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Human Resource Planning 641
Human Resource Planning 641
Right number of people with right skills at right place at right time to implement organizational strategies in order to achieve organizational objectives In light of the organizations objectives, corporate and business level strategies, HRP is the process of analyzing an organizations human resource needs and developing plans, policies, and systems to satisfy those needs
HUMAN RESOURCE PLANNING Setting human resource objectives and deciding how to meet them Ensuring HR resource supply meets human resource demands
HRP Process
Interfacing with strategic planning and scanning the environment Taking an inventory of the companys current human resources Forecasting demand for human resources Forecasting the supply of HR from within the organization and in the external labor market
2
Human Resource Programs
3
Feasibility Analysis
4 5
HRP Model
Strategic Human Resource Planning
Links 1 & 5: HR objectives are linked to organizational objectives and planning
Designed to insure consistency between organization's strategic planning process and HRP.
So objectives of strategic plan are feasible and HR programs are designed around what organizational objectives and strategies require in terms of human resource goals
2
Human Resource Programs
3
Feasibility Analysis
4 5
Develop staffing for new installation Production workers Supervisors Technical staff Other managers
Recruit skilled workers Develop technical training programs Transfer managers from other facilities
Recruiting and training programs feasible Transfers infeasible because of lack of managers with right skills
4
Develop new objectives and plans
(availability)
Choose HRM programs (supply) Involves forecasting or predicting effect of various HR programs on employee flowing into, through and out various job classifications. First determine how well existing programs are doing then forecast what additional programs or combination of programs will do
Determine Feasibility
Links 3 & 4
Capable of being done
Requires knowledge of programs, how programs fit together and external environmental constraints (e.g., labor force, labor unions, technology created skill shortages) and internal environmental constraints (skill shortages within the organization, financial resources, managerial attitudes, culture)
If no feasible HR program can be devised, the organization must revise strategic plans.
HRP in practice is usually less rational and may omit one or more of the steps
May lack knowledge required for forecasting Incorrect assumptions about effectiveness of HR programs Does not engage in strategic planning Resistance to change present HR systems
SUPPLY FORECASTING
Does aggregate supply meet aggregate No demand? Yes Go to feasibility analysis steps
Demand Forecasting Information Organizational and unit strategic plans Size of organization Staff and Managerial Support Organizational design
System Sophistication
Organizational size
large organizations require more complex forecasting systems and likely to have the required skilled staff
Organizational complexity
complex career paths and diverse skill requirements lead to more complex forecasting systems
Organizational objectives
the greater the gap between current HR situation and desired HR situation the more sophisticated the system