Page 56 - DMGT106_MANAGING_HUMAN_ELEMENTS_AT_WORK

Managing Human Element at Work

Notes According to Wendell French human resource planning may be defined “as the process of
assessing the organization’s human resources needs in the light of organizational goals and
making plans to ensure that a competent, stable work force is employed.”
From the above definitions we can get some general characteristics of human resource
planning. They are:
1. Human resource plan must incorporate the human resource needs in the light of
organizational goals.
2. Human resource plan must be directed towards well-defined objectives.
3. Human resource plan must ensure that it has the right number of people and the right
kind of people at the right time doing work for which they are economically most
useful.
4. Human resource planning should pave the way for an effective motivational process.

5. A human resource plan should take into account the principle of periodical
reconsideration of new developments and extending the plan to cover the changes
during the given long period.
6. Adequate flexibility must be maintained in human resource planning to suit the
changing needs of the organization.

The HR manager must follow a systematic process for HR planning as given below:

Figure 3.1: Flow Chart Depicting ‘Human Resource Planning Model’

FORECASTING DEMAND

Considerations
Product/Service demand
Techniques
Technology BALANCING SUPPLY
Trend analysis AND DEMAND
Organizational growth
Estimation
Financial resources
Delphi
Management philosophy technique RECRUIT–
Absenteeism (For shortages).
Employees can be
Labour turnover
recruited for full time
vacancies, part time
basis or on contract
basis. We may also
FORECASTING SUPPLY recall retrenched
workers
External Consideration
Techniques Demographic changes REDUCTION OF
SURPLUS STAFF–
Marko analysis Labour mobility Organizations layoff,
Replacement charts Policies of government terminate or give
Succession Education level of
workers golden handshake to
surplus work force

3.1.1 Objectives of HR Planning

From the Figure 3.1, it is clear that the failure in HR planning will be a limiting factor in
achieving the objectives of the organization. If the number of persons in an organization is

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