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HUMAN RESOURCE

PLANNING (HRP)Human Resource Planning is the process of anticipating and carrying out the movementof people into, within, and out of the organization. Human resource planning is done toachieve the optimum of human resources and to have the correct number and types ofemployees needed to meet organizational goals.

According To Geisler, Human Resource Planning is the process that ensures;

The right number of people

The right kind of people

At the right places

At the right time, doing work for which they are economically most useful

The role of Human Resource planning determines the structure, roles andresponsibilities of personnel within a firm; whether they have the necessary skills ortraining for their current or future roles; what their possible future potential to theorganization may be and professional development of personnel.

The definition of human resource does not end here. The term includes, itsmanagement, which primarily involves issues related to the workforce. Human resourcemanagement (HRM) is the strategic and coherent approach to the management of anorganization's most valued assets - the people working there who individually and

collectively contribute to the achievement of the objectives of the business.

A company may have all the financial resources it may need. But what if the manpoweremployed to manage the finances isn't well trained?

Human resource planning process, thus, can be considered as one of the strategicsteps for building the strong foundation of an efficient workforce in an organization!

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IMPORTANCE OF HUMANRESOURCE PLANNING

Planning is a process that has to begin from somewhere and completed for a purpose.It involves gathering information that would enable managers and supervisors to makesound decisions. The information obtained is also utilized to make better actions forachieving the objectives of the organization.

HR Planning involves gathering of information, making objectives, and making decisionsto enable the organization achieve its objectives.

This aspect of HR is one of the most neglected in the HR field. When HR Planning isapplied properly in the field of HR Management, it would assist to deal with the followingquestions:

1) How many staff does the Organization have?2) What type of employees as far as skills and abilities does the Company have?3) How should the Organization best utilize the available resources?4) How can the Company keep its employees?

HR planning makes the organization successful. Human Resources Practitioners whoprepare the HR Planning program would assist the organization to manage its staffstrategically.

The program does not assist the Organization only, but it also facilitates the career

planning of the employees and aids them to achieve their objectives as well.

Human Resource Planning has an enormous task keeping pace with all the changesand ensuring that the right people are available to the organization at the right time.

The changes in composition of workforce not only influence the appointment of staff, butalso the methods of selection, training, compensation and motivation.

The most important reason why Human Resource Planning should be managed andimplemented is the costs involved. Because costs forms an important part of theOrganizations budget, workforce planning enable the Organization to provide HR

provision costs. When there is staff shortage, the organization should not just appointdiscriminately, but first it has to plan and analyze situations and then follow them.

Human Resource Planning is essential for the growth, nourishment and sustenance ofan organization, except of the reasons mentioned above the planning has additionalsignificances:

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PLANNING IS THE KEY TOSUCCESS

a) PLANNING FACILITATESMANAGEMENT BY OBJECTIVES:

Planning begins with determination of objectives.

It highlights the purposes for which various activities are to be undertaken. It makes objectives more clear and specific.

Planning helps in focusing the attention of employees on the objectives or goals ofenterprise.

Without planning an organization has no guidance.

Planning compels manager to prepare a Blue-print of the courses of action to befollowed for accomplishment of objectives.

Therefore, planning brings systematic arrangement and rationality into theorganization.

b) PLANNING MINIMIZESUNCERTAINTIES: All Business is full of uncertainties. There are various risks due to uncertainties.

Planning helps in reducing uncertainties of future as it involves anticipation of futureevents.

Although future cannot be predicted with accuracy but planning helps managementto anticipate future and prepare for risks by necessary provisions to meetunexpected turn of events.

Therefore with the help of planning, uncertainties can be forecasted which helps inpreparing backup plans, as a result uncertainties are minimized to a great extent.

C) PLANNING FACILITATES CO-ORDINATION: Planning revolves around organizational goals. All activities are directed towards

common goals. There is an integrated effort throughout the enterprise in various departments and

groups.

It avoids duplication of efforts. In other words, it leads to better co-ordination. It helps in finding out problems of work performance and aims to resolve them.

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d) PLANNING IMPROVES EMPLOYEESMORAL: Planning creates an atmosphere of systematic sequences and discipline in

organization.

Employees know in advance what is expected of them and therefore conformity canbe achieved easily.

