The HRM Process

HUMAN RESOURCE PLANNING (HRP)

 What is planning? What is planning concerned with? Is planning really needed?

Strategic planning: The process by which top management determines overall organizational purposes & objectives and how

they are to be achieved.

Strategic goals are generally defined for the next 5-20 years.

Human Resource Planning (HRP)

A process by which an organization ensures that
it has the right number and kinds of people,

at the right place,

at the right time, capable of effectively and efficiently completing those tasks that will help the organization achieve its overall strategic objectives.

Objectives of HRP
Enable organizations to anticipate their future HR needs to identify practices that will help them meet those needs.

Benefits of HR Planning
Helps in planning job assignments Helps cope with fluctuations in staffing

Helps avoid sudden talent shortages and surpluses.

Identifies recruiting needs Provides other useful information

STEPS IN HRP PROCESS

1. Determine the impact of organizational objectives on
specific organizational unit. 2. Define the skills required to meet objectives (demand for Human Resource) 3. Determine additional human resource requirements in light of current HR (net HR requirements) 4. Develop action plan to meet the anticipated HR needs.

HRP Process

Forecasting HR Requirements A requirements forecast is an estimate of the numbers and kinds of employees the organization will need at future dates in order to realize its goals.

Forecasting HR Availability Determining whether the firm will be able to secure employees with the necessary skills and from what sources these individuals may be obtained is called an availability forecast.

Current assessment
Human resource inventory
A review of the current make-up of the organizations current resource status

Job Analysis
An assessment that defines a job and the behaviors necessary to perform the job.

Surplus of Employees Forecasted

When a comparison of requirements and availability indicates a worker surplus following actions may be required to correct the situation:

a. Restricted Hiring
b. Reduced Hours

c. Early Retirement
d. Layoffs

Shortage of Workers Forecasted

Faced with a shortage of workers, many organizations have to intensify their efforts to recruit the necessary people to meet the

needs of the firm. Some actions that are taken include:

a. Creative Recruiting b. Compensation Incentives c. Training Programs d. Different Selection Standards e. Contingent Workers

Requirements for effective HR planning

HR personnel understand the HR planning process
Top management is supportive The communications between HR staff and line management are healthy The HR plan is integrated with the organizations

strategic business plan

How does HR recruit the best people for the job?

First, HR analyzes the job in question.

What duties and responsibilities are the

essential functions necessary to do the job?

What skills and abilities are necessary to
KSA

do the job? What knowledge is necessary to the job?

Job Analysis
Determining what a job involves exactly and what kind of people the firm should hire for the job. Information to collect: Work activities Human behaviors Performance standards Machines, tools, equipment, and other work aids Job context Human requirements Security and information security requirements Job criticality in the company

Sources of Data
Employees
Supervisor / Manager Job Analyst (HR) Outside consultant

Job Analysis

Methods of Collecting Job Analysis Information

Job Analysis outcomes

Job description A written statement of what the job holder does, how it is done,

and why it is done.

Job specification A written statement of the minimum qualifications that a person must possess to perform a given job successfully. Job evaluation

In Job Evaluation process the worth of job is identified based

upon job comparability and according to worth, importance of job and relative value Compensation is designed and selected.

Uses of Job Analysis Information

When Job analysis is performed?

When the organization is founded

When new jobs are created

Problems with Job Analysis

Too lengthy
Time consuming and requires much patience

Might be a reflection of stereotypes