Name: A. A.

Ayu Mas Radha Rani Dewi

Student Number : 1807521063
Attendance List Number : 11

HUMAN RESOURCE PLANNING PROCESS

To help the organization achieve its strategic objectives, the organization needs the
help of human resources. Thus, HR must now be highly involved in the strategic planning
process. Strategic planning is the process by which top management determines overall
organizational purposes and objectives and how they are to be achieved. When a firm's
mission is clearly defined and its guiding principles understood, employees and managers are
likely to put forth maximum effort in pursuing company objectives. Top management expects
HR activities to be closely aligned to this mission and strategic goals and to add value toward
achieving these goals. In order to achieve the organization’s goals, executives need to get the
right people in the organization, in order to fulfill the potential of the business.
Human resource planning (HRP), the process of systematically reviewing human
resource requirements to ensure that the required numbers of employees, with the required
skills, are available when and where they are needed. Effective staffing decisions begin with
human resource planning. Human resource planning involves matching the internal and
external supply of people with job openings anticipated in the organization over a specified
period of time.
Human resource planning has two components: requirements and availability. A
requirements forecast is an estimate of the numbers and kinds of employees the
organization will need at future dates in order to realize its stated goals. Forecasting human
resources requirements involves determining the number and types of employee needed, by
skill level and location. These projections will reflect various factors, such as production
plans and changes in productivity. While availability forecast, is a process of determining
whether the firm will be able to secure employees with the necessary skills, and from what
sources. In order to forecast availability, the human resource manager looks to both internal
sources (presently employed employees) and external sources (the labor market). It helps to
show whether the needed employees may be obtained from within the company, from outside
the organization, or from a combination of the two sources. Another possibility is that the
required skills are not immediately available from any feasible source. There are several
techniques that are used by HR professional to forecast the human resource requirements and
availability. Some are qualitative, and the others are quantitative. Those techniques are :
1. Zero-Base Forecasting
A method for estimating future employment needs using the organization's current
level of employment as the starting point.
2. Bottom-Up Approach
A forecasting method beginning with the lowest organizational units and progressing
upward through an organization ultimately to provide an aggregate forecast of
employment needs.
3. Use of Mathematical Models
One of the most useful predictors of employment levels is sales volume. The
relationship between demand and the number of employees needed is a positive one.
As sales decrease, so does the number of employees. Using such a method, managers
can approximate the number of employees required at different demand levels.
4. Simulation
A technique for experimenting with a real-world situation by means of a mathematical
model that represents the actual situation.
When employee requirements and availability have been analyzed, the firm can
determine whether it will have a surplus or shortage of employees by comparing the
requirements and the availability of the human resources.
1. Demand = Supply
If this situation happens, no action are needed because the amount of the employees
supplied are equals to the employees that we needed.
2. Surplus of workers
If a surplus is projected, the firm must found a way to reduce the number of
employees. Some of these methods include:
a. Restricted hiring
When a firm implements a restricted hiring policy, it reduces the workforce by
not replacing employees who leave. New workers are hired only when the
overall performance of the organization may be affected.
b. Reduced hours
Reduced hours policy means that a company reduced workload requirement
by reducing the total number of hours worked.
c. Early retirements
Early retirement of some present employees is another way to reduce the
 number of workers. Some employees will be delighted to retire, but others will
be somewhat reluctant. However, the latter may be willing to accept early
retirement if the total retirement package is made sufficiently attractive.
d. Layoffs
A layoff is the temporary suspension or permanent termination of
employment of employees. The former employee may no longer perform work
related services or collect wages.

3. Shortage of workers
If a worker shortage is forecast, the firm must obtain the proper quantity and quality
of workers from outside the organization. In this case, external recruitment and
selection are required. Some possible actions are :
a. Creative recruiting
A shortage of personnel often means that new approaches to recruiting must be
used. The organization may have to recruit in different geographic areas than
in the past, explore new methods, and seek different kinds of candidates.
b. Compensation incentives
Firms competing for workers in a high-demand situation may have to rely on
compensation incentives. Premium pay is one obvious method; however, this
approach may trigger a bidding war that the organization cannot sustain for an
extended period. More subtle forms of rewards may be required to attract
employees to a firm, such as four-day workweeks, flexible working hours,
telecommuting, part-time employment, and child-care centers.
c. Training programs
Special training programs may be needed to prepare previously unemployable
individuals for positions with a firm. Remedial education and skills training
are two types of programs that may help attract individuals to a particular
company.
d. Different selection standards
Another approach for dealing with shortages of workers is the lowering of
employment standards. Selection criteria that screen out certain workers may
have to be altered to ensure that enough people are available to fill jobs.
Job Design Concepts
Job design is the process of determining' the specific tasks to be performed, the methods used
in performing these tasks, and how the job relates to other work in the organization. Several
concepts related to job design will be discussed next.
1. Job Enrichment
Job enrichment consists of basic changes in the content and level of responsibility of a job
so as to provide greater challenge to the worker.Job enrichment provides a vertical expansion
of responsibilities. The worker has the opportunity to derive a feeling of achievement,
recognition, responsibility, and personal growth in performing the job. Although job
enrichment programs do not always achieve positive results, they have often brought about
improvements in job performance, and in the level of worker satisfaction in many
organizations. According to Herzberg, five principles should be followed when implementing
job enrichment:
1. Increasingjob demands
The job should be changed in such a way as to increase the level of difficulty and
responsibility.
2. Increasing the worker's accountability
More individual control and authority over the work should be allowed, while the manager
retains ultimate accountability.
3. Providing work scheduling freedom
Within limits, individual workers should be allowed to schedule their own work.
4. Providing feedback
Timely periodic reports on performance should be made directly to workers rathe than to
their supervisors.
S. Providing new learning experiences
Work situations should encourage opportunities for new experiences and personal growth.
Today, job enrichment is moving toward the team level, as more teams become
autonomous, or self-managed.
2. Job Enlargement
Job enlargement is defined as increasing the number of tasks a worker performs, with all
of the tasks at the same level of responsibility. Job enlargement involves providing greater
variety to the worker. For example, instead of knowing how to operate only one machine, a
person is taught to operate two or even three, but no higher level of responsibility is required.
Both job enrichment and job enlargement can be used with
workers who have progressed as far as they can in their present jobs or are victims of
burnout.
3. Reengineering
Reengineering is "the fundamental rethinking and radical redesign of business processes to
achieve dramatic improvements in critical contemporary measures of performance, such as
cost, quality, service, and speed."57 Reengineering essentially involves the firm rethinking
and redesigning its business system to become more competitive. When Hewlett-Packard
developed its new product line of low-cost printers, engineers were told to ignore the models
then being sold and start from scratch. Through reengineering, CEO Vyomesh Joshi wanted
an entire product line to be brought out at one time. He also wanted to take it from concept to
store shelves in less than three years, 18 months faster than HP had ever accomplished a
product launch. Radical design had to be considered and engineers had to "think outside the
box," but the task was accomplished.
Reengineering emphasizes the radical redesign of work in which companies organize
around process instead of by functional departments. Incremental change is not what is
desired; instead, radical changes are wanted that will alter entire operations at one time.
Essentially, the firm must rethink and redesign its business system from the ground up.
Reengineering focuses on the overall aspects of job designs, organizational structures, and
management systems. It stresses that work should be organized around outcomes as opposed
to tasks or functions. Reengineering should never be confused with downsizing (discussed in
Chapter 14), even though a workforce reduction often results from this strategy. Naturally,
job design considerations are of paramount concern because as the process changes, so do
essential elements of jobs