HRM Unit 2

HUMAN RESOURCE
MANAGEMENT
HUMAN RESOURCE
PLANNING
CHAPTER NO. 2
HUMAN RESOURCE PLANNING
The process of analyzing and identifying the need for and

availability of Human Resources so that the Organization
can meet its objectives.
Or
The Process of determining an Organization’s human

resources needs.
PURPOSE OF HR PLANNING
To maximize the use of Human Resources and

1 ensure their ongoing development.
To secure the Production Capacity required to

2 support Organizational
objectives.
To synchronize human resources activities

3 with the organizational objectives.
4 To increase the organization’s productivity.

HR PLANNING PROCESS
Organizational
Objectives &
Strategies
Scanning the Analyze Internal

External inventory of HR
Environment Capabilities
Forecasting
Organizational Survey of People

Need for People Available
HR Strategies &
Plans
a. LINKING ORGANIZATIONAL STRATEGY
TO THE EMPLOYMENT PLANNING
Determining what business
Mission in the organization will be
in.
Objective and Goal Setting goals and Objectives
Determining how goals and

Strategy
objectives will be attained
Determining what jobs need to

Structure
be done and by whom
Matching skills, knowledge, and

People
abilities to required jobs
HUMAN RESOUCE
PLANNING PROCESS
b. ENVIRONMENTAL SCANNING:
Process of studying the environment of the organization to
pinpoint opportunities and threats.
HUMAN RESOUCE
PLANNING PROCESS Cont . . .
c. Internal Assessment of the Organizational Workforce :
Analyzing the jobs that will need to be done and the skills of people
currently available to do them is the next part of HR planning.
i. Auditing Jobs and

Skills
C. Internal Assessment
of the Organizational
Workforce
ii. Organizational
Capabilities Inventory
HUMAN RESOUCE
i. Auditing Jobs and Skills :

Following questions are addressed during internal assessment
 What jobs exist now?
 How many individuals are performing each job?
 How essential is each job?
 What jobs will be needed in future?

HUMAN RESOUCE
ii. Organizational Capabilities Inventory:

By Utilizing different databases in an HRIS ,it is possible to identify the
employees SKA’S. planners can use these inventories to determine long
term needs for staffing and HR development.
 Human Resource Information Systems (HRIS):
Database systems containing the records and qualifications of each

employee that can be accessed to facilitate employment planning
decisions.
HUMAN RESOUCE
Uses of an HR
Information System
(HRIS)
HUMAN RESOURCE
d. Forecasting :
Forecasting is the use of Information from the Past and Present to
identify expected future conditions.
FORECASTING
i. Forecasting ii. Forecasting

Demand for Supply for Human
Human Resources Resources
HUMAN RESOURCE
i. Forecasting Demand for Human Resources:
1. Organization-wide estimate for total demand.
2. Unit breakdown for specific skill needs by number and type of
employee.
 Develop decision rules (“fill rates”) for positions to be filled
internally and externally.
 Develop additional decision rules for positions impacted by the
chain effects of internal promotions and transfers.
HUMAN RESOURCE
ii. Forecasting Supply for

Human Resources:
1. Forecasting
External HR Supply
2. Forecasting Internal
HR Supply
HUMAN RESOURCE
1. Forecasting External HR Supply

The Following factors affect the External HR Supply.
 Individuals Demographics
 Technological Developments and Shifts
 Actions of Competing Employers
 Government Regulations and Pressures
HUMAN RESOURCE
2. Forecasting Internal HR Supply:
a. Through Promotions, Lateral Moves, and Terminations.

b. Succession Analysis:
A method used to forecast the supply of people for certain
positions
 Replacement Charts (Succession Plans)
 Transition Matrix (Markov Matrix)
HUMAN RESOURCE
HUMAN RESOURCE
Transition Matrix (Markov Matrix)
Line
Job Title Exit Manager Supervisor
Worker
Manager 0.15 0.85 0.00 0.00
Supervisor 0.10 0.15 0.70 0.05
Line
0.20 0.00 0.15 0.65
Worker
HUMAN RESOURCE
e. Managing Human Resource Surplus or Shortage :
i. WORKFORCE REALIGNMENT:
“Downsizing”, “Rightsizing”, and “Reduction in Force” (RIF) all
mean reducing the number of employees in an organization.
Economic Weak Product demand, loss of Market Share to

Competitors.
Structural Technological Change, Mergers and Acquisitions.

