Human resources decisions at aggregate level are strategic decisions. The size of human resource depends on the technology and capital employed. Human resource management scholars feel that HR figures in strategic planning only when layoffs are required. They advocate that HR planning should be integral part of strategic planning and competitive strategy planning. The most effective approach to HR planning and staffing is to assess HR needs with a focus on meeting current customer requirements and projected expansion in the customer base. All associates of an organization have to be involved in these two activities: meeting current customer requirements and expanding customer base.
Steps in Human Resource Planning (HRP)
- Environmental scanning
- Labor demand forecast
- Labor supply forecast
- Gap analysis
- Action programming
- Control and evaluation
1. Environmental scanning by HR department
2. Labor analysis
Labor demand analysis is to be made company level as well as industry level.
3. Labor Supply analysis
Labor supply analysis projects resource availability.
4. Gap Analysis
This analysis identies potential shortages or surpluses.
5. Action programming
Actions to be taken by HR department to structure the human resources to support the strategy.
This is done at periodical intervals to find out the actual results in comparison to anticipated results. This is basically the control function. The aim is to take tactical actions to still deliver the priority results of the strategic plan.
The Recruitment Function
The major responsibility for the recruitment process rests with the HRM department. But most of the tasks are shared with the line managers.
The steps and concepts are relevant for recruitment.
1. Job analysis 2. Time lapse data 3. Yield ratio
Both internal recruitment and external recruitment alternatives are available.
External recruitment sources
- Un-solicited applications/walk-ins
- Employment agencies
- Search firms
- Campus visits
- Internet based recruitment options
Understanding the Recruits
Chapter Learning Objectives
After reading this chapter, you should be able to
Understand the importance of HRP to the organization.
Identify the six steps in the HRP process.
Explain the methods by which an organization can develop forecasts of anticipated personnel demand and understand labor markets.
Understand how an organization can stay apprised of and evaluate its personnel supply and, if necessary, implement a downsizing program.
Determine which recruitment methods are best for given situations, including the role of the Internet.
Understand the pros and cons of internal versus external recruiting.
Know the most important features of recruitment advertising.
Know the legal implications of recruitment and planning.
Bernardin, H. John, Human Resource Management, 4th Edition, Mc-Graw Hill, 2007.
Updated on 3 September 2019, 2 May 2019