Human Resource Planning - Importance of HR Planning - Assessing Organization’s Strategy

Why Human Resource Planning is important ? Linking business strategy with operational strategy: HRP is an important process to maintain the link between business strategy and it operation. It follows different procedures including the need to assess the impact of technological changes on new jobs and new skills (Example: Nepal Telecom staff used to operate Wireless Set before, but at present complex IT equipments must to handle.)

Why Human Resource Planning is important ? Minimizing the risk of loosing: By forecasting the needs of technical and other human resources it can minimize the future risk of loosing. Delay in recognizing human resources might be costly and expensive in the future. (Example: Government run banks are compelled to upgrade own staff by providing latest skills and knowledge to them to compete with other fast growing banking organizations.)

Why Human Resource Planning is important ? HRP needs for HRD : HRP is important for planning the investment in the development and utilization of human resources. Any investment in the HR activities is considered an investment for the future growth and development of the organization. (Example: When curriculum has to be changed, required knowledge and skills of teachers/instructors should be developed prior to implement the new curriculum. So, educational institutions have to be aware of that)

Why Human Resource Planning is important ? HRP is pro-active, not reactive : For solving any sort of future HR problem HRP is pro-active rather than re-active. (Example: HRP might be helpful to accommodate government legislation regarding inclusion, qualification, possible future demand of trade unions)

Why Human Resource Planning is important ? HRP is not in isolation : HRP recognizes that there must be an explicit link between planning function of human resources and other organizational functions, such as strategic planning and market forecasting.

Why Human Resource Planning is important ? HRP is promotes awareness : HRP promotes the awareness that human resource activities are equally important at every level of the organization. Both lone and staff managers have to be involved in HR planning activities.

Assessing Human Resource Strategy How strategy affects? The organization’s objectives and strategies for the future determine future need of human resources. It means number and mix of human resources are reaction to the overall organizational strategy.

Assessing Human Resource Strategy Implications of future demands Projection of future human resource needs and future direction of the organization is done basing upon the assessment of its current human resources situation. So, year by year analysis for every job level and type is necessary. Organization usually needs heterogeneous mix of people but it is not easy task to maintain all type of people in the organization. If accurate estimates are to be made of future demand in both qualitative and quantitative terms, a lot of information is required.

Assessing Human Resource Strategy Implications of future supply Increase and decrease of future human resources assessed by estimating changes in internal supply looking at different factors of changes. So, increasing and decreasing of human resources is normal.