This encourages employees to show their best and also earn reward for the same. Planning creates a healthy attitude towards work environment which helps in

boosting employees moral and efficiency.

e) PLANNING HELPS IN ACHIEVINGECONOMIES: Effective planning secures economy since it leads to orderly allocation of resources

to various operations. It also facilitates optimum utilization of resources which brings economy in

operations. It also avoids wastage of resources by selecting most appropriate use that will

contribute to the objective of enterprise.

f) PLANNING FACILITATESCONTROLLING: Planning facilitates existence of certain planned goals and standard of performance.

Planning provides pre-determined goals against which actual performance can becompared.

In fact, planning and controlling are the two sides of a same coin. If planning is root,controlling is the fruit.

g) PLANNING PROVIDES COMPETITIVEEDGE: Planning provides competitive edge to the enterprise over the others which do not

have effective planning. This is because of the fact that planning may involvechanging in work methods, quality, quantity designs, extension of work, redefining of

goals, etc. With the help of forecasting not only the enterprise secures its future but at the same

time it is able to estimate the future motives of its competitor which helps in facingfuture challenges.

Therefore, planning leads to best utilization of possible resources, improves qualityof production and thus the competitive strength of the enterprise is improved.

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h) PLANNING ENCOURAGESINNOVATIONS:

In the process of planning, managers have the opportunities of suggesting waysand means of improving performance.

Planning is basically a decision making function which involves creative thinkingand imagination that ultimately leads to innovation of methods and operations forgrowth and prosperity of the enterprise.

HRP PROCESS

The term human resource implies human capital that operates an organization. Thewordplanningsuggests a course of action. And lastly,process is the method ofoperations.

Thus, the human resource planning process is defined as, a course of actions that thehuman capital takes up for a methodical achievement of predetermined goals.

1) WORKFORCE ANALYSIS:

The first step involves establishing a clear understanding of the organizations directionand external environment, and analyzing the internal and external factors that influencelabor supply and demand.

Human resource managers should understand both internal and external environments.Data on external environment include the general status of the economy, industry,technology and competition; labor market regulations and trends; unemployment rate;skills available and the age and sex distribution of the labor force. Internal data includesshort- and long-term organizational plans and strategies.

2) FORECASTING HUMAN RESOURCEDEMAND

The second step involves identifying changes to the service delivery and labor forcerequirements of the organization.

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The aim of forecasting is to determine the number and type of employees needed in thefuture. Forecasting should consider the past and the present requirements as well asthe future organizational directions.

HR Planning requires the collection of data on the organizational goals and objectives.

One should understand where the Organization wants to go and how it wants to get tothat point.

3) ANALYZING SUPPLY

After knowing what human resources are required in the Organization, the next step isto take stock of the employees in the organization from internal or external means.The HR inventory should not only relate to data concerning numbers, ages, andlocations, but also an analysis of individuals and skills. Skills inventory provides validinformation on professional and technical skills and other qualifications provided in thefirm. It reveals what skills are immediately available when compared to the forecastedHR requirements.

4) DEVELOP AND IMPLEMENTSTRATEGIES

The final step in human resource planning is developing action plans based on thegathered data, analysis and available alternatives. It involves the planning and design ofspecific programs and projects to meet future business needs. The key issue is that theplans should be acceptable to both top management and employees.

There are three fundamentals necessary for this first step (StrategyDevelopment):

Know where the organization is going.

There must be acceptance and backing from top management for the planning.

There must be knowledge of the available resources (i.e) financial, physical andhuman (Management and technical).

Once the strategies are developed these strategies are implemented, which involves

the execution of specific programs and projects to develop and maintain the workforcecapability and capacity requirements.

Once in action, the HR Plans become corporate plans. Having been made andconcurred with top management, the plans become a part of the companys long-rangeplan.

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5) MONITOR AND EVALUATE:

The final step of Human resource Planning involves determining the effectivenessand efficiency of the workforce planning strategies that were implemented.

JOB DESIGN

Job design is a conscious effort to organize task, duties and responsibilities into a unitof work to achieve a certain objective. A job design is creating jobs.

Job design can be defined as the arrangement of tasks over a work shift with the goal ofachieving technological and organizational requirements as well as reducing sources offatigue and human error.

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JOB ANALYSISJob analysis is the systematic method of jobs to identify work activities, tasks, andresponsibilities, plus the working conditions to perform the job.

Job Analysis refers to various methodologies for analyzing the requirements of a job.

PROCESS OF JOB ANALYSIS

STEP#1:IDENTIFY PURPOSE OF JOBANALYSIS

The first step is to identify the purpose of job analysis because the purpose will later ondefine what job analysis methods should be used what data is to be collected and how

the data should be analyzed etc.

