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What is Manpower planning(MPP)?

““Human resource planning is the process of determining Human resource planning is the process of determining manpower requirements and the means for meeting those manpower requirements and the means for meeting those requirements in order to carry out the integrated plan of the requirements in order to carry out the integrated plan of the

organization”. organization”. MPP Consists of :• Forecasting • Developing• Controlling

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Why MPP?

• Ascertaining manpower needs in number and kind.

• It presents an inventory of existing manpower of the organization.

• Helps in determining the shortfall or surplus of manpower.

• Initiation of various organizational programmes.

• Acquisition, utilization, improvement and prevention of human resources.

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Importance of MPP

• It checks the corporate plan of the organization.

• It helps to face the shortage of certain categories of employees and/or variety of skills despite the problem of unemployment.

• The rapid changes in technology, marketing, management etc. and the consequent need for new skills and new categories of employees.

• The changes in organization design and structure affecting manpower demand.

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Requirements of MPP at diff. levels:

• National Level

• Sector level

• Industry level

• Individual unit

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Human Resource Planning System.6

Affecting Human Resource Plan Factors

• Internal Factors

• External Factors

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Internal Factors• Policies and strategies of the company.

• Human resource policy of the company.

• Formal and Informal groups.

• Time Horizons (long term or short term).

• Company’s production operations policy.

• Trade Unions

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External Factors

• Government’s policies.

• Business environment.

• Level of Technology.

• Social Factors.

• International Factors.

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Problems in Human Resource Planning

• Resistance by employer

• Resistance by employees

• Resistance by trade unions

• Uncertainties

• Inadequacies of Information system

• Identify crisis

• Slow and gradual process

• Co-ordination with other management functions

• Integration with organizational plans

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Stages in Human Resource Planning:• Demand forecasting

Managerial Judgement Work study techniques Employment trends Replacement needs Growth and expansion Productivity

• Supply Forecasting Existing inventory Potential losses – temporary/permanent Potential additions

• Estimating the net human resource requirement

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Continued…

• In case of future surplus – plan for redeployment, retrenchment and

lay-off

• In case of future deficit – forecast the future supply of human

resources from all sources with reference to plans of other

companies

• Plan for recruitment, development and internal mobility if future

supply is more than or equal to net human resource requirements

• Plan to modify or adjust the organizational plan if future supply will be

inadequate with reference to future net requirements.

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Effect of recession

Thank You

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