Unit ii

Human resource
planning


Concept, definition of human resource
planning
Importance of HRP
Problems in HRP
HRP process
Managing forecasted demand/supply
Growing importance of HRP

Manpower planning (HRP) is the process -
including forecasting, developing,
implementing and controlling by which a
firm ensures that it has the right number of
people and right kind of people, at the right
place, at the right time, doing things for which
they are economically most suitable.
- Geisler

HRP includes the estimation of how many
qualified people are necessary to carry out
the assigned activities, how many people will
be available, and what if anything must be
done to ensure that personnel supply equals
personnel demand at the appropriate point in
the future.
- Leap and Crino
IMPORTANCE OF HRP
Defining future personnel need base for
recruitment and selection, poor HRP - problem of
overstaffing(e.g. SAIL), vacant positions in top
mgmt.(e.g. GAIL 27 months, NHPC 18 months)

Coping with changes
IMPORTANCE OF HRP
Providing base for developing talents knowledge
oriented jobs

Increasing investment in Human Resources.

Forcing to management to involve in HRP


Top management
Functional managers
HR department

Attaches very high importance to HR and has developed
elaborate HRP.

It believes overall responsibility of HRP lies on BOD

Besides, senior managers of various functions are also
involved.

HR dept. coordinates

Head of HR dept. is also member of BOD.

Resistance by employers and employees.
Uncertainties
Inadequacies of Information System


1. Analyzing organizational plans.
2. Forecast the overall Human Resource
Requirements
3. Supply Forecasting Existing inventory, potential
losses, potential additions.
4. Estimating the Net Human Resource
Requirements
5. Action plan for redeployment and retrenchment
Dealing with surplus
Retrenchment
Outplacement
Lay-offs
Leave of absence without pay
Work sharing
Reduced work hours
VRS
Attrition



6. Forecasting future supply from all sources
7. Action plan for recruitment, Development
etc.
8. Retention plan



Commitment and involvement of top management
in HRP

Proactive, rather than reactive approach

Greater participation of line managers at all levels
in HRP process



Effective design of HR information system

Linking HRP to corporate strategic management
process.

Enough flexibility in HR plans to take care of
changing situations.

Changing market
Support from all levels
Current trends Outsourcing