Human Resources Resources PlanningPlanning

= Resources

Definition :Definition : process by which an organisation process by which an organisation

ensures that it has the ensures that it has the right right numbernumber & & kind of peoplekind of people at the at the right placeright place and at the and at the right timeright time, , capable of capable of effectively and effectively and efficientlyefficiently completing those tasks completing those tasks that help the organisation achieve that help the organisation achieve its overall objectives..its overall objectives..

ImportanceImportance 1)1) Each Organisation needs personnel with Each Organisation needs personnel with

necessary qualifications, skills, knowledge, necessary qualifications, skills, knowledge, experience & aptitude .experience & aptitude .

2)2) Need for Replacement of Personnel - Need for Replacement of Personnel - Replacing Replacing

old, retired or disabled personnel.old, retired or disabled personnel.

3)3) Meet manpower shortages due to labour Meet manpower shortages due to labour

turnover - turnover - Indian Airlines, Gas Authority of India headless for Indian Airlines, Gas Authority of India headless for

10 months.10 months.

4)4) Meet needs of expansion / downsizing Meet needs of expansion / downsizing

programmes - programmes - As a result of expansion of IT companies the As a result of expansion of IT companies the

demand for IT professionals are increasing. PSU’s offering VRS to demand for IT professionals are increasing. PSU’s offering VRS to

employees to retrench staff and labour costs. DOT.COMs firing staff. employees to retrench staff and labour costs. DOT.COMs firing staff.

5)5) Cater to Future Personnel NeedsCater to Future Personnel Needs - - Avoid Avoid surplus or deficiency of labour. surplus or deficiency of labour.

75% of organisations are overstaffed. Redeployment of 75% of organisations are overstaffed. Redeployment of staff to other units.staff to other units.

6)6) Nature of present workforce in relation with Nature of present workforce in relation with Changing EnvironmentChanging Environment - - helps to cope with helps to cope with changes in competitive forces, markets, changes in competitive forces, markets, technology, products and government regulations. technology, products and government regulations.

Shift in demand from ERP to internet programming has Shift in demand from ERP to internet programming has increased internet programmers demand at Wipro, Infosys etc. ITI increased internet programmers demand at Wipro, Infosys etc. ITI retrained its existing workforce in the new electronic telephone retrained its existing workforce in the new electronic telephone

system.system.

Other usesOther uses

i) quantify job for producing product / i) quantify job for producing product / service ii) quantify people & positions service ii) quantify people & positions

required required

ii) determine future staff-mix ii) determine future staff-mix

iii) assess staffing levels to avoid iii) assess staffing levels to avoid unnecessary costsunnecessary costs

iv) reduce delays in procuring staff iv) reduce delays in procuring staff

v) prevent shortage / excess of staff v) prevent shortage / excess of staff

vi) comply with legal requirementsvi) comply with legal requirements

HRP Process - HRP Process - Determination of Quality of PersonnelDetermination of Quality of Personnel

Job AnalysisJob Analysis process of collecting and studying information relating process of collecting and studying information relating

to the operations and responsibilities of a specific job. to the operations and responsibilities of a specific job.

determination of tasks which comprise the job and of determination of tasks which comprise the job and of

skills, knowledge, abilities and responsibilities required skills, knowledge, abilities and responsibilities required

of the worker for a successful performance and which of the worker for a successful performance and which

differentiates one job from all others.differentiates one job from all others.

products of Job Analysis are Job Description & Job products of Job Analysis are Job Description & Job

Specification Specification

Steps in Job AnalysisSteps in Job Analysis

Collection of Organisational Structure Information

Selection of Representative Position to be Analysed

Collection of Job Analysis Data

Developing Job Description

Developing Job Specification

Collection of DataCollection of Data Who CollectsWho Collects ? ?

- On-the-job Employees, Supervisors, - On-the-job Employees, Supervisors, Consultants / trade job analystConsultants / trade job analyst

What to Collect

- Physical & Mental activity involved - Each task essential to achieve overall result - Skill / Educational factor needed for the job

How to Collect ? - Checklist, Interview, Observation, Participation, Technical Conference, Diary Method, Quantitative techniques

Areas in which information may be Areas in which information may be gathered :gathered : Job title Job title Alternative titleAlternative title Work performed Work performed Equipment, Tools & Materials used Equipment, Tools & Materials used Reports & records made Reports & records made Relation of the job to other jobs Relation of the job to other jobs Education & experience requiredEducation & experience required Physical, Mental& Visual effort required Physical, Mental& Visual effort required Responsibility (for equipment, reports, Responsibility (for equipment, reports,

performance) & dutiesperformance) & duties Supervision given & received Supervision given & received Hazards, Discomfort & SafetyHazards, Discomfort & Safety

Job AnalysisJob AnalysisProcess of Obtaining all pertinent Job Process of Obtaining all pertinent Job

FactsFacts

Job DescriptionJob DescriptionA proper definition & A proper definition &

designdesignof work. A statement of work. A statement

containingcontaining::

Job TitleJob TitleLocationLocationJob SummaryJob SummaryDuties & ResponsibilitiesDuties & ResponsibilitiesMaterials, Tools & Equipment Materials, Tools & Equipment

usedusedForms & reports handledForms & reports handledSupervision given / receivedSupervision given / receivedWorking conditionsWorking conditionsHazards & Safety Hazards & Safety

precautionsprecautions

Job SpecificationJob SpecificationA statement of human A statement of human

qualifications necessary qualifications necessary to do the job to do the job

containingcontaining::

