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8/3/2019 Manpower Planning & Recruitment
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Manpower PlanningManpower Planning
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What is this HRP ?What is this HRP ?It is no th ing bu t to plan s tra tegically and mainly focuson reduc tion of labor cos ts wi th limited considera tionof o th er elemen ts rela ted to h uman resources.
We h ave seen af ter sep.11 2k a tt ack manycompanies h ave laid off th eir s taff or th ey wen t for h eavy downsizing e.g. of few of th e companies are :
D aimler Chrysler (100,000 workers)Kmart (60,000 workers)Lucent technologies (40,000 workers)IBM (40000 workers)General electric (75000 workers)
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What is this HRP? What is this HRP? Wh y did th ese companieslay off suc h h uge s taff?
Wh a t is th e reason? W h ydid th ey recrui t a t firs t place a t all? On th e o th er h and we h ave company,wh ich did ex tremely welleven a t th e time of crisis.
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Adv antages of manpower Adv antages of manpower
planningplanningManpower planning ensures op timum use of available h uman resources.
It is useful bo th for organiza tion and na tion.It genera tes facili ties to educa te people in th eorganiza tion.It brings abou t fas t economic developmen ts.It boos ts th e geograp h ical mobili ty of labor.It provides smoo th working even af ter expansion of th e organiza tion.
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Adv antages of manpower Adv antages of manpower
planningplanning
It opens possibili ty for workers for fu turepromo t ions, th us providing incen tive.
It crea tes h eal th y a tmosp h ere of encouragemen t and mo t iva tion in th eorganiza tion.
Training becomes effective.
It provides h elp for career developmen t of th e employees.
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S teps in Manpower PlanningS teps in Manpower Planning
Predic t manpower plansDesign job descrip tion and th e jobrequiremen ts
Find adequa te sources of recrui tmen t .Give boos t to youngs ters by appoin tmen t toh igh er pos ts.Bes t mo tiva tion for in ternal promo tion.
Look af ter th e expec ted losses due tore tiremen t , transfer and o th er issues.S ee for replacemen t due to acciden t , dea th ,dismissals and promo tion.
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Importance of HRPImportance of HRPFu ture Personnel needsPar t of s tra tegic planning
Crea t ing h igh ly talen ted personnelIn terna tional s tra tegiesFounda t ion of Personnel func tionsIncreasing inves tmen ts in HRResis tance to c h ange and moveO th er benefi ts.
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Penal t ies for incorrec t HRPPenal t ies for incorrec t HRP
Unders taffing loses th e businesseconomies of scale and specializa tion,orders, cus tomers and profi ts.Overs taffing is was teful and expensive, if sus tained, and i t is cos t ly to elimina tebecause of modern legisla tion in respec t
of redundancy paymen ts, consul ta t ion,minimum periods of no tice, e tc. Veryimpor tan tly, overs taffing reduces th ecompe titive efficiency of th e business.
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Demand s h ould ma tch S upplyDemand s h ould ma tch S upply
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11 stst Step towar d s HRPStep towar d s HRP
Sa tellite pic ture' of th e exis ting workforceprofile (numbers, skills, ages, flexibili ty,gender, experience, forecas t capabili t ies,ch arac ter, po ten tial, e tc. of exis tingemployees) and th en to adjus t th is for 1,3 and 10 years a h ead by amendmen ts
for normalturnover, planned s
taff movemen ts, re tiremen ts, e tc, in line wi th
th e business plan for th e correspondingtime frames.
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F uture staffing nee d s will d eri v e from:F uture staffing nee d s will d eri v e from:
S ales and produc tion forecas tsTh e effec ts of tec h nological c h ange on task needsVaria tions in th e efficiency, produc tivity, flexibili ty of
labor as a result
of training, work s
tudy,organiza tional c h ange, new mo tiva tions, e tc.
