Hr Planning Ppt

8/4/2019 Hr Planning Ppt

1/29

Human Resource PLANNINGMeaning Assessment of Human Resourcerequirements and time and stages of requirement.Right Person- Right Place- Right time.

Definition HRP process identifies current &futureHR needs for an organization to achieve its goals. Itserves as link between HRM & overall strategic planfor the organization. systematic analysis of HR needsin order to ensure that correct number of employees

with the necessary skills are available when they arerequired .

What is Strategy?

A strategy is a step-by-step plan of action prepared byan organization and by which it aims to achieve its

plan or plans, thus, ensuring its success and survival.


2/29

Human Resource Planning

Human resource planning can be defined as theprocess of identifying the number of people requiredby an organization in terms of quantity and quality.

Right numbers, Capability, Organization ObjectivesHRP is a Process, by which an organization ensuresthat it has the right number and kind of people at theright place, at the right time, capable of effectively andefficiently completing those tasks that will help theorganization achieve its overall objectives.


3/29

Human Resource Planning

Definition 2: Translation of objectives into HR numbersHRP is a process of translating organizational objectives and plansinto the number of workers needed to meet those objectives.

MEANING / PURPOSE OF HRP In simple words HRP is understood as the process of forecasting

an organizations future demand for and supply of the right type of people in the right numbers. It is only after HRP is done, that the company can initiate and planthe recruitment and selection process. HRP is a sub -system in the total organizational planning. HRP facilitates the realization of the companys objectives byproviding right type and right number of personnel. HRP is important because without a clear -cut manpower planning,estimation of a organizations human resource need is reduced tomere guesswork.


4/29

OBJECTIVES OF HRP

Objectives of HRP To ensure optimum use of existing HR. To forecast future requirement for HR. To provide control measures to ensure that necessary HR

are available as and when required. To asses the surplus and shortage of HR. (Downsizing). Objectives of HRP Contd. To anticipate the impact of

technology on jobs and HR. To determine the level of Recruitment and Training.

To estimate the cost of HR and Housing needs of employees. To meet the needs of expansion and diversification

programmes.


5/29

IMPORTANCE OF HRP

Forecast future personnel needs: To avoid thesituations of surplus or deficiency of manpower infuture, it is important to plan your manpower inadvance. For this purpose a proper forecasting of futures business needs helps you to ascertain ourfuture manpower needs.

Cope with change: HRP enables an enterprise to copewith changes in competitive forces, markets,technology, products and government regulations.Such changes generate changes in job content, skillsdemands and number of human resources required.


6/29

NEED & IMPORTANCE OF HRP

Creating highly talented personnel: Since jobsare becoming highly intellectual andincumbents getting vastly professionalized,

HRP helps prevent shortages of labor causedby attritions

Technology changes would further upgrade ordegrade jobs and create manpower shortages.Only accurate human resource planning canhelp to meet the resource requirements.


7/29

NEED & IMPORTANCE OF HRP International strategies: International expansion strategies

largely depend upon effective HRP. With growing trendstowards global operations, the need for HRP furtherbecomes more important.

Foundation of personnel functions: HRP providesessential information for designing and implementingpersonnel functions such as recruitment, selection,personnel development, training and development etc.

Increasing investments in HR: Another importance is the

investment that an organization makes in human capital. Itis important that employees are used effectively throughouttheir careers. Because human assets can increase theorganization value tremendously as opposed to physicalassets.


8/29

NEED & IMPORTANCE OF HRP Resistance to change & move: The growing resistance towards

change and move, self evaluation, loyalty and dedication making itmore difficult to assume that organization can move its employeeseverywhere. Here HRP becomes very important and needs theresources to be planned carefully.

Other benefits: Following are the other benefits of HRP.1. Upper management has a better view of HR dimensions of business2. Management can anticipate imbalances before they becomeunmanageable and expensive.3. More time is provided to locate talent

4. Better opportunities exists to include women and minorities infuture growth plans5. Better planning of assignments to develop managers6. Major and successful demands on local labor markets can bemade.


9/29

STRATEGIC HUMAN RESOURCEMANAGEMENT

SHRM or Strategic human resource management is a branchof Human resource management or HRM. It is a fairly newfield, which has emerged out of the parent discipline of human resource management.

