Topic 2Human Resources

Human Resource Planning

Learning Objectives• Analyse the workforce planning process• Evaluate strategies for developing future human resources• Discuss different methods of recruitment, training, appraisal

and dismissal• Describe reasons for and consequences of changing work

patterns and practices• HL – Analyse the impact on business of legal employment rights• HL – Examine how recruitment, training and appraisal can help

achieve workforce planning targets• HL – Analyse the consequences of changing work patterns and

practices on business• HL – Apply Handy’s Shamrock organisation theory

WORKFORCE PLANNING OBJECTIVES

• Identify the constraints and opportunities provided by demographic change.

• Discuss the significance of changes in labour mobility, both domestic and international.

• Compare present human resources with future requirements and evaluate strategies for developing future human resources.

• Examine how recruitment, appraisal, training, dismissal and redundancies enable the firm to achieve workforce planning targets.

What is workforce planning?

The process of assessing a company’s current and future labour needs. You must consider: •Overall employee numbers •The skills that will be required within the business

Workforce planning also involves managing any training and recruitment process to ensure the organisation has the right staff in place.

Audit – check on the skills and qualifications of all

existing employees

Plan – think ahead and establish the number of skills of the workforce

required

Two Main Stages

Forecasting the number of staff required

Depends on several factors• Forecasting demand for the

product• Productivity levels of staff• Objectives of the business• Changes in law regarding

workers’ rights• Labour turnover and

absenteeism rate

Forecasting skills required Depends on the following• Pace of technological

change in the industry• The need for flexible or

multi skilled staff