HUMAN RESOURCE PLANNING

Learning Objectives
After studying this chapter, you should be able t0:
1. Define hunan resource planning and differentiate it from manpower planning.
2. Apprvciate the need for and importance
of human resource planning.
3. Outline and elaborate the process involved in human resource planning.
4. Describe human resource information system.
5. ldentifi problems barriers which complicate and distort the effectiveness of human
resource planning.
6. Describe how human planning can be made effective?
resource

Most of us are fairly familiar with the term

'planning' in our every day life. We do often plan in
advance about the things to be done on a busy working
day. Parents make advance decisions on the
2ducation of their children. As students, you also may think in advance how to go ahead with the
preparation of your
forthcoming examination, how to make use of your time in the best poss1ble
manner. In fact, planning has been an omni
present phenomenon in our all walks of life. This holds true
of organisations also0.
The qualityof an organisation is, to a
large degree, considered merely the summation of the
quality of people it hires and keeps. Therefore, before
actually selecting the right people for right jobs,
it becomes a prerequisite to decide on the quantity and quality of people required in the
This is done through human resource organisation.
planning. Human Resource Management, thus, begins with
human resource Planning (HRP).
It is
against this backdrop, this chapter is devoted to expose you to various aspects of human
resource planning especially in business
organisations. The chapter specifically deals with meaning,
need, importance and process of human Resource planning. It also discusses the prerequisites of a
successful human resource planning and the limitations/ barriers which
tive human
complicate and distort effec-
resource planning (HRP).
4.1 HUMAN RESOURCE PLANNING (HRP) DEFINED
What is HRP? In simple words, HRP is a process of
stricking balance between human resources
required and acquired in an organisation. In other words, HRP is a process by which an organisation
determines how it should acquire its desired manpower to achieve the
organisational goals. Thus, HRP
helps an organisation have the right number and kind of people at the right places and right times to
successfully achieve its overall objectives. Let us also consider a few important definitions of HRP:
According to Terry L. Leap and Michael D. Crino, "
HRP includes estimation of how
many
qualified people are necessary to carry out the assigned activities, how many people will be available
and what, if anything, must be done to ensure that personnel supply equals personnel demand at the
appropriate point in the future.
In the words of Beach, "Human resource planning is a process of determining and assuming that
the organisation will have an adequate number of qualified persons, available at the proper times,

