IHRM international HRM

1. Prof. Shrinivas

2. Human Resource is an important corporate asset and
the overall performance of companies depends upon
the way it is put to use.
Globally Major issues in today’s organizations are skill
shortages, competency gaps, redundancies,
downsizing, rightsizing.

3. HUMAN RESOURCE PLANNING
The process of analyzing and identifying the need for and
availability of Human Resources so that the Organization
can meet its objectives.
The Process of determining an Organization’s human
resources needs.
Or

4. ⦁ “HRP includes estimation of how many qualified
people are necessary to carry out the assigned
activities, how many people will beavailable, and
what ,if anything, must bedone toensure that
personnel supply equals personnel demand at the
appropriate time in the future.”
-Terry L.Leap and Michael

5.  Forecast future requirements of human resources with
different levels of skills.
 Assess surplus or shortage, if any, human resources available
over a specified period of time. Anticipate the impact of
technology on job and requirements for human resources.
 The ultimate objective is to relate future human resources to
future enterprise needs so as to maximize the future return on
investment in human resources.

6.  Control the human resources already deployed in the
organization.
 Provide lead time available to select and train the
required additional human resource over a specified
time period.

7. ⦁ Large numbers of employees who retire, die, leave
organizations, or become incapacitated because of
physical or mental ailments, need to be replaced by
new employees. Human Resource Planning ensures
smooth supply of workers without interruption

8. 1. FUTURE PERSONNEL NEEDS
• Surplus or deficiency in staff strength
• Results in the anomaly of surplus labour with the lack
of top executives
2. COPING WITH CHANGE
• Enables an enterprise to cope with changes in
competitive forces, markets, technology, products &
government regulations
3. CREATING HIGHLY TALENTED PERSONNEL
• HR manager must use his/her ingenuity to attract &
retain qualified & skilled personnel
• Succession planning
4. PROTECTION OF WEAKER SECTIONS
• SC/ST candidates, physically handicapped, children of
the socially disabled & physically oppressed and
backward class citizens.

9. 5. INTERNATIONAL STRATEGIES
• Fill key jobs with foreign nationals and re-assignment
of employees from within or across national borders
6. FOUNDATION FOR PERSONNEL FUNCTIONS
• Provides information for designing & implementing
recruiting, selection, personnel movement(transfers,
promotions, layoffs) & training & development
7. INCREASING INVESTMENTS IN HUMAN
RESOURCES
• Human assets increase in value
8. RESISTANCE TO CHANGE AND MOVE
• Proper planning is required to do this

10. 9. OTHER BENEFITS
• Upper management has a better view of the HR
dimensions of business decision
• More time is provided to locate talent
• Better opportunities exist to include women &
minority groups in future growth plans
• Better planning of assignments to develop
managers can be done

11. ⦁ Interfacing with strategic planning and scanning the environment
⦁ Taking an inventory of the company’s current human resources
⦁ Forecasting demand for human resources
⦁ Forecasting the supply of HR from within the organization and in
the external labor market

12. ⦁ Comparing forecasts of demand and supply
⦁ Planning the actions needed to deal with anticipated shortage or
overages
⦁ Feeding back such information into the strategic planning process.

13. I. TYPE & STRATEGY OF ORGANISATION
Internal growth
Informal
Inflexible
Growth through M & A
Reactive
Flexible
Proactive
Formal

14. I. TYPE & STRATEGY OF ORGANISATION
II. ORGANIZATIONAL GROWTH CYCLES & PLANNING
• Embryonic stage – No personnel planning
• Growth stage – HR forecasting is essential
• Maturity stage – Planning more formalized & less
flexible
• Declining stage – Planning for layoff, retrenchment &
retirement
III. ENVIRONMENTAL UNCERTAINITIES
• Political, social & economic changes
• Balancing programmes are built into the HRM
programme through succession planning, promotion
channels, layoffs, flexi time, job sharing, retirement,
VRS, etc….

15. IV. TIME HORIZONS
• Short-term & Long-term plans
V. TYPE & QUALITY OF FORECASTING
INFORMATION
• Type of information which should be used in
making forecasts
VI. NATURE OF JOBS BEING FILLED
• Difference in employing a shop-floor worker & a
managerial personnel
VII. OFF-LOADING THE WORK

17. Organizational
objectives and policies
HR Needs forecast HR Supply
forecast
HR Programming
HRP Implementation
Control and evaluation of
programme
Surplus
Restricted Hiring,Reduced
Hours,VRS,Lay off etc
Shortage
Recruitment and
Selection

18. ⦁ Demand forecasting is the process of
estimating the future quantity and quality of
people required.
⦁ The basis of the forecast must be the annual
budget and long-term corporate plan,
translated into activity levels for each
function and department

19. ⦁ Demand forecasting must consider several
factors both internal and external.
⦁ Among external factors are
competition(foreign and domestic), economic
climate, laws and regulatory bodies, changes
in technology and
social factors.
⦁ Internal factors include budget constraints,
production levels, new products and services,
organizational structure and employee
separation.

