What is HR planning?

In the words of Giesler, Manpower planning (HRP) is the process- including forecasting, developing, implementing & controlling by which a firm ensures that it has the right number of people & right kind of people, at the right place, at the right time, doing things for which they are economically most suitable.

Futuristic

Continuous process
Part of corporate planning

Systematic Approach
Flexibility

Long term & short term

plans

Why is HRP important?

Allows your business strategic plan to be carried out. Reflects the emphasis on people in your Mission Statement. Focuses the team on what needs to be accomplished, how it will be accomplished, within what budgets and timeframe. Helps to identify critical HR Gaps and how the organization will address them. Results in a more disciplined approach to the management of the organizations most critical resource its people across your management teams. Enables you to think through the options and execute a thorough plan.

What Does HRP involve?

Strategy - Outline how your organizations HR strategy will integrate with your overall business strategies; Organizational Design - Define the organizational design in order to position your company for success; Recruitment and Orientation - Create objectives for the recruitment and orientation of your team that will address all of the details of recruiting sources, interviewing techniques, etc. Retention Plan - Indicate how your organization will retain and motivate its employees; Performance Management Outline how your organization will manage the performance of its employees

Objectives of HR Planning

Forecasting human resource requirements Effective management of change Realizing organizational goals Prompting employees Effective utilization of human resource

Process of HR Planning
Organisational Objectives Human Resource Planning HR Needs Forecast HR Supply Forecast

HR Programming HRP Implementation Control & Evaluation

Surplus - Restricted Hiring, Lay Off, VRS, Reduced Hours

Shortage - Recruitment & Selection

Action plans for bridging gap

FORECAST DEMAND
Considerations: Product/service demand Economics Technology Financial Resources Absenteeism/turnover Organizational growth Management philosophy

FORECAST SUPPLY

HR Planning Model

INTERNAL Staffing tables Markov analysis Skills inventories Management inventories Replacement charts

BALANCE Supply & Demand Recruitment Full time, part time, recalls (Shortage) Reductions Terminations , layoffs, demotions, retirement (Surplus)

TECHNIQUES: Managerial judgement method Delphi technique Work study technique Ratio trend analysis Statistical & mathematical models

Succession planning
EXTERNAL Demographic changes Education of workforce Labor mobility Government policies Unemployment rate

Special Thanks to: Bindu Maam