Human resource is the most important asset oI an organization.

The planning oI human

resources an important Iunction. It ensures adequate supply, proper quantity & quality as well
as eIIective utilization oI human resources. Human resource planning is the process by which
a management determines how an organization should move Irom its current manpower
position to its desire manpower position. Through planning a management strives to have
right number & the right kind oI people at the right place,at the right time to do things which
results in both the organisation & the individual getting long time beneIits.
OB1ECTIVES OF HUMAN RESOURCE PLANNING
ssessing manpower needs Ior Iuture & making plans Ior recruitments & selection.
ssessing skill requirement in Iuture.
etermining training & development needs oI the organisation.
nticipating surplus or shortage oI staII & avoiding unnecessary detention or
dismissal.
ontrolling wages & salary casts.
nsuring optimum use oI human resource in the organisation.
Helping the organisation to cope with the technological development &
modernization.
nsuring higher labour productivity.
nsuring career planning oI every employee oI the organisation & making succession
programmers.
The mission & vision of the organisation:- the organisation should be clear about it`s
mission & objectives. The manpower planning must be integrated with other business
policies such as proIitability, production, sales & development. ny change in the business
objectives would certainly aIIect the manpower planning. The ultimate aim oI manpower
planning should be to relate Iuture human resource to Iuture enterprise need so as to
maximize the Iuture return on investment.
SWOT analysis :- Iter organisation has Iixed the goals & objectives, the next step is the
corporate assessment. The company now begins to analyze its goals, current strategies,
external environment, strengths & weaknesses, opportunities & threat, to know whether they
can be able to achieved with the current human resource. The SWOT (Strengths, weakness,
opportunities,& threats).
Man power Forecasting :-Forecasting oI Iuture manpower requirement is the most
important part oI manpower planning. It is done on the basis oI production & sales budgets,
work loads analysis, work Iorce analysis, estimated absenteeism & turnover. The Iuture
manpower requirements should be Iorecasted quantitatively & qualitatively.
Their are several Iactors which need to be look upon beIore Iorecasting.
a) Employment Trend :-The manpower planning committee should compare &
analyze the trend oI last Iive year to Iorecast the manpower requirements.
-) Productivity:- Manpower requirements are also inIluenced by improvement in
productivity. The important three aspects are
etter utilization oI existing manpower.
Improvement in technology.
Matching oI skills with job requirement.
c ) A-senteeism:-bsenteeism is a situation when a person Iails to came Ior work
when he is scheduled to work. while estimating demand Ior manpower the prevailing
rate oI absenteeism in the organization should be considered.
d) Expansion & Growth:- xpansion & growth plans oI the organisation should be
careIully analyzed to judge their impact on manpower requirement in Iuture.
Manpower Plan:-aIter Iorecasting about the right type & number oI people required
the next phase is to plan, how the organisation can obtain these people. Programmers
& strategies need to developed Ior recruitment, selection, training, internal transIers,
promotions & appraisal so that the Iuture manpower requirement can be met.
Trends in Human Resource
Work Force Diversity
O Women participation
O #acial composition
O Portion oI ageing workIorce
O Technological change
Glo-alization/Changing Economy
Production globalization
(xample: same product Irom diIIerent countries, production oI diIIerent accessories-parts in
diIIerent countries)
International competition oI market
( xample: automobile, electronics, knowledge industries etc.)
ManuIacturing plant in diIIerent countries
( xample: Sony in Malaysia, )
Job siIting Irom one place to another
( xample: Tendency to use cheaper workIorce, e. g. garments)
High perIormance work system
Other Trends:
hanging legal provisions such as equal opportunity laws are being passed which bars
discrimination on the basis oI age, sex, race, religion, disability, national origin etc.
Health and occupational saIety rules are also aIIect H#M.
Why Human Resource Planning is important ?
Linking -usiness strategy with operational strategy:
H#P is an important process to maintain the link between business strategy and it operation.
It Iollows diIIerent procedures including the need to assess the impact oI technological
changes on new jobs and new skills
(xample: Nepal Telecom staII used to operate Wireless Set beIore, but at present complex
IT equipments must to handle.)

