The document discusses human resource planning, which involves analyzing an organization's future human resource needs under changing conditions, and developing activities to satisfy these needs. It involves forecasting personnel requirements, assessing current human resources, matching future demand and supply, and planning retrenchment activities if needed. The goal is to ensure the organization has the right number and type of people with the necessary skills at the right times to achieve its objectives.

1. Human Resource Planning
Dr. Meenakshi Khemka

2. Effective Human Resource Planning is a process of
banalyzing an organization's human resource needs
Concept of Human Resource Planning
bunder changing conditions and
bDeveloping activities necessary to satisfy these
needs

3. HRP facilitates the process of selection of
future human resources with the required
Concept of Human Resource Planning
skills, qualifications, intelligence, values, etc
by providing information related to the type of
tests and interview techniques to be used

4. Human Resource Planning
Process by which an organization ensures that it has
right number of people
at the right timeat the right time
at the right places
capable of effectively and efficiently completing the
tasks that will help the organization achieve its
overall objectives

5. HRP – Macro Level
Population planning and control
Literacy and education
Health and medical care
Housing

6. HRP – Micro Level
Technology changes
Organizational restructuring
Skill and competency gap
Strategic objectives
Trade union pressure

7. HRP Process
Assessing the present human resources
Assessing the future of the organization
Matching future demand and supply of human
resources

8. Planning and Forecasting
Employment or Personnel Planning
The process of deciding what positions the
organization will have to fill, and how to fill
them
Succession Planning
What to Forecast?
Overall personnel needs
The supply of inside candidates
The supply of outside candidates

9. Forecasting Personnel Needs
Forecasting
Tools
Trend Analysis Scatter PlottingRatio Analysis

10. Drawbacks to
Traditional Forecasting Techniques
They focus on projections & historical relationships
They do not consider the impact of strategic
initiatives on future staffing levels
They support compensation plans that rewardThey support compensation plans that reward
managers for managing ever-larger staffs
They “bake in” the idea that staff increases are
inevitable
They validate and institutionalize present planning
processes and the usual ways of doing things

11. Using Computers to
Forecast Personnel Requirements
Computerized Forecasts
Software that estimates future staffing needs by:
Projecting sales, volume of production, and
personnel required to maintain differentpersonnel required to maintain different
volumes of output
Forecasting staffing levels for direct labor,
indirect staff, and exempt staff
Creating metrics for direct labor hours and
three sales projection scenarios—minimum,
maximum, and probable

12. Forecasting Outside Candidate Supply
Factors In Supply of Outside Candidates
General economic conditions
Expected unemployment rateExpected unemployment rate
Sources of Information
Periodic forecasts in business publications
Online economic projections

13. Assessing Present Human Resources
Developing a profile of the current human
resources -
an inventory of the workers and skills presentlyan inventory of the workers and skills presently
available within the organization
a comprehensive job analysis for the entire
organization

14. Human Resource Inventory
The report contains information on the education,
training, prior employment, current position,
performance ratings, salary levels, languages
spoken, capabilities and specialized skills of everyspoken, capabilities and specialized skills of every
employee in the organization
Human Resource Information System (HRIS) is a
device for providing HR inventory information

15. Implications of Future Demand
Once the current human resources situation is
assessed and the future direction of the organization
is understood, the future human needs can be
projectedprojected
For this, a year- by - year analysis for every key job
level has to be done
This will result in a human resource inventory
covering a specified number of years in the future

16. Implications of Future Demand
Organizations usually require a heterogeneous
mix of people
A shortage in engineering cannot be offset by
transferring from the purchasing area where theretransferring from the purchasing area where there
is an oversupply
Thus, accurate estimates are to be made of
future demands, in both qualitative & quantitative
terms

17. Implications of Future Supply
Internal supply
Sources that can increase the supply of human
resources--new hires, transfers
New hires are easy to predict as they are self-
initiated
Predicting transfers are difficult as they often
depend on concurrent action in other units

18. Implications of Future Supply
Internal supply
Decrease in internal supply of human
resources is the result of retirements,
dismissals, transfers, lay- offs, voluntary
quits, prolonged illness or death

19. Implications of Future Supply
External Supply
Recent graduates from schools and colleges,
increase the supply of human resources
Migration into community, increase in the number of
unemployed people, and individuals who are
employed but seek other employment opportunities,
represent additional sources that increase the
human resources supply

20. Matching Future Demand and Supply
By matching demand and supply, HR department can
identify areas in which shortages exist
This helps the company to hire good people either to
satisfy current requirements or to have readysatisfy current requirements or to have ready
resources for the future
Sometimes, inadequate availability of human
resources necessitates a change in the
organization's objectives

21. Need for Retrenchment
Organizations suffering from the problems of
overstaffing and experiencing a decline inoverstaffing and experiencing a decline in
business would have to consider retrenchment

22. Retrenchment
Organizations communicate what is going to
happen; identify inefficient employees and
retain productive employees
These displaced employees are provided with
career counselling

23. Lay-offs
Lay-offs may be temporary or permanent
Temporary lay-offs usually occur in slack periods
when the workload of a unit does not promisewhen the workload of a unit does not promise
adequate work for the complete workforce
Once the workload comes back to its normal
levels, the worker will be recalled

24. Loaning or Lien
Organizations loan valuable human resource to
other organizations, retaining them on their
payrolls and take them back once the slack period
is over
Usually, higher level managers are sent on specialUsually, higher level managers are sent on special
projects with government or quasi-government
agencies
These loaned managers get a part of their salary
from the organization and the rest from the
agencies that have loaned them

25. One person’s job is shared by two people
These two people split an eight- hour work day
Though two people hold one job, the company
Work Sharing
Though two people hold one job, the company
has to pay only one person’s wage
This option helps organizations to retain
competent employees in lean periods

26. Early Retirement
The main purpose of this technique is to retire
some of the highest paid individuals in the
organization and delegate their responsibilities to
other employees who are collectively paid less
than that individual
This is a cost-saving technique

27. Attrition
Attrition is a process whereby as incumbents
leave their jobs for reasons such as retirement,
resignation, transfers etc, those jobs are not filledresignation, transfers etc, those jobs are not filled
This is accompanied by a hiring freeze
No recruitment will take place for jobs that are to
be eliminated

28. Limitations
• Accuracy
Support• Support
• Number game

29. THANK
YOUYOU