HUMAN RESOURCE

PLANNING
Prepared By: Kriszanne De Guia, Lpt, MAIP
HUMAN RESOURCE PLANNING
• is important for helping both organizations and
employees to prepare for the future. The basic goal
of human resource planning is to predict the future
and based on these predictions, implement
programs to avoid anticipated problems.
• According to Vetter, “HRP is the process by which
management determines how the organization should move
from its current man power position to desired manpower
position.
• According to Gordon Mc Beath, “HRP is concerned with
two things: Planning of manpower requirements and
Planning of Manpower supplies”.
• According to Beach, “HRP is a process of determining and
assuming that the organization will have an adequate
number of qualified persons, available at proper times,
performing jobs which meet the needs of the enterprise and
which provides satisfaction for the individuals involved”.
 NATURE OF HRP
• The focus of HR planning is to ensure that the
organization has the right number of human
resources, with the right capabilities, at the right
times, and in the right places. In HR planning, an
organization must consider the availability and
allocation of people to jobs over long periods of
time, not just for the next month or the next year
 Importance of HRP
• 1. Future Personnel Needs: Human resource planning is significant because
it helps to determine the future personnel needs of the organization.
• 2. Part of Strategic Planning HRP provides inputs in strategy formulation
process in terms of deciding whether the organization has got the right kind
of human resources to carry out the given strategy.
• 3. Creating Highly Talented Personnel: Even though India has a great pool
of educated unemployed, it is the discretion of HR manager that will enable
the company to recruit the right person with right skills to the organization
• 4. International Strategies: An international expansion strategy of an
organization is facilitated to a great extent by HR planning. The HR
department’s ability to fill key jobs with foreign nationals and reassignment of
employees from within or across national borders is a major challenge that is
being faced by international business.
• 5. Foundation for Personnel Functions: HRP provides essential information
for designing and implementing personnel functions, such as recruitment,
selection, training and development, personnel movement like transfers,
promotions and layoffs.
• 6. Increasing Investments in Human Resources: Organizations are making
increasing investments in human resource development compelling the
increased need for HRP. Organizations are realizing 22 that human assets can
increase in value more than the physical assets. An employee who gradually
develops his/ her skills and abilities become a valuable asset for the
organization.
• 7. Resistance to Change: Employees are always reluctant whenever
they hear about change and even about job rotation.
• 8. Uniting the Viewpoint of Line and Staff Managers: HRP helps
to unite the viewpoints of line and staff managers. Though HRP is
initiated and executed by the corporate staff, it requires the input and
cooperation of all managers within an organization
• 9. Succession Planning: Human Resource Planning prepares people
for future challenges.
• 10. Other Benefits:
• (a) HRP helps in judging the effectiveness of manpower policies and
programmes of management.
• (b) It develops awareness on effective utilization of human resources
for the overall development of organization.
• (c) It facilitates selection and training of employees with adequate
knowledge, experience and aptitudes so as to carry on and achieve the
organizational objectives
• (d) HRP encourages the company to review and modify its human
resource policies and practices and to examine the way of utilizing the
human resources for better utilization.
• 1. Type and Strategy of the Organization: Type of the organization
determines the production processes involve, number and type of staff
needed and the supervisory and managerial personnel required. HR need
is also defined by the strategic plan of organization.
• 2. Organizational Growth Cycles and Planning: All organizations
pass through different stages of growth from the day of its inception.
The stage of growth in which an organization is determines the nature
and extends of HRP.
• 3. Environmental Uncertainties: Political, social and economic
changes affect all organizations and the fluctuations that are happening
in these environments affect organizations drastically. The balance in the
organization is achieved through careful succession planning, promotion
channels, layoffs, flexi time, job sharing, retirement, VRS and other
personnel related arrangements
• 4. Time Horizons: HR plans can be short term or long term. Short
term plans spans from six months to one year, while long term plans
spread over three to twenty years.
• 5. Type and Quality of information: The information used to
forecast personnel needs originates from a multitude of sources. The
forecast depends to a large extent upon the type of information and
the quality of data that is available to personnel planners.
• 6. Nature of Jobs Being Filled: Personnel planners need to be really
careful with respect to the nature of the jobs being filled in the
organization.
• 7. Outsourcing: Several organizations outsource part of their work
to outside parties in the form of subcontract.
END