52477606 Manpower Planning

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Manpower Planning

Made By:

Neha PhoolShivanshi Sethi


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Meaning

Manpower Planning which is also called asHuman Resource Planning consists of puttingright number of people, right kind of people at

the right place, right time, doing the right thingsfor which they are suited for the achievement of goals of the organization. Human ResourcePlanning has got an important place in the arenaof industrialization. Human Resource Planninghas to be a systems approach and is carried out ina set procedure. The procedure is as follows:


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1. Analysing the current manpowerinventory

2.Making future manpower forecasts

3.Developing employment programmes

4.Design training programmes


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Imp ortance of Man p ower Planning

1.Key to m anagerial functions- The four managerialfunctions, i.e., planning, organizing, directing and controllingare based upon the manpower. Human resources help in theimplementation of all these managerial activities. Therefore,

staffing becomes a key to all managerial functions.

2.Efficient utilization- Efficient management of personnels becomes an important function in theindustrialization world of today. Setting of large scaleenterprises require management of large scale manpower. It canbe effectively done through staffing function.


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3.Motivation- Staffing function not only includes putting

right men on right job, but it also comprises of motivationalprogrammes, i.e., incentive plans to be framed for furtherparticipation and employment of employees in a concern.Therefore, all types of incentive plans becomes an integral partof staffing function.

4.Better hu m an relations- A concern can stabilize itself if human relations develop and are strong. Human relations

become strong through effective control, clear communication,effective supervision and leadership in a concern. Staffingfunction also looks after training and development of the workforce which leads to co-operation and better human relations.


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5 .Higher p roductivity- Productivity levelincreases when resources are utilized in best possiblemanner. higher productivity is a result of minimum

wastage of time, money, efforts and energies.This ispossible through the staffing and it's related activities (Performance appraisal, training and development,remuneration)


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Need of Man p ower PlanningManpower Planning is a two-phased process because manpower planning not only analysesthe current human resources but also makes manpower forecasts and thereby drawemployment programmes. Manpower Planning is advantageous to firm in followingmanner:

1.Shortages and surpluses can be identified so that quick action can be taken whereverrequired.

2.All the recruitment and selection programmes are based on manpower planning.

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 in a concern and accordingly trainingprogrammes can be chalked out to develop those talents.

5.It helps in growth and diversification of business. Through manpower planning, humanresourcescan be readily available and they can be utilized in best manner.

6.It helps the organization to realize the importance of manpower management whichultimately helps in the stability of a concern.


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1.It is useful both for organization and nation .

2.It generates facilities to educate p eo p le in the

organization.

3.It brings about fast econo m ic develo pm ents .

4.It boosts the geogra p hical m obility of labor.

5. It provides sm ooth working even after expansion of theorganization.


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6.It op ens p ossibility for workers for futurepromotions, thus providing incentive.

7. It creates healthy at m os p here of encouragementand motivation in theorganization.

8.Training becomes effective .

9. It provides help for career develo pm ent of the

employees.


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1.Analysing the current m an p ower inventory- B efore a managermakes forecast of future manpower, the current manpower status hasto be analysed. For this the following things have to be noted-

a)Type of organizationb)Number of departmentsc)Number and quantity of such departmentsd)Employees in these work units

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


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2.Making future m an p ower forecasts- Once the factorsaffecting the future manpower forecasts are known, planningcan be done for the future manpower requirements in several

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

Exp ert Forecasts: This includes informal decisions, formal expert

surveys and Delphi technique.Trend Analysis: Manpower needs can be projected throughextrapolation (projecting past trends), indexation (using base year asbasis), and statistical analysis (central tendency measure). Work Load Analysis: It is dependent upon the nature of work load in adepartment, in a branch or in a division. Work Force Analysis: Whenever production and time period has to beanalysed, due allowances have to be made for getting net manpowerrequirements.Other m ethods: Several Mathematical models, with the aid of computers are used to forecast manpower needs, like budget andplanning analysis, regression, new venture analysis.


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PROCESSThe objectives of HR plan must be derived from organizationalobjectives. Specific requirements in terms of number andcharacteristics of employees should be derived from theorganizational objectives.

HR Demand Forecast

Demand forecasting is the process of estimating the future quantity and quality of people required. The basis of forecast must be annualbudget and long-term corporate plan, translated into activity levelsfor each function and department.

HR Su pp ly ForecastPersonnel demand analysis provides the manager with the means of

estimating the number and kind of employees that will be required.


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The next logical step for the management is to determine whether it will be able to procure the required number of personnel and the sources for such procurement. Thisinformation is provided by supply forecasting. Supply forecasting measures the number of people likely to be availablefrom within and outside an organization, after makingallowance for absenteeism, internal movements andpromotions, wastage and changes in hours, and otherconditions of work.

HR P ROGRAMMING

Once an organization s personnel and supply are forecast, thetwo must be reconciled or balanced in order that vacancies canbe filled by the right employees at the right time.


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HR P LAN I MPLEMENTATION

Implementation requires converting an HR plan into action. A series of actionprogrammes are initiated as apart of HR plan implementation.

Recruit m ent, Selection and Place m ent after the job vacancies are known,efforts must be made to identify sources and search for suitable candidates. Theselection programme should be professionally designed.Training and Develo pm ent The training and development programmeshould cover the number of trainees required and programmes necessary forexisting staff Retraining and Rede p loy m ent new skills are to be imparted to existing

staff when technology changesRetention Plan retention plan covers actions which would help reduceavoidable separations of employees.Downsizing where there is surplus employee, trimming of labour force willbe necessary


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C ONTROL AND E VALUATION

The Hr plan should include budgets, targets and standards. It shouldalso clarify responsibilities for implementation and control, and

establish reporting procedures, which will enable achievements to bemonitored against the plan.


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52477606 Manpower Planning

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