1. Human Resource Planning (Theme Three) Jayendra Rimal

2. Human Resource Planning What is HR Planning ? The process by which the management of an organization determines its future HR requirements and how the existing HR can be effectively utilized to fulfill these requirements. Hence it is the strategy for the acquisition, utilization, improvement and preservation of HR for optimum utilization. Why HR Planning ? To have an accurate estimate of the number of employees required with the matching competencies to meet organizational goals. “ Hence an organization that does not plan its human resources will often find that it is not meeting either its personnel requirements or its overall goals effectively.” 210/06/2016Jayendra Rimal

3. Corporate Analysis: Strategies; organizational plans, market forecasts, production targets Demand forecast: Number of required HR; job categories; skill requirements Supply forecast: Manpower inventory; new hiring & resignations; external supply Manpower gaps: Surplus in terms of number and skills; shortages Manpower plans: Recruitment & selection; training & development; retrenchment; redundancy; retention and productivity Steps for Effective HR Planning 310/06/2016Jayendra Rimal

4. Significance of HR Planning  Assist in strategic implementation  Ensure optimum utilization of HR currently employed  Focuses on short & long term people requirements  Anticipate redundancies  Uncertainties can be managed through planning  Cope up with the changing and uncertain scenario  Helps the organization develop action plan for achievement of company’s objective for future  Minimize destruction/ disruption of organization process  Helps to focus at your competitive posture or position  Provide basis for human resource development 410/06/2016Jayendra Rimal

5. External & Internal Factors To Be Considered Global trends Government influences Legislative controls Employment – Unemployment situation Market trends Competition changes Demographic changes Skill shortages Impact of pressure groups Information technology Employee turnover Absenteeism rate Current skill inventory Separations Productivity levels 510/06/2016Jayendra Rimal

6. HR Planning is More Strategic and Useful as it… Facilitates the implementation of organization’s strategy - HR functions as a strategic partner to senior management Assesses the readiness of the workforce to implement the strategy - HR identifies knowledge gaps, study the organizational structure etc Involves itself in the communication of the strategy Measures the result – HR assists in determining and evaluating the success. 610/06/2016Jayendra Rimal

7. The Hiring Process One of the major challenges is to find right high caliber employees and place them in the right job so that it is possible to build a desirable culture and norm in the organization resulting in higher productivity. Some related functions:   Recruitment: The process of identifying prospective employees, stimulating and encouraging them to apply for a particular job (creating a pool of candidates)   Selection: The process of examining applicants with regards to their suitability for a given job and choosing the best from suitable candidates   Placement: Placing the right person in the right job   Induction/Orientation: Introducing an employee to the job and the organization 710/06/2016Jayendra Rimal

8. Importance of Proper Recruitment & Selection   Motivated employees resulting in higher productivity   High morale in departments as HR needs are being addressed quickly   Minimizes wastage of human talent as HR are utilized where they are needed   Higher levels of employee commitment   Effective system of Human Resource Information System (HRIS) within a broader MIS. Matching the person with the job ensures that:   The person has the required competencies   If there is a deficiency, the person has the potential to develop them within a reasonable time   The person has the chance to acquire new competencies 810/06/2016Jayendra Rimal

9. Forecasting Planning and forecasting is done taking into consideration:   Projected turnover/rate of attrition   Quality and skills of employees   Strategic decisions   Technological and other changes   Financial resources available Some methods of undertaking forecasting:   Qualitative Method: Centralized approach, Decentralized process, Delphi technique   Quantitative Methods: Trend analysis and Regression analysis 910/06/2016Jayendra Rimal

10. Recruiting Yield Ratio Pyramid New Hires (20) Offers made (20) Candidates interviewed (60) Candidates for GD (120) Candidates for exam (360) Leads generated (720) 1010/06/2016Jayendra Rimal

11. Sources of Manpower   Internal sources of candidates: Personnel already working for the organization, succession planning and re-employment of past employees. Internal job ads and referrals   External sources of candidates: Advertisements, Recruitment agencies/ Executive search agencies,, Colleges/Universities, Unsolicited applications/Walk- ins, Job fairs, Professional associations, Trade unions and Internet 1110/06/2016Jayendra Rimal

12. Selection The process involved in selection:   Final screening   Employment tests: Intelligence tests, Potential ability tests, Personality tests, Psychometric tests   Comprehensive interview: Informal, Formal, Planned, Patterned, Non-directive, Depth, Stress, Panel   Background investigation   Physical examination   Job offer 1210/06/2016Jayendra Rimal

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14. Any Questions? 1410/06/2016Jayendra Rimal THANK YOU !