Human

Resource
Planning (HRP)
Group 4
Human Resource Planning

• It is an activity undertaken to
make sure that the right quantity
and quality of manpower are available at
the exact time and place that they
are needed. (Medina, 2006)
Key Objectives of HRP
Prevent overstaffing and understaffing

Ensures that the organization has the right employees with the right skills

Organization is responsible to changes in the environment

Provides direction and coherence to all HR activities and systems

Unite the perspective of line and staff managers

 HRP Process
1. Gather Informantion
A. FROM EXTERNAL ENVIRONMENT
 ECONOMY
 TECHNOLOGY
 COMPETITION
 LABOR MARKETS
 GOVERNMENT REGULATIONS
B. FROM INTERNAL ENVIRONMENT
 LONG-RANGE PLANS
 SHORT-TERM PLANS
 CURRENT HUMAN RESOURCE
 RATES OF TURNOVER AND MOBILITY
 After obtaining information from the external and internal environment it is
now time for comparing the requirements and its availability.
 
- Measures the supply/number of people with the right skills who are likely to be
available from within and outside the organization.
A. INTERNAL SUPPLY
- Internal supply of human resource available by way of transfers,
promotions, retired employees & recall of laid-off employees, etc.
B. EXTERNAL SUPPLY
- Source of external supply of human resource is availability of Labor
force in the market and new recruitment. Supply and demand of jobs.
4. Plan and conduct needed programs
A. INCREASE/REDUCE SIZE OF WORKFORCE
- Matching the demand and supply forecast
B. CHANGE SKILLS MIX
- Skill mix initiatives are launched to use resources cost effectively by ensuring that the right skills at the right
price are being deployed to achieve an optimum result, including more flexible and timely response to
organizational needs
C. DEVELOP MANAGERIAL SUCCESSION
- important in identifying key roles and mapping out ways to ensure the organization has the right people with
the right skills, capabilities, and experiences, in the right place at the right time.

5. Obtain Feedback
A. WERE THE FORECASTS ACCURATE?
B. DID THE PROGRAM MEET ITS NEEDS?
METHODS OF FORECASTING THE DEMAND FOR HUMAN
RESOURCE PLANNING

1. Zero-base Forecasting
2. Bottom-up approach
3. Top-down method
4. Delphi Technique
5. Mathematical Methods
A. Simple mathematical methods
B. Complex mathematical Methods
 SUPPLY FORECASTING
EXTERNAL SOURCE OF INTERNAL SOURCE OF
MANPOWER IN LABOR MANPOWER IN WITHIN THE
MARKET ORGANIZATION
▪ External hires needs to be contacted when
suitable internal replacements are not • Skills Inventory
available. A growing number of firms are
now using computerized human research
• Management Inventory
information systems to track the
• Anticipating change in
qualifications of hundreds or thousands of
employees.
personnel
 PLANNING FOR
SURPLUSES
1. Observe restricted hiring
• Reduces workforce by not replacing employees who leave
2. Have reduced hours

3. Offers early retirement incentives

4. Transfer employees from units with manpower surplus to units with manpower
shortage
5. Schedule employees for training during slack periods

6. Lay off excess employees

 PLANNING FOR
SHORTAGES
1. Engage in creative recruiting

2. Provide attractive compensation incentives

3. Provide training programs

4. Encourage retirable employees to postpone requirement

5. Rehire retired employees

6. Lower employment standards

7. Hire temporary workers

8. Engage in subcontracting
 Managerial Succession
Planning
• The process of ensuring that qualified persons are available to assume
key managerial positions once the positions are vacant

1. Categorize managerial jobs according to priority

2. Identify candidates with high potential

3. Plan development activities for candidates

4. Identify viable near-term replacements for important positions