t.c.human resource planning- tanushree c

8/9/2019 T.C.human Resource Planning- TANUSHREE C.

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Human Resource

PlanningPlanning

DR. TANUSHREE CHAKRABORTY,

Ph.DFaculty Member,OB/HRINTERNATIONAL SCHOOL OFBUSINESS AND MEDIAEN 22 & 26, SALT LAKE CITYKOLKATA-700091


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Human Resource PlanningHuman Resource Planning

HUMAN RESOURCEHUMAN RESOURCE

MANAGEMENTMANAGEMENT

SL HR 502

SEMESTER II OCTOBER, 2008

SURJYA B. GOHAIN


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PRODUCTIVITY

ECONOMIC

DEVELOPMENT

GROWTH

EFFECTIVE

UT

I

L

I

Z

A

T

I

O

N

OF

HUMAN

CAPABILITY


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Effective planning of HR isEffective planning of HR isessential to match the requirementsessential to match the requirementsof the job with the individualof the job with the individual

Right resources at the right timeRight resources at the right timeto meet the future organizationalto meet the future organizationalneeds is criticalneeds is critical

A comprehensive and meticulousA comprehensive and meticulousHRP process can ensure sustainedHRP process can ensure sustainedgrowth of an organizationgrowth of an organization


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Diversification or expansion, employeeDiversification or expansion, employeepromotion or changes in human resourcepromotion or changes in human resourcenecessitates effective HRPnecessitates effective HRP

Organizational plans, goals, andOrganizational plans, goals, and

strategies also needs effective HRPstrategies also needs effective HRP Success in business is dependent onSuccess in business is dependent onbeing able to react quickly tobeing able to react quickly to

opportunitiesopportunities Organizations must have accurate,Organizations must have accurate,rapid access to information about bothrapid access to information about bothsupply of and demand for HRsupply of and demand for HR


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Organizational LifeOrganizational Life--Cycle Stages HR ActivitiesCycle Stages HR Activities

LIFELIFE--CYCLECYCLESTAGESTAGE STAFFINGSTAFFING COMPENSATIONCOMPENSATION

TRAINING ANDTRAINING ANDDEVELOPMENTDEVELOPMENT

LABOR /LABOR /EMPLOYEEEMPLOYEE

RELATIONSRELATIONS

Introduction Attract bestAttract besttechnicaltechnicalandandprofessionalprofessional

talenttalent

Meet or exceedMeet or exceedlabor marketlabor marketrates to attractrates to attractneeded talentneeded talent

Define futureDefine futureskillskillrequirementsrequirementsand beginand begin

establishingestablishingcareer ladderscareer ladders

Set basicSet basicemployeeemployee--relationsrelationsphilosophyphilosophyofof

organizationorganization

Growth RecruitRecruitadequateadequatenumbers andnumbers andmix ofmix ofqualifiesqualifies

workers. Planworkers. Planmanagementmanagementsuccession.succession.Mange rapidMange rapidinternal laborinternal labormarketmarketmovementsmovements

Meet externalMeet externalmarket butmarket butconsiderconsiderinternal equityinternal equity

effects.effects.EstablishEstablishformalformalcompensationcompensationstructuresstructures

Mold effectiveMold effectivemanagementmanagementteam throughteam throughmanagementmanagement

developmentdevelopmentandandorganizationalorganizationaldevelopmentdevelopment

MaintainMaintainlaborlaborpeace,peace,employeeemployee

motivationmotivation& morale& morale


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Organizational LifeOrganizational Life--Cycle Stages and HR ActivitiesCycle Stages and HR Activities

LIFELIFE--CYCLECYCLE

STAGESTAGESTAFFINGSTAFFING COMPENSATIONCOMPENSATION

TRAINING ANDTRAINING ANDDEVELOPMENTDEVELOPMENT

LABOR /LABOR /EMPLOYEEEMPLOYEE

RELATIONSRELATIONS

Maturity EncourageEncouragesufficientsufficientturnover toturnover tominimize layoffsminimize layoffsand provide newand provide newopenings.openings.

