Master of Business Administration-MBA Semester 3

MU0010 Manpower Planning and Resourcing

Assignment Set- 1 Q.1 What are the five steps in Manpower Planning? Ans:The employment process begins with manpower planning i.e. the forecasting and determination of the exact personnel requirements and a company and the specification of the strategies and tactics for the acquisition, utilization, improvement and preservation of its human resources. The aim of manpower planning is to avoid shortfalls and surpluses of labour. Shortages lead to over utilization while surpluses lead to redundancy and underutilization of manpower. With manpower planning, a firm does not react to each new set of circumstances on the basis of the short-term personnel needs which they present. Rather, the systematic steps that are taken provide overall co-ordination, direction, and logic for its personnel decisions. Man power planning is defined by Vetter as:the process by which management determines how the organization should move from its current manpower position to its desired manpower position. Through planning, the management strives to have the right number and right kind of people , at right places, at the right time, doing things which result in both the organization and the individual receiving maximum long run benefit. According to Gordon Macbeth, manpower planning involves two stages. The first stage is concerned with the detailed planning of manpower requirement for all types and levels of employees throughout the period of plan. and the second stage is concerned with the planning of manpower supplies to provide the organization with the right type of people from all sources to meet the planned requirements. The main steps involved in manpower planning are as follows: 1. Ascertain objectives and operating plans: The first step in manpower planning is to ascertain the objectives and operating plans of the company. This is because it is the companys plans and anticipated levels of production and activity that will determine the specific quantity and quality of manpower that will be required. 2. State the manpower implications of projected operations: The second step is to specify the manpower implication of the companys projected operations and plans. This exercise which is an assessment of manpower demand might show the need for more labour in certain areas while showing the need for reduction of labor in others. 3. Make an inventory of the firms manpower: The third step is to take an inventory of the manpower resources within the firm. This involves the physical counting of employees (a form of census) to know the number of workers that are available in each occupational category. If the

numbers of workers available are not enough to cope with the planned future operations, then more staff will be needed. If there is going to be an excess of employees, then plans have to be made to reduce the present staff strength. 4. Match resources with requirements: The fourth and final step is to match resources with requirements. If there is going to be a shortage of particular categories of personnel in future then arrangements have to be made to recruit more of such workers from the external labour market. Some workers in the company may of course be trained and upgraded to fill some of the expected vacancies. 5.
Design training programmes: These will be based upon extent of diversification, expansion plans,

development programmes,etc. Training programmes depend upon the extent of improvement in technology and advancement to take place. It is also done to improve upon the skills, capabilities, knowledge of the workers.

Activities involved in Manpower Planning:

Identifying and designing current and planned organization structure of the organization. Estimating current and future workload for different functions and organizational units in the organization, and, based on that, estimating the current and future total requirement of people to fill the various positions of different types and at different levels. Developing profile or specifications for people to fill the various positions identified. Taking an inventory of existing employees in the company, and their capabilities. Comparing the manpower requirements and availability to determine the additional people required in the organization at different times. While working out this requirement, suitable provision is made for likely attribution of some of the existing employees. Similarly while examining capability requirements of employees consideration is given to on the development of skill and capability of people with work experience. This activity results in identification of the total additional manpower requirements to be fulfilled by various means. Determining, the means of acquiring the additional required manpower through various means such as external recruitment, internal transfers and promotions, and training. Preparing recruitment plan. Preparing training plan.

Manpower planning plays a vital role in Human Resource activity of an organization. Human Resource is an asset to every organization. Manpower planning mainly involves determining the needs and supply of human resource and the available sources.The organization should make Manpower Planning in such away that it should satisfy both organization and employer at a higher level. It result in creating working environment and maintain better employee and employer relationship.