hr planning

1. Ayazahemad Malek

2. In simple words, HRP is understood as the
process of forecasting an organization's
future demand for, and supply of, the right
type of people in the right number.
After this only the HRM department can
initiate the recruitment and selection
process
Its called by manpower planning, personal
planning or employment planning

3. • It includes the estimation of how many qualified
people are necessary to carry out the assigned
activities, how many people will be available, and
what, if anything, must be done to ensure that
personal supply equals personnel demand at the
appropriate point in the future.
Basically it’s the process by which an organization
ensures that it has the right number & kind of
people, at the right place, at the right time,
capable of effectively & efficiently completeing
those tasks that will help the organisation achieve
its overall objectives.
•

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

5. 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

6. 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
•
•
•

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

8. 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….

9. 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

10. ENVIRONMENT
ORGANISATIONAL
OBJECTIVES AND POLICIES
HR NEEDS FORECAST HR SUPPLY FORECAST
HR PROGRAMMING
HRP IMPLEMENTATATION
CONTROL AND
EVALUATION OF PROGRAMME
SURPLUS SHORTAGE
RESTRICTED HIRING RECRUITMENT
REDUCED HOURS AND SELECTION
VRS, LAY OFF, etc
THE HRP PROCESS

11. HR plans need to be based on Organizational Objectives.
The role of HRP is to subserve the overall objectives by
ensuring availability and utilization of Human Resources.
In developing these objectives, specific policies need to be
formulated to address the following questions:
■ Are vacancies to be filled from promotions from within or
hiring from outside?
■ How do training and development objectives interfere with the
HRP objectives?
■ What union constraints are encountered in HRP and what
policies are needed to handle these constraints?
■ How to enrich employees job? Should the routine and boring
jobs continue or be eliminated?
■ How to downsize the organization to make it more
competitive?

12. 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

13. 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.

14. 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

15. Managerial judgement
Ratio-trend analysis
Work study techniques
Delphi technique
Flow models
Other techniques

16. 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.

17. 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.

18. 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.

19. • 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.
•

20. 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.

21. 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.

22. Existing human resources
Internal sources of supply
External sources of supply

23. • 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

24. • 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.

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

26. Inflows and outflows
IS= current supply – outflow + inflow
Turnover rate
No of seperations during one year
Avg no of employees during the year
× 100

27. Conditions of work and absenteeism.
Absenteeism is given by
no of persons – days lost ×100
Avg no of persons × no of working days
Productivity level
Movement among jobs

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

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

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

31. Recruitment
Selection & placement
●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

32. 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

33. It covers no. of trainees required
It necessary for existing staff
Identification of resource personal for
conducting development programmes
Frequency of training and development
programmes
Budget allocation

34. ❑Retraining and redeployment:
■New skill should be imported to existing
employee
❑Retention plan:
❑ Compensation plan
❑ Performance appraisal
❑ Employees leaving in search of green pastures
❑ The induction criss
❑ Shortages
❑ Unstable recruits

35. Who is to be redundant and where and when
Plans for re-development or re-training
Steps to be taken to help redundant
employees finding new jobs
Policy for declaring redundancies
Programme for consulting with unions or
staff associations

36. Analysis of demand
Audit of existing executives
Planning of individual career path
Career counseling
Accelerated promotions
Performance related training and
development
Planned strategic recruitment
Filling the openings

37. Establish the reporting procedures
Identifying who are in post and those who
are in pipe line
It should report employment costs against
budget and trends in wastage and
employment ratios

38. ● Institute of Applied Manpower Research
● Requisites for successful HRP
●Recognize of corporate planning
●Backing of top management for HRP
●HRP responsibilities should be centralized
●Personnel record must be complete, up-date and
readily available
●The time horizon of plan should be long for remedial
action
●The techniques of planning should be best suit
●Plans should be prepared by skill level
●Data collection, analysis, techniques of planning
should be constantly revised

39. ● People question the importance of making HR
practices future oriented and role assigned to HR
practitioners in formulation of organizational
strategies
● HR practitioners are perceived as expert in handling
personnel matters, but are not experts in managing
business.
● HR information often is incompatible with the
information used in strategy formulation.
● 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.