EncourageEncouragemobility asmobility asreorganizationsreorganizationsshift jobs aroundshift jobs around

ControlControlcompensacompensation coststion costs

MaintainMaintainflexibilityflexibilityand skillsand skills

of anof anagingagingworkforceworkforce

ControlControllabor costslabor costs& maintain& maintainlabor peace.labor peace.

ImproveImproveproductivityproductivity

Decline Plan andPlan andimplementimplement

workforceworkforcereductions andreductions andreallocations,reallocations,downsizing anddownsizing andoutplacementoutplacementmay occurmay occurduring thisduring this

stagestage

ImplementImplementtighter costtighter cost

controlcontrol

ImplementImplementretrainingretrainingand careerand careerconsultingconsultingservicesservices

ImproveImproveproductivityproductivity

and achieveand achieveflexibility inflexibility inwork rules.work rules.Negotiate jobNegotiate jobsecurity andsecurity andemploymentemployment--adjustmentadjustment

policiespolicies


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HRP is both a process and a set ofHRP is both a process and a set ofplansplans a process by which management of ana process by which management of anorganization determines its future HRorganization determines its future HR

requirementsrequirements a plan to fill the future HR requirementsa plan to fill the future HR requirementsfrom internal and external sourcesfrom internal and external sources

Assessment of human resourceAssessment of human resourcerequirements in advance vis a visrequirements in advance vis a visorganizational objectives, productionorganizational objectives, productionschedules, and demand fluctuationsschedules, and demand fluctuations


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The process of determining humanThe process of determining humanresource requirements and the means ofresource requirements and the means ofmeeting those requirements in order tomeeting those requirements in order tocarry out the integrated plan of thecarry out the integrated plan of the

organizationorganization ColemanColeman

Relates toRelates to

establishing job specificationsestablishing job specifications

determining the number of personneldetermining the number of personnelrequiredrequired

developing the sources of human resourcedeveloping the sources of human resource


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Internal vs. ExternalInternal vs. External

System of matching the availableSystem of matching the availableresources, either externally orresources, either externally orinternally, with the expectedinternally, with the expectedorganizational demand over a periodorganizational demand over a period

of timeof time Internal ResourcesInternal Resources

employees who are already in theemployees who are already in the

organizationorganization External ResourcesExternal Resources

personnel who have to be recruitedpersonnel who have to be recruitedfrom outsidefrom outside


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Objectives of HRPObjectives of HRP

Forecasting HR RequirementsForecasting HR Requirements maintain the required quantity & quality of HRmaintain the required quantity & quality of HR

turnover/attrition ratesturnover/attrition rates

Effective Management of ChangeEffective Management of Change

coping with changes in market conditions,coping with changes in market conditions,technology, govt. regulations et altechnology, govt. regulations et al

Realizing Organizational GoalsRealizing Organizational Goals expansion, diversificationexpansion, diversification

Promoting EmployeesPromoting Employees database on skill repertoiredatabase on skill repertoire

Effective Utilization of HREffective Utilization of HR

surplus/unutilized employees vis a vis downsizingsurplus/unutilized employees vis a vis downsizing


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Emergence of HRPEmergence of HRP

Early HRP was top down, shortEarly HRP was top down, shortrangerange

1970s: manpower planning1970s: manpower planning1990s: aligning HR strategy with1990s: aligning HR strategy with

corporate strategycorporate strategy

attention to individual careerattention to individual careerplanningplanning


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Effective HRPEffective HRP

An effective HRPAn effective HRP

closes the gap between thecloses the gap between thecurrent situation and a desiredcurrent situation and a desiredsituation in the context of ansituation in the context of anorganizations strategyorganizations strategy

helps cope with change andhelps cope with change andachieve organizational goalsachieve organizational goals


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HR Planning LevelsHR Planning Levels

HRP is carried out at differentHRP is carried out at differentorganizational levels to meet HRorganizational levels to meet HRrequirements at those levelsrequirements at those levels

