Human Resource Planning - Essay Example

? Human Resource Planning (HRP) Introduction A comprehensive definition of Human Resource Planning provided on investopedia.com explains it as“The ongoing process of systematic planning to achieve optimum use of an organization's most valuable asset - its human resources”. Human Resource Planning is a very important function of an organization, as it helps in developing a relationship between the employees of an organization and their tasks such that each employee contributes optimally to the organization without being either over-burdened or under challenged (Bohlander &Snell 2009). Based on the needs of the employees and the organization, a Human Resource Manager may be required to develop one or more of a number of different types on Human resources plans. Common ones include Succession plans that help evaluate the manner in which individuals will be employed to positions that open up at higher levels in the hierarchy and the requirements for promotions (Tapomoy, 2009). Another important and common plan is developing individual employee’s Career plans, particularly at the managerial level. These plans help in identifying the skills and abilities of individuals; and involve providing them with the assistance that they require to find a better fit with the organization’s culture and climate so that they can play more valuable and demanding roles within the organization (Tapomoy, 2009). Contingency plans are made when future requirements seem unclear; but indicative of changes; so that the human resources of an organization may need an overhaul either through development, recruitment or downsizing (Tapomoy, 2009). Competency plans on the other hand, are similar to career plans; but with a focus on skill development as compared to hierarchical growth. Purpose of HRP Human Resource Planning serves a number of purposes. It helps in anticipating the changes in the staffing needs of an organization. Thus, it becomes possible for the organization to anticipate and respond to surplus staff or shortage of staff in a way that ensures that at no point in time are the staff over burdened by the tasks that need to complete and thus at risk for reduced quality of functioning. At the same time, it ensures that each staff member is adequately challenged so that there is no underutilization of the existing resources (Rees & Porter, 2008). This ensures optimal expenditure on personnel; and helps in the development of a business plan with less wastage. Human Resource Planning is also concerned with the development of individual employees so that they continue to grow and contribute to the organization in multiple ways (Reilly, 1996). Thus, it involves the training and development of employees so that the employees gain more and improved skill sets and the organization grows as these skills are used by the employees (Reilly, 1996). Another important activity that does into Human Resource Planning is the investigation of the effect of policy changes on the functioning and productivity of staff as well as on staff morale (Bohlander &Snell 2009). When a manager attempts to develop a human resources plan, it is important to consider three components of this plan with equal vigor. Forecasting labor demand: It is important that the Human Resource Manager is able to predict with some accuracy the staffing requirements that will be required at new and existing locations at different points in the future (Mathis & Jackson, 2008) so that recruitment and downsizing plans can be developed to respond to these needs well in advance(Rees & Porter, 2008). This is particularly important for downsizing, as providing downsized staff with adequate time and options to cope with the changes is important from a humanistic perspective (Reilly, 1996). Analyzing present labor supply: Not only is it important to evaluate future needs, but also to evaluate the value of present staff (Mathis & Jackson, 2008). A Human Resource Manager needs to ensure that all staff is functioning optimally; and that these individuals are helped to develop the skills and abilities that will help them contribute to the organization further (Reilly, 1996). Balancing projected labor demand and supply: It is not enough to predict the staffing requirements at a future point in time; but it is also important to recruit individuals who can fill those roles as required (Mathis & Jackson, 2008). This involves developing profiles that need to be filled and finding the right candidates for the positions. Steps in HRP There are a number of steps that a Human Resource Manager is required to take in order to develop a successful Human resources Plan. He has to start with gathering and analyzing data so that he is able to evaluate organizational needs (Mathis & Jackson, 2008). The next step involves using the acquired knowledge to establish objectives to be met which can be translated in to policies. Once the objectives are clear, a plan should be developed to meet these objectives; and finally the success or failure of the plans developed should evaluated and the data should be fed back into the planning process (Mathis & Jackson, 2008). Gathering and analyzing data: The Human Resource Manager is required to gather data from previous trends and estimations of future needs as well as data about market conditions and expected changes in the market (Bohlander &Snell 2009). This data will help the manager