STEP#2: SELECTING THE ANALYSTS

Choosing the correct analyst is vital because the analyst is the one who can influencethe job analysis easily. The analyst can be chosen from professional human resource,line mangers, incumbents or consultants.

In choosing the analyst an organization can invite external analysts team or the internalsources can also be utilized.

STEP#3: SELECTING THE APPROPRIATEMETHOD

To select the best method followings are considered: Representative positions are selected to be analyzing because there may be too

many similar jobs to analyze, and it may not be necessary to analyze them all. Review background information such as organization charts, process charts, and jobdescriptions of positions selected.

Then methods of job analysis are identified. There are many methods in job analysis,advantages and disadvantages of each method are considered in order to choose asuitable one.

Following are the methods used to collect job analysis information:

OBSERVATION METHOD

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Direct Observation is a method of job analysis to observe and record behavior / events /activities / tasks / duties while something is happening.Direct observation is useful when job consists of observable physical activities (Clerk).On the other hand observation is not appropriate when the entails a lot of mental activity(lawyer). Nor it is useful if the employees occasionally engage in important activities

(Nurse).

INTERVIEW METHODInterview method is a useful tool of job analysis to ask questions, three types ofinterviews can be used to collect information; individual interview with each employee,group interview with groups of employees who have the same job, and supervisorinterviews who knows the job.

COMPETENCY PROFILINGCompetency modeling is the activity of determining the specific competencies that are

characteristic of high performance and success in a given job. Contents of competencymodeling include skills, knowledge, abilities, values, interests, personalities.

QUESTIONNAIRE METHODHaving employees fill out questionnaire to describe their job-related duties andresponsibilities is another good way to obtain job analysis method.

EXAMINING MANUALS/REFERENCE

MATERIALSManuals/reference materials such as quality manual, human resource manual,

procedures, instruction, forms, and job description are useful for analyst in job analysis.

DIARY /LOGS METHODThis method is a useful tool of job analysis to ask worker maintaining and keeping dailyrecords or list of activities they are doing on every day basis.

CHECKLISTS AND RATING SCALESChecklist is job analysis method base on an inventory of job elements. You can askquestion about purpose of position; key responsibility areas; organization; relationships;decision making; authority; Skills, knowledge, experience, working conditions.

TECHNICAL CONFERENCETechnical conference is a useful tool of job analysis base on Subject Matter Experts(SMEs). SMEs conduct brainstorming sessions to identify job elements. SMEs can useall job analysis methods in here.

COMBINATION OF METHODS

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In process of job analysis, analyst can use and associate all methods to collecting jobinformation. For example, when you use direct observation, then you always dointerview method.

STEP#4:TRAIN THE ANALYSTS

If internal analysts are chosen, then they are taught that how to use the selectedmethods. And in case of external analysts, they need to learn about the organizationalculture and environment.

STEP#5: PREPARATION OF JOB ANALYSIS

Before the job analysis is initiated various preparations are made: To communicate the project in the organization. So that the employees are wellinformed that why are they begin questioned or evaluated.

Preparing the documentation for analyzing the jobs, for example: making interviewquestions, drawing questionnaires etc

STEP#6: COLLECTING DATA

Once the preparations are made then the analysts starts to collect the data: Analyst collects data on job activities, employee behaviors, working conditions, humantraits and abilities needed to perform the job etc. Analyst uses one or more of the job analysis methods to collect the data.

STEP#7: REVIEW AND VERIFYAfter the data is collected the results are consolidated.The entire data that is gathered must be reviewed. This helps the analysts to confirmthat the information is factually reliable, correct and complete.

The information can be reviewed by: Reviewing data with incumbents by interview. Reviewing data with immediate supervisor. Reviewing data by technical conference.

STEP#8: DEVELOP A JOB DESCRIPTION ANDJOB SPECIFICATION

After reviewing the data results are implemented into the company proceduresaccording to the goal-setting.

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On the basis of the job analysis information job descriptions and job specifications aredeveloped.

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JOB DESCRIPTION (JD)

A job description is a list of the general tasks, or functions, and responsibilities of a

position/designation.

A job description is a written statement that describes the activities and responsibilitiesof the job, working conditions and safety and hazards

IMPORTANCE OF JOB DESCRIPTION

Job descriptions are essential because job descriptions are required for recruitment sothat the employer and the applicants can understand the roles and responsibilities. Job

descriptions are necessary for all designations. A job description defines a person's roleand accountability. Without a job description it is not possible for a person to properlycommit to, or be held accountable for a role.

