nature and sources of supply that will be required to meet that demand .Definition  A process in which an organizations predict the exact demand for labour and to evaluate the size.

Demand should match Supply .

to have a practical effect  Planning because of the process benefits  Planning because of Organizational Strategies . that is.Need For Manpower Planning  Planning for substantive reasons.

Steps in Manpower Planning       Predict manpower plans Design job description and the job requirements Find adequate sources of recruitment. death.  See for replacement due to accident. Give boost to youngsters by appointment to higher posts. transfer and other issues. . Best motivation for internal promotion. Look after the expected losses due to retirement. dismissals and promotion.

ages. experience. retirements. planned staff movements. flexibility.Process of Manpower Planning  Satellite picture' of the existing workforce profile (numbers. potential. character. of existing employees) and then to adjust this for 1. skills. etc. etc. 3 and 10 years ahead by amendments for normal turnover. gender. forecast capabilities. in line with the business plan for the corresponding time frames. .

Forecasting Techniques  Managerial Judgment  Ratio-trend analysis  Regression analysis  Work study techniques  Delphi technique  Business Process Reengineering .

the results show how many people are expected to be in each job by the end of the year. moving to another job in the organisation or leaving the organisation.  When this matrix is multiplied by the number of people beginning the year in each job. .Markov Analysis  The heart of Markov analysis is the transition probability matrix which describes the probability of an incumbent’s staying in his or her present job for the forecast time period (usually one year).

Choosing forecasting method  Stability and certainty  Availability of data  Number of employees  Resources (HR) available for forecasting  Time horizon (judgemental methods may be more suitable for long term whereas statistical methods may be good for short term)  Credibility to management (many-a-times judgemental methods have a higher credibility if it includes substantial management input over statistical methods) .

Employment Scenario in Manufacturing Sector I  Intense Competition  Short Product Lifecycle  Highly Volatile Market .

Employment Scenario in Manufacturing Sector II  Factories Act  Permanent & Contingent Labour  Trade Unions  Demand Volatility of labour .

Type of Planning  Short Term Planning  Long Term Planning  Shift Based Planning  Strategic Planning .

.Benefits of Manpower Planning  Future Personnel needs  Part of strategic planning  Creating highly talented personnel  International strategies  Foundation of Personnel functions  Increasing investments in HR  Resistance to change and move  Other benefits.