INTRODUCTION - HR PLANNING

HR Planning – Introduction

Human resource planning is the process of analyzing and determining the need and availability of human resources for an organization to achieve its goals (Bulla and Scott, 1994). The main purpose of human resource planning is to ensure that the organization has the right personnel, with the right capabilities, at the right time and in the right place (Jacobson, 2010).

Dwevedi (2012) Human resource planning is seen as a process that helps in the proper performance of important human resource functions, such as providing accurate and timely information about when to achieve revenue, sales and production levels.


Figure 1.0: Five steps of human resource planning

Source: (John,2008).


STEP 1: Review of business goals:

To run their business smoothly, organizations need to identify and define their business objectives and prepare government documents including budget statements, strategies and other necessary documents such as business plans (John, 2008). This is important for setting priorities and dealing with changing and emerging environmental trends.


STEP 2: Scan the environmental:   

Analysis of workforce

John (2008) After defining your business goals, the next step is problem solving in addition to understanding the workforce. You need to plan for the required workforce with certain skills and knowledge. They must join the workforce analyze. It is important to consider characteristics such as age, gender, skills and competence. Also, there are some internal factors like benchmarks, vacancies, turnover rates etc. are important for workforce analysis.

Internal scanning

According to John (2008) Internal scanning is mainly aimed at identifying abnormal factors and the impact on organizational workforce capabilities required to meet departmental objectives. Barret et al. (2006) noted that internal analysis focuses on workforce, trends, their age, distribution and proportion of positions filled by internal candidates.

Each department is responsible for identifying internal opportunities and challenges. This is necessary to create and maintain advantages to face and reduce risks in the organization and challenges to success.

External scanning

Barnard et al. (2006) advised that external scanning should not be a time-consuming process. All possible changes and their impact can be reviewed by planning team. The team must also see how the changes affect the organization work, recruitment, selection patterns, training, retention and development processes that required on a workforce.


STEP 3: Identify the gaps:

John (2008) explains to recognize business goals and requirements which will help predict headcount, skills and future employment needs and work experience required.

Based on departmental goals, priorities and environmental research, McGraw-Hill Ryerson (2000) identified current and future human resource requirements. The followings are the questions found to be useful in identifying requirements for HR needs and gap analysis.

1. Does the organization have a succession plan for critical positions?

2. Does new skills needed to make changes to the delivery system?


STEP 4: Developing the plan:

McGraw-Hill Ryerson (2000) explained after seeing the results of different analysis, some should be a strategy to identify HR priorities and achieve the desired results that is accepted by the department.

 

STEP 5: Measuring, Monitoring, and Reporting the progress:

John (2008) mentioned that monitoring while assessing the progress of target areas is very important to evaluate and present the results of HR performance. Improving employee skills and capabilities and organizational learning to meet future needs and requirements.


References

  • Barnard, W. (2006) “seven steps of effective workforce planning”.
  • Bulla, D.N., & Scott, P.M. (1994) Human resource planning as an important practice to anticipate future human resource requirements of the organization – literature review. International Journal of Research in Business Studies and Management, Volume 5, Issue 3, 2018, PP 24-30 [Online]. Available at https://www.ijrbsm.org/papers/v5-i3/4.pdf. Accessed on 26th August 2022.
  • Dwivedi, R.S. (2012) Human resource planning as an important practice to anticipate future human resource requirements of the organization – literature review. International Journal of Research in Business Studies and Management, Volume 5, Issue 3, 2018, PP 24-30 [Online]. Available at https://www.ijrbsm.org/papers/v5-i3/4.pdf. Accessed on 26th August 2022.
  • Jacobson, W. (2010). Preparing for tomorrow: a case study of workforce planning in North Carolina municipal governments. Public Personnel Management, 39(4), 1-21.
  • Shadare Duseyi A., Hammed, t. Ayo (2009).
  • St. J.. (2008). Human Resource Planning: New Found land Labrador.
  • Weihrich, H., Koontz, H., Donnell, C. O., (1980).New York: McGraw-Hill Book Company, 7th edition.

Comments

  1. Hi Larry, Good article to get brief knowledge about HR Planning. According to Kumar (2011), several External factors affect HR Planning; Government policies, Level of Economic Development, Business Environment, Level of Technology and International Factors. Workforce planning is more concerned during economic crises like in Sri Lanka now for HR departments.

    ReplyDelete
    Replies
    1. As Conner and Ulrich (1996) have broadly maintained, the evolution of Human Resources Management (HRM) is related to the historical evolution of the business and of the economy in which companies operate. Accordingly, the roles and decisions of HR managers and the HR function adapts to the changes that take place in the economic cycle.

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  2. Modern human resource planning is concerned with predicting the organization's future demands for human resources and the necessary planning to fill those needs. To ensure that individuals are present with the relevant characteristics and skills when they are needed, it is necessary to plan and implement specific programs, such as staffing and training, in addition to setting goals. Human resource planning entails gathering data that may be utilized to assess program effectiveness and provide notice when changes are required. Because one of the goals of planning is to improve organizational effectiveness, it must be connected with the organization's business goals (Ulferts, Wirtz and Peterson, 2009).

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    Replies
    1. Also, Planning for human resources is essential during organizationally unstable times, such as mergers, consolidations, and studies of the labor market or low unemployment (Mello, 2001).

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  3. According to Mursi (2003), there is a significant and positive relationship between HR planning and organizational performance. In another study by Hiti (2000), HR planning has a positive effect with organizational performance. In another study by Arsad (2012) manpower planning effect on organizational performance and have a positive relationship between manpower planning an organizational performance. Chand and Katou (2007) in their study in the Indian hotel industry also found that manpower planning has strong relationship with productivity and productivity impact on organizational performance.

    ReplyDelete
    Replies
    1. Human resource planning techniques, according to research by Katua et al. (2014),
      enhance a company's performance; that businesses should create and document human resource planning plans with the goal of  improving organizational and employee performance.

      Delete

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