27
 Human Resource Manageme
28 Human Resource Planning
and which provide satisfaction for the individ
which meet the needs of enterprise viduas 29
Derforming jobs
cOurce development, successi0n planning. human resource
involved" needs,
forecasting, developing and controlling-by whi verall human resources needs in a long-term perspective, a cordial human values, personnel policy
organisational climate
Geisler' opines, "HRP is the process- including at the
h the help of cordial industrial relations and particularly
and the right kind of people es a
right placesa employee welfare, and so on.
a firm ensures
that it has the right number of people
for which are economically most useful." In sum and
substance, while manpower
work they
the right time doing planning is concerned with the "power" of people to
make positive contributions, human resource planning is
above definitions, HRP can now be defined as the comparsion of an primarily interested in the "people" them-
Having gone through selves and not merely on peoples power". In other words, human and humane
with forecast labour demand, and hence the scheduling of emphasised in human resources planning. aspects are more
organisation's existing labour resources
activities for acquiring, training, redeploying and possibly discarding labour. It seeks to ensure that
an adequate supply of labour is available precisely when required. 4.2 OBJECTIVES OF HRP
series of activities: The main objective of
HRP could be seen as a process, consisting of the following having human resource planning is to have an accurate number of employ-
ees required, with matching skill requirements to accomplish organisational goals. In other words, the
1. Forecasting future personnel requirements, either in terms of mathematical projectios o
of human resource planning are to:
trends in the economy and developments in the industry, or of judgements and estimates objectives
based upon specific future plans of the company. Ensure adequate supply of manpower as and when required.
2. inventorying present manpower resources and analys1ng the degree to whicn these re Ensure proper use of existing human resources in the organisation.
sources are employed optimally. Forecast future requirements of human resources with different levels of skills.
Anticipating Manpower Problems by projecting present resources into the future and com- Assess surplus or shortage, if any, of human resources available over a specified period of
paring them with the forecast of requirements, to determine their adequacy, both quantta time.
tively and qualitatively. for human resources.
Anticipate the impact of technology on jobs and requirements
4. Planning the necessary programmes ofrecruitment, selection, training, employment, utilizatr-
Control the human resources already deployed in the organisation.
ion, transfer, promotion, development, motivation and compensation so that füture man-
power requirements will be duly met. Provide lead time available to select and train the required additional human resource over a
specified time period.
4.1.1 Manpower Planning vis-a-vis Human Resource Planning According to Sikula', "the ultimate purpose/objective of human resource planning is to relate
needs so as to maximise the future return on investment
There are two terms- manpower planning and human resource planning in the future human resources to future enterprise
literature. In the current pursuit of human resource management, many organisations appear to be
management
in human resources".
practising Human Resource Planning' as opposed to "Manpower Planning". How are we to under
stand this change? Is it one which is best described as, old wine in new bottles'. And, hence, simply 4.3 NEED FOR AND IMPORTANCE OF HRP
reasons:
a matter of semantic change, or is something more fundamental happening in the process, The need for human resource planning in organisation is realised
for the following
techniques.
ambitions and outcomes of resource planning ? An attempt is made in this section to address to this resources with required

question. Despite growing unemployment, there has been shortage of humanneed for human resource
the
SKills, qualification and capabilities to carry on works. Hence
In fact, a shift from manpower planning to human resources planning is a shift of the concept of
planning philosophy. In case of manpower planning, it is made based on the "power" or "strengths planning.
become incapacitated
2. number
leave organisations, or
man prossesses. "Manpower" is the concern of manpower planning. Manpower planning takes care of employees who retire, die, new employees.
Human
need to be replaced by the
of the "power" of people to make positive contribution. The other side of the coin, i.e., weaknesses, is DEcause of physical or mental ailments,

CSOUrce planning ensures smooth supply

of workers without intermption.
not its concem. Taking into account the organisation's manpower system, manpower planning
in rise in worktorce turnover
cludes the key elements like manpower forecasting, job analysis, carrer path, training etc. resource planning is also
essential in the face of marked
uman discharges, marriages, promo-
After all, all men are human beings, So to say, they are primarily human beings with human beneficial. Voluntary quits,
strengths, weaknesses, desires, needs, hopes and aspirations. This human side ofmanpower/workforce
wnich is unavoidable and even business are the examples of factors leading to workforce
and seasonal fluctuations in work force in many
is stressed in the human resources planning: But, it does not mean that the manpower aspect is s a constant
ebb and flow in the
cause
in organisations. These
ignored or rejected. The fact remains that the manpower aspect is taken care of, but the human aspect Vr
organisations. and
is given more emphasis in planning process. the method of products
4 usher in change in These changes may
Human resources planning, thus, refers to the resourcefulness and human aspect of the whole Technol gIcal changes and globalisation techniques.
management
services and in
enterprise. Human ability to contribute to productivity is the hallmark of human resource planning. production and as change in the number ofemploy-
nof as well such
ofemployees, to cope with
Therefore, it assigns greater importance to develop human potentialityand helps individual employee re a change in the skills enables organisations
ees resource planning that
Ca. It is human
overcome his weaknesses. if any, so as to strengthen his/her positive contribution to the organisation. chan
on the key elements like human re-
and diver-
Accordingly, human resources planning primanily concentrates changes. the needs of expansion
in order to meet
ource
Human resource planning is also needed
ncation programmes
pla of an
an organisi
Organisanotion.