Human Resource Planning

Human Resource Planning (HRP) or Manpower Planning : Definitions

Process of evaluating as to how an organization should move from the current human resource position to it's desired position.
Human resource planning (HRP) is a process by which an organization makes sure that:
– it has the right number and right kinds of people.
– at the right place.
– at the right time.
– to do the right tasks to meet its overall strategic objectives.
As per Coleman, HRP is the process of determining human resource requirements and the means for meeting those requirements in order to carry out the integrated plan of the organization.
As per Stainer, HRP is the strategy for acquisition, utilization, improvement and preservation of an enterprise's human resources. It relates to establishing the quantitative requirements of jobs determining the number pf personnel required and developing sources of manpower.

HRP- Strategic Planning

(Also refer: http://hrm-dynamics.blogspot.com/ HR Dynamics) and http://strategic-functions-hrm.blogspot.com/ HR Strategies)

Understand organizational mission, goals/objectives and strategic requirements.
Ensure that people are available to meet the requirements set during strategic planning.
Assess existing human resources: Take inventory of current number of human resources and their skills. Use the Human Resource Information Systems (HRIS) with computerized databases on important information about the employees. Also, develop replacement charts projecting existing/future vacant positions and who are possible candidates to fill them.
Determine the demand of human resources for future: Develop human resource inventory for year by year estimated requirements of manpower for various positions and skills.
Study the sources and reasons of addition or depletion of human resources: Estimate the possible addition and depletion of human resources. The additions come from new recruits, contingent workers, employees transferred from other units of the company, persons returning from leaves etc. The depletion comes from retirements, dismissals, people transferred out from the organization, lay-offs, resignations, sabbaticals, prolonged illnesses, deaths etc. Many of these are within internal control and on some there is no control.
Study the sources of supply of manpower: The sources of supply include recent pass-outs from various institutions, schools, colleges and universities, persons retiring from armed forces, people from other organizations seeking employment outside etc.
Decide action to recruit or downsize: If the forecast requirement of manpower exceeds the existing manpower i.e. there is shortage of human resource within the organization, action will be to position/recruit the addition manpower. If the forecast requirement is less than the current level of employees, the action will be to downsize. These actions are dynamically required in a dynamically changing business scenario and call for constant right sizing (involving extra manpower or less manpower).

Factors Affecting HRP

Company's strategies and objectives.
Time span of HRP.
Fluctuations in business scenario.
Accuracy of forecasting manpower requirements.
Organization structure.
Updated HRIS.
Availability of the talent- internally and externally.
Training and development resources.
Lead time of positioning talent.

The above-mentioned factors are requisites for successful HRP. If they are absent or improperly planned and executed, they become the barriers to HRP.

Benefits of HRP

HRP provides view of human resource dimension of business decisions.
It can help in anticipating human resource costs and therefore, can provide guidelines for cost control.
More time is available to locate and position talent.
Better planning of assignments to develop managers.
Maximum utilization of human resource with better efficiency and productivity.

For More Guidance, Assistance, Training and Consultation

Contact: prodcons@prodcons.com

Other Topics of Interest

All Management Topics (General Management, Marketing and Sales, Service, Operations/Manufacturing, Quality, Maintenance, Human Resources, Finance and Accounts, Information Technology, Life Management)

The topics are listed in alphabetic order: