Human Resource Planning

1. Human Resource
Planning
Unit-II

2. What is Human
Resource
Planning?
• Human resource planning is a
technique company uses to
balance its flow of employees
and prevent situations such as
team member shortages or
surpluses.
• This also ensures that the
business has the right people
with the appropriate skills and
ability to build a strong
workforce.

3. HR PLANNING
• The person owning the organization by
Human resource planning must assure that
all his/her employees are the right people in
the right place for the right job.
• division of labor,
• specialization,
• organization of management into levels,
• job/work simplification,
• application of standards for selecting
employees
• Measuring employee performance

4. HR
PLANNING
The focus earlier in manpower planning was on
improving the productivity. Post world War era
demanded employee productivity with a concern on
availability of competent personnel at different levels
in the organization. This was basically due to:
• The demand for better services and products.
• As technology became universal and being adopted
in various business functions, need and demand for
highly skilled people increased.
• This has given credits to behavioral aspects of
people in the organization.
• As Information and communication technology
became popular and seen in all most all the
business process, dealing with people became
complex.

5. History of HRP
• In the 60s, manpower planning process
organizations:
• Linked the manpower in the organization with its
environment.
• Forecasted their needs for manpower into the future,
• Forecasted their internal labor supply for meeting
the needs,
• Identified the gaps between need and available
human resource
• Planned for recruitment, selection, and placement of
employees, provided for training and development,
and anticipated necessary promotion and transfers.
During the 1980s:
• Employees were encouraged to participate in
decisions with reference to their career and
work.
• At the same time organization also become
conscious of profitability and cost control.
• Organizations adopted work and career
management practices of the type reflected
• in innovations under affirmative action.

6. HUMAN RESOURCE
PLANNING
PROCESS:
• The basis for HR planning is the
organizational strategy.
• HR planning is a process of
analyzing and identifying the
need or and availability of human
resources so that the
organization can meet its
objectives.

7. Strategic HR planning can be made:
• By participating in the organizational planning process
• Identify the HR strategies in line with the organizational strategy
• Design and develop HR information system
• Compile and analyze the available data on staffing needs of
various departments.
• Identify supply and demand needs for each department in the
organization
• Review HR planning with the different department
• Integrate HR plan with the organizational plan
• Monitor the HR plan to keep pace with the changes in the
business environment
• Develop and review the employee succession plan

9. Job Analysis

10. JOB ANALYSIS
• A job specification is an official
document which describes the duties,
required knowledge, skills and
abilities, and minimum qualifications
of State jobs.

13. (Knowledge,
Skills and
Abilities)

14. Job Specification
• Specification is a tool that for allows management to let
applicants know the skills, level of experience and
education, and abilities that are required to have to be able
to fit easily into a job in an organization.

17. JOB
DESIGN

18. JOB
DESIGN

19. Job Characteristics Theory
Proposed by Greg R. Oldham and
J. Richard Hackman in 1976, job
characteristics theory identifies
five core characteristics that
managers should keep in mind
when they are designing jobs.
The theory is that these
dimensions relate to, and help
satisfy, important psychological
states of the employee filling the
role, with the results of greater job
satisfaction and motivation and
less absenteeism and turnover.

20. Core Job
Characteristics
Skill variety: Doing the same thing day in, day out gets tedious. The solution
to design jobs with enough variety to stimulate ongoing interest, growth, and
satisfaction.
Task identity: Being part of a team is motivating, but so, too, is having some
ownership of a set of tasks or part of the process. Having a clear
understanding of what one is responsible for, with some degree of control
over it, is an important motivator.
Task significance: Feeling relevant to organizational success provides
important motivation for getting a task or job done. Knowing that one’s
contributions are important contributes to sense of satisfaction and
accomplishment.
Autonomy: No one likes to be micromanaged and having some freedom to
be the expert is critical to job satisfaction. Companies usually hire people for
their specialized knowledge. Giving specialists autonomy to make the right
decisions is a win-win.
Feedback: Finally, everyone needs objective feedback on how they are doing
and how they can do better. Providing well-constructed feedback with
tangible outcomes is a key component of job design.