20. ⦁ Demand forecasting helps to :
◦ Quantify the jobs necessary for producing a given
number of goods
◦ Prevent shortage of people where and when they
are needed most
◦ Determine what staff-mix is desirable in the future
◦ Monitor compliance with legal requirements
with regard to reservation of jobs
◦ Asses appropriate staffing levels in different parts
of
the organization so as to avoid unnecessary costs

22. ⦁ Managerial judgment
⦁ Ratio-trend analysis
⦁ Work study techniques
⦁ Delphi technique
⦁ Other techniques

23. ⦁ In this all managers sit together, discuss and
arrive at a figure which would be the future
demand for labour.
⦁ This technique may involve a ‘bottom-up’ or
‘top-down’ approach. A combination of both
could yield positive results.

24. ⦁ This is the quickest forecasting technique.
⦁ This technique involves studying past ratios,
say, between the number of workers and
sales in an organization and forecasting
future ratios, making some allowance for
changes in the organization or its method.

25. ⦁ Work study techniques can be used when it is
possible to apply work measurement to
calculate the length of operations and the
amount of labour required.

26. • This technique is the method of forecasting
personnel needs.
• It solicits estimates of personnel needs from
a group of experts, usually managers.
• The HRP experts act as intermediaries,
summarize the various responses and report
the findings back to the experts.
• Summaries and surveys are repeated until the
experts opinion begin to agree.

27. Supply forecasting measures the no of
people likely to be available from within and
outside an organisation, after making
allowance for absenteeism, internal
movements and promotions, wastage and
changes in hours and other conditions of
work.

28. ⦁ Quantify no of people and positions expected
in near future.
⦁ Clarify the staff mixes.
⦁ Prevent shortage of people
⦁ Asses present staffing levels in different parts
of organization.

29. ⦁ Existing human resources
⦁ Internal sources of supply
⦁ External sources of supply

30. • Skill inventories – info about non-managers.
1. Personal data
2. Skills
3. Special qualifications
4. Salary and job history
5. Company data
6. Capacity of individual
7. Special preference of individual

31. • Management inventories
1. Work history
2. Strengths
3. Weakness
4. Promotion potential
5. Career goals
6. Personal data
7. Number and types of employees supervised
8. Total budget managed
9. Previous management duties.

32. ⦁ HR planning and analysis
⦁ Equal employment
⦁ Staffing
⦁ HR development
⦁ Compensation and benefits
⦁ Health,saftey and security
⦁ Employee and labor relations

33. ⦁ Inflows and outflows
IS= current supply – outflow + inflow
⦁ Turnover rate
No of seperations during one year
Avg no of employees during the year
⦁ Productivity level
⦁ Movement among jobs
× 100

34. ⦁ New blood and new experience
⦁ To replenish old personnel
⦁ Organizational growth and diversification

35. ⦁ After personal demand and supply are
forecast the vacancies should be filled at right
time with right employees.

36. ⦁ Converting HR plan into action.
⦁ Action programmes are..
🞄 Recruitment
🞄 Selection & placement
🞄 Training and development
🞄 Retraining & redeployment
🞄 The retention plan
🞄 The redundance plan
🞄 The succession plan

37. ⚫ If Shortage of employees
- Do-
 Hire new full-time employees
 Offer incentives for postponing retirement
 Re-hire retired employees on part-time basis
 Attempt to reduce turnover
 Bring in over-time for present employees
 Subcontract work to another company
 Hire temporary employees
 Re-engineer to reduce needs

38. ⦁ If surplus of employees is expected
-Do-
 Do not replace employees who leave
 Offer incentives for early retirement
 Transfer or reassign excess employees
 Use slack time for employees training or
equipment maintenance
 Reduce work hours
 Pay off employee

39. ⚫ Conflicts may exist between short term and
long term HR needs.
⚫ Conflicts between quantitative and qualitative
approaches to HRP.
⚫ Non-involvement of operating managers
renders HRP ineffective.