Human Resource Information

System (HRIS)
&
Human Resource Planning (HRP)

HRM Process
Organization goals
& strategies
Development

Staffing

Performance

Appraisal
Rewards &
Relations

Employee
needs

HR Information

HRIS
A database system that keeps
important information about
employees in a central and
accessible location.
Feeds information into HR
policy and planning as well as
other HR decision process.

Why HRIS?
HRIS can significantly improve the
efficiency of the HR operation and
therefore a companys bottom line.
Help increase in number and variety
of HR reports produced.
Help shift HRs attention from
transaction-processing to strategic
HR.

Input Data

Personal information
Organization
Occupation history
Performance & potential assessment
Qualifications, training & competency
Salaries & benefits
Development & succession plans
Others (disciplinary, medical, references,
absenteeism)

Output Data

Skill inventory
Training & development report
Compensation report
Employee benefit record
Turnover & absenteeism report
Human resource plans

Human Resource Planning

Man is the key to our problems, not

money. Competent people can work
miracles even with small resources and
draw wealth out of barren land.

What is HRP?
Human resource planning is a systematic
approach to ensure that the right people will be
in the right place at the right time.
It is a process of deciding what positions the firm
will have to fill, and how to fill them.
It is a process of determining HR needs of the
organization in the context of its strategic
planning.

The Need for HRP

To ensure that HR is available: provide the information

and data to an organization on when, where and how
many employees need to be recruited.

To assess the future supplies of and demands for HR:

reduce shocks and disturbances within the employment
patterns of large organizations.

To match supplies and demands, making them

compatible with the achievement of the organizations
future goals.

Needs determined by
Assessing current human resources
Analyzing corporate plans
Forecasting staffing level and categories
in the light of corporate objectives
Assessing availability of HR
Determining HR needs
Formulating HR programs to address the
needs.

Steps in HRP
1. Assessing Current Human
Resources
2. Demand Forecasting
3. Supply Forecasting
4. Matching demand and supply
5. Action Plan

Step 1: Assessing Current HR

1. HR Inventory (details of workforce:
something like CV or personal history form)

2. Job Analysis (details of jobs, resulting in JD

and JS)

Step 2: Demand Forecasting

Estimates the number of people required in

future and their capacity.
To forecast personnel needs:
Project the demand for the product or
service
Project sales and revenues
Plan the volume of production or activity
level to meet the planned sales, revenue or
activity requirements
Estimate the size of the staff required to
achieve it

How to forecast personnel needs?

Staffing plans also must reflect:
Projected turnover of staff
Quality and skills of employees in relation to
the changing needs of the organization
Strategic decisions (eg. Upgrade quality,
enhance productivity, enter into new markets)
Technological and other changes resulting in
increased productivity
Financial resources

HR Forecasting Methods

Trend analysis

Ratio analysis

Use of ratios between one or more business factors and staffing level
as well as between different staff categories if the current year to
forecast future needs.

Ratio trend analysis

Study the past staffing needs over a period of years to predict future
needs.

Use of ratios of the past years to predict needs

Managerial judgement
A big role
Trends, ratios and relationships unlikely to continue unchanged
Judgement needed to modify the forecast based on the factors that are
likely or should be changed

Step 3: Supply Forecasting

1. Internal supply forecasts
2. External supply forecasts

Forecasting Internal Supply

Qualifications inventories
Manual or computerized records listing
employees education, career and
development interests, languages, special
skills etc to be used in selecting inside
candidates for promotion

Personnel inventory and development

Information is complied about each
employee manually and recorded.

Forecasting Internal Supply

Personnel replacement charts
Company records showing present
performance and promotability of inside
candidates for the most important positions

Position replacement card

A card prepared for each position in a
company to show possible replacement
candidates and their qualifications

Forecasting External Supply

Monitoring general economic conditions
Local market conditions
Occupational market conditions

Step 4: Matching demand & supply

To determine future shortages or

surpluses
Additional staff will be needed to meet the
shortage
Retrenchment will be needed for surplus
staff

Step 5: Action Plan

Concerned with the preparation of action
plans to deal with shortages and
surpluses of human resource
Recruitment plan
Training and Development plan
Retention plan
Promotion plan
Redeployment plan
Redundancy plan
Transfer plan
Succession plan

Issues to be addressed in HR Planning

How many employees does the organization
currently employ?
What is the age profile, by department, of
employees?
Where in the organization are these employees
to be found?
Which are the biggest departments in the
organization?
What skills do the employees possess?
How many employees, on average, leave the
organization every year?
In which areas of expertise do the organization
tend to loose more employees?

HRP in Nepal

Analysis is in its infancy

Fire-fighting tendencies
Kowledge base (ad-hoc, guess work)
Short term planning
Overstaffing (govt. & public organizations)
Nepotism/ favouritism (private org.)