Flow of communication in HRP is bothFlow of communication in HRP is both

wayswaysTop to bottomTop to bottom

Bottom to topBottom to top

The levels areThe levels areCorporate level planningCorporate level planning

Intermediate level planningIntermediate level planning

Operational level planningOperational level planning


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HR Planning LevelsHR Planning Levels CorporateCorporate--level Planninglevel Planning

Culture and mission of the organizationCulture and mission of the organization MacroMacro--level: changes in market conditions,level: changes in market conditions,

technology, strategic plan, etctechnology, strategic plan, etc Identification of broad policy issues; employment,Identification of broad policy issues; employment,

welfare, development policieswelfare, development policies

IntermediateIntermediate--level Planninglevel Planning SBU level, based on corporateSBU level, based on corporate--level HR Planlevel HR Plan Determining recruitment, retaining, laying offDetermining recruitment, retaining, laying off

OperationalOperational--level Planninglevel Planning Operations level planOperations level plan

Training & development, recruitment etcTraining & development, recruitment etc Planning ShortPlanning Short--term Activitiesterm Activities

Management of dayManagement of day--toto--day activitiesday activities Ensure success or failure of corporate plansEnsure success or failure of corporate plans Grievance handling, etcGrievance handling, etc


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Environmental Scanningimpact of strategy/goals on diff. units

Forecasting

quantity & quality of personnel needed

Involving Line Managersdetermining HR needs of departments

Analysis of Supplymatching current HR supply & reqmnt

H

RP

PR

O

C

ES

SPlan of Actionrecruitment, selection, training, et al


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HumanHuman

ResourceResourcePlanningPlanning

Predict demand

Forecast internal supply Forecast external supply

Assess trends in

External labor markets Current employees

Future organizational plans General economic trends

Compare future demand

and internal supply

Plan for dealing with predict-ed shortfalls or overstaffing


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Situation AnalysisSituation Analysis

Interaction of HRM and strategic planningInteraction of HRM and strategic planning

The strategic plan must adapt toThe strategic plan must adapt toenvironmental circumstancesenvironmental circumstances

HRM is one of the mechanisms ofHRM is one of the mechanisms of

adaptation processadaptation process Example: rapid technological changes canExample: rapid technological changes can

force an organization to quickly identifyforce an organization to quickly identifyand hire employees with new skillsand hire employees with new skills

Without HR plan to support theWithout HR plan to support therecruitment & selection functions it wouldrecruitment & selection functions it wouldbe impossible to move fast to staybe impossible to move fast to staycompetitivecompetitive


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ForecastingForecasting

Estimating not only how many butEstimating not only how many butalso what kinds of employees willalso what kinds of employees willbe neededbe needed

Yields advance estimates orYields advance estimates orcalculations of the organizationscalculations of the organizationsstaffing requirementsstaffing requirements

Apart from quantitative tools, a greatApart from quantitative tools, a great

deal of human judgement is involveddeal of human judgement is involved

Incredibly difficult tasks, especially inIncredibly difficult tasks, especially inrapidly changing environmentrapidly changing environment


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Forecasting TechniquesForecasting Techniques

Qualitative TechniquesQualitative TechniquesExpert estimateExpert estimate

Nominal Group Technique (NGT)Nominal Group Technique (NGT)

Delphi TechniqueDelphi TechniqueQuantitative TechniquesQuantitative Techniques

Regression AnalysisRegression Analysis

Productivity RatiosProductivity RatiosPersonnel RatiosPersonnel Ratios

Time Series AnalysisTime Series Analysis


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The Nominal Group TechniqueThe Nominal Group Technique

A small group of 4-5 people gathers around a table. Leader

identifies judgment issue and gives participants proceduralinstructions

Participants write down all ideas that occur to them, keeping

their lists private at this point. Creativity is encouraged during

this phase

Leader asks each participant to present ideas and writes them

on a blackboard or flipchart, continuing until all ideas have been

recorded

Participants discuss each others ideas, clarifying, expanding,

and evaluating them as a group

Participants rank ideas privately in their own personal order and

preference

The idea that ranks highest among the participants is adopted

as the groups judgment


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The Delphi TechniqueThe Delphi TechniqueLeader identifies judgment issues and develops questionnaire

