WHAT IS HRP? “It is the process for ensuring that the human resource requirements of an org are identified and plans are made for satisfying those requirements”

Slides:



Advertisements
Similar presentations
Strategic Human Resource Management
Advertisements

Strategic Human Resource Management Chapter-1
EMBA, LECTURE-3 HUMAN RESOURCE PLANNING
HUMAN RESOURCE PLANNING
Managing Human Resources Bohlander  Snell  Sherman
Imran Ghaznavi Course Code: MGT557 COMSATS Strategic Human Resource Management.
Human capital management
HUMAN RESOURCE MANAGEMENT Introduction Human Resource Strategy Human Resource Planning Recruitment and Selection Training and Development Performance Management.
Nursing & Midwifery Workload and Workforce Planning
Human Resource Management (HRM)
Workforce planning. What is workforce planning? Definitions.
Part 2 Support Activities
Lecture 10 Human Resources Looking after the human side of the business. It is the set of activities that must be done to acquire.
Human Resource Management
HUMAN RESOURCE PLANNING
Strategic Role – Approach
HR Planning & HRIS. HR Planning The process of systematically reviewing HR requirements to ensure that the required number of employees, with the required.
I NSTITUTE OF N EW K HMER Human Resources Managements Lectured by: NOUV Brosh Mobile Phone: &
Human Resource Planning(HRP)
PAD214 INTRODUCTION TO PUBLIC PERSONNEL ADMINISTRATION
Resources Planning Human Resources Planning  = Resources.
Part 2 Support Activities Chapter 3: Planning McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc., All Rights Reserved.
HRP is the process by which an organization ensures that it has the right number and kind of people, at the right places, at the right time. HR planning:
Human Resource Management (HRM)
A2 People Human Resource Management. HRM Vs Personnel Management Human Resource Management - the management of people at work in order to assist the organisation.
1Indore Indira Business School Human Resource Planning Introduction Prof.Akhilesh Dubey.
An Overview of HRM & SHRM
Lecture 27 Electronic Business (MGT-485). Recap – Lecture 26 E-Business Strategy: Implementation – Organizational Structure and e-Business The Boundary-less.
Human Resource Planning
Developing & Implementing Workforce plans. Workforce Planning Objectives: 1.To describe the components of a workforce plan 2.To explain how internal and.
Human Resource Planning (Theme Three) Jayendra Rimal.
International HRM: 2015 Block 2: Human Resource Planning: Macro Level - Labour market trends - Labour markets & HR strategy - Flexibilisation of employment.
An Overview of HRM & SHRM Chapter 1 References: Human Resource Management, 13 Edition, Wayne Dean Mondy Strategic Human Resource Management by Jeffrey.
Chapter 1 Strategic Human Resource Planning
Organizacional structure Rawhia salah Assistant Prof. of Nursing 2015/2016 Nursing Management and leadership 485.
Human Resource Management Md. Mostofa Jaman. Various issues affecting its strategy: Size of the workforce. Rising employees' expectations Drastic changes.
Measuring the Effectiveness of the Workforce
MANPOWER PLANNING and INVENTORY by: Allan B Palomo.
An Introduction to HRM & SHRM
HUMAN RESOURCE PLANNING
Introduction to HUMAN RESOURCE MANAGEMENT
Unit-1 Introduction to HRM
Chapter 7 Human resource planning and human resource information systems Copyright  2007 McGraw-Hill Australia Pty Ltd PPTs t/a Human Resource Management.
UNIT 19: RESOURCE AND TALENT PLANNING
Process of Recruitment
Human Resources Planning
MKT 305 Human Resources Management Mishari Alnahedh
Chapter 1 The Rewards and Challenges of Human Resource Management
Manage workforce planning
9 6 Total Rewards C H A P T E R Training Employees
Human Resource Planning
Workforce planning THE TIMES 100.
HUMAN RESOURCE PLANNING
Human Resource Planning
Strategy and Human Resources Planning
Chapter 6 Human Resource Planning
HR Information System & HR Planning
Chapter Four Human Resources Planning 4
HUMAN RESOURCE PLANNING
Human Resource Management (HRM)
Human resource Planning
Human Resource Planning (HRP) Dr. Salim AlShukaili
Forecast of skills on the labour market
Workforce planning THE TIMES 100.
Human resource Planning
Strategic Management of Human Resources
WHAT IS HRP? “It is the process for ensuring that the human resource requirements of an org are identified and plans are made for satisfying those requirements”
Human Resource Planning
Strategy and Human Resources Planning
TERMS AND CONDITIONS   These PowerPoint slides are a tool for lecturers, and as such: YOU MAY add content to the slides, delete content from the slides,
Presentation transcript:

HUMAN RESOURCE PLANNING; an overview Managing Human Resources 3BComm Week 4 Fiona Sheridan

WHAT IS HRP? “It is the process for ensuring that the human resource requirements of an org are identified and plans are made for satisfying those requirements” (Bulla and Scott, 1994) Based on the belief that people are an org’s most important strategic asset Matching resources to business plans in the longer term Sometimes address shorter term requirements It addresses human resources in qualitatively and quantitatively: How many people? What kind of people? It looks at broader issues relating to employment and development of e/ees re org effectiveness Important role in strategic HRM

HRP AND BUSINESS PLANNING HRP should be an integral part of business planning Quinn Mills (1983) indicates that HRP is ‘a decision making process that combines three important activities’: Identifying and acquiring the right number of people with the proper skills Motivating them to achieve high performance Creating interactive links between business objectives and people planning activities No clear business strategy – reliance on broad assumptions about the need for people in the future

RATIONALE FOR HRP Although notion of HRP is well established in HRM lit, it’s not a key HR activity Rothwell (1995) suggests; “apart from isolated examples, there has been little research evidence of increased use or of its success” Institute for Employment Studies – Reilly (1999) suggested why orgs would choose to engage in HRP: Planning for substantive reasons – practical effect by optimising the use of resources and making them more flexible – nurturing skills, developing resources, etc Planning because of the process benefits – understanding the present in order to confront the future – ensuring long term thinking isn’t driven out by short term focus Planning for org reasons – communicating plans in order to obtain support / linking HR plans to business plans

Department of Management AIMS OF HRP The aims of HRP in any org will depend on its own context, but can generally be said to be: To attract and retain the number of people required with the appropriate skills, expertise and competencies To anticipate the problems of potential surpluses or deficits of people To develop a well trained and flexible workforce, thus contributing to the org’s ability to adapt to an uncertain and changing environment To reduce dependence on external recruitment when key skills are in short supply by formulating retention, as well as employee development strategies To improve the utilisation of people by introducing more flexible systems of work 4. Changes employee edu level: Some more highly educated – higher expectations Others need remedial training 5. Return of non-traditional workers who need training – examples

KEY CONSIDERATIONS IN HRP Understanding the key role of the labour market HRP at corporate level HRP at an operational level HRP – purpose How HRP facilitates organisational functioning HRP – process

LABOUR MARKET An understanding of the key role of the labour market with regard to HR policy Loose labour market – allowing employers to dip into the market and be relatively assured of finding the calibre of workers required Uncertainty of labour markets – no long term guaranteed

HRP AT OPERATIONAL LEVEL – A CYCLE OF EVENTS 1. Nature and calibre of employees required for effective functioning Employment relationship Procedures and practices developed by the company that: facilitate the retention of those recruited (perf mgt, hrd); facilitate continuous improvement (e/ee development); determine the scope of the effort-reward bargain (reward practices); design an effective system of work (job design), and finally; manage the employment relationship (e/ee relations)

HRP PURPOSE What does HRP involve ? Forecasting, Planning Survival / quality of staff Long and short term strategies in HRP Right quantity of staff with necessary skills and knowledge for effective functioning

BENEFITS OF HRP (WALKER, 1988) Reduction in HR costs Provides employer with a basis for planning employee development Overall improvement of business planning process Provision of equal opportunities for all categories of employees Markets the importance of strategic HRM at all organisational levels Provides a tool for evaluating the effect of alternative HR policies

LINK BETWEEN HRP AND ORG FUNCTIONS Strategic planning Economic and market forecasting Investment planning

HRP AT CORPORATE LEVEL HRP is a corporate level activity that is dependent on effective business planning. It relies on future plans and direction of the company and involves major policy decisions.