21. Job Design
Job design is an important prerequisite to workplace
motivation, as a well-designed job can encourage positive
behaviors and create a strong infrastructure for employee
success.
Job design follows job analysis i.e., it is the next step after
job analysis. It aims at outlining and organizing tasks, duties
and responsibilities into a single unit of work for the
achievement of certain objectives.
Job design essentially involves integrating job
responsibilities or content and certain qualifications that
are required to perform the same.
It outlines the job responsibilities very clearly and also
helps in attracting the right candidates to the right job.
Further it also makes the job look interesting and
specialised.

22. Job Design
There are various steps involved in job design that follow a logical sequence
• What tasks are required to e done or what tasks is part of the job?
• How are the tasks performed?
• What amount are tasks are required to be done?
• What is the sequence of performing these tasks?
All these questions are aimed at arriving upon a clear definition of a specific job
and thereby make it less risky for the one performing the same. A well defined job
encourages feeling of achievement among the employees and a sense of high self
esteem.

23. Benefits of
Job Design
Employee Input: A good job design enables a good job
feedback. Employees have the option to vary tasks as per their
personal and social needs, habits and circumstances in the
workplace.
Employee Training: Training is an integral part of job design.
Contrary to the philosophy of “leave them alone’ job design
lays due emphasis on training people so that are well aware of
what their job demands and how it is to be done.
Work/Rest Schedules: Job design offers good work and rest
schedule by clearly defining the number of hours an individual
has to spend in his/her job.
Adjustments: A good job designs allows for adjustments for
physically demanding jobs by minimizing the energy spent
doing the job and by aligning the manpower requirements for
the same.

24. Psychological States
Below are the psychological states that help employees feel motivated and
satisfied with their work:
• Experienced meaningfulness: This is a positive psychological state that will
be achieved if the first three job dimensions—skill variety, task identity,
and task significance—are in place. All three dimensions help employees
feel that what they do is meaningful.
• Experienced responsibility: Dimension four, autonomy, contributes to a
sense of accountability, which, for most, people is intrinsically motivating.
• Knowledge of results: Dimension five, feedback, provides a sense of
progress, growth, and personal assessment. Understanding one’s
accomplishments is a healthy state of mind for motivation and satisfaction.

25. Work Outcomes
The combination of core job characteristics with psychological states influences work
outcomes such as the following:
Job satisfaction: When employees feel that their jobs are meaningful, that positive
psychological state contributes to a sense of satisfaction.
Motivation: Employees who experience responsibility in their job, a sense of ownership
over their work, and knowledge of the results tend to be more highly motivated.
Absenteeism: When employees are motivated and satisfied, absenteeism and job
turnover decrease.

26. Job Design Techniques
• Job rotation: As noted in the above model, it’s not particularly motivating to do the exact same thing
every day. As a result, rotating jobs and expanding employees’ skill sets accomplish two objectives:
increased employee satisfaction and broader employee skills.
• Job enlargement (horizontal): Giving employees the autonomy to step back and assess the quality of
their work, improve the efficiency of their processes, and address mistakes contributes to satisfaction
in the workplace.
• Intrinsic and extrinsic rewards: Giving employees autonomy helps generate intrinsic rewards (self-
satisfaction) and motivation. Extrinsic rewards (such as time off, a bonus, or commission) are also
motivating.
• Job enrichment (vertical): It’s important for managers to delegate some of their planning to seasoned
employees as they grow into their roles. By turning over control of work-task planning to employees
themselves, they feel a strong sense of engagement, progress in their career, and ownership of their
work outcomes.

27. Forecasting Personnel Needs
• Forecasting helps you predict your company’s workload so
you can ensure you have the correct number of staff, at the
necessary time(s) to handle the amount of work, whether
that be for day-to-day operations or unusual situations.

28. Forecasting Personnel Needs
• Forecasting of demand for human resources depends
on certain factors such as:
• Employment trend and future needs.
• Replacement needs due to retirement, death,
resignation, termination etc.
• Improvement in productivity.
• Expansion of the organization.