Prospective participants are identified and asked to cooperate

Leaders send questionnaire to willing participants, who record

their judgments and recommendations and return the

questionnaire

Leaders compiles summaries and reproduces participants

responses

Leader sends the compiled list of judgment to all participants

Participants comment on each others ideas and propose a final

judgment

Leader looks

for consensus

Leader accepts consensus judgment as groups choice


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Statistical TechniquesStatistical Techniques

NameNameRegression analysis

Productivity ratios

DescriptionD

escriptionPast levels of various work load indicators, such as sales,

production levels, are examined for statistical relationships

with staffing levels. Where sufficiently strong relationships

are found, a regression (or multiple regression) model is

derived. Forecasted levels of the retained indicator(s) are

entered into the resulting model and used to calculate theassociated level of human resource requirements.

Historical data are used to examine past levels of a

productivity index (P):

P = Work load / Number of People

Where constant, or systematic, relationships are found,

human resource requirements can be computed by diving

predicted work loads by P.


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Statistical TechniquesStatistical Techniques

NameName

Personnel ratios

Time series analysis

DescriptionDescription

Past personnel data are examined to determine historical

relationships among the employees in various jobs or job

categories. Regression analysis or productivity ratios are

then used to project either total or key-group human

resource requirements, and personnel ratios are used toallocated total requirements to various job categories or to

estimate for non-key groups.

Past staffing levels (instead of work load indicators) are

used to project future human resource requirements. Paststaffing levels are examined to isolate and cyclical

variation, long-tem terms, and random movement. Long-

term trends are then extrapolated or projected using a

moving average, exponential smoothing, or regression

technique.


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Analysing Current SupplyAnalysing Current Supply

How many and what kinds of employeesHow many and what kinds of employeesdo I currently have in terms of the skillsdo I currently have in terms of the skillsand training necessary for the future?and training necessary for the future?

Are resources availableAre resources available internally orinternally orexternallyexternally to fill those needs?to fill those needs?

InternalInternal

skills inventoryskills inventory

succession planningsuccession planning

promotabilitypromotability ExternalExternal

availability of qualified labor; surplus?availability of qualified labor; surplus?shortage?shortage?


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Analysing Current SupplyAnalysing Current Supply

The Skills InventoryThe Skills Inventory: tool to assess: tool to assesscurrent supply of employees in termscurrent supply of employees in termsofofskillsskills

abilitiesabilitiesexperiencesexperiences

trainingtraining

If the current inventory exceeds theIf the current inventory exceeds the

future requirements and naturalfuture requirements and naturalattrition cannot bring down theattrition cannot bring down theresources to match the futureresources to match the futurerequirements?requirements?


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Employee Replacement Chart forEmployee Replacement Chart for

Succession PlanningSuccession Planning


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Managing Employee SurplusesManaging Employee Surpluses

Source: Compliments of Dan Ward, GTE Corporation


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Managing Employee ShortagesManaging Employee Shortages

Source: Compliments of Dan Ward, GTE Corporation


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HRISHRIS

Human Resource InformationHuman Resource InformationSystemSystem is more than just ais more than just acomputerized skills inventorycomputerized skills inventory

An HRIS is an integrated approachAn HRIS is an integrated approachtotoacquiringacquiring

storingstoring

analysinganalysingcontrollingcontrolling the flow of informationthe flow of information

throughout an organizationthroughout an organization


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HRISHRIS

Highly developed HRIS systems canHighly developed HRIS systems canincrease efficiency and responseincrease efficiency and responsetime of HRM activitiestime of HRM activities

The system might contain aThe system might contain a

programme for tracking applicants, aprogramme for tracking applicants, askills inventory, a career planningskills inventory, a career planningprogramme, employee serviceprogramme, employee serviceprogrammesprogrammes

One of the most common uses of anOne of the most common uses of anHRIS is in recruitment and trackingHRIS is in recruitment and trackingof applicantsof applicants

t.c.human resource planning- tanushree c

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