HUMAN RESOURCE
f. HR Strategies and Plan :
i. The means used to anticipate and manage the supply of and

demand for human resources.
 Provide overall direction for the way in which HR activities
will be developed and managed.
Overall Human Resources

HR Activities
Strategic Plan Strategic Plan
f. Employee Requisition Form :
 Marie Stopes Society

 Wateen Telecom
 Fauz
EMPLOYEE
REQUISITION
FORM
EMPLOYEE
REQUISITION
FORM
EMPLOYEE
REQUISITION
FORM
HR MANAGEMENT AND JOBS
Approaches
to
Understand
the Jobs
1. Job Analysis:
A Systematic way of gathering and analyzing information about the

Content, Context, and the Human Requirements of jobs.
HR MANAGEMENT AND JOBS Cont . . .
The Phases of Job Analysis:

Methods & Uses
of Job Analysis:
2. Job Design:
Organizing tasks, duties, and responsibilities into a productive unit of

work.
3. Workflow Analysis:
A study of the way work (inputs, activities, and outputs) moves through
an organization.
INPUTS ACTIVITIES OUTPUTS
EVALUATION
4. Job Descriptions and Job Specifications:
Job Description
Identification of the tasks, Job Specification

duties, and responsibilities
of a job The knowledge, skills, and
abilities (KSAs) an
individual needs to
perform a job satisfactorily.
Job Description Components:
 Job Title
 Knowledge, Skills, and
 Reporting Relationship
Abilities
Identification  Department Job Specifications  Education and Experience
 Location
 Physical Requirements
 Date of Analysis
Describes the job’s

General distinguishing
responsibilities and Disclaimer Of Implied Contract
Summary components
 Task
Essential Functions Signature of
 Duties -------------------------
and Duties Approvals
 Responsibilities
Sample of job Description and

Specification:
Job Analysis in a
“Jobless” World
JOB:
Generally defined as “A set of closely related Activities carried out for
Pay.”
From Specialized to Enlarged Jobs:

JOB
ENRICHMENT
Redesigning jobs in a way that JOB
increases the opportunities for the ENLARGEMENT
worker to experience feelings of
responsibility, achievement, growth, Assigning workers additional same level
and recognition. activities, thus increasing the number of
activities they perform.
JOB
ROTATION
Systematically moving workers from one

job to another to enhance work team
performance.
Why Managers are De Jobbing their Companies:
DE JOBBING:
 Broadening the responsibilities of the company’s jobs.
 Encouraging Employee Initiative.
Why Managers are De Jobbing their Companies:
INTERNAL FACTORS EXTERNAL FACTORS

LEADING TO DE LEADING TO DE
JOBBING JOBBING
 Rapid Product and

 Flatter Technological Change
Organizations  Global Competition
 Work Teams  Deregulation,
 Boundary Less  Political Instability,
Organizations  Demographic
 Reengineering Changes
 Rise of a Service
Economy

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HUMAN RESOURCE

The process of analyzing and identifying the need for and

The Process of determining an Organization’s human

To maximize the use of Human Resources and

To secure the Production Capacity required to

To synchronize human resources activities

4 To increase the organization’s productivity.

Scanning the Analyze Internal

Organizational Survey of People

Determining what business

Mission in the organization will be

Objective and Goal Setting goals and Objectives

Determining how goals and

Determining what jobs need to

Matching skills, knowledge, and

i. Auditing Jobs and

i. Auditing Jobs and Skills :

 What jobs exist now?

 How many individuals are performing each job?

 How essential is each job?

 What jobs will be needed in future?

ii. Organizational Capabilities Inventory:

 Human Resource Information Systems (HRIS):

Database systems containing the records and qualifications of each

i. Forecasting ii. Forecasting

ii. Forecasting Supply for

1. Forecasting External HR Supply

a. Through Promotions, Lateral Moves, and Terminations.

Transition Matrix (Markov Matrix)

Manager 0.15 0.85 0.00 0.00

Supervisor 0.10 0.15 0.70 0.05

e. Managing Human Resource Surplus or Shortage :

Economic Weak Product demand, loss of Market Share to

Structural Technological Change, Mergers and Acquisitions.

i. The means used to anticipate and manage the supply of and

Overall Human Resources

 Marie Stopes Society

A Systematic way of gathering and analyzing information about the

The Phases of Job Analysis:

Organizing tasks, duties, and responsibilities into a productive unit of

INPUTS ACTIVITIES OUTPUTS

4. Job Descriptions and Job Specifications:

Identification of the tasks, Job Specification

Job Description Components:

Describes the job’s

Sample of job Description and

From Specialized to Enlarged Jobs:

Systematically moving workers from one

Why Managers are De Jobbing their Companies:

Why Managers are De Jobbing their Companies:

INTERNAL FACTORS EXTERNAL FACTORS

 Rapid Product and

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