Human Resource Planning (HRP)

Manpower Planning which is also called as Human Resource Planning consists of putting right number of people, right kind of people at the right place, right time, doing the right things for which they are suited for the achievement of goals of the organization. Human Resource Planning has got an important place in the arena of industrialization.

Rigorous HR planning links people management to the organization””””s mission, vision, goals and objectives, as well as its strategic plan and budgetary resources. A key goal of HR planning is to get the right number of people with the right skills, experience and competencies in the right jobs at the right time at the right cost.

In simple terms its is the process by which management ensures that it has the right personnel, who are capable of completing those tasks that help the organization reach its objectives.

The objectives of HRP

Resourcing of Human Capital

Development of Human Capital

Valuing of employees

Development of interpersonal relationships

The Man Power Planning Process

  • Analysing the current manpower inventory- Before a manager makes forecast of future manpower, the current manpower status has to be analysed. For this the following things have to be noted-
    1. Type of organization
    2. Number of departments
    3. Number and quantity of such departments
    4. Employees in these work units

Once these factors are registered by a manager, he goes for the future forecasting.

  • Making future manpower forecasts- Once the factors affecting the future manpower forecasts are known, planning can be done for the future manpower requirements in several work units. The Human Resource Demand and supply are forecasted at this stage.

The Manpower forecasting techniques commonly employed by the organizations are as follows:

    1. Expert Forecasts: This includes informal decisions, formal expert surveys and Delphi technique.
    2. Trend Analysis: Manpower needs can be projected through extrapolation (projecting past trends), indexation (using base year as basis), and statistical analysis (central tendency measure).
    3. Work Load Analysis: It is dependent upon the nature of work load in a department, in a branch or in a division.
    4. Work Force Analysis: Whenever production and time period has to be analysed, due allowances have to be made for getting net manpower requirements.
    5. Other methods: Several Mathematical models, with the aid of computers are used to forecast manpower needs, like budget and planning analysis, regression, new venture analysis.
  • Developing employment programmes- Once the current inventory is compared with future forecasts, the employment programmes can be framed and developed accordingly, which will include recruitment, selection procedures and placement plans. This step is more commonly known as the GAP Analysis.
  • Design training programmes- These will be based upon the extent of diversification, expansion plans, development programmes, etc. Training programmes depend upon the extent of improvement in technology and advancement to take place. It is also done to improve upon the skills, capabilities, knowledge of the workers.
  • Control and Evaluation– Like any other process Control and Evaluation of manpower planning is essential in order to ensure its effectiveness. Not only is it necessary to constantly monitor the process it is also equally important to provide feedback.

Importance of Manpower Planning

  • Key to managerial functions- The four managerial functions, which are; planning, organizing, leading and controlling are based upon the manpower.
  • Efficient utilization- Efficient management of personnel becomes an important function in the industrialization world of today. Setting off large scale enterprises requires management of large scale manpower.
  • Motivation- Staffing function not only includes putting right men on right job, but it also comprises of motivational programmes, such as  incentive plans to be framed for further participation and employment of employees in a concern.
  • Better human relations- A concern can stabilize itself if human relation develop and are strong. Human relations become strong through effective control, clear communication, effective supervision and leadership in a concern.
  • Higher productivity- Productivity level increases when resources are utilized in best possible manner. Higher productivity is a result of minimum wastage of time, money, efforts and energies. This is possible through the staffing and it””””s related activities ( Performance appraisal, training and development, remuneration)

Need of Manpower Planning

Manpower Planning is a two-phased process because manpower planning not only analyses the current human resources but also makes manpower forecasts and thereby draws up or develops employment programmes.

  • Manpower Planning is advantageous to firms in following manner:
  1. Shortages and surpluses can be identified so that quick action can be taken wherever required.
  2. All the recruitment and selection programmes are based on manpower planning, herefore it will eliminate unnecessary risks of over/under hiring.
  3. It also helps to reduce the labour cost as excess staff can be identified and thereby overstaffing can be avoided.
  4. It also helps to identify the available talents within an organization and accordingly training programmes can be chalked out to develop those talents.
  5. It helps in growth and diversification of business. Through manpower planning, human resources can be readily available and they can be utilized in best manner.
  6. It helps the organization to realize the importance of manpower management which ultimately helps in the stability

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7 thoughts on “Human Resource Planning (HRP)”

  1. sasha says:

    Again another interesting post.. 😀

    1. Aurora says:

      Thanks 🙂

  2. Hanxlk says:

    HRP another dimension of HR 🙂

  3. Shela Timbs says:

    Hello, I have browsed most of your posts. This post is probably where I got the most useful information for my information gathering. Thanks for posting, maybe we can see more on this.

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  5. ajolkaaa says:

    Thank you so much for your good post.

  6. Aurora says:

    anytime! 🙂

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