Business Management and Psychology
Module: Human Resources
Discuss how Human Resource Planning contributes to effective Human Resource Management
21st December 2011
In the following text, the process of Human Resource Planning will be defined and described in detail. We will see the importance of Human Resource Planning and the essential role it plays in ensuring successful Human Resource Management.
Human Resource Management (HRM)
Human Resource Management (HRM) has become an important management technique within many organisations around the world. However, there is yet to be a universally accepted definition of HRM.
The definition I feel describes the HRM process best is Storey 1995:5.
“Storey (1995:5) defines HRM as a distinctive approach to employment management which seeks to achieve competitive advantage through the strategic deployment of a highly committed and capable workforce, using an array of cultural, structural and personnel techniques.”
Fig1.0. The HRM Process.
Human Resource Planning (HRP)
“HRP is defined as the process used for identifying an organisations current and future Human Resources requirements, developing and implementing plans to meet these requirements and monitoring their overall effectiveness.” (Torrington et al 2002).
“HRP is defined as an important process by which an organisation ensures it has the right number and kind of people, at the right place and right time. This will ensure that these people will be capable of completing tasks effectively that will help the organisation achieve its overall strategic objectives.” (Decenzo and Robbins 2000).
Fig1.1 HR Planning Process.
The Human Resource Planning process is intended to ensure a company has sufficient resources to achieve is future strategic objectives. The following represent a small number of areas where human resource planning may benefit the overall organisational strategy: ➢ Analysis & Investigation
➢ Implementation & Control of Plans.
The planning process promotes awareness that human resource activities are equally important at every level of the organisation. Human resource planning can be a complex process. It requires a dedicated effort to create an effective programme ensuring a business can operate as efficiently and effectively as possible. HR planning involves the compilation of relevant information which allows management to make effective and informed decisions.
Human Resources is a dynamic process in an ever changing environment and therefore requires a huge element of anticipation and forecasting of future needs and requirements of an organisation. Changes that take place in the external workforce not only influence the methods of selection but also the hiring, training and motivation of staff. These factors are critical when businesses merge and activities are scaled due to financial problems which is an ongoing issue in the current economic climate .According to Liff,( 2000) “changes in the environment makes the planