Human Resources Planning: Macro Level Scenario of Human Resources Planning. Concepts of Process of Human Resources Planning.

1. Human Resource PlanningHuman Resource Planning
Fundamentals of Human Resource
Management
By Durgesh Satpathy
Asst. Prof. (Management)
http://durgeshsatpathy.com

2. Introduction
Human resource planning is a process by
which an organization ensures that
– it has the right number and kinds of people
– at the right place
– at the right time
– capable of effectively and efficiently completing
those tasks that will help the organization achieve
its overall strategic objectives
Fundamentals of Human Resource
Management

3. Definitions:
• “Human Resource Planning is the strategy for the acquisition movement & preservation of an
organization's Human Resource. –Stainer
• “The process of determining manpower requirements and the means for meeting those
requirements in order to carry out the integrated plan of the organization.” -Coleman
Fundamentals of Human Resource
Management

4. Objective:
Fundamentals of Human Resource
Management
 To ensure optimum use of Human Resources currently
employed;
 To balance in the distribution and allocation of Human
Resources as per requirement;
 To assess or forecast future skill requirements of the
organization's overall objectives;
 To provide control measure to ensure availability of
necessary resources when required;
 To control the cost aspect of Human Resources;
 To formulate transfer and promotion policies.

5. Linkage
HR planning must be
• linked to the organization’s overall strategy
• translated into the number and types of
workers needed
Fundamentals of Human Resource
Management

6. Linking Organizational Strategy to HR Planning
Fundamentals of Human Resource
Management
Mission
Objectives and Goals
Strategy
Structure
People
STRATEGIC DIRECTION HR LINKAGE
determining organization’s
business
setting goals and
objectives
determining how to attain
goals and objectives
determining what jobs need to be
done and by whom
matching skills, knowledge,
and abilities to required jobs

7. Q1. Suppose you are the VP HR of ISPCL and you find the below
scenario in a division of your company? How will you react?
Mr. Abhijit Mukharjee is appointed as Asst. HR Manage of the
company and he is not aware of current ESI norms.
Fundamentals of Human Resource
Management

8. Fundamentals of Human Resource
Management
Q2. Suppose you are the HR Manager of a company and you find
the below scenario in a division of your company? How will you
react?
Most of the middle level managers of SMS division will be
retiring on Q-3 of 2022.

9. Fundamentals of Human Resource
Management
Q3. Suppose you are the HR Manager of a company and you find
the below scenario in a division of your company? How will you
react?
By 2025, your company is planning for setting up an integrated
steel plant in Khedapali Area, Bargarh. Your employees have
worked with all departments except power plan operation.

10. TIME FRAME OF HRP
Fundamentals of Human Resource
Management
Short term : (0-2) years
Intermediate : (2-5) years
Long Range :(beyond 5 years)

11. Short range
Fundamentals of Human Resource
Management
 Demand:
Individuals leave,
Strike,
Small technological changes,
new regulations in force
 Supply:
Departmental
Expected Promotions
Number and Kinds of
employees needed

12. Fundamentals of Human Resource
Management
Intermediate
 Demand
Needs from plans and budgets
Any expansion or adjustment of plan
 Supply
Managerial and supervisor development
plan

13. Long range
Fundamentals of Human Resource
Management
 More focus on long term Environmental
changes (technology or culture )
 Management expectations of changing
characteristics of employees and future
available human resources

14. Process of HRP
Fundamentals of Human Resource
Management

15. Forecasting Approaches:
Fundamentals of Human Resource
Management
 Experts estimates –
Based on opinions of experts/ guesses/ intuitions
 Statistical modeling –
Trend Analysis
 Unit demand forecasting –
Based on job role versus head count

16. Supply Approach
Fundamentals of Human Resource
Management
 Supply Forecasting
Requirements from Within & Outside
Present HR Inventory
HR Audit (Skills of existing employees)
Employee Wastage (Better Prospects/Retirement/
Layoff)
Internal Promotions

17. Gap Analysis
Fundamentals of Human Resource
Management
 Net Human Resource Requirement Determined
 If S > D, Surplus, Freeze on Recruitment,
Downsizing (Layoffs / Voluntary Retirement)
 If D > S, Deficit, Recruitment, Expansion

18. Developing Employment Plans
Fundamentals of Human Resource
Management
 Job Analysis
Characteristics of the Job
What a typical worker does
What material / equipment does he use
How is the job performed
Required Personal Attributes

19. Fundamentals of Human Resource
Management
Developing Employment Plans
 Job Description
Job Contents
Minimum Expectations from an Employee
Clear & Easy to Understand
As descriptive & vast as possible
Degree of Authority / Supervision

20. Developing Employment Plans
Fundamentals of Human Resource
Management
 Job Specification
Minimum Qualification for a Job
Academic / Experience / Age
Personality Factors
Form Eligibility

21. FACTORS AFFECTING HUMAN RESOURCE
MANAGEMENT

22. FACTORS AFFECTING HRP
• Type & strategy of organization
• Organizational growth cycles & planning
• Environmental uncertainties
• Type & quality of information
• Time horizons
• Labour market
• Outsourcing

23. Type & strategy of organization
• Type of organization
– Production process involved
– Number & type of staff needed
– Supervisory &/or managerial personnel required
• Strategy of organization
– Organization’s HR needs
• Growth - employees hired
• Mergers - layoffs

24. Organizational growth cycles & planning

25. Environmental uncertainties
• Recruitment, selection & training
• Balancing mechanisms:-
– Succession planning
– Layoffs
– Flexitime & job sharing
– Retirement

26. Type & quality of information
• Forecasting
• Well developed job-analysis information
• HRIS

27. Time horizons
• Short-term plans (6 months to 1 year)
• Long-term plans (3 to 20 years)
• Depends on degree of uncertainty prevailing

28. Labor market
• Means people with skills & abilities that can be tapped as &
when the need arises
• Shortages may occur
• Considerations about labor supply:-
– Population
– Demand of goods & services
– Nature of production technology
– Employability of the people

29. Outsourcing
• Sub-contracting
• Mainly done of non-critical activities
• Surplus labor

30. Assignment:
Fundamentals of Human Resource
Management
Macro level scenario of HRP

31. Fundamentals of Human Resource
Management