Definition of SHRM It is linking of human resources with strategic goals and

objectives in order to improve business performance anddevelop organizational culture that foster innovation,flexibility and competitive advantage. In an organisationSHRM means accepting and involving the HR function as astrategic partner in the formulation and implementation of the company's strategies through HR activities such as

recruiting, selecting, training and rewarding personnel.


10/29

What is Strategic human resourcemanagement?

Step-by-step plan of action by which an organization employs, utilizes ormanages, develops, and deploys its human resources in order to attain itsdefined corporate mission and objectives.

A human resource strategy is devised in respect of recruitment, employee

deployment, motivation and engagement, and employee retention. Strategichuman resource management is "human resource management" carried outin a strategic way.

To ensure a high probability of success in the implementation of

strategic human resource management, a number of things arenecessary. Strategic recruitment where the right person is selected to fill the right job

and according to organizational needs .


11/29

What is Strategic Recruitment

Using the right mix of incentives to motivate and engage employeeswho then can concentrate improving their performance

Appointment of the right HR Head to provide the necessaryleadership in making HR as a strategic partner

An HR mission statement with well defined HR objectives drawnup in alignment with the overall organizational objectives Provision of the right set of training to every level of employees on

an on-going basis Performance management system to identify high-performing

employees for the purpose of giving rewards befitting theirperformance, work quality and output


12/29

Importance of SHRM The organization's "ends" is its financial success . Human resource

strategy is one of the means to attain this. Organizations have alwaystried to comply with legal obligations in the course of carrying outtheir business activities. Also , finance and technology are importantassets. But people are required to make effective and efficient use of them.

Effective development and implementation of an HR strategy requires HR professionals who are conversant in finance, negotiation, changemanagement, and the overall operations of the organization.

An HR strategic plan aligns the HR function to the corporate plan.Good knowledge about the organization, its objectives, systems andprocesses, can assist HR people in doing this task well.


13/29

ISSUES OF SHRM

The strategic human resource choices involved in low cost of productionstrategy include:

Train some of the employees in the area of time management, materialhandling at work etc.

Retrenchment of surplus employees caused due to superior speed

Pay for performance Promotions based on efficiency High quality work environment at the production place. These human resource issues are also known as functional strategies

of HRM. Approach to SHRM

This is the new way of managing people ensuing from thestrategic human resource definition.

Human resources with all the competencies and potential are requiredto attain the HR objectives. These objectives are aligned to theorganizational objectives by way of a strategic plan.


14/29

HR as Strategic Partner Recruiting the right employees. Align corporate values to your

recruitment strategy. Well-developed competencies of the workforce, and their

relevance to organizational core business.

Participative culture where HR initiatives fully support theoverall strategic plan. Effective use of information technology. Effective leadership through appointment of the right HR

Head.

Identification of human resource practices that make HR asstrategic partner, namely, serving the business needs of your organization. Discard ineffective HR practices that donot contribute to the success of your organization.


15/29

Factors affecting HRP

Employment :- HRP is affected by the employment situation in the country i.e.in countries where there is greater unemployment; there maybe more pressure on the company, from government to appointmore people. Similarly some company may force shortage of skilled labor and they may have to appoint people from othercountries.

Technical changes in the society :-

Technology changes at a very fast speed and new peoplehaving the required knowledge are required for the company.In some cases, company may retain existing employees andteach them the new technology and in some cases, thecompany have to remove existing people and appoint new.


16/29

FACTORS AFFECTING HRP

Organizational changes :- Changes take place within the organization from time to time i.e. thecompany diversify into new products or close down business insome areas etc. in such cases the HRP process i.e. appointing orremoving people will change according to situation.

Demographic changes :- Demographic changes refer to things referring to age, population,composition of work force etc. A number of people retire every year.A new batch of graduates with specialization turns out every year.This can change the appointment or the removal in the company.

Shortage of skill due to labour turnover :- Industries having high labour turnover rate, the HRP will changeconstantly i.e. many new appointments will take place. This alsoaffects the way HRP is implemented.


17/29

FACTORS AFFECTING HRP

Multicultural workforce :- Workers from different countries travel to othercountries in search of job. When a company plans itsHRP it needs to take into account this factor also.

Pressure groups :- Company has to keep in mind certain pleasure. Groupslike human rights activist, woman activist, media etc. as

they are very capable for creating problems for thecompany, when issues concerning these groups arise,appointment or retrenchment becomes difficult.


