Professional Documents
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HRP Process
HRP Process
HRP Process
environment for business. The uncertainty in the environment has increased the
importance of and the need for HR planning. Contemporary HR planning is mainly
concerned with the effective deployment of the valuable human resources of an
organization. An organization first fixes its strategic goals like achieving competitive
advantage, designing expansion programs, enhancing organizational effectiveness and
job satisfaction of the employees. Depending upon the selected goals, it develops and
executes specific HR plans and program including recruitment and selection, training,
compensation, and performance management. On the whole, HR planning is now an
effective means of accomplishing the business strategies of the organization. The HR
planning is important for the following areas of human resource management:
Assessing future recruitment requirements;
The available human resources need be optimally utilized.
Designing training and retraining plans and programs
Formulating compensation policies;
Taking a decision about management development programs
Gaining competitive advantage; and
Shaping future plans and strategies
Strategy of
Organization
Current
Competitive and
organizational
Fin.Environment
situation
devising HR plans. Similarly, the corporate policy towards seniority and merit in
promotions, the proportion of internal sources in recruitment to external ones, and
agreements with the unions, if any, must also be reckoned. For instance, job
vacancies at the lower levels of the organizational structure may require fewer skills
and, as such, it is relatively easy to fill those vacancies at a short notice. On the other
hand, when the vacancies involve a high degree of technical and managerial
competencies, the time required for filling up such positions could become relatively
longer. Thus, the skills and competencies requirement of the human resources also
affect the HR plans.
human resource depends on some factors including supply and demand of jobs,
literacy rate of nation, rate of growth of population, technological development,
compensation systems based on education, experience, skill and age. The most
prevalent techniques for forecasting of human resource supply from the external
source are Succession analysis and Markov analysis.
Summary
Human resources planning is a process of identifying the appropriate person for the job at the
right time and cost.
It is concerned with the flow of people into, through, and out of an organization involving
the forecast the need for labor and the supply of labor, then planning the programs
necessary to ensure that the organization will have the right mix of employees and skills
when and where they are needed.
The HR planning is important for several areas of human resource management like
assessing future recruitment needs, optimization of available human resources,
developing training and retraining programs, formulating policies for compensation,
determining programs for management development and gaining competitive
advantage; and, shaping future plans and strategies.
The human resource executives are now focusing their attention on how human
resources can help the organization achieve its strategic goals. Thus, HR must now be
highly involved in the strategic planning process. Strategic plan is the process by which
top management determines overall organizational purposes and objectives and how
they are to be achieved.
There are several factors influencing the human resource planning of an organization.
These factors include the strategy of the organization, culture of the organization,
competitive and financial environment, current organization situation and quality and
skills of required human resources.
The process of human resource planning follows a process involving certain steps.
These steps are assessing human resources, HR demand forecasting, HR supply
forecasting, matching demand and supply and the action plan