By: Gurpreet

Kaur

Macro and Micro Level Human

Resource Planning

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Macro Level HRP

HRP at macro level is to ensure optimal production , economic

growth and development of human resources themselves

Rate of growth of HR at macro level is determined by two factorsQuantity and Quality- They determine the supply of HR.

Quantity is determined by
Population policy,
Population structure,
Migration and
Labour force participation

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Macro Level HRP

Quality is determined by
Education and training
Health and nutrition, and
Equality of opportunity (social &economic equity)
Of the above, Education &training is most important to
improve quality of HR. Hence, HRP and Educational
planning are synonymous in general.

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By: Gurpreet
Kaur

Major issues for Macro Level HRP

Population Planning and

Control
Literacy and Education
Health and Medicare
Housing

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Social Sector Schemes of the Government

Sr.No

Scheme

Provisions

Jawahar Gram Samriddhi

Yojana(JGSY)

SGSY is a Credit-cum-Subsidy programme. It

covers all aspects of self-employment, such as
organisation of the poor into self-help groups,
training, credit technology, infrastructure and
marketing. Efforts would be made to involve
women members in each self-help group.

Employment Assurance
Scheme (EAS)

As its name suggests, the primary objective of

the EAS is to provide gainful employment during
the lean agricultural season in manual work to
all able bodied adults in rural areas who are in
need and desirous of work, but cannot find it.

National Social
Assistance
Programme

to provide public assistance to its citizens in

case of unemployment, old age, sickness and
disablement and in other cases of undeserved
want within the limit of its economic capacity
and development.

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Social Sector Schemes of the Government

Sr.No Scheme

Provisions

The SGSY aims at providing self-employment to

villagers through the establishment of
Self-help groups. Activity clusters are established
based on the aptitude and skill of the people which
are nurtured to their maximum potential. Funds are

Swaran Jayanti
Gram Swarozgar
Yojna (SJGS)

provided by NGOs, banks and financial institutions.

Nehru Rozgar Yojna

To provide employement to unemployed youths

Prime Ministers
Rozgar Yojana

This scheme has been launched by the Govt. of

India in 1993 to provide self employment
opportunities to the unemployed youth and women.
Under the Prime Minister Rozgar Yojna, loans upto
Rs. 1.00 lac for business and Rs. 2.00 lac for
Industrial & Agricultural activities are advanced by the
Banks to those unemployed Youth and Women who
are 18 to 35 and 18 to 45 years of age respectively
and whose income (including the income of the
parents / spouse) does not exceed Rs. 40 thousand
per annum

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Approaches to Macro Level HRP

1. The Manpower Requirement Approach (MRA)
This assumes that there is a definite relation between education
and economic growth, and hence, lack of educated &skilled
people (HR) will impede growth.
In this approach, future requirement of HR (educated people) to
fulfill a targeted GNP/industrial production is forecast over a
given period.

Let us understand how it works,

It establishes a linear relation between employment and output
and then extrapolates manpower requirements in different
categories for years to come

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The Manpower Requirement Approach (MRA)

ii. Initially category wise manpower coefficient are computed, based
on past data .
iii. Thereafter, aggregate manpower requirements of different
categories are worked out
iv. These inputs are then converted to different types of educational
requirements.

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Approaches to Macro Level HRP

2. Rate of Return Approach: (RRA)

This looks upon education as a contributor to productivity

and thus it is expected to facilitate investment decisions in
education

Returns to education may be direct monetary benefits,

indirect monetary benefits and Non-monetary benefits.

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Micro Level HRP

HRP (at micro level) may de defined as a strategy for the
acquisition, utilization, improvement and preservation of the
human resources of an enterprise.
HRP is a process by which an organization ensures that it
has the right number and kinds of HR, at the right place,
at the right time, capable of effectively and efficiently
achieving the organizational objectives
The major activities of Micro level HRP is,
Forecasting Future Demand
Inventorying Present Human resource availability

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Micro Level HRP

Determining Gap between demand and
availability
Planning the activities such as recruitment,
selection, training &development etc

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Manpower Planning Model

Markov Model
Renewal Model
Simulation Model

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Markov Chain Model

This is a method to analyze internal movements in an

organization.
If systematic personnel records are maintained, the
transition probabilities
( percentages of employees moving from one grade /post
to another based on length of service, performance etc)
can be determined through
Thus, an accurate forecasting of supply of HR can be
made.
Because of the characteristic of Pushing Markov model is
called as Push Model

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Markov chain model

0-3 years
A

3-10

Above 10

C
Transition probabilities are estimated for each movement,
thereby the employees in each level at any point of time is
estimated accurately.
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Renewal Model
Renewal models concentrate on the basic assumption that
requirements are met by changes in promotion and
recruitment rates
Knowing the manpower requirements , what is required is
knowledge of how much recruitments and how many
promotions should take place to satisfy them
In this way employees are Pulled through the system to
meet predetermined requirements
Because of this renewal model are also called as Pull Model
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Simulation Model
In simulation model each co-model interacts with
other co-model
In this, each level of the organisation is divided
into a number of years
These years denote the length of time that
employee stay at a certain level
Employee flow from year to year until they reach
the maximum number of years that they can
remain at the same level before being promoted

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Simulation Model

Generic Model of a typical Organisation

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