Ch anges in employmen t prac tices (e.g. use of subcon trac tors or agency s taffs, h iving-off tasks,buying in, subs titu tion, e tc.)Varia tions, w h ich respond to new legisla tion, e.g.payroll taxes or th eir aboli tion, new h eal th and safe tyrequiremen tsCh anges in Governmen t policies (inves tmen t
incentives, regional or
trade gran
ts, e
tc.)
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F orecasting Techniques:F orecasting Techniques:
Managerial Judgmen t
Ra tio- trend analysisRegression analysis
Work s tudy tec h niquesDelp h i tec h nique
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F orecasting Techniques:F orecasting Techniques:
Managerial Ju d gmentTh e tec h nique may involve abo tt om-up or a top-downapproac h .Th is tec h nique is used in smaller organiza tions or in th osecompanies w h ere sufficien t da tabase is no t available.
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F orecasting Techniques:F orecasting Techniques:
Ratio-tren d A nalysisIt involves s tudying pas t ra tios and
forecas ting fu ture ra tios makingsome allowances for c h anges inth e organiza tion or i ts me th ods.
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Ratio-tren d A nalysis
Year No.of employees
RatioInspector :Pro d uctionPro d u
ctionInspector
-3 1500 150 1 : 10A ctual -2 1800 180 1 : 10
Las t year 2000 180 1 : 11Nex t year 2200 200 1 : 11
F orecast +2 2500 210 1 : 12
+3 2750 230 1 : 12
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Regression A nalysis:Regression A nalysis:
A firm firs t draws a diagram depic t ing th erela tions h ip be tween sales and workforce
size.It
th
en calculates regression line aline th a t cu ts rig ht th roug h th e cen ter of
th e poin ts on th e diagram.By observing th e regression line, one canfind ou t number of employees required a t eac h volume of sales.
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WorkWork- -stu d y Techniques:stu d y Techniques:
Th is can be used w h en i t is possible to applywork measuremen t to calcula te th e leng th of opera tions and th e amoun t of labor required.
1. Planned
o/p for next year 20,000 units2. Stan d ar d hours per unit 53. Planne d hours for the year 1,00,0004. Pro d ucti v e hours per man/year
(allowing normal o v ertime,absenteeism an d id le time) 2,0005. Number of d irect workers
require d (4/5) 50
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D elphi Technique:D elphi Technique:
Named af ter th e ancien t Greek oracle a t th e ci ty of Delp h i, th e Delp h i tec h nique is
a meth
od of forecasting personnel needs.
It solici ts es tima tes of personnel needsfrom a group of exper ts, usuallymanagers.Th e HRP exper ts ac t as in termediaries,summaries th e various responses andrepor t th e findings back to th e exper ts.
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RecruitmentRecruitmentPoints of D iscussion:
Opening Case: Problem of Booming B-S ch oolsMeaning and defini tionPurpose and impor tance of Recrui tmen t
Fac tors governing recrui tmen t
Recrui tmen t processP h ilosop h ies of Recrui tmen t A lterna tives to Recrui tmen t
Closing case: Morale gone bus t
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Meaning an d d efinition:Meaning an d d efinition:
HRP
Determine recruitmentand selection needs
Job Analysis
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Meaning an d d efinition:Meaning an d d efinition:
Recrui tmen t is th e process of searc h ing for andob taining applican ts for jobs, from amongwh om th e rig ht people can be selec ted.Def n.: Recruitment is the process of finding Recruitment is the process of finding and attracting capable applicants for and attracting capable applicants for employment. The process begins when new employment. The process begins when new recruits are sought and ends when their recruits are sought and ends when their applications are submitted. The result is a pool applications are submitted. The result is a pool of applicants from which new employees areof applicants from which new employees areselected. selected.
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Purpose an d ImportancePurpose an d ImportanceTh e general purpose of recrui tmen t is to
provide a pool of potentially qualified jobcandidates . O th ers are:
1. De termine th e presen t and fu turerequiremen ts of th e organiza tion inconjunc tion wi th its HRP and job-analysisac tivities.
2. Increase th e pool of job candida tes a t minimum cos t .
3. Help increase th e success ra te of th eselec tion process by reducing th e number of visibly under qualified or overqualified jobapplican ts.
