Forecasting future manpower requirement Inventorying present manpower resources & analyzing the degree to which these resources are employed Anticipating manpower problems Planning the necessary programmes
Internal Source Supply : Inflow & outflow Turnover Rate Conditions of work & absenteesium Productivity Level Movement among Jobs. External Sources of Supply:1. Reasons for so. Growth & diversification Sources:1. Universities.2. Consultants, Competitors, Unsolicited Applications.
Human resource planning
Objectives of the session:To understand objectives behind HRPTo know various stages of HRPTo know barriers for HRP
Deciding the number and type of human resources required for job for particularfuture date
HRPDef:Manpower planning is the process includingforecasting, developing, implementing & controllingby which a firm ensures that it has right no. of ppl &right kind of ppl, at the right plc, at the right timedoing things for which they are economically mostsuitable. ---- By Geisler
?????????What is HR Planning ?The activity of planning human resources usuallyin connection with the overall strategic planningof the organization.Why HR Planning ?To provide linkage between different HRfunctions viz. compensation, benefits, staffingetc and the overall strategic goals of theorganization.
Why Look ahead and Forecast?• To deal with changes• Globalisation• External Environmental Situations• Expansion• Competition• Technological• Political• Social• Economical• Ecological• Legal
What appears in HR Planning ?Mission or Purpose of the StatementSummary of financial projectionsSWOT of HRSummary of PerformanceA job seekers market reviewMajor AssumptionsHR Objectives & strategies for the next yearsDetailed current year operational Plan, with forecasts andbudgets
ObjectivesTo recruit & retain human resources of requiredquality & quantity.To foresee employee turnover & make arrangementsfor minimizing same.To improve standards, skills, knowledge,abilityTo assess surplus or shortage & take correctivemeasures.To make best use of its human resources.To estimate the cost of human resources.To maintain healthy human relations by maintainingoptimum level of human resources.
Significance of HR PlanningUncertainties can be managed through planning Helps the organization develop action plan forachievement of company’s objective for future For strategic implementation To minimize destruction/ disruption of organizationprocess Helps to focus sharper at your competitive posture orposition Focuses on short & long term people requirements
ContDefining future personnel needs ( R & S)Coping with the changesProviding base for developing talentsForcing top mgmt to involve in HRMHelps to anticipate the cost of salary enhancement,better benefits.Provides scope for advancement & development ofemployees. Facilitates the control of all the functions, operationsetc.
Features of HRPIt is a processInvolves determination of future needs of manpowerManpower availability at future time
Responsibility of HRPTop mgmtFunctional managersHRD
External Supply Forecasting InformationExternal labor market factors (retirements,mobility, education, unemployment)Controllable company factors on external factors(entry-level openings, recruiting, compensation)
Internal Supply Forecasting InformationOrganizational features (e.g., staffingcapabilities)Productivity - rates of productivity,productivity changesRates of promotion, demotion, transfer andturnover
Organizational obj, plans &policiesHRPForecasting needs forhuman resourcesForecasting supplyof human resourcesIdentification ofhuman resource gapSurplus humanresourcesShortage ofhuman resourcesAction plan forbridging gap
1.HR Demand Forecast i. Estimating Quantity & quality of people require tomeet future requirement. ii. External factors: economic conditions, law,technology. iii. Internal factors: budget constraint, productionlevel, employee separation. 2.HR Supply Forecast i. Determine whether HR Dept will be able to procurerequired no of personnel. ii. Covers—existing HR policies, Internal source &external sources of supply.
HR Demand Forecasting TechniquesManagerial Judgment - Managers discuss and arrive at afigure of inflows & outflows which would cater to futureLabour demand.Ratio-Trend Analysis - Studying past ratios, i.e. No. ofWorkers V/s Volume of Sales, forecasting future ratiosand adjusting for future changes in the organization..Work-Study Technique - Used when length ofoperations and amount of Labour required can becalculated.Delphi Technique - From a group of experts thepersonnel needs are estimated.
HR Supply Forecastprocess of estimating future quantity and quality of manpoweravailable internally & externally to an organisation.Supply AnalysisExisting Human Resources –HR Audit/SkillInventories/Managers Inventories.Internal Sources of SupplyExternal Sources of Supply
3.HR Programming: On the basis 0f demand & supply, plans are made tobalance this to fill the vacancies. 4.HR Plan Implementation: i. Require converting HR plans into action. ii. Recruitment, Selection, Placement, Retention.
5.Control and Evaluation :i. Important stageii.Surplus Or Shortage
Organizational Objectives & Policies Downsizing / Expansion Acquisition / Merger / Sell-out Technology up gradation / Automation New Markets & New Products External Vs Internal hiring Training & Re-training Union Constraints
Barriers to HRPPre notions about HRPExperts in handling personnel matters onlyFinancial constrainsLong term & short term planning conflictsQualitative or quantitative?Non involvement of operational managers