HRP AT OPERATIONAL LEVEL HRP involves catering for the HR implications of operational business decisions, such as the termination of a product line Short term action plans ranging from recruitment to dismissal Encompass training programmes to upgrade skill sets Recruitment of graduates / trainees Forecasting salary budgets for the coming quarter

HOW HRP FACILITATES ORG FUNCTIONING Evaluating current human resources Human resource use Human resource implications of change Avoiding major discontinuities in human resource availability Determining future HR strategies Anticipating HR related problems Taking positive action to ensuring adequate human resources

HRP PROCESS Central premise is balance Balance between supply of and demand for human resources Demand for labour is derived from corporate plans Labour supply is derived either internally or externally. Reconciliation of the imbalance between the demand for and the supply of human resources leads to the developments of plans related to the functional activities of HRM.

Business and strategic plans Labour turnover analysis HRP PROCESS Business and strategic plans Resourcing strategy Scenario planning Labour turnover analysis Demand / supply forecasting Operational effectiveness analysis Work environment analysis Human resource plans Retention Productivity Resourcing Flexibility Work environment

HRP PROCESS Business strategic plans – defining future activity levels and initiatives demanding new skills Resourcing strategy – planning to achieve competitive advantage by developing intellectual capital Scenario planning – assessing where the org is going and its implications for human resource requirements Demand / supply forecasting – estimating the future demand for people (numbers and skills) and assessing the number of people likely to be available from within and outside the org Labour turnover analysis – analysing actual labour turnover figures and trends as input to supply forecasts Work environment analysis – analysing the environment in which people work in terms of the scope it provides for them to use and develop their skills and achieve job satisfaction Operational effectiveness analysis – analysing productivity, the utilisation of people, and the scope for increasing to respond to new and changing demands

BEARDWELL AND HOLDEN (1994) Planning process therefore identifies four key stages: Stocktaking Forecasting Planning Implementing

STOCKTAKING Identifying a range of variables that influence organisational operations. Analysing existing human resources Providing information on human resource capabilities and potential Using job analysis Using skills audit Developing a skills inventory of current employees Using performance review

FORECASTING Demand analysis based on past trends and likely future business functioning Determining where future employees are likely to be obtained (supply analysis) Planning: speculation on how past experience compares with development of certain hypotheses concerning the future

FACILITATING IMPROVED DEMAND FORECASTING Mayo (1991) suggests examining the following : changes in requirements for management, geographically in or in ‘new business areas’ new subsets of the company that may be required as the plan progresses and those that will no longer be required changes in the number of particular types of job the knowledge, skills, attitudes and experience that will be required of particular types of job requirements for joint ventures and collaborative management changes needed in career structures

FACILITATING SUPPLY OF LABOUR; SUPPLY INDICES Wastage (labour turnover) Absenteeism Age Analysis External Supply

WASTAGE – LABOUR TURNOVER How to measure labour market turnover: Turnover analysis / Turnover index Stability index Survival Curve (Hill and Trit, 1955)

ABSENTEEISM Forecasting the stock of human resources requires gathering absenteeism information IFI (Federation of Irish Employers, 1980) has defined absenteeism as ‘all absence from work other than paid holidays’. Two variables to consider; ability to attend, motivation to attend. Information typically gathered from attendance sheets, time cards, medical records, and other personnel files. Evaluation of absenteeism trends can help identify inconsistencies between HR policies

AGE ANALYSIS An examination of the age distribution of each category of employee A balanced mix of ages is the ideal situation, where the company can develop and structure its internal labour market around progressive succession planning

EXTERNAL SUPPLY Areas to consider: Current levels of unemployment Changing structure of the workforce and its effects on recruitment and supply Trend towards atypical forms of employment Increased participation of women in the workforce Current levels of education and training that determine the skills mix of the labour market

PLANNING Forecasting complete, is the organisation faced with a labour shortage or a labour surplus Shortage? Recruitment planning, or retraining, as appropriate. Surplus ? Planning for redundancy / redeployment / retraining / dismissals / short time working

ACTION PLANNING The resourcing plan Internal resourcing The recruitment plan Employer of choice plans Flexibility plan Use of part time workers Job sharing Home working and teleworking Subcontracting Flexible hour arrangements Overtime arrangements Shift working arrangements The downsizing plan

IMPLEMENTATION HR plans now complete, implementation of decision occurs, and the cycle is set in motion once again. Bearing in mind internal and external environments, the HR plans need to be monitored and reviewed regularly in order to amend and adapt to changing environments as required.