4. • Large, complex organizations often require a
taller hierarchy.
• In its simplest form, a tall structure results in one
long chain of command similar to the military.
• As an organization grows, the number of
management levels increases and the structure
grows taller. In a tall structure, managers form
many ranks and each has a small area of control.
5.
6. • Flat structures have fewer management levels,
with each level controlling a broad area or group.
• Flat organizations focus on empowering
employees rather than adhering to the chain of
command.
• By encouraging autonomy and self-direction, flat
structures attempt to tap into employees’
creative talents and to solve problems by
collaboration.
9. • Virtual organization can be thought of as a
way in
which an organization uses information and
communication technologies to replace or
augment some aspect of the organization.
• People who are virtually organized primarily
interact by electronic mea
10. • For example, many customer help desks link
customers and consultants together via
telephone or the Internet and problems may
be solved without ever bringing people
together face-to-face
11. • A boundary less Organizational structure is a
contemporary approach in Organizational design.
• It is an organization that is not defined by, or
limited to the horizontal, vertical or external
boundaries imposed by a pre-defined structure.
• It behaves more like an organism encouraging
better integration among employees and closer
partnership with stakeholders.
13. Job Analysis
• Formal and detailed examination of jobs
• Process of defining a job in terms of its
component tasks or duties and the
knowledge or skills required to perform them
.
.
14. DEFINITION
• Job refers to a group of activities performed by an employees
• Tasks is a larger work segment composed of several tasks that are
performed by an individual
• Responsibilities is an obligations to perform certain tasks and
duties.
• Job analysis
– The procedure for determining the duties and skill
requirements of a job and the kind of person who should be
hired for it.
– The process of obtaining information about jobs by
determining what the duties, tasks, or activities of jobs are
22. The process of Job analysis
4-10
The major steps involved in job analysis are:
Organisational analysis
Selection of representative positions to be analysed
Collection of job analysis data
Preparation of job description
Preparation of job specification
Job Analysis
23. Job Description
• Job description is an important document
which is basically descriptive in nature and
contains a statement of job analysis
• It serves to identify a job for consideration by
other job analysts
• It tells us what should be done, why it should
be done, and where it should be performed.
24. Job specifications
• It is a written statement of qualifications,
traits, physical and mental characteristics that
an individual must possess to perform the job
duties and discharge responsibilities
effectively.
25. Job analysis information and facts
Job description
Contains information and facts about:
• Job identification
• Job summary
• Relation to other jobs
• Supervision taken, location in the
hierarchy
• Machine tools and equipments
used
• Materials and form used
• Condition of work, location of
work, working hours, posture
standing, sitting, walking, accuracy,
health hazards, occupational
diseases etc.
Job specification
Contains information and facts about:
• Education
• Experience
• Training
• Judgment
• Initiative
• Physical effort
• Physical skills
• Responsibilities
• Communication skills
• Emotional characteristics
• Unusual sensory demands such as
vision, smell , hearing etc.
26. Human Resource Planning
• Human Resource is an important corporate
asset and the overall performance of the
companies depends upon the way it is put to
use.
• In order to realize company’s objectives, it is
essential to have a human resource plan.
27. Human Resource Planning
• Human Resource planning (also called
employment or personnel planning) is
essentially the process of getting the right
number of qualified people into the right job
at the right time so that an organization can
meet its objectives.
28. According to E.W. Witter,
• HRP is defined as “A process by which an
organization should move from its current
manpower position to its desired manpower
position.
29. 5-3
Human Resource Planning
Objective
The basic purpose of HRP is to decide what positions the organisation will
have to fill and how to fill them.
Objectives of human resource planning
Forecast personnel requirements
Cope with changes
Use existing manpower productively
Promote employees in a systematic way
30. Importance of HRP
HRP is important in a number of ways:
• Reservoir of talent
• Prepare people for future
• Expand or contract
• Cut costs
• Succession planning
31. Benefits of HRP
The major benefits of HR planning are:
• It checks the corporate plan of the
organization
• It offsets uncertainty and change
• It provides scope for advancement and
development of employees through training,
development etc.
• It helps to anticipate the cost of salary
enhancement, better benefits etc.
