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UNIT III
HUMAN
RESOURCE
PLANNING
Richa Shroff
Decides number
& type of the
human resources
required for each
job
Need and Importance of Human
Resource Planning
FUTURE
MANPOWER
NEEDS
COPING
WITH
CHANGE
RECRUITMENT
OF TALENTED
PERSONNEL
DEVELOPMENT
OF HUMAN
RESOURCES
Proper
utilization of
Human
Resources
Uncertainty
Reductions
Future Manpower Needs
•Ensures that people are available
for future
•Helps in smooth run of organization
Coping with change
•Helps assess current human
resources through HR inventory
•Helps in adapt it to technological,
political, social &cultural forces
Recruitment of
talented personnel
•Purpose here is to selected the
most capable persons to fill
vacancies
•Assesses HR inventory and then
finally recruits the personnel needed
to perform job
Development of
Human Resources
Identifies the skills requirements for
various levels of jobs
It organizes various training and
development to impart required
skills and abilities
Proper utilization of
human resources
•Helps in optimum
utilization of human
resources
•Through proper planning
Uncertainty Reduction
•It helps in reducing
uncertainty
•Example: Lack of
manpower
Future
Oriented
On going
process
Integral
part of
cooperative
planning
Optimum
utilization
of
resources
Characteristics of
HRPTwo
phased
process
Long term
& Short
term
Future Oriented
• Forward looking
• Forecast of
manpower needs
Ongoing process
• Continuous process
• Demand & supply of
human resource
undergo frequent
changes
Quantitative
and Qualitative
aspect
• Former implies right
number of
employees
• Later means talent
required in an
organization
Long term &
Short Term
• Long term plans
means prepared for
5 years
• Short term means
prepared for less
than one year
Two phased
process
• Calculation of demand
• Supply of Human
resource
Integral part of
cooperative
planning
• Without corporate
plan there cannot be
manpower plan
Objectives of
Human
Resource
Planning
To ensure optimum use of
Human Resource
Forecasting future
requirement for human
resource
Linking human planning
with organizational planning
Assess the surplus and
shortage of human resource
Provides a basis for
development program
Process of Human Resource
Planning
Analyzing the organizational objectives
Inventory of present human resources
Forecasting demand and supply of human
resources
Estimating manpower gaps
Formulating the human resource action plan
Monitoring, control & feedback
Approaches to HR planning
Qualitative
approach
Quantitative
approach Mixed
Approach•Known as up down
approach
•Also know as number’s
game
•It is management
driven
•Bases on analysis of hris
and human resource
inventory
•Demand is forecasted
using techniques such as
trend analysis, economic
models
•It is bottom up approach
•Subordinate driven plan
•Focus on employees
concern
•Focuses on employee
training, development,
creativity, safety, welfare,
motivation and promotion
•Major role is played by
lower employees
•Mixed of both top down
and bottom up approach
•Efforts are made to
balance antagonism
between employee and
management
•It is also regarded as
MBO method
Recruitment
Positive process
It also helps in stimulating
employees to apply for job
For searching the
prospective employee
Linkage
activity
Those
with jobs
Job
seekers
Characteristics of
Recruitment
Series of
activities
Linking
activity
Helps in
inviting
pool of
candidates
Pervasive
function
Complex
job
Objectives of
Recruitment
Attract multi dimensional skills
people
Induct outsiders with a new
perspective to lead company
Search for talent globally
Devise methodologies for
assessing psychological traits
Factors affecting
Recruitment
Size of
enterprise Employment
conditions
Salary
structure
and working
conditions
Rate of
growth
•Big or small
enterprise
•Big enterprise
requires more
employee
•Depending on the type
of economy
•Underdeveloped
economy there is
shortage of money
•Developed economy
can provide enough pay
•Wages and
Salary offered in
organization
•Unsatisfied
with job
•Type of
organization
•Stagnant or new
•Depending upon
that recruitment is
done

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Human Resource Planning

  • 2. Decides number & type of the human resources required for each job
  • 3. Need and Importance of Human Resource Planning FUTURE MANPOWER NEEDS COPING WITH CHANGE RECRUITMENT OF TALENTED PERSONNEL DEVELOPMENT OF HUMAN RESOURCES Proper utilization of Human Resources Uncertainty Reductions
  • 4. Future Manpower Needs •Ensures that people are available for future •Helps in smooth run of organization Coping with change •Helps assess current human resources through HR inventory •Helps in adapt it to technological, political, social &cultural forces
  • 5. Recruitment of talented personnel •Purpose here is to selected the most capable persons to fill vacancies •Assesses HR inventory and then finally recruits the personnel needed to perform job Development of Human Resources Identifies the skills requirements for various levels of jobs It organizes various training and development to impart required skills and abilities
  • 6. Proper utilization of human resources •Helps in optimum utilization of human resources •Through proper planning Uncertainty Reduction •It helps in reducing uncertainty •Example: Lack of manpower
  • 8. Future Oriented • Forward looking • Forecast of manpower needs Ongoing process • Continuous process • Demand & supply of human resource undergo frequent changes Quantitative and Qualitative aspect • Former implies right number of employees • Later means talent required in an organization Long term & Short Term • Long term plans means prepared for 5 years • Short term means prepared for less than one year Two phased process • Calculation of demand • Supply of Human resource Integral part of cooperative planning • Without corporate plan there cannot be manpower plan
  • 9. Objectives of Human Resource Planning To ensure optimum use of Human Resource Forecasting future requirement for human resource Linking human planning with organizational planning Assess the surplus and shortage of human resource Provides a basis for development program
  • 10. Process of Human Resource Planning Analyzing the organizational objectives Inventory of present human resources Forecasting demand and supply of human resources Estimating manpower gaps Formulating the human resource action plan Monitoring, control & feedback
  • 11. Approaches to HR planning Qualitative approach Quantitative approach Mixed Approach•Known as up down approach •Also know as number’s game •It is management driven •Bases on analysis of hris and human resource inventory •Demand is forecasted using techniques such as trend analysis, economic models •It is bottom up approach •Subordinate driven plan •Focus on employees concern •Focuses on employee training, development, creativity, safety, welfare, motivation and promotion •Major role is played by lower employees •Mixed of both top down and bottom up approach •Efforts are made to balance antagonism between employee and management •It is also regarded as MBO method
  • 12. Recruitment Positive process It also helps in stimulating employees to apply for job For searching the prospective employee Linkage activity Those with jobs Job seekers
  • 13. Characteristics of Recruitment Series of activities Linking activity Helps in inviting pool of candidates Pervasive function Complex job
  • 14. Objectives of Recruitment Attract multi dimensional skills people Induct outsiders with a new perspective to lead company Search for talent globally Devise methodologies for assessing psychological traits
  • 15. Factors affecting Recruitment Size of enterprise Employment conditions Salary structure and working conditions Rate of growth •Big or small enterprise •Big enterprise requires more employee •Depending on the type of economy •Underdeveloped economy there is shortage of money •Developed economy can provide enough pay •Wages and Salary offered in organization •Unsatisfied with job •Type of organization •Stagnant or new •Depending upon that recruitment is done