Importance of human resource planning

By Stephen Jenkins,2014-11-21 11:23
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Importance of human resource planning

    HRM210 关冰洁

    Human Resource Management 1803070626

    Importance of human resource planning


    Human resources are the people that work for an organisation, and Human Resource Management is concerned with how these people are managed. we rely heavily on human knowledge for success. People are the main resource that voluntary and non-profit organizations have for delivering services. Human resource planning is the process of systematically reviewing human resource requirements to ensure that the required number of peole, with the required knowledge, skills and abilities, are available when needed. Thus, planning how your organization will meet its current and future HR needs and how people will be supported and nurtured within your organization is critical for success. Recruitment is the process of seeking and attracting a pool of qualified applicants from which candidates for job vacancies can be selected. Selection is to determine the right people for the right jobs. As Mr. P. M. Sinha, Chairman Pepsi tells “we

    hire managers with a winners mind set and a passion for create dramatic change”.

    Also concludes Mr. Swaroop, Ed (HR) Pespi Food “We hire people who are capable of growing the business rather than just growing with the business”. Thus, HR planning plays an important role in the management activitiesrecruitment

    and selection

Purpose of HR planning

    The core of human resource planning is on labour demand and labour supply. HR planning involves the entry of people into the organisation, the development of people skills and the exit of people from the organisation. So the purpose of HR planning is to ensure that a predetermined number of persons with the appropriate knowledge, skills and abilities are available at a specified time in the future. It can be interpreted from four points:


    HRM210 关冰洁

    Human Resource Management 1803070626

    1. manpower development planning

    Manpower development including human prediction, manpower supplement and training of personnel, three inseparable parts. HR planing analysis the present situation of human resource to know the personnel dynamic;On the other hand, it predicts future needs of manpower to get overal consideration of the decrease and increase of the enterprise’s manpower to set plans for personnel supplemented and

    training. Therefore, the HR planning is the foundation of manpower development.

    2. promote reasonable use of human resource

    Only a minority enterprises have the ideal configuration of human resource. In quite a number of enterprises, some people work overload while some others work too little, Perhaps some people's ability is limited, while others have spare ability which isn’t made full use of. HR planning can improve the imbalance

    condition of human distribution and seek rationalization to make human resource satisfy the development needs of organization.

    3. coordinate with the needs of the development of the organization The characteristics of any organization are continuously pursue survival and development. And the main factor for survival and development is the gain and use of human resource. That is, how adequately, timely and suitably to obtain a variety of human resources the organisation needs. Because the modern science and technology is developing rapidly and social environment changes quickly, how to plan human resource to aim at these chaneable factors and coordinate with the organizational development goal is very important.

    4. reduce the employing cost

    There are a many reasons affecting the number of employees in the enterprises, such as businesstechnology innovation, machinery and equipment,

    organization work system, personnel ability, etc. Human resources planning can analysis the structure of the existing human resource, and find the bottleneck that affects the effect use of human resources to fully arrange human resource efficiency and reduce the proportion of HR expense in the total cost.


    HRM210 关冰洁

    Human Resource Management 1803070626

    HR planning and Recruitment & selection

    Human Resources planning is the foundation of any action in Human Resources. It is a strategic process that forecasts the demand for jobs in the organization and anticipates the supply of workers. HR planning enables the hiring managers and recruiters to obtain the fitness between a candidate and the job at hand. It ensures that there are adequate human resources to fill in the slot of the employees who leave the organization.

    There are a number of possible reasons as to why a business may have to recruit more employees: Business is expanding; Existing employees leaving to work with competitors or other local employers ; Existing employees leaving due to factors such as retirement, sick leave, maternity leave ;Business needs employees with new skills ;Business is relocating. In each of these circumstances a business will normally carry out Workforce Planning to find out how many workers and what types of workers are required. The workforce plan will establish what vacancies exist and managers then need to draw up ajob description and job specification for each post.

     Recruitment refers to the process of screening, and selecting qualified people for a job at an organization or firm, or for a vacancy in a volunteer-based organization or community group. While generalist managers or administrators can undertake some components of the recruitment process, mid- and large-size organizations and companies often retain professional recruiters or outsource some of the process to recruitment agencies. External recruitment is the process of attracting and selecting employees from outside the organization Selecting and retaining great staff is key for business success. Talented people who continue to develop skills and increase their value to your organization and to your customers are your most important resource. An organization should make a human resource planning to ensure successful recruitment and selection.


    HRM210 关冰洁

    Human Resource Management 1803070626

    Strategic business objectives

    Human resource planning

    Job analysis

    Job specification Job description

    Recruitment and selection

    As the graph shows above, recruitment and selection are conducted on the basis of human resource planning, which reflects the strategic objectives of the business. Major characteristic of Strategic Recruitment is that the requirement is not generated only leaving of an employee or the conceptual need of the functional head. The need is generated by the Business need. Thus, even in case of departure of an employee, requirement of the fulfillment of the position is decided by the business need, and the cost benefit equation of filling up of the position. To ensure that we are getting the best out of the recruitment, we normally keep our recruitment projected on the basis of the manpower plan and HR Budget. To source an ideal candidate we keep the ratings of different sources in accordance with their strength and past performances to send possible requirements for the most effective results.

    Before going for the selection, each selector is briefed about the procedure & process of the selection for each position and rating system of the same. As a result, selection also needs to follow the HR plan to ensure efficiency and success.


    HRM210 关冰洁

    Human Resource Management 1803070626


    According to Leon C Megginson human resources planning is an integrated approach to performing the planning aspects of the personnel function in order to have a sufficient supply of adequately developed and motivated people to perform the duties and tasks required to meet organizational objectives and satisfy the individual needs and goals of organizational member. More and more organizations recognize that their people are a source of competitive advantage. Finding the best possible people who can fit within your culture and contribute within your organization is a challenge and an opportunity. So human resource planning plays an important role when carrying out recruitment and selection activities within an organization. But an organization should consider the potential problems to make sure it reaches development goals.


    C. Northcote Parkinson (2007). Parkinson’s Law and Other Studies in

    Administration, China Renmin University Press.

    stStone, R, 2006, Managing Human Resources, 1 edit, Australia.

    Yao Li Nan (2007). Human Director Wrote Zeus of The 12 Letters, 1st edit,

    China Youth Publishing, Ltd.

    Unknown, Human Resource Planning, viewed on


    Dasmanash, 2005, strategic recuitment, India, viewed on 2009-5-8,

    Unknown, recuitment and selection, viewed on 2009-5-8,


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