32. • It gives an idea of the type of tests to be used and
interview techniques in selection based on the
level of skills, qualifications, intelligence, value
etc.
• It causes the development of various sources of
human resources to meet the organizational
needs.
• It facilitates the control of all the functions,
operations, contribution and cost of human
resources.
33. The Process Of HRP
• Forecasting the demand for human resources
• Supply Forecasting (preparing
man power inventory)
• Determining man power gap
• Formulating HR plans
34. 5-5
Human Resource Planning
The Process Of HRP
The HRP is a four step process: demand forecasting, supply forecasting,
estimating manpower gaps and formulating HR plans. The demand for
human resources is influenced by several factors
Forecasting the demand for human resources
External challenges
Economic developments
Political, legal, social, technological changes
Competition
Organisational decisions
Workforce factors
Forecasting technique
35. 5-6
Human Resource Planning
External Challenges: Liberalisation, privatisation and globalisation (LPG
era) have created huge demand for people in software, finance marketing,
and manufacturing fields.
Organisational Decisions: Decisions such as expansion, diversification,
and relocation leading to demand for people possessing requisite skills
Workforce Factors: Such as retirement, resignation, and termination etc
creating manpower gaps.
The Process Of HRP
36. 5-7
Forecasting Techniques
HR forecasts are an attempt to find out an organisation's future demand
for employees
Human Resource Planning
Forecasting techniques
Expert forecasts
Trend analysis
Workforce analysis
Workload analysis
37. 5-8
Human Resource Planning
Expert Forecasts: These are based on the judgements of those who possess
good knowledge of future human resource needs
Trend Analysis: Human resource needs, as such, can be estimated by
examining past trends.
Forecasting techniques
An example of trend analysis
2001-02 Production of Units : 5,000
2002-03 No. of Workers : 100
Ratio : 100:5000
2003-04 Estimated Production : 8,000
No. of Workers required : 8000 × = 160100
5000
38. 5-9
Workforce Analysis: All relevant factors in planning manpower flows in a
firm such as transfers, promotions, new recruitments, retirement,
resignation etc are taken into account while estimating HR needs
Human Resource Planning
Forecasting techniques
39. 5-10
Human Resource Planning
Workload analysis: Based on the planned output, a firm tires to calculate the
number of persons required for various jobs.
Forecasting techniques
An example of workload analysis
Planned output for the year 10,000 pieces
Standard hours per piece 3 hours
Planned hours required 30,000 hours
Productive hours per person per year 1,000 hours (estimated on annual basis)
(allowing for absenteeism, turnover, idle time etc.)
No. of workers required 30
40. 5-11
Human Resource Planning
Supply Forecasting
to find out the size and quality of personnel available within the org to
various position
A) Internal labour supply: a manpower inventory in terms of
the size and quality of personnel available (their age, sex,
education, training, experience, job performance, etc) is
usually prepared by HR departments. Several techniques are
used while ascertaining the internal supply of manpower (a
supply of employees to fill projected vacancies can come from
within the firm or from new hires )
41. 5-12
Human Resource Planning
Estimated internal labour supply
for a given firm
The FirmSources of Inflows
Transfers
Promotions
New Recruits
Recalls
Promotions
Quits
Terminations
Retirements
Deaths
Layoffs
Employees In Employees Out
Current
staffing
level
Projected
outflows
this year
Projected
inflows
this year
Firm’s internal
supply for this
time next year
– + =
Projected Outflows
Current Staffing
Level
42. 5-13
Human Resource Planning
forecasting technique
Staffing table: Shows the number of employees in each job, how they are
utilised and the future employment needs for each type of job.
Marcov analysis: Uses historical information from personnel movements
of the internal labour supply to predict what will happen in the future
This technique uses historical rates of promotion , transfer and turn over
to estimate future availabilities in the work force .
Supply Forecasting
43. 5-14
Marcov analysis for a hypothetical
retail company
Human Resource Planning
Figures in circles show the transition percentages
80%
12
20%
3
6%
2
11%
4
83%
30
11%
11
66%
63
8%
8
10%
29
72%
207
2%
6
16%
46
6%
86
74%
1066
20%
288
15%
14
2003-2004 Store Asst. Store Section Dept. Sales Exit
Managers Managers Heads Heds Executives
Store Managers
(n = 15)
Asst. Store
Managers
(n = 36)
Section
Heads
(n = 94)
Departmental
Heads
(n = 288)
Sales
Executives
(n = 1440)
Forecasted
Supply 16 41 92 301 1072 353
44. 5-15
Skills inventory: It is a summary of the skills and abilities , experience of each
of current employees .
