Human Resources Planning

The process of forecasting an organisation’s future demand for, and supply of the right type ofpeople in the right number, in right place at right time.

It is a sub-system in the total org. Planning.

It tries to assess human resources requirements in Advance and keeping in view the production, Market fluctuations, demand/supply forecast etc. In the background

Need for HRP

Replacement of persons

Labour Turnover

Expansion Plans

Tech. Changes

Assessing Needs

OBJECTIVES / IMPORTANCEOF HRP

Forecast personnel requirements

Cope with the changes

Use existing manpower productivity

Promote employees in a systematic manner

Creating high talented personnel

Protection of weaker sections

International strategies

Resistance to change.

Factors influencing the HRP•Type and Strategy of Organization.•Organisation Growth Cycles and Planning.•Environmental Uncertainties.

•Time Horizon.•Type and Quality of Forecasting information.

•Nature of job being filled.

•Off loading the work.

PROCESS OF HUMAN RECOURCES PLANNING

Org.Objectives/Policies

HR Demand Forecast

HR Plan Programme

HR programme implementation

HR Supply Forecast

Control & Evaluation Programme

ShortageRecruitment&selection

SurplusRestrict hiring/

Retrenchment/Layoff

HR DEMAND FORECAST

Demand forecast is the process of estimating the future quantity and quality of people required. Demand forecasting must be consider both external and internal factors.

EXTERNAL FACTORS are

•Competition (foreign & domestic)

•Economic Climate

•Laws & Regulatory bodies

•Changes in Technology

•Social Factors.

INTERNAL FACTORS are

•Budget constraint

•Production Level

•New Products and Services

•Organizational Structure.

•Employee Separation

Demand Forecast may be

Long-range or Short range.

Long-Range includes

•Strategic Plans

•Demography

•The economy

•Technological trends

•Social Trends

Strategic plans: If the mgt. Wants to split its Org.or wants to expand or taking new assignments i.e. entering into another type of production should plan for new professionals.

Demography: This related to fluctuations in births & death rates of a particular country, it may effect the long term policies.

The Economy: Economic conditions in the countryTechnological Trends: Advances in tech. Have effects the demand forecasting.Social Trends: The impact of the social customs & Political Systems have had major effects.

Forecasting Techniques

•Managerial Judgement

•Ratio-Trend Analysis

•Work-study techniques

•Delphi technique

Managerial Judgement:This is very simple. Managers sit together Discuss and arrive at a figure which would be the future demand for labour.This tech. involve ‘bottom-up or a top-down approach.Ratio-trend Analysis:This is the quickest forecasting technique. This technique involves studying the past ratioslike the no. of workers in the past and forecasting the future ratios making some changes in org. methods.

Eg: present level of production (1.1.2011) is …..1500 units No. of foreman ratio is (1:500)…………….3Estimated production for the next year (1.1.2012) is2500unitsNo. foreman required as on ….?

Work-study technique: This technique can be used whenIt is possible to apply work measurement to calculate the lengthof operations and the amount of labour required.Eg.

1.Planned out-put for next year……20,000 units2.Std. Hrs per unit………………….5 hrs.3.planned hrs for the year………….1,00,000 (i.e 20,000x5) 4. Productive hrs.per man/years ……2000

planned hrs. for the yearNo. of workers required = -------------------------------------

productive hrs per man/year1,00,000/2000=50.

Delphi Technique: Named after the ancient Greek prophet at the city of Delphi. In this method group of experts, usually managers estimates the personnel needs. The HRP experts acts as a intermediaries, summarise the various responses and report the findings back to the experts. The experts are surveyed again after they receive feedback. Summaries and surveys repeated again until they reach a common opinion.

HR SUPPLY FORCASTING

After demand forecasting, next logical step for the manager is to determine whether it will be able to procure the required no. of personnel and the sources of such procurement. This Information provided by the supply forecasting.Supply forecasting measures the no. of people likely to available from within and out side of the org. after considering absenteeism, internal movement, promotions, wastage and change in working hrs.Supply analysis covers:•Existing Human Resources •Internal Sources of Supply,External Sources of Supply

Supply analysis covers:•Existing Human Resources •Internal Sources of Supply,•External Sources of Supply

Existing HR or Inventory:Inventory can be prepared basing on the employee skill & abilities. They are like

Personal Data : Ages, Sex, Marital status.

Skills : Education, Job, Experience.

Spl.qualifications : any spl. achievements of membership in any

professional bodies.

Salary & Job History : Present and past salary and increments in pay.

Company data : Benefits, seniority, retirement info.

Capacity of Individual : like dept. tests interviews.

Spl. Preferance of Individual: like geographic location,type of job

Internal sources of Supply:For internal sources of supply we have to Consider like:

Voluntary retirements

Retrenchments

Dismissals

Lay-offs

Disablements due to accidents

So to calculate about turnover rateNo.of employees entered in the org./Actual employees x 100.The internal source includes trg. Facilities, salary levels,Benefits and individual development.

External sources:

Local and National Factors.

Local: Local populations, Local un-employment Level, availability of employees in part-time, out-put from local educational institutions, Availability of manpower with required skills & Qualifications, local housing, reservations.

National Level: Trends in growth of working Population, out-come from technical, professional and educational institutions in the country, Social security measures(un-employment benefits Retirement benefits) impact of government rules and regulations

JOB ANALYSIS

Jobs are very important to individual – jobs are Help for standard of living – place of residence- Status and org. point of view its important to reach or achieve their objectives or targets.Jobs are not fixed they are subject to change Due to tech. change.

JOB ANALYSISJOB TERMINOLOGY

•TASK

•DUTY

•POSITION

•TASKIt is an identifiable work activity carried out for a specific purpose.Eg: counseling sessions.

•DUTYConsisting of several tasks that are performed by an individual.

•POSITIONIs nothing but collection of Tasks and Duties performed by the employee.

Job Analysis means:

•The process of gathering information about the job.•It is a detailed examination of a specific job•It is a systematic investigation of the tasks, duties and responsibilities necessary to do a job.

JOB ANALYSIS

Job Task

Job Duties

Position

USES OF JOB ANALYSIS

•H.R PLANNING

•RECRUITMENT

•SELECTION

•PLACEMENT & ORIENTATION

•TRAINING & DEVELOPMENT•SAFETY & HEALTH•PERFORMANCE APPRAISAL•JOB EVALUATION

PROCESS OF JOB ANALYSIS

Taking Acceptance from the Mgt.

Constitute a Committee

Selecting Jobs for analysis

Collection of job analysis data

Preparation of job Description

Preparation of job specification

JOB ANALYSIS

JOB DESCRITION

JOB ANALYSIS

Job description is nothing but a written Statement of the tasks & duties performed, material & tools used, working conditions andrelations with other jobs.

Contents of Job Description are:Job title – Location of the Job – Equipment Worked with – Designation of immediateSupervisor & subordinate – Salary level –Conditions of work – T&D facilities, PromotionChances.

Job description is an organised, factual statementOf the duties and responsibilities of a specific job.It should tell what the job holder does – how it isDone – under what conditions it is done.

Uses of J.D: It can me used to orient new emp.Towards basic duties & responsibilities.

It can be used for job evaluation.

Job specification: It is nothing but a writtenStatement of the minimum qualification required for the successful performance of aJob. It specifies the qualifications, experience,Skills, knowledge and abilities to perform aParticular job

JOB ANALYSIS(the process of gathering information

for a particular job)

JOB DESCRIPTION(statement of tasks & duties

Involved in the job)

JOB SPECIFICATION(a statement of human qualities

required)

JOB EVALUATION(assessing the relative worth of job)

METHODS OF JOB ANALYSIS

•INTERVIEW

•OBSERVATION

•QUESTIONNAIRE METHOD

•PANEL OF EXPERTS

•DIARY METHOD