Minimizing the risk of loosing:
y Iorecasting the needs oI technical and other human resources it can minimize the Iuture
risk oI loosing. elay in recognizing human resources might be costly and expensive in the
Iuture.
(xample: Government run banks are compelled to upgrade own staII by providing latest
skills and knowledge to them to compete with other Iast growing banking organizations.)
HRP needs for HRD :
H#P is important Ior planning the investment in the development and utilization oI human
resources. ny investment in the H# activities is considered an investment Ior the Iuture
growth and development oI the organization.
(xample: When curriculum has to be changed, required knowledge and skills oI
teachers/instructors should be developed prior to implement the new curriculum. So,
educational institutions have to be aware oI that)
HRP is pro-active, not reactive :
For solving any sort oI Iuture H# problem H#P is pro-active rather than re-active.
(xample: H#P might be helpIul to accommodate government legislation regarding
inclusion, qualiIication, possible Iuture demand oI trade unions)
HRP is not in isolation :
H#P recognizes that there must be an explicit link between planning Iunction oI human
resources and other organizational Iunctions, such as strategic planning and market
Iorecasting.
HRP is promotes awareness :
H#P promotes the awareness that human resource activities are equally important at every
level oI the organization. oth lone and staII managers have to be involved in H# planning
activities.
Assessing Human Resource Strategy
How strategy aIIects?
The organization`s objectives and strategies Ior the Iuture determine Iuture need oI human
resources. It means number and mix oI human resources are reaction to the overall
organizational strategy.
Implications of future demands
Projection oI Iuture human resource needs and Iuture direction oI the organization is done
basing upon the assessment oI its current human resources situation.
So, year by year analysis Ior every job level and type is necessary.
Organization usually needs heterogeneous mix oI people but it is not easy task to maintain all
type oI people in the organization. II accurate estimates are to be made oI Iuture demand in
both qualitative and quantitative terms, a lot oI inIormation is required.
Implications of future supply
Increase and decrease oI Iuture human resources assessed by estimating changes in internal
supply looking at diIIerent Iactors oI changes.
So, increasing and decreasing oI human resources is normal.
Increasing supply
Increment in human resource supply can be done by combination oI Iollowing sources:
New hiring : easily predictable with high accuracy
TransIer oI personnel: aIIects in other unit and so diIIicult.
Individuals returning Irom long leaves: Such as maternity, military service. These are easy to
estimate as they are Ior Iixed period. ut diIIiculties arises when the period exceeds not Irom
the cause oI the organization. In this situation the organization can not Iire the employee as
per legislation.
Decreasing supply
ecrease in human resource supply can be done by combination oI Iollowing sources:
#etirements : easily predictable with high accuracy but very diIIicult to Iorecast voluntary
quits, prolonged illness and deaths.
ismissals: It can be Iorecast within reasonable limits oI accuracy.
Sabbaticals: easy to predict as it is given to the employees in Irequent intervals, especially to
the universities teachers usually with Iull salary paying.