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Purpose an d ImportancePurpose an d Importance4 . Help reduce th e probabili ty th a t job
applican ts, once recrui ted and selec ted, willleave th e orgn only af ter a s h or t period of
time.5. Evalua te th e effec tiveness of various
recrui ting tec h niques and sources for alltypes of job applican ts.
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Purpose an d ImportancePurpose an d ImportanceA recrui t ing programme h elps th e firm ina t leas t 4 ways:
1. A tt rac t h igh ly qualified and compe ten t people.
2. Ensure th a t th e selec ted candida tes s taylonger wi th th e company
3. Make sure th a t th ere is ma tch be tween cos t and benefi t .4 . Help th e firm crea te more cul turally diverse
work-force.
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F actors go v erning recruitment:F actors go v erning recruitment:
Ex ternal Forces
Supply and demand
Unemployment rate
Labour market
Political-social
Sons of soil
Image
I nternal forces
Recruitment policy
HRP
Size of the firm
Cost
Growth andexpansion
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Recruitment ProcessRecruitment Process
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Sources of RecruitmentSources of RecruitmentIn ternal S ources:
Presen t employeesEmployee referralsFormer employeesPrevious applican ts
Ex ternal sources:Professional or trade associa tionsA
dver tisemen
tsEmploymen t exc h anges
Campus recrui tmen t
Walk-ins and Wri te-ins
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Sources of RecruitmentSources of Recruitment
Ex ternal sources:Consul tan tsCon trac tors
Displaced personsRadio and television A cquisi tions and mergersCompe titorsE-Recrui ting
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E v aluation of Recruitment ProcessE v aluation of Recruitment Process
K eeping th e main objec tive in mind, th eevalua tion mig ht include:
Re turn ra te of applica tions sen t ou t .Number of sui table candida tes for selec tion.Re ten tion and performance of th ecandida tes selec ted.
Cost
of th
e recruitmen
tprocess.Time lapsed da ta.
Commen ts on image projec ted.
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SelectionSelectionPoin ts to be discussed:
1. Meaning and defini tion
2. Ou tcomes of S elec tion decision3. S elec tion Process4 . Barriers to effec tive selec tion
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O utcomes of SelectionO utcomes of SelectionD ecision:D ecision:
SUCCE
SS
F A ILUR E
F ailureE xpecte d
Success
E xpecte d
F alse
Negati v eE rror
True Positi v e
(Win Win)
True Negati v eE rror
(Lose Win)
F alse Positi v eE rror
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Selection ProcessSelection ProcessPreliminary Inter v iew
Selection Tests
E mployment Inter v iew
Reference an d Backgroun d A nalysis
Selection D ecision
Physical E xamination
Job O ffer
E mployment Contract
E v aluation
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Barriers to SelectionBarriers to Selection
Percep tion
FairnessValidi ty
Reliabili tyPressure
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Career Planning:Career Planning:Meaning of Career:
Career means a lifelong sequence of
professional, educational, and developmental experiences that project anindividual through the world of work.
Objecti
ve career
Subjecti v e career
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Career Planning:Career Planning: Meaning:Career planning is th e processor ac t ivit ies offered by th eorganiza t ion to individuals toiden t ify s treng th s, weaknesses,
specific goals and jobs th eywould like to occupy.
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Career Planning:Career Planning: Career planning is impor tan t for severalreasons:
1. In order to build commi tmen t be tween th eindividual and th e organiza tion.
2. In order to develop long-range perspec tive.3. In order to reduce labour turnover expenses.4 . In order to lessen employee obsolescence.5. In order to ensure th e effec tiveness of th e
organiza tion.6. In order to allow th e individual to ac h ieve
personal and work-rela ted goals.
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Succession Planning:Succession Planning:
Meaning:S uccession planning is aprocess or ac t ivities connec tedwith th e succession of personsto fill key posi t ions in th e
organiza t ion h ierarc h y asvacancies arise.
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