Page 62 - DMGT106_MANAGING_HUMAN_ELEMENTS_AT_WORK

Managing Human Element at Work

Notes commitment of top management should be ensured. Moreover, the exercise should be
carried out within the limits of a budget. There is no use formulating plans, which cannot
be implemented due to financial constraints.

Appropriate Time Horizon
The period of an HR plan should be appropriate to the needs and circumstances of the
specific enterprise. The size and structure of the enterprise as well as the changing aspirations
of the people should be taken into consideration.

Manpower Inventory
The quantity and quality of HR should be stressed in a balanced manner. The emphasis
should be on filling future vacancies with right people rather than merely matching existing
people with existing jobs. The organization must have an up-to-date employee skills inventory
showing previous jobs held, tenure on current job, educational and training qualifications,
specific knowledge and skills, prior work performance, past and current compensation,
mobility factors. Markov Analysis (an approach to forecast the internal supply of manpower
tracking past patterns of personnel movements) may be pressed into service while preparing
the manpower inventory. Upward mobility of existing staff needs to be considered carefully.
HR Information System
An adequate database should be developed for HR to facilitate HR planning. To manage
employee skills inventories, organizations should maintain computerised HR information
systems containing data on individuals, demographics, career progression, appraisals, skills,
interests, training, target positions, performance ratings, geographic preferences, promo
ability ratings, etc.

Adequate Organization and Coordination
The HR planning function should be properly organized. A separate manpower planning
division must be created, especially in large organizations to coordinate manpower planning
exercise at various levels. The various plans for procurement, promotion and include filling
future vacancies with the right people.
3.1.8 Responsibility for HR Planning

The HR planning is the responsibility of the personnel department. The department has to
recommend relevant personnel policies in respect of HR planning, devise methods and
procedures and determine the quantitative aspects of HR planning. Geisler has enumerated
the responsibility of the personnel department with regard to HR planning in the following
words:

1. To assist, counsel and pressurize the operating management to plan and establish
objectives.
2. To collect and summarize data in total organizational terms and to ensure consistency
with long-range objectives and other elements of the total business plan.
3. To monitor and measure performance against the plan and keep the top management
informed about it.
4. To provide the research necessary for effective manpower and organizational planning.
3.1.9 Techniques of HR Demand Forecasting

In forecasting the demand for human resources, a variety of organizational factors, including
competitive strategy, technology, and productivity can influence the demand for labour. A
key component of HRP is forecasting the number and type of people needed to meet the

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