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 c

 
 Effective planning of HR is
essential to match the requirements
of the job with the individual
 Right resources at the right time
to meet the future organizational
needs is critical
 A comprehensive and meticulous
HRP process can ensure sustained
growth of an organization
 c

 
 °iversification or expansion, employee
promotion or changes in human resource
necessitates effective HRP
 Organizational plans, goals, and
strategies also needs effective HRP
 Success in business is dependent on
being able to react quickly to
opportunities
 Organizations must have accurate,
rapid access to information about both
supply of and demand for HR
@    
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  Attract best Meet or exceed °efine future Set basic

technical labor market skill employee--
employee
requirements relations
and rates to attract philosophy
and begin
professional needed talent of
establishing
talent career ladders organization

!" Recruit Meet external Mold effective Maintain

adequate market but management labor
numbers and team through peace,
mix of
consider
internal equity management employee
qualifies
workers. Plan effects. development motivation
management Establish and & morale
succession. formal organizational
Mange rapid development
compensation
internal labor
market structures
movements
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# $ Encourage Control
sufficient
Control Maintain
turnover to compensa flexibility labor costs
minimize layoffs & maintain
and provide new tion costs and skills labor peace.
openings. of an Improve
Encourage
mobility as aging productivity
reorganizations
shift jobs around
workforce
%& % Plan and Implement Implement Improve
implement productivity
workforce
tighter cost retraining and achieve
reductions and control and career flexibility in
reallocations, consulting work rules.
downsizing and Negotiate job
outplacement services security and
may occur employment--
employment
during this adjustment
stage policies
 c

 
 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
 c

 
 è he 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
 Relates to
± establishing job specifications
± determining the number of personnel
required
± developing the sources of human resource
 j  
 System of matching the available
resources, either externally or
internally, with the expected
organizational demand over a period
of time
 Internal Resources
± employees who are already in the
organization
 External Resources
± personnel who have to be recruited
from outside
 @

 c
 ¢orecasting 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
 
 
c
 Early HRP was top down, short
range
 1970s: ³manpower planning´

 1990s: aligning HR strategy with

±corporate strategy
±attention to individual career
planning
 
 c
 An effective HRP
±closes the gap between the
current situation and a desired
situation in the context of an
organization¶s strategy
±helps cope with change and
achieve organizational goals
 c 
 HRP is carried out at different
organizational levels to meet HR
requirements at those levels
 ¢low of communication in HRP is both
ways
± op to bottom
± Bottom to top
 he levels are
± Corporate level planning
± Intermediate level planning
± Operational level planning
 c 
 Corporate--level Planning
Corporate
± Culture and mission of the organization
± Macro-
Macro-level: changes in market conditions,
technology, strategic plan, etc
± Identification of broad policy issues; employment,
welfare, development policies
 Intermediate--level Planning
Intermediate
± SBU level, based on corporate-
corporate-level HR Plan
± °etermining recruitment, retaining, laying off
 Operational--level Planning
Operational
± Operations level plan
± raining & development, recruitment etc
 Planning Short-
Short-term Activities
± Management of day-
day-to-
to-day activities
± Ensure success or failure of corporate plans
± Grievance handling, etc
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 Interaction of HRM and strategic planning
 he strategic plan must adapt to
environmental circumstances
 HRM is one of the mechanisms of
adaptation process
 Example: rapid technological changes can
force an organization to quickly identify
and hire employees with new skills
 Without HR plan to support the
recruitment & selection functions it would
be impossible to move fast to stay
competitive
 ¢ 
 
 Estimating not only èhow many¶ but
also èwhat kinds¶ of employees will
be needed
 Yields advance estimates or
calculations of the organization¶s
staffing requirements
 Apart from quantitative tools, a great
deal of human judgement is involved
 Incredibly difficult tasks, especially in
rapidly changing environment
 ¢ 
 
  
  ualitative echniques
±Expert estimate
±Nominal Group echnique (NG

±°elphi echnique
  uantitative echniques
±Regression Analysis
±Productivity Ratios
±Personnel Ratios
± ime Series Analysis
  
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    ""
 ³How 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
± skills inventory
± succession planning
± promotability
 External
± availability of qualified labor; surplus?
shortage?
    ""
 he Skills Inventory:
Inventory: tool to assess
current supply of employees in terms
of
± skills
± abilities
± experiences
± training
 If the current inventory exceeds the
future requirements and natural
attrition cannot bring down the
resources to match the future
requirements?

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 cj
 Human Resource Information
System is more than just a
computerized skills inventory
 An HRIS is an integrated approach
to
± acquiring
± storing
± analysing
± controlling the flow of information
throughout an organization
 cj
 Highly developed HRIS systems can
increase efficiency and response
time of HRM activities
 he system might contain a
programme for tracking applicants, a
skills inventory, a career planning
programme, employee service
programmes
 One of the most common uses of an
HRIS is in recruitment and tracking
of applicants