18/29

PROCESS OF HRP

1. Review of Organisation's ObjectivesThe HRD Manager first studies the objectives of theorganisation. Then he prepares a list of all the activities (jobs)that are required to achieve the objectives. He also does Job'sanalysis.

2. Estimation of Manpower RequirementsThe HRD manager then estimates the manpower requirement

of the organisation. That is, he finds out how many people(manager and employers) will be required to do all the jobs inthe organisation. Estimation of manpower requirements mustbe made in terms of quantity and quality.


19/29

PROCESS OF HRP

3. Estimation of Manpower Supply

The HRD manager then estimates the manpower supply. That is, he findsout how many managers, and employers are available in the organisation.

4. Comparison of Manpower

The HRD manager then compares the manpower requirements andmanpower supply.

5. In case of no difference

If there is no difference between the manpower requirements and themanpower supply, then the HRD manager does not take any action. This isbecause manpower requirements are equal to the manpower supply.


20/29

PROCESS OF HRP

5. In case of no difference

If there is no difference between the manpower requirementsand the manpower supply, then the HRD manager does nottake any action. This is because manpower requirements areequal to the manpower supply.

6. In case of difference

If there is a difference between the manpower requirementsand the manpower supply the HRD manager takes thefollowing actions.


21/29

PROCESS OF HRP

1. Manpower Surplus

If the manpower requirements are less then the manpower supplythen there is a surplus.

During manpower surplus, the HRD manager takes the followingactions :- Termination i.e removal of staff. Lay-off. Voluntary retirement. 2. Manpower Shortage

If the manpower requirements are greater than the manpowersupply then there is manpower shortage.


22/29

PROCESS OF HRP During manpower shortage, the HRD manager takes the following actions Promotions Overtime Training to improve quality. Hire staff from outside, etc. 7. Motivation of Manpower HRP also motivates the employers and managers by providing, financial

and non-financial incentives.

8. Monitoring Manpower Requirements The HRD manager must continuously monitor the manpower requirements.

This is because many employees and managers leave the organisation byresignation, retirement, etc. and new work force must take their place fillthe manpower gap. This helps in uninterruptible functioning of theorganisation.


23/29

EMPLOYEE FORECASTING How to Forecast Your Workforce? Step 1: Scan the External Job Market Start developing a workforce strategy by looking

outside of your company at whats going on inwork and employment in your community.External Factors Affecting Labor Supply

Unemployment rate

Graduation rates Demographic make up of local market Knowledge of direct competitors


24/29

EMPLOYEE FORECASTING

Step 2: Take an Internal Scan Now you have to analyze the jobs that need to

be done in your organization and the skills of your current employees available to do them.

Its important to take a look at the wholebusiness and get a sense for all of your humanresources needs.

Jobs and skills required by the organization


25/29

EMPLOYEE FORECASTING Step 3: Jobs that exist now Number of employees doing each job Importance of each job Characteristics of anticipated jobs Forecasting Workforce Demand Now that you know what you have available to you

both inside and outside of you start by gathering some basic supply and demand

information. First, gather information about thepossible demand for replacement of positions.


26/29

EMPLOYEE FORECASTING Retirement trends Turnover rate Internal fill rates

Once youve gained a sense of Step 4: Forecast Workforce Supply At this point, you have a good idea of what resources are

available to you and what needs may come up. Now you

can drill down to the details of a plan for hiring for thecoming years. Remember that workforce forecastingshould be done for the short term, intermediate and longterm. Here are the practical steps:


27/29


28/29

Adjusting to Unexpected Changes in Workforce Supplyand Demand

Once you have completed the steps above for forecastingyour workforce supply and demand, you cannot sit backand just hope that everything goes smoothly in the roll outof the plan. You next need to know how to deal withunexpected changes to your workforce plans and how tokeep consistent, company-wide interest in followingthrough with this HR plan.

In our future post, I will discuss dealing effectively with HRsurplus, how to maintain support for your HR workforceplan and give you a list of things to keep in mind so that youachieve success with forecasting workforce supply anddemand no matter what changes come.


29/29

Why make HR as Organizational

Strategic Partner... To increase productivity of the labor force Competency and talent management Onset of information technology and the vast

amount of knowledge used in the course of theactivities of organizations

The changing business environment Effect of globalization on the business landscape

Documents

Hr Planning Ppt