29. Reasons to Conduct Demand
Forecasting
• There are several good reasons to conduct demand
forecasting. It can help:
• quantify the jobs necessary for producing a given number
of goods, or offering a given amount of services
• Determine what staff-mix is desirable in the future
• Assess appropriate staffing levels in different parts of the
organization so as to avoid unnecessary costs.
• Prevent shortages of people where and when they are
needed most; and
• Monitor compliance with legal requirements with regard to
reservation of jobs.

30. Forecasting Personnel Needs
The forecasting process can aid your organization in many ways,
including:
• Help you understand the workforce across your organization.
• Reduce the possible risk of staffing shortages.
• Examine current staffing skill sets to compare them with future needs.
• Determine new organizational structures for better workforce
deployment in the future.
• Streamline recruitment strategy.
• Improve business decisions and achieve company goals

31. Steps for Workforce Forecasting-
Define your objectives:
• The first step to workforce forecasting is to define your company’s business objectives,
including its vision, mission, goals, and motives. Once established, HR will need to develop
a strategy that aligns with those objectives. In addition, the department will need to define
core competencies and requirements that will move your company forward.
• Your company’s direction must be communicated to all employees, regardless of position or
rank. It’s often challenging to connect financial planning and human resources to a
workforce forecast and set a budget without reliable, consistent data, utilizing HR analytics
will help your department overcome these challenges. Gained insights will help you
calculate costs and establish:
• How your company will assess, attract, hire, develop, and retain talent to help you meet
short or long-term business goals.
• How your organization will deal with workforce gaps and risks, including skill shortage and
turnover rates.

32. Steps for Workforce Forecasting-
Analyze your talent:
• The second step in workforce forecasting is to identify the characteristics,
capabilities, and distribution of your current labor force, which will permit the
formation of successful gap-closing strategies. An ideal method to gather this data is
through HR analytics.To do so, it is best to create a database with a variety of
information such as:
• Employee demographics
• Turnover and recruitment rates
• Changes within your company that could influence business processes like budgets
cuts or change in business direction
• Competencies of your current workforce including permanent, supplemental, and
contract employees
• Employee rewards system
• Competitor’s workforce management strategy

33. Steps for Workforce Forecasting-
Consider future needs:
Step three focuses on determining well-defined labor force requirements for future employees.
Analyzing internal and external factors that influence business processes is one of the most
useful methods of identifying future talent needs for your company. Several questions that can
help HR professionals recognize current workforce shortages and predict future necessities
include:
• How can we fill existing skill shortages?
• How can we reduce current turnover rates?
• What competencies will our company need to meet our business objectives?
• Will future hires be full or part-time, permanent, or temporary?
• Where will the labor force be located?
• What rewards system will be used?
• How will our company rank with competitors?

34. Steps for Workforce Forecasting-
Find the gaps:
This step in the workforce forecasting focuses on
revealing workforce gaps between your current labor
force and your future forecast.
Common weaknesses to be on the lookout for include
business objectives, skill shortages, staffing processes,
turnover rates and employee profiles.

35. Steps for Workforce Forecasting-
Fill the gaps:
The final step is the creation of a gap-closing strategy that will reduce or
eliminate the workforce discrepancies discovered in step four. The goals of
an effective gap-closing strategy are to increase employees’ capability and
productivity. To help you develop and implement your gap-closing strategy,
you should refer to your collected data.
• Depending on your workforce management goals, your gap-closing
strategy can address a variety of business processes such as:
• Talent retention and recruitment
• Employee development
• Staff reduction
• Salary projections

36. Benefits of Personnel Forecasting
• Ensure that Your Resources are Being Utilized and Happy
• Predict Hiring and Resource Needs
• Anticipate and Meet Demand for Industry Trends
• Map (and Reduce) Attrition Rates

37. Conclusion
• Resource forecasting is one of the most important responsibilities of a
project manager. Thorough resource forecasting will make you much
better at meeting employee needs.
• In the people-focused creative industry, this can translate into happier
employees working on problems they care about. And happier
employees equals happier clients.