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Importance of Human Resource Planning
Importance of Human Resource Planning
2. Counterbalance insecurity and change: There must be proper utilization of human and
non-human resources in the organisation. Sometimes the organisation may have
adequate non-human resources e.g. machines, materials and money but inadequate
human resources as a result, manufacturing process/production cannot be started.
Human resource planning helps to offset uncertainties and changes as far as possible
and enables to ensure availability of human resources of the right kind, at right time
and at right place.
In case of surplus of human resources, this resource may remain under-utilized It helps
in counter balancing the problem of shortage and surplus employees very comfortably.
In the organization, some posts may fall vacant as a result of retirement, accidents,
resignations, promotions or death of employees. Consequently, there is constant need
of replacing people.
Human resource planning estimates future requirements of the organization and helps
to ensure that human resources of right kind, right number, in right time and right
place.
Through human resource planning it is ensured that employees in right number and of
right kind are available when required to meet these needs of the organization. It
ensures that people of desired skills and knowledge are available to handle the
challenging job requirements.
7. Fulfill Individual Needs of the Employees: It helps to satisfy the individual needs of the
employees for promotions, transfer, salary encashment, better benefits etc.
8. Helps Formulation of Budgets: It helps in anticipating the cost of human resources e.g.
salary and other benefits etc. It facilitates the formulation of human resource budget
for various departments/divisions of the organisation.
So, it may also help in, the formulation of suitable budgets in an organisation.