Human Resource Planning
Supply Forecasting
45. 5-16
Human Resource Planning
Skills inventory: an example
Name : A.K. Sen Date printed : 1-4-2004
Number : 429 Department : 41
Key words Work experience
Word Description Activity From To
Accounting Tax Supervision 1998 2000 Tax clerk ABC Company
and analysis
Book Keeping Ledger Supervision 2000 2002 Accountant XYZ Co.
Auditing Computer Analysis 2002 2003 Chief Accounts TT Bank
records Officer
Education Special Qualifications Memberships
Degree Major Year Course Date 1. AIMA
MBA Finance 1998 DBF 1996 2. ISTD
B.Com Accounts 1995 Risk Management 1999 3. ICA
Computer Languages Position Location Hobbies
Literacy preference choice
Tally French Accounting Kolkata Chess
Banking Auditing Delhi Football
Software Bangalore Boating
Employees Signature __________ HR Department________
Date _______________________ Date ________________
47. 5-18
Human Resource Planning
Replacement chart
General Manager
V. K. Garg
A/2
Key
Names given are replacement
candidates
A. Promotable now
B. Needing development
C. Not suitable to position
1. Superior performance
2. Above Average performance
3. Acceptable performance
4. Poor performance
P A to
General Manager
L. Mathews
B/1
Assistant General Manager
R.K. Arora A/2
B.K. Nehru B/3
Division:
HR Manager
C.P. Thakur A/1
Division:
Accounting &
Taxation Manager
A.T. Roy C/2
Division:
Planning Manager
A.N. Gupta A/1
K.P. Rao B/1
Technical Advisor
N.R. Murthy B/3
Northern Region
Manager
L.C. Srivatsav A/2
A. Thapar C/4
Central Region
Manager
S.P. Kumar A/1
R. Pandey B/3
Southern Region Manager
A. Subramanyam B/2
B.K. Menon B/1
Eastern Region
Manager
R. Krishna B/3
48. 5-19
B) External Labour supply: External hires need to be contacted
when suitable internal replacements are not available. A growing
number of firms are now using computerised human resource
information systems to track the qualifications of hundreds or
thousands of employees. HRIS can provide managers with a
listing of candidates with required qualifications after scanning the
data base.
Human Resource Planning
Supply Forecasting
49. 5-20
Important barometers of labour
supply
Human Resource Planning
1. Net migration into and out of the area
2. Education levels of workforce
3. Demographic changes in population
4. Technological developments and shifts
5. Population Mobility
6. Demand for specific skills
7. National, regional unemployment rates
8. Actions of competing employers
9. Government policies, regulations, pressures
10. Economic Forecasts for the next few years
11. The attractiveness of an area
12. The attractiveness of an industry in a particular place
50. Manpower Gap Analysis
5-21
Human Resource Planning
This is used to reconcile the forecasts of labour demand and supply. This
process identifies potential skill shortages or surpluses of employees, skills
and jobs
Estimating manpower requirements
Year
1 2 3
1. Number required at the beginning of the year
2. Changes to requirements forecast during the year DEMAND
3. Total requirements at the end of the year (1+2) ------- ------
4. Number available at the beginning of the year
5. Additions (transfers, promotions) SUPPLY
6. Separations (retirement, wastage, promotions out and other losses)
7. Total available at the end of year (4+5+6) --------------------
8. Deficit or surplus (3-7) RECONCILIATION
9. Losses of those recruited during the year OF THE ABOVE
10. Additional numbers needed during the year (8+9) MANPOWERNEEDED
51. 5-22
Formulating HR Plans
Human Resource Planning
Once supply and demand for labour is known adjustments can be made
formulating requisite HR plans
A variety of HR plans
Recruitment plan
Redeployment plan
Redundancy plan
Training plan
Productivity plan
Retention plan
