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Human Resource Planning

Human Resource Planning


Definition
HRP is the process of ensuring the right
number of qualified people into the right
job at the right time to deliver the results in
an efficient and effective manner.
Process
♦ Understanding the organizational
Objectives
♦ Translating into schedules
♦ Devise Plans to secure the right resources
Objectives
♦ Maintain the quantity & quality of human resources
♦ Forecast turnover/attrition rates
♦ Plan to meet HR needs at times of expansion/
diversification
♦ Foresee the effects of technological changes on HR and
provide
♦ Develop existing HR to match HR requirements of the
future
♦ Optimize Staffing
♦ Make contingent plans for sudden requirements &
situations of shortfall
♦ Utilize HR effectively and efficiently
♦ Estimate value of HR and their contribution to the
organization
Planning at Different Levels
Communication in both directions
♦ Corporate -level
Macro- Changing market & technology
Organizational Policy
♦ Intermediate – level
Strategic Business Unit
Recruitment/layoff, retaining
♦ Operations Planning
Training & Development
Recruitment
♦ Short term activities
Day to day activities
Grievance handling etc.
Process of HRP
Long Term Needs

Career Planning for individual employees

Succession Planning
Basic Steps of HRP
♦ Analyzing impact of strategy and objectives
in terms of HR requirements
♦ Involving Line managers in determining
needs
♦ Forecasting the quantity and quality of HR
required
♦ Matching HR supply in the organizations
with numbers required
♦ Developing action plan to meet future
requirements – planned and phased manner
Assessing Current Human Resources
♦ Job Analysis

Inventory of Resources
♦ Knowledge
♦ Skill
♦ Qualification
Human Resource Information
System
Easy storage and access of information
♦ employees
♦ their jobs
♦ their qualifications
♦ their compensation
♦ training needs
♦ leave balance etc
Forecasting
Matching Inventory with Future
Requirements
Managing Forecasted Demand/
Surplus
Consider
♦ New hires
♦ Transfers
♦ Long leave and coming back
♦ Promotions and demotions
♦ Separation- retirement, resignation, disciplinary action, death or sickness

♦ Statistical /probability tools or past experiences


♦ Changing Demographics
♦ Political, Social and legal environment
Managing Future demands
Managing Future Surplus

Dealing With Surplus Manpower


Dealing with Surplus Manpower
♦ Retrenchment
♦ Outplacement
♦ Lay- offs
♦ Leave or absence without pay
♦ Loaning
♦ Work sharing
♦ Reduced work hours
♦ Early/ voluntary Retirement
♦ Attrition
Growing Importance of HRP
Pitfalls Complicated Process

Current Trends
Down sizing
Outsourcing