chapter 2.hr planning

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1 Human Resources Human Resources Planning Planning The right people at the right place at the The right people at the right place at the right time… right time… Md. Zahid Hossain Bhuiyan Md. Zahid Hossain Bhuiyan Lecturer in Management, Lecturer in Management, IIUC-DC IIUC-DC Published by Lecturesheet.iiuc28a9.com

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Page 1: Chapter 2.hr planning

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Human Resources Human Resources PlanningPlanning

The right people at the right place at the The right people at the right place at the right time…right time…

Md. Zahid Hossain BhuiyanMd. Zahid Hossain BhuiyanLecturer in Management, IIUC-DCLecturer in Management, IIUC-DC

Published by Lecturesheet.iiuc28a9.com

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Emerging HR IssuesEmerging HR Issues

• Finding specialized technical talent • Finding seasoned managers • Developing fair HR management practices• Devising fair workable layoff policies • Improving productivity

• Managing career development opportunities

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HR PlanningHR Planning

• Human Resource planning is a systematic approach to anticipating staffing needs and determining what actions should be taken.

This multisteps involves: • 1. Gaining a thorough understanding of your current Human Resource; • 2. Envisioning the operating environment that will most likely exist in the

future; • 3. Identifying the competencies that will move the organization forward to

overcome challenges, seize opportunities, and thrive in what will undoubtedly be a new world of work.

• 4. Developing strategies and implementing tactics for building this Human Resource.

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HR PlanningHR PlanningHuman Resource (HR) Planning

The process of analyzing and identifying the need for and availability of human resources so that the organization can meet its objectives.

So Human resource planning is a process by which an organization ensures that

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Purpose of HRPPurpose of HRP Reduces personnel costs Provides a better basis for planning employee development Improves the overall strategic plan Promotes awareness of HR planning at all levels Provides tools for evaluation Creates more opportunities for women and minority groups in work plans

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HR Planning Considerations…HR Planning Considerations…

• Organizational growth

• New products, services, areas, industries

• New skills required

• Organizational stage

• Organizational structure change

• Budget

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Importance of PlanningImportance of Planning• Deal with change--technological , social,

regulatory, and environmental • Objectives

"if you don't know where you are going, any road will get you there."

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Factors That Determine HR PlansFactors That Determine HR Plans Strategy of the organization Culture of the organization Financial environment Current organizational Situation Time-Horizon Economic Factor Social Factor Demographic Factors CompetitionTechnological Factors Growth and Expansion of Business

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Benefits of HR PlanningBenefits of HR PlanningLower HR costs through better HR management.

More timely recruitment for anticipate HR needs

Better development of managerial talent

Improve the utilization of human resources.

Make successful demand on local labor market.

Co-ordinate different HR programs

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HR Planning ProcessHR Planning Process 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

                             

 

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11stst Step: Environmental scanning Step: Environmental scanning

External Forces are as follows

Economic Factor

Technological changes

Demographic changes

Political issues

Social concerns

Government Regulation

Employment opportunities vis-à-vis unemployment levels

Competitors’ strategy

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11stst Step: Environmental scanning Step: Environmental scanning

Internal Changes in Organizational Environment

Product mix and capacity utilization.Acquisition and merger.Activities of expansion operations and technological up gradation.Wages revision and bonus payment.Working environment and conditions.Changes in ownership and Boards of Directors.Morale and motivation of new managers.Reorganization and induction of new managers.

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StepsSteps2nd: Organizational Objective and policies: HRP need to be based on organizational objectives.

3rd: HR Demand Forecasting

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Forecasting the Demand for Human Forecasting the Demand for Human ResourcesResources

Demand forecasting is the process of estimating the quantity and quality of people required to meet future needs of the organization

Forecasting MethodsTrend Analysis: Study of firms past employment needs over a period of years to predict future needs. Judgmental

• Estimates—asking managers’ opinions, top-down or bottom-up• Rules of thumb—using general guidelines• Delphi technique—asking a group of experts• Nominal groups—reaching a group consensus in open discussion

Mathematical• Statistical regression analysis— • Productivity ratios—units produced per employee• Staffing ratios—estimates of indirect labor needs

• Ratio Analysis: A forecasting technique for determining future staff needs by using rating between production/ sale and employee needed.

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44thth: HR Supply Forecasting: HR Supply Forecasting

The supply analysis covers Existing human resources: Internal sources of supplyExternal sources of supply

Present Employees:Skills Inventory: Audit of Non managers. Include-personal data, skill, salary & job, company data, capacity of individual etc.Management Inventory: Audit of Managers. It includes-Work history, strength & weakness, carrier goal, personal data, previous duties etc.

Internal Sources:The techniques generally used for the purpose are:

Inflow and outflowProductivity levelMovement among jobs

External Supply: University, college, Recruiting agency, open job market, Experienced employee market. individuals after early retirement. Ex-Army Etc.

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Steps of HRPSteps of HRP

5th: Gap Analysis :

After the forecasting of HR demand and supply, the two must be balanced.

GapGap

Human Human Resources Resources shortageshortage

Human Human Resources Resources

surplussurplus

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Steps of HRPSteps of HRP

6th: Solution Analysis:

Solution analysis is the development of strategies for closing the gaps through applying different startegies like: Recruitment & selection Placement, Training and development Retention activities, Downsizing plan etc..

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66thth: HR Plan Implementation: HR Plan Implementation

Managerial Succession Planning: Succession planning is the process of ensuring a suitable supply of successors for current and future senior or key jobs. It refers to the process of deciding how to fill the most important executive posts in the organization.

Succession planning includes the development of replacement charts portray middle-to-upper level management positions that may become vacant in the near future lists information about individuals who might qualify to fill the positions

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Successful HRP Successful HRP —— the role of HR the role of HR

• HR personnel to understand the role of HRP processes

• Top management to be supportive• Not to start with an overly complex system• Healthy communications between HR personnel

and line managers• HR plan to be integrated with the organisation’s

strategic plan• Balance between qualitative and quantitative

approaches

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SummarySummary

• An effective HRP is required for an organisation to be effective

• A complex system is not what’s required• Measure of success of the system: if the right people

are available at the right time• HRP needs to be fully in integrated to the

organisation’s business plan• HR managers must be able to demonstrate the

success of HRP processes

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??ThanksThanks

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