in understanding the market conditions and the organization’s status with respect to responding to these said conditions. Establishing Human Resource objectives and policies: On the basis of the market conditions as well as the internal situation of the organization; it is important to choose objectives that are high on the priority list of requirements and to develop policies that address the needs of the organization (Bohlander &Snell 2009). These objectives and policies will help in providing a framework within which the manager can plan ways of meeting the organization’s needs. Developing and implementing action plans: Simply selecting objectives in not enough. A manager needs to develop a plan of action that will help the organization meet the set objectives with the help of the policies developed. The chosen action plans should be such that the organization spends the least amount of resources to gain the maximum benefit (Bohlander &Snell 2009). Evaluating the effects of these plans: Chosen action plans may or may not meet the targets that were set due to external or internal factors that were not anticipated adequately. Sometimes it is not possible to predict all aspects of a situation. The data about failure or success of action plans to meet set objectives can provide valuable information that may be used to evaluate and modify the plans (Bohlander &Snell 2009). Factors Affecting HRP Human Resource plans affect not only the organization in the abstract, but they affect individual employees in their day-to-day lives. Given the complex nature of Human Resource Planning, as well as its sensitive nature; a manager should be attentive of a number of factors (Rees & Porter, 2008). Some of the important factors pertain to the changes in organizational, business and economic conditions as well as changes in the technological and legal spheres(Rees & Porter, 2008). It is also important to consider the organizational aims and internal conditions like culture and climate (Rees & Porter, 2008). A few factors that have become very important in today’s organizations are: Demographic changes: Managing an organization in a fast changing world involves keeping tabs of the market and the changes experienced by the market demographic. As generations grow, their needs change and newer generations do not necessarily have the same needs as exhibited by the previous generations (Rees & Porter, 2008). A simple example would be the kind of breakfast consumed by school going children. Cereals replaced home cooked breakfasts where the child and the parents had less time; and a number of varieties in breakfast cereals rose out of a demand for a healthy and energizing breakfast. In order for an organization developing breakfast foods; it is important that they maintain a watch on the needs of the demographic they cater to. Nutritionists and personnel that can develop fast yet tasty foods are both needed to cater to this demographic. It is also important to decide when to recruit staff that can help enhance the variety of products and when to keep the emphasis on production. Culture of value: Another important factor is to look within the organization and verify that employees feel valued and cared for (Bohlander &Snell 2009). Developing communication between departments helps resolve conflicts and concerns and helping personnel address their challenges by providing them with tools to do so helps develop a positive work culture(Rees & Porter, 2008). To emphasize, it is possible to demonstrate with the example of a middle level manager in a hardware manufacture industry. It is possible that a manager who recently was promoted suddenly feels ill-equipped to carry out the tasks assigned to him, or feels that he is better at a different kind of work. It is important to identify such individual and address their concerns. This manager may require training in certain activities; or may wish to move to a different department. It is important to help this manager develop the skills that will help him work better. Thus, the manager feels valued and is also able to function far better. Technological changes: The rapidly changing world of technology provides a number of opportunities that were previously unavailable to organizations; and this should be exploited by the organization (Rees & Porter, 2008). To tie this in with the previous factor; a Human Resource Manager may be able to help employees enroll for educational and training courses online, so that it becomes possible for the organization to retain its skilled employees while simultaneously helping them develop skills that will help them work better(Reilly, 1996). This use of a new method of learning is helpful to both the organization and the employee. References Bohlander, G. & Snell, S. (2009). Managing Human Resources (15th ed.). Belmont: Cengage Learning. Human Resource Planning. (2012). www.Investopedia.com. Retrieved from http://www.investopedia.com/terms/h/human-resource-planning.asp#axzz1pmMMm077 Mathis, R.L. & Jackson, J.H. (2008). Human Resource Management (12th ed.). Belmont: Cengage Learning. Reilly, P. (1996). Human Resource Planning: an Introduction, Report 312. Institute for Employment Studies. ISBN: 978-1-85184-238-4.  Tapomoy, D. (2009). Managing Human Resource And Industrial Relations. New Delhi: Excel Books India. Rees, W.D. & Porter, C. (2008). The skills of management (6th ed.). Belmont: Cengage Learning. Read More