HR PlanningSubmitted By:-

Kamlesh-181

Aakash-199

Abhijeet-197

Shivam Duhan-193

Shivam Bhasin-209

HR Planning

Human resources planning is a process that identifies current and

future human resources needs for an organization to achieve its

goals.

Human resource planning involves getting the right number of

qualified people into the right jobs at the right time.

It includes the estimation of how many qualified people are

necessary to carry out the assigned activities, how many people will

be available.

Quoting Mondy et (1996) define it as a systematic analysis of HR

needs in order to ensure that correct number of employees with the necessary skills are available when they are required.

Objectives of HR Planning

To ensure optimum use of existing Human Resource

To forecast future requirement of Human Resource

To provide control measures to ensure that necessary

Human Resource is available as and when required

To provide direction to all HR activities and systems

To assess the surplus and shortage of HR

To anticipate the impact of technology on jobs and HR

To determine the cost of HR

To determine the level of Recruitment and Training

To meet the needs of expansion and diversification

programs

Importance of HR Planning

There has been shortage of human resources with the required skills,

qualifications and capability to do various work.

Human Resource Planning ensures smooth supply of workers without

interruption.

Human Resource Planning is also essential to replace workforce

turnover. These cause a flow in the workforce in many organizations.

Required to meet the needs of expansion and diversification of

organization.

HRP helps management to adjust and cope with changes like

Technological changes, change in the methods of production,

distribution and servicing of goods/products.

Identifies areas of surplus personnel and also areas where there are shortage of people.

Better opportunities exist to include women & minority groups in

future growth plans

Upper management has a better view of the HR dimensions of

business decision

Process of HR PlanningOrganisational

Objectives and Process

HR Need Forecast HR Supply Forecast

HR Programming

HRP Implementation

Control and Evaluation of Programme

Surplus, Restricted Hiring, Shortage

Reduced Hours, VRS, Recruitment

Lay Off etc. and Selection

HR Demand Forecast

Demand forecasting is the process of estimating the future quantity

and quality of people required

The basis of the forecast must be the annual budget and long-term

corporate plan, translated into activity levels for each function and

department

Demand forecasting must consider several factors both internal and

external.

External factors are competition, economic climate, laws and regulatory bodies, changes in technology and social factors.

Internal factors include budget constraints, production levels, new

products and services, organizational structure and employee

separation.

HR Supply Forecast

Supply forecasting measures the no. of people likely to be available

from within and outside an organisation, after making allowance for

internal movements and promotions, wastage and changes in

hours and other conditions of work.

Supply Forecast includes Existing Human Resources, Internal and

External sources of Supply

The demand and supply forecast have to be balanced and the

steps taken to eliminate any mismatch.

Monitoring/Audit and control have to be maintained for keeping

the quality and quantity equilibrium

Manpower Gap Planning

Manpower gaps used to reconcile the forecasts of labour demand and

supply. This process identifies potential skill shortages or surpluses of

employees, skills and jobs.

Analyzing current HR demographics and forecasting of future manpower

Building future manpower needs based on business plan and modeling of

productivity levels.

Identifying manpower strategy to bridge gaps between future manpower

and business needs.

Formulating HR Plans

Recruitment plan: Will indicate the number and type of people

required and when they are needed; special plans to recruit right

people.

Redeployment plan: Will indicate the programmes for transferring or retraining existing employees for new jobs.

Redundancy plan: Will indicate who is redundant, when and where;

the plans for retraining, where this is possible; and plans for golden handshake, retrenchment, lay-off, etc.

Training plan: Will indicate the number of trainees or apprentices

required and the programme for recruiting or training them.

Productivity plan: Will indicate reasons for employee productivity or reducing employee costs through work simplification studies,

mechanisation, productivity bargaining

Retention plan: Will indicate reasons for employee turnover and

show strategies to avoid wastage through compensation policies;

changes in work requirements and improvement in working

conditions.

Control points: The entire manpower plan be subjected to close monitoring from time to time. Control points be set up to find out

deficiencies, periodic updating of manpower inventory