HR Planning

1
HR Planning

• Human Resource Management - Session 2
• Suhel Khan

2
Aims

• By the end of the session students will be able
  to
• 1)     Write a suitable HR Plan.
• 2)     Understand the role of IT in HR planning

3
What is HR Planning?

• Right people in the right place at the right time
  with the right skills.
• Support for the business plan.
• Awareness of future needs
• Supply and demand in the labour market.
• Forecasting and planning

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HUMAN RESOURCE PLANNING

• Definition It is the process by which management
  determines how an organisation should move from
  its current manpower position to its desired
  manpower position. Through it management strives
  to have the right number and the right kind of
  people at the right places, at the right time,
  doing things which result in both the
  organisation, and the individual receiving,
  maximum long-rang benefit

5
Objectives of HRP

• To estimate cost of Hr and Housing needs of
  Employees
• To provide a basis for MDP
• To facilitate productivity Bargaining
• To meet the needs of Expansion and
  Diversification programmes
• To assess shortage and surplus of Hr

• To ensure optimum use of existing HR
• To forecast future requirements for HR
• To provide control measures
• To link HRP with Organisational Planning
• To determine levels of Recruitment and Training
  

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Need and Importance of HRP

• HRP is useful in anticipating Cost of HR which
  facilitates budgeting easier
• HRP facilitates Career and succession planning
• HRP helps in planning for physical facilities
  like canteen staff quarters etc

• To carry on its work and to achieve its
  objectives
• HRP identifies gaps
• There is need to replace employees
• HRP facilitates expansion and growth
• HRP helpful in effective utilization of
• HR and Technology

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Why HRP gained so much focus in recent times

• Employment situation
• Technological Changes
• Organizational Changes
• Demographic Changes

• Lead time
• Hiring costs
• Increased Mobility
• Shortage of Skills
• Legislative Controls
• Pressure Groups
• Systems Concepts

8
Process of HRP

• 1. Analyzing Organizational Plans
• 2. Forecasting Demand for HR
• 3. Forecasting supply of HR
• 4. Estimating Manpower Gaps
• 5. Action Planning
• 6. Monitoring and Control

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Employment options

• Full or part time workers
• Fixed term contracts
• Variable hours
• Shifts
• Outsourcing
• Seasonal contracts
• Commission based working

10
Writing an HR Plan

• Aspects
• The business plan where are we going
• The existing staff
• The forecast demand
• Numbers
• Skills
• Shortfall
• The labour market skills and locality
• The level of competition

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The HR Framework

• Good HR means better organisational performance.
  CIPD research the so called black box studies.
• Staff who feel valued will work with you. Those
  who dont will work against you.
• Retention levels are fundamental to effective
  planning.

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Changing Staffing Needs

• The one thing that is certain is change
• Industry need to respond or die
• Staff major element-
• Existing skills
• Obsolete skills
• Means for developing new solutions
• How can you accommodate this?

13
The Role of IT in Planning

• How can computers help?
• Data on existing staff
• Data on potential
• Skill levels
• Salary surveys locally,nationally
• Demand and supply forecasts
• Anticipate numbers due to retire etc.

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Summary

• The HR plan must support and inform the business
  plan.
• Staff are not fixed either in skills or in
  continued employment.
• Nothing in the business world is constant.
• Computers major element in effective planning.

15
Assignments

• 1.What are the challenges of HR Executives in the
  present day business scenario?
• 2. State essential qualities of Successful HR
  Manager?
• 3. Draw an organizational chart of an MNC known
  to you and state whether HR function line or
  Staff function.