Education & Qualifications Education & Qualifications Experience & TrainingExperience & TrainingKnowledge & SkillsKnowledge & SkillsCommunication skillsCommunication skillsPhysical requirements - Physical requirements -

Height, Weight, AgeHeight, Weight, AgePersonality requirements -Personality requirements - Appearance, Judgement, Appearance, Judgement,

Initiative, Emotional Initiative, Emotional stabilitystability

Purpose / Use Of Job AnalysisPurpose / Use Of Job Analysis

Organisation & Manpower planningOrganisation & Manpower planning Recruitment & SelectionRecruitment & Selection Job Evaluation & Wage, Salary Job Evaluation & Wage, Salary

administration administration Job Re-engineeringJob Re-engineering Employee Training & Managerial Employee Training & Managerial

DevelopmentDevelopment Performance AppraisalPerformance Appraisal Health & SafetyHealth & Safety

HRP Process - HRP Process - Determination of Quantity of PersonnelDetermination of Quantity of Personnel

Organisational Objectives

HR Programming

HR Needs Forecast

HR Supply Forecast

HRP Implementation

Control & Evaluation

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

Shortage - Recruitment & Selection

Organisational Objectives & Organisational Objectives & PoliciesPolicies

Downsizing / ExpansionDownsizing / Expansion Acquisition / Merger / Sell-outAcquisition / Merger / Sell-out Technology upgradation / Technology upgradation /

AutomationAutomation New Markets & New ProductsNew Markets & New Products External Vs Internal hiringExternal Vs Internal hiring Training & Re-trainingTraining & Re-training Union ConstraintsUnion Constraints

HR Demand ForecastHR Demand Forecast

process of estimating future quantity and quality of process of estimating future quantity and quality of manpower required for an organisationmanpower required for an organisation..

External factors - competition, laws & regulation, economic climate, changes in technology and social factors

Internal factors - budget constraints, production levels, new products & services, organisational structure & employee separations

Forecasting TechniquesForecasting Techniques

Managerial Judgement - Managers discuss and Managerial Judgement - Managers discuss and arrive at a figure of inflows & outflows which arrive at a figure of inflows & outflows which would cater to future labour demand. #would cater to future labour demand. #

Ratio-Trend Analysis - Studying past ratios, ie No. of Workers Vs Volume of Sales, forecasting future ratios and adjusting for future changes in the organisation.. Work-Study Technique - Used when length of operations and amount of labour required can be calculated. #

Delphi Technique - From a group of experts the personnel needs are estimated.

HR Supply ForecastHR Supply Forecast

process of estimating future quantity and process of estimating future quantity and quality of manpower available internally & quality of manpower available internally & externally to an organisation.externally to an organisation.

Supply Analysis Existing Human Resources Internal Sources of Supply External Sources of Supply

Existing Human ResourcesExisting Human ResourcesCapability / Skills Inventory using HR Information SystemCapability / Skills Inventory using HR Information System

General Information -Name: Present Address: Department:Sex: Designation:DOB: DOJ:Marital Salary: Status: Permanent Address: Grade:

Qualification -Degree/Diploma Institution Class Year of Pass

Experience/Skills -Job Title/ Organisation Brief Skill/Appointment Responsibilities Specialisation

Outstanding Achievement / Additional Information -Awards Performance Disciplinary ActionPromotions Merit Rating AbsenteeismAchievementsCareer Plans:

Internal SupplyInternal Supply Inflows & Outflows - The number of losses & Inflows & Outflows - The number of losses &

gains of staff is estimated. ###gains of staff is estimated. ###

Turnover Rate - refers to rate of employees leaving.

= ( No. of separations in a year / Avg no. of employees during the year ) x 100

Absenteeism - unauthorised absence from work.

= ( total absentees in a year / Avg no. of employees x No. of working days) x 100

Productivity Level - = Output / Input. Change in

productivity affects no. of persons per unit of output. Movement among Jobs - internal source of recruitment, selection and placement

External SupplyExternal Supply

External recruitment, selection & placement - External recruitment, selection & placement - Advertisements, Manpower Consultants, Advertisements, Manpower Consultants, Campus Recruitment, Unsolicited Applications, Campus Recruitment, Unsolicited Applications, Employee ReferralsEmployee Referrals

Yield ratios - are estimated in the process of hiring Yield ratios - are estimated in the process of hiring applications. applications.

Hiring Process Hiring Process RatioRatio Ad generates 2000 applications. 200 are potential 10:1 Ad generates 2000 applications. 200 are potential 10:1 Out of 200, 40 attend interview 5:1 Out of 200, 40 attend interview 5:1

Out of 40, 30 were offered jobs Out of 40, 30 were offered jobs 4:3 Out of 30, 20 accepted4:3 Out of 30, 20 accepted 3:2 Overall Yield Ratio (2000:20)3:2 Overall Yield Ratio (2000:20) 100:1 100:1

HR ProgrammingHR Programming

Balancing Demand and SupplyBalancing Demand and Supply

Vacancies filled in by the right employee Vacancies filled in by the right employee at the right timeat the right time

HR Plan ImplementationHR Plan Implementation

Recruitment, Selection & PlacementRecruitment, Selection & Placement

Training & DevelopmentTraining & Development

Retraining & RedeploymentRetraining & Redeployment

Retention PlanRetention Plan

Downsizing PlanDownsizing Plan

Control & EvaluationControl & Evaluation

Are Budgets, Targets & Standards Are Budgets, Targets & Standards

met?met?

Responsibilities for Implementation Responsibilities for Implementation

& Control& Control

Reports for Monitoring HR PlanReports for Monitoring HR Plan

Thank youThank you