amount for
employee payroll expenditure
Promotes organizational
efficiency in resource
allocation

Succession
Planning
Identifying key management
positions that the organization
can not afford to have vacant.

Succession Planning

Purpose
1. facilitate transition when an employee
leaves
2. identifies the development needs of high
potential employees and assist with their
career planning.

Succession Planning
Criticism:
Their timing often does
not remain in synch with
ongoing and evolving
business need resulting
in constant shortages or
surpluses.

Sample Replacement Chart

J Smith ( Vice
President for
Marketing)

R Jones (Sales
Director) Ready
Now

C Williams
(Promotions
Manager)
15 months

S Anderson
(Dir. Of
Marketing)
1 year

Guidelines for
Effective Succession
Planning
Tie into organizations strategy
Monitor the progress and measure
outcome
Ensure that all HR functions that impact
the succession plan are iterated and
working
Ensure the centralized coordination
Engage and involve managers
throughout the organization

Pros and Cons of Disclosing

Succession Planning

Do not tell

Tell

Disadvantage

Advantage

High
performance may
leave the
organization,
unsure of their
future

Allows flexibility
as business need
change

Unrealistic
expectations and
implied contracts

Retention
strategy

Mentoring
Often used in succession planning
tool.
Mentoring programs may be formal
and informal
Mentoring should be holistic in nature
and consider the needs of the
individual being mentored.

Model of an Effective
Mentoring
Background of
mentor (skills,
experience,
understanding,
motivation)

Needs of
mentees
(personal,
professional)
Needs of the
organization
(strategy, skill
gaps, diversity)
Mentoring
Program
(specific
assignment goals
and measures)

Diverse Succession
Planning Practices and
Competencies
Business
strategy
Strategic
implications of
effective diverse
succession planning
and strategic
integration

leadership

Planning
practices
Developme
nt practices

Suggestions for Diverse

Succession Planning
Strategic
Integration

Obtain alignment between business strategy

and diverse succession planning
Frame programs with emphasis on
developing high potentials

Leadership

Establish a value basis for diverse succession

Obtain commitment of top executives to
personally mentor diverse successor

Planning
Process

Identify behavioural competencies for the

future while recognizing that these may
change
Disseminate descriptions of specific
behavioural competencies required for top
position

Suggestions for Diverse

Succession Planning

Development
Practices

Development behavioural competencies

for training, development planning, and
evaluation
Focus on the advantages of same race/
gender or cross race/gender mentorship

Program
Management
Practices

Monitor flows of diverse successors into

core areas as opposed to periphery
functions
Identify effective mentors and leverage
their skills