Manpower

Planning
 Definition
 HR planning is “A process by which an organisation
should move from its current manpower position to
its desired manpower position.Through planning
management strives to have the right number & right
kind of people at the right places at the right
time,doing things which result in both the
organisation & the individual receiving maximum
long-run benefit.”
- E.W. Vetter.
 Objectives
 To recruit & retain the HR of required quantity & quality.
 To foresee the employee turnover & make arrangements for minimum
turnover & filling up the consequent vacancies.
 To meet the needs of expansion,diversification,acquisition &
mergers,etc..
 To foresee the impact of technology on work,existing employees &
future HR requirements.
 To improve the standards,skills,knowledge,ability,discipline,etc..
 To assess the surplus or shortage of manpower.
 To maintain congenial industrial relations by maintaining optimum level
& structure of HR.
 To estimate the cost of HR.
 To make the best use of its HR.
 To minimise imbalances caused due to non availability of HR of the
right kind,no.,in right time & place.
 Factors affecting HRP
External Internal
 Government policies.  Strategies of the company.
 HR Policy of the company.
 Business environment.
 Formal & informal groups.
 Level of economic
 Job analysis.
development including
 Time horizons.
future supply of HR.
 Information Technology.  Type & quality of
information.
 Level of technology.
 Company’s Production
 Natural factors.
Operation Policy.
 International factors.  Trade Unions.
Analysing org. plans
Objectives,programs
Present Control & review
programs mechanism

Demand forecast Supply forecast= Present

Resource requirements Inventory of HR+ Net HR
Skill wise & Additions Requirements for
knowledge wise -Losses future

Forecast the future

Surplus of future available Shortage of future available Supply of HR in
HR within the organisation HR within the organisation All sources if
Supply is inadequate

Retrenchment/ Development Internal

Redeployment Employment Training
redundancy mobility
 Strategies in case of surplus
Manpower
 Redeployment -
 Outplacement-
a. Employment in sister concerns
b. Employment in other companies.
 Redundancy/retrenchment -
 Reduced work hours.
 Work sharing.
 Layoffs- Permanent/Temporary.
 Leave of absence without pay.
 VRS/Early retirement/Golden Handshake.
 CRS/Iron handshake.
 Creation of ad-hoc projects.
 Strategies in case of shortage
 Employment.
 Outsourcing.
 Training
 Development.
 Internal mobility.
 Retention plans.
Types of HR Planning

 Short term

 Long term
 Short term HR Planning
 For a period of not more than 2 years.

 Problems faced in this planning-

 The Weak Incumbent.
 The Strong Incumbent.
 An Unexpected Vacancy.
 Approaches to matching a weak individual and
a job-
I. Changing of the Man.
II. Changing the Contents of the Job.
III. Changing the Job and the Man.
IV. Removal of the Incumbent.

 For optimum utilisation of the strong incumbent-

I. Assign Additional duties.
II. Assign some Special Problems.
III. Advice.
IV. Change in Job.
 Long term HR Planning

 Projecting manpower requirements.

 Taking stock of existing manpower.

 Recruitment & selection.

 HR development.