Critical Review
Puman resource plannlng ls an lmporLanL parL of any organlzaLlon Puman resource plannlng ls Lhe
process of forecasLlng Lhe organlzaLlon's fuLure employmenL needs and Lhen developlng acLlon
sLafflng plans and programs for fulfllllng Lhese needs ln ways LhaL are ln allgnmenL wlLh sLraLegy
(Peneman 2009) Puman resource plannlng and sLafflng deals wlLh Lhe ob[ecLlves and goals of Lhe
organlzaLlon whlch lncludes hlrlng flrlng Lralnlng compensaLlon and beneflLs as well as many oLher
lssues All of Lhese areas are lmporLanL buL one of Lhe mosL crlLlcal ls sLafflng and how Lhe
relaLlonshlp Lo human resource plannlng ls connecLed Lo Lhe employmenL process ueLermlnlng Lhe
Lypes of human resources needed ls dlrecLly relaLed Lo Lhe employmenL process
lorecasLlng for human resources Lrles Lo gauge Lhe demand and supply for dlfferenL Lypes of
human resources and lL ls also used Lo predlcL whaL areas wlLhln Lhe company wlll have a labor
shorLage or a labor surplus 1here are Lhree ma[or sLeps used Lo forecasL Lhe needs of Lhe Puman
8esource ueparLmenLs are forecasLlng Lhe demand for labor deLermlnlng labor supply and
deLermlnlng labor surpluses and shorLages
lorecasLlng Lhe demand for labor can be deLermlned by uslng a Lrend analysls A Lrend analysls ls
consLrucLlng and applylng sLaLlsLlcal models LhaL predlcL labor demands for Lhe nexL year by uslng
sLaLlsLlcs from Lhe year before AnoLher way Lo forecasL for Lhe demand of labor ls by uslng leadlng
lndlcaLors LhaL measures Lhe need for fuLure labor demands
Cnce Lhe demand for labor has been meL deLermlnlng labor supply ls Lhe nexL sLep ln Lhe process
1he flrsL sLep ln deLermlnlng labor supply ls Lo deLermlne who ls groomed and ready for a promoLlon
rlghL now 1hls can be done by uslng Lhe manager's [udgmenL lndlvldual managers can use Lhelr
[udgmenL Lo forecasL Lhe number of avallable openlngs LhaL needs Lo be fllled now and ln Lhe fuLure
romoLlng from wlLhln noL only helps wlLh morale buL lL also frees up openlngs ln lower levels of Lhe
company lnsLalllng an P8lS (Puman 8esource lnformaLlon SysLems) wlll also help ldenLlfy spoLs LhaL
have become vacanL AnoLher meLhod ls Lhe Markov Analysls whlch ls used Lo predlcL avallable
openlng by baslng Lhe predlcLlon on hlsLorlcal paLLerns of [ob sLablllLy and employee movemenL
uslng Lhe Markov analysls wlll help answer Lwo quesLlons Where dld people ln each caLegory go
and come from?" 1hls charL llsL Lhe [ob caLegorles LhaL are belng held ln one perlod of Llme and
shows whaL proporLlon of employees ln boLh caLegorles ln a fuLure perlod ersonal or yleld raLlos
can also be used ersonal or yleld raLlos wlll help managers declde how much work and efforL wlll
go lnLo recrulLlng a new employee
1he flnal sLep ln Lhe forecasLlng process ls deLermlnlng labor surplus or shorLage lL can be
challenglng Lask Lo deLermlne when shorLages and surpluses ln labor wlll occur however an
organlzaLlon should do so ln order Lo plan on how Lo address Lhe problem when lL occurs lor every
[ob caLegory Lhe human resource plan musL address Lhese lssues ln order for Lhe demand Lo be meL
SLaff plannlng ls done Lo deal wlLh shorLages and surpluses ln Lhe work force 1he sLafflng plannlng
process ls done ln four sLages of acLlon plannlng process When gaps beLween requlremenLs and
avallablllLles happen sLafflng ob[ecLlves are made Lo deal wlLh Lhe problem aL hand
1he ma[or legal lssue ls LhaL of afflrmaLlve acLlon plans ulverslLy programs are a naLural exLenslon
of afflrmaLlve acLlon plans 1he plan ls Lo ready company members for a work force LhaL ls dlverse
and Lo develop human resource programs LhaL wlll successfully acqulre manage and reLaln a work
force LhaL ls dlverse AnoLher lssue ls coverage of Lemporary employees and Lhe companles LhaL
employ Lhem under Lhe equal employmenL opporLunlLy acL
Puman resource plannlng and sLafflng ls an lmporLanL elemenL ln any Puman 8esource
ueparLmenL WlLhouL good plannlng employers could flnd Lhemselves ln a predlcamenL where Lhere
are Loo many employees or noL enough lmplemenLlng sLafflng plans wlll help any organlzaLlon be
ready for whaLever ls Lo come wheLher lL ls Lomorrow or flve years from now As wlLh any plan
revlslon should be done as needed Lo ensure Lhe plan ls Lhe rlghL flL for LhaL parLlcular Llme



8eferences
Peneman C P !udge A 1 SLafflng CrganlzaLlons (2009) new ?ork McCrawPlll 8eLrleved
!uly 2011