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Human Resource Planning Concept

and need
Factors affecting HRP, HRP Process

Human Resource Planning
Meaning Assessment of Human Resource
requirements and time and stages of

Right person ---At Right place ---At Right time.

Definition HRP is defined as the process by
which management determines how an
organization should move from its current
manpower position to its desired manpower
HRP is also called manpower planning,
personnel planning or employment planning.

Objectives of HRP
To ensure optimum use of existing
To forecast future requirement for HR.
To provide control measures to
ensure that necessary HR are
available as and when required.
To asses the surplus and shortage of
HR. (Downsizing).
Objectives of HRP Contd.
To anticipate the impact of technology
on jobs and HR.
To determine the level of Recruitment
and Training.
To estimate the cost of HR and
Housing needs of employees.
To meet the needs of expansion and
diversification programmes.
Importance of HRP
Future Personnel needs extra-excess staff, VRS
Creating highly talented personnel - upgrade
International Strategies
Foundation of personnel function recruitment,
selection, promotions
Resistance to change and move anywhere,
Increasing investment in human resources
Foreign Assignments

Factors Affecting HRP
Type and
strategy of
Type and
Quality of
of job

growth cycle
and planning
1. The type of organization determines the
production process, type of staff,
(supervisor and manager). And the
strategic plan of the organization defines
its HR needs.
2. Organizational growth cycle and planning
start up, growth, maturity, decline
3. Environmental uncertainty political,
social and economical change affect all
4. Outsourcing the process by which
employees transfer routine or peripheral
work to the another organizations.
5. Nature of job job vacancies,
promotions and expansion strategies.
6. Type and quality of forecasting
information - organizational structure,
budgets, production.
7. Time horizons long term plans and
short term plans, the greater the
uncertainty the shorter the plan.
Example computers and university.
HRP Process
HR Needs Forecast
HR Programming
HRP Implementation
Control and Evaluation
Org objectives and policies
HR Supply Forecast
HRP Process
Environment - :
1) Economic factors
2) Technological Changes
3) Demographic changes
4) Political and legislative issues
5) Social concerns

HRP Process (Contd.)
Organizational objectives and policies-:

HR plans need to be based on
organizational objectives.
Specifics requirements in terms of
numbers and characteristics of employees
must be derived from organizational
HRP Process (Contd.)
HR need or demand forecast-:
The process of estimating the future quantity
and quality of people required.
The basis of forecast will be annual budget
and long term corporate plans.
Demand forecasting must consider several
factors like
i. Internal (Budget constraints, employee
separations, production level etc.)
ii. External (Competition, laws, change in
HRP Process (Contd.)

HR Supply forecasting-:

It determines weather the HR department will be
able to acquire the required number of workers.

Specifically supply forecasting measures the
number of people likely to be available from
within and outside an organization.
HRP Process
HR Programming-:
Once the Organizations HR need and
supply are forecast,
Then vacancies can be filled by the right
employee at the right time.

HR Plan Implementation-:
Implementation requires converting an HR
plans into action. (Recruitment, Training,
Control and evaluation :-

Surplus restricts hiring, reduced hours
(VRS, lay off etc)
Shortage recruitment and selection