Professional Documents
Culture Documents
Introduction
Human resource planning is the process of ensuring that human resource requirements of an
organization are identified and plans are made for satisfying those requirements. Armstrong, M
(2006)
2.0. Process of Human Resources Planning
According to upta !." (20##) the follo$ing are the processes that are in%ol%ed in human
resource planning in any organization.
2.#. Analysing &rganizational 'lans ( )irst of all o*+ecti%es and strategic plans of the
company are analysed. 'lans concerning technology, production, mar,eting, finance, e-pansion
and di%ersification gi%en an idea a*out the %olume of future $or, acti%ity
2.2. )orecasting .emand for Human /esources 0 &n the *asis of corporate and functional
plans and future acti%ity le%el, the future needs for human resources in the organization are
anticipated. 1he num*er of people and s,ills le%el needed in the future depend on the production
and sales *udget in the manufacturing enterprise.
2.2. )orecasting 3upply of Human /esource ( 4%ery organization has t$o sources of supply
for human resources0internal and e-ternal. 5nternally human resources can *e o*tained for
certain posts through promotion and transfers.
2.6. 4stimating Manpo$er aps ( 7et human resource requirements can *e identified *y
comparing demand forecast and supply forecast. 3uch comparison $ill re%eal either deficit or
surplus of human resources in the future.
2.8. Action 'lanning ( &nce manpo$er gaps are identified, plans are prepared to *ridge these
gaps.
2.6. Monitoring and !ontrol ( &nce action plans are implemented, the human resource
structure and system need to *e re%ie$ed and regulated.
3.0. Human Resource Forecasting Techniques
2.#. Human /esource .emand )orecast 1echniques
As e-plained a*o%e, this is the process of anticipating num*er and types of human resources
needed in an organization. 1he process of anticipating num*er and types of human resource can
*e done through qualitati%e and quantitati%e approaches.
a) 9ualitati%e )orecasting 1echniques
9ualitati%e forecasts are essentially educated guesses or estimates *y indi%iduals $ho ha%e some
,no$ledge of pre%ious H/ a%aila*ility:s or utilization (.uane, #;;6< 6). 4-ample of qualitati%e
technique is=
i) .elphi 1echnique= this technique calls for a facilitator to solicit and collate $ritten, e-pert
opinions on la*or forecasts. After ans$ers are recei%ed, a summary of the information is
de%eloped and distri*uted to the e-perts, $ho are then requested to su*mit re%ised forecasts and
e-perts ne%er meet face0to0face, *ut rather communicate through the facilitator.
Significance of Delhi Technique
According to www.transtutors.com the follo$ing are the significances of managerial forecast
a) 5t is effecti%e $hen post data are a*sent ( 1his method ena*les a%aila*ility of information
regarding human resources e%en if there are no pre%ious data a*out that.
*) 5t does not require e-perts to meet in person ( 3ometimes it is difficult to meet e-perts as
they ha%e tight schedule, this method eliminate this challenge.
c) 'articipants re%eal their reasoning ( 1hrough this method participants e-plain $hat they
feel a*out num*er and types of human resources needed $ithout any e-ternal influence.
d) 5t is easier to maintain confidentiality ( As long as mem*ers do not mem*ers do not meet
in person confidentiality is at high le%el hence freedom of e-pression is guaranteed.
e) 'otential quic,er forecasts can *e o*tained ( 1he forecast a*out num*er and types of
human resource needed can *e o*tained quic,ly hence sa%es time for other *usiness.
f) 5t can moti%ate people to participate o%er a long period of time ( .ue to its nature
$hereas ideas are *eing circulated from one person to another, mem*ers don:t get *ored and can
participate for a long time.
g) roup mem*ers do not ha%e to *e in the same place at the same time ( As e-plained
pre%iously= this method ena*les mem*ers from different places at different times to participate in
the e-ercise $ithout any set*ac,. 1his means estimation *ased on num*er and types of
employees needed $ill *e guaranteed.
ii! "anagerial Forecast
According to 'rasad >.M (20#0) managerial forecast or managerial +udgment method is the most
commonly practiced and con%entional method of forecasting human resource needs. 5n this
method, managers prepare the forecast of human resource needs of %arious categories in their
o$n departments *ased on their past e-perience. 1his method can *e applied either top do$n
approach $hereas management prepare human resource plan for the $hole organization in
colla*oration $ith human resource department or *ottom up approaches $hereas top
management pro%ide guidelines for all department to follo$ $hen preparing plans for their o$n
department.