Job descriptions improve an organizations ability to manage people and roles in thefollowing ways: Clarifies employer expectations for employee Provides basis of measuring job performance Provides clear description of role for job candidates Provides a structure and discipline for company to understand and structure all jobs

and ensure necessary activities, duties and responsibilities are covered by one job

or another Provides continuity of role parameters irrespective of manager interpretation Enables pay and grading systems to be structured fairly and logically Essential reference tool in issues of employee/employer dispute Essential reference tool for discipline issues Provides important reference points for training and development areas Provides neutral and objective reference points for appraisals, performance reviews

and counseling Enables formulation of skill set and behavior set requirements per role Enables organization to structure and manage roles in a uniform way, thus

increasing efficiency and effectiveness of recruitment, training and development,

organizational structure, work flow and activities, customer service, etc.(The list is not exhaustive.)

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POSSIBLE JOB DESCRIPTION ITEMS

The objective of a job description is to have a clear outline of duties and responsibilitiesto make the screening process as direct and focused as possible.

Job descriptions may have the following elements:

1) JOB TITLE:A specific designation of a post within an organization normally associated with a jobdescription that details the tasks and responsibilities that go with it. With the rise ofonline job search engines, job titles became increasingly important.

2) BASED AT (BUSINESS UNIT, SECTION):Describes where the designation is available

3) REPORTS TO:Position reports to (Line Manager title, location, and Functional Manager, location if

matrix management structure)

4) JOB RESPONSIBILITIES/DUTIES ANDACCOUNTABILITIES

Is also referred as Tasks Performed; may be as lengthy as necessary to fully describeeach essential duty or responsibility which comprises the employee's functions,generally starting with principal duties.

This includes supervisory level, managerial requirements, and any working relationshipsand may also include your corporate/individual objectives.Dimensions/Territory/Scope/Scale indicators (the areas to which responsibilities extendand the scale of responsibilities - staff, customers, territory, products, equipment,premises, etc)

5) SALARY AND BENEFITSThis describes the compensation type, hourly or salary, and amount. In addition itincludes both standard benefits and any fringe benefits associated with the position.

6) PERFORM OTHER DUTIES AS ASSIGNED

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JOB SPECIFICATIONS (JS)A job specification summarizes the personal qualities, traits, skills, and background

required for getting the job done.

Derived fromjob analysis, it is a statement ofemployeecharacteristics andqualificationsrequired for satisfactory performance of defined duties and taskscomprising a specificjob orfunction.

Job specification summarizes the human characteristics needed for satisfactory jobcompletion. It tries to describe the key qualifications someone needs to perform the jobsuccessfully. It spells out the important attributes of a person in terms of education,experience, skills, knowledge and abilities to perform a particular job.

The job specification is a logical outgrowth of a job description.

For each job description, it is desirable to have a job specification. This helps theorganization to find what kinds of persons are needed to take up specific jobs.

The personal attributes that are described through a job specification may be classifiedinto three categories: Essential attributes: skills, knowledge and abilities a person must possess. Desirable attributes: qualifications a person ought to posses. Contra-indicators: attributes that will become a handicap to successful job

performance.

A job specification can be developed by:

a) Talking with the current jobholders about the attributes required to do the jobsatisfactorily.

b) Opinions of supervisors could also be used as additional inputs.c) Checking the job needs of other organizations with similar jobs will also help in

developing job specifications.

IMPORTANCE OF JOB SPECIFICATIONS

Job specification is useful in the selection process because it offers a clear set ofqualifications for an individual to be hired for a specific job. Likewise, a well-written jobspecification offers a clear picture to new recruits of what they will be doing in theorganization.

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POSSIBLE JOB SPECIFICATION ITEMS

Education Experience

Skill, Knowledge, Abilities

Professional training/Courses Age

USES OF JOB ANALYSIS

INFORMATIONThe main purpose ofconducting job analysis isto prepare job descriptionand job specification whichin turn helps to hire theright quality of workforceinto the organization. Thegeneral purpose of jobanalysis is to documentthe requirements of a job

and the work performed.Job and task analysis isperformed as a basis forlater improvements,including: definition of a job domain; describing a job; developing performanceappraisals, selection systems, promotion criteria, training needs assessment, andcompensation plans.

INTERNAL & EXTERNAL

LABOROnce the jobs are analyzed by the analyst and when the job description (JD) and jobspecification (JS) are developed, then the other part of the Human Resource Planninginitiates that is recruitment & selection, which decides whether the organization needs

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internal employees or external whether the organization is capable of recruiting externalemployees etc.