Chapter 4
Human Resource Planning
Human Resource Management, 5E 1
Learning Objectives
Understand the nature and
importance of HRP
Identify and describe factors
affecting HRP
Describe the stages in HRP process
List pre-requisites for effective HRP
Human Resource Management, 5E 2
Factors Affecting HRP
Type and strategy of organization
Organisational growth cycles and
planning
Environmental uncertainties
Time horizon
Type and quality of information
Nature of jobs filled
Outsourcing
Human Resource Management, 5E 3
Factors Affecting HRP
Organisationa
l Growth
Cycle and
Planning
Type and Environmenta
Strategy of l
Organisation Uncertainties
HRP
Time
Outsourcing
Horizons
Type and
Quality of Nature of
Forecasting Jobs being
Information Filled
Human Resource Management, 5E 4
HRP Process
Environment
Organisational Activities
and Policies
HR Needs Forecast HR Supply Forecast
HR Programming
HRP Implementation
Control and Evaluation
of Programme
Surplus
Shortage
Restricted Hiring
Recruitment
Reduced Hours
Selection, etc
VRS, Layoff, etc
Human Resource Management, 5E 5
HR Demand Forecasting
Techniques
Managerial Judgment
Ratio-trend Analysis
Work Study Technique
Delphi Technique
Flow Models
Human Resource Management, 5E 6
HR Supply Forecast
Present Employees
i). Skill Inventiry
ii). Management Inventory
Human Resource Management, 5E 7
Human Resource Information
System (HRIR)
Use of computers for collecting,
sorting, maintaining, retrieving and
validating HR data is popularly
known as Human Resource
Information System (HRIS).
Human Resource Management, 5E 8
Uses of a Human Resource
Information Systems (HRIS)
HR Planning and Analysis
• Organisation Charts
• Staffing Projections
• Skills Inventories
• Turnover Analysis
Employee and Labour Relations
• Absenteeism Analysis
• Union Negotiation Costing
• Restructuring Costing
• Auditing Records Equal Employment
• Internal Job Matching
• Attitude Survey Results • Affirmative Action Plan
• Job Description Tracking
• Exit Interview Analysis • Applicant Tracking
• Employee Work History • Workforce Utilisation
• Availability Analysis
Health, Safety and Security Staffing
• Safety Training HRIS • Recruitment Sources
• Accident Records • Applicant Tracking
• Material Data Records • Job Offer Refusal
Analysis
Compensation and Benefits HR Development
• Pay Structures • Employee Training Profiles
• Wage/Salary Costing • Training Needs Assessments
• Flexible Benefit Administration • Succession Planning
• Vacation Usage • Career Interests and Experience
• Benefits Usage Analysis
Human Resource Management, 5E 9
Internal Supply
i). Inflows and Outflows
ii). Turnover Ratio
iii). Conditions of Work and
Absenteeism
iv). Productivity Level
v). Movement Among Jobs
Human Resource Management, 5E 10
Strategic HR Initiatives
Strategic HR Initiative
Strategies for Managing Strategies for Managing
Shortages Surplus
• Recruit new permanent • Hiring freeze
employees • Do not replace those who leave
• Offer incentives to postpone • Offer VRS schemes
retirement • Reduce work hours
• Re-hire retirees part-time • Leave of absence
• Attempt to reduce turn-over • Across the board pay-cuts
• Work current staff overtime • Layoffs
• Subcontract work to another • Reduce outsourced work
company • Employee training
• Hire temporary employees • Switch to variable pay plan
• Redesign job process so that • Expand operators
fewer employees are needed
Human Resource Management, 5E 11
