Slides - Hrp- Mba (Hr)

7/28/2019 Slides - Hrp- Mba (Hr)

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HUMAN RESOURCE PLANNING

MBA I YR


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HR Planning

What is HR Planning?

Why is it done?

What is the connection between a firms strategic

orientation and HR planning? Impact ?


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Organizational Life-Cycle Stages and HRActivities

LIFE-CYCLE

STAGE STAFFING COMPENSATION

TRAINING AND

DEVELOPMENT

LABOR /

EMPLOYEE

RELATIONS

Introduction Attract best technical

and professionaltalent.

Meet or exceed labor

market rates to attractneeded talent.

Define future skill

requirements andbegin establishing

career ladders.

Set basic

employee-relations

philosophy of

organization.

Growth Recruit adequate

numbers and mix of

qualifies workers.Plan management

succession. Manage

rapid internal labor

market movements

Meet external market

but consider internal

equity effects. Establishformal compensation

structures.

Mold effective

management team

throughmanagement

development and

organizational

development.

Maintain labor

peace,

employeemotivation, and

morale.


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Organizational Life-Cycle Stagesand HR Activities (contd)

LIFE-CYCLE

STAGE STAFFING COMPENSATION

TRAINING AND

DEVELOPMENT

LABOR /

EMPLOYEE

RELATIONS

Maturity Encourage sufficient

turnover to minimize

layoffs and provide new

openings. Encourage

mobility as

reorganizations shift

jobs around.

Control

compensation costs.

Maintain flexibility and

skills of an aging

workforce.

Control labor costs

and maintain labor

peace. Improve

productivity.

Decline Plan and implement

workforce reductions

and reallocations,

downsizing and

outplacement may

occur during this stage.

Implement tighter

cost control.

Implement retraining

and career consulting

services.

Improve productivity

and achieve flexibility

in work rules.

Negotiate job

security and

employment-

adjustment policies


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FORECASTING DEMAND

Human Resource Planning Model

Considerations

Product/service demand

Technology

Financial resources

Absenteeism/turnover

Organizational growth

Management philosophy

Techniques

Trend analysis

Managerial estimates

Delphi technique

Techniques

Staffing tables

Markov analysis

Skills inventories

Management inventories

Replacement charts

Succession Planning

External Considerations

Demographic changes

Education of the workforce

Labor Mobility

Government policies

Unemployment rate

FORECASTING SUPPLY

BALANCING

SUPPLY AND

DEMAND

(Shortage)

Recruitment Full-time

Part-time

Recalls

(Surplus)

Reductions

Layoffs

Terminations

Demotions

Retirements


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Forecasting Demand for Employees

Quantitative Methods

Qualitative Methods

Forecasting Demand


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How does HR Planning occur?

1. What does the environment look like?

2. What are our future personnel needs?

(forecast demand)

a. Judgmental/Qualitative

Estimates

Rule of Thumb Delphi Technique

NGT

Brainstorming


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Qualitative Approaches to DemandForecasting

Management Forecasts

The opinions (judgments) of supervisors, department

managers, experts, or others knowledgeable about the

organizations future employment needs. Delphi Technique

An attempt to decrease the subjectivity of forecasts by

soliciting and summarizing the judgments of a preselected

group of individuals.The final forecast represents a composite group judgment.


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Forecasting Demand for Employees

Quantitative Methods

Qualitative Methods

Forecasting Demand


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Quantitative Approach: Trend Analysis

Forecasting labor demand based on an organizationalindex such as sales:

Select a business factor that best predicts human resources

needs.

Plot the business factor in relation to the number of

employees to determine the labor productivity ratio.

Compute the productivity ratio for the past five years.

Calculate human resources demand by multiplying the

business factor by the productivity ratio.

Project human resources demand out to the target year(s).


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Quantitative Methods Ratio Analysis

Trend Analysis


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Example of Trend Analysis of HR Demand

2005 2,351 14.33 164

2006 2,613 11.12 235

2007 2,935 8.34 352

2008 3,306 10.02 330

2009 3,613 11.12 325

2010 3,748 11.12 337

2011 3,880 12.52 310

2012* 4,095 12.52 327

2013* 4,283 12.52 342

2014* 4,446 12.52 355

BUSINESS

LABOR = HUMAN RESOURCESFACTOR PRODUCTIVITY DEMANDYEAR (SALES IN THOUSANDS) (SALES/EMPLOYEE) (NUMBER OF EMPLOYEES)

*Projected figures


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Forecasting Supply of Employees: InternalLabor Supply

Staffing Tables

Markov Analysis

Skill Inventories Replacement Charts

Succession Planning

Are resources availableinternally or externally

to fill those needs?


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Employee Replacement Chart forSuccession Planning


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3. Are resources availableinternally or externallyto

fill those needs?

a. Internal

Replacement charts

Promotability


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fill those needs?

a. Internal

Replacement charts

Promotability

Succession planning

Skills inventory

Transition (Markov) matrix


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Forecasting Internal Labor Supply

Staffing TablesGraphic representations of all organizational jobs, along

with the numbers of employees currently occupying those

jobs and future (monthly or yearly) employment

requirements.

Markov Analysis

A method for tracking the pattern of employee movements

through various jobs.


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Hypothetical Markov Analysis for a Retail Company


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Internal Demand Forecasting Tools

Skill InventoriesFiles of personnel education, experience, interests, skills,

etc., that allow managers to quickly match job openings

with employee backgrounds.

Replacement ChartsListings of current jobholders and persons who are

potential replacements if an opening occurs.

Succession Planning

The process of identifying, developing, and tracking key

individuals for executive positions.


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An ExecutiveReplacement

Chart


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fill those needs?

b. Externalwhat do you look at?

- try to determine availability of qualified

labor; Surplus? Shortage?


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4. What should we do?

- create plan of action to reconcile supply and deman

a. Set objectives

b. Generate alternatives


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Staffing Alternatives to Deal with EmployeeSurpluses

Source: Compliments of Dan Ward, GTE Corporation


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Staffing Alternatives to Deal with EmployeeShortages

Source: Compliments of Dan Ward, GTE Corporation

l h d l


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Alternative Scheduling Options

Alternative

Percent Using

(N = 427 companies)

The following definitions were used in this survey

for alternative scheduling strategies:

Part-time: A regular employee who works fewer than 35 hours per

week.

Flextime: A system than enables employees to vary their schedules:

Usually, the flexibility applies to starting and finishing times.

Compressed workweek: A full-week schedule (usually 40 hours) than

occurs in fewer than five days, such as four 10-hour days.Job sharing: Two or more employees split a full-time position, diving

the responsibilities, and, to some degree, the compensation.

Work-at-home: A program that enables employees to complete work at

home (or at a remote office closer to home) on a regular basis. It is often

referred to as flexplace or telecommuting.

84%

40%

23%

18%

13%


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5. How did we do?

a. Did company avoid surplus/shortage?

b. Evaluate usefulness of methods used

c. Goals v. Production Levels, etc.

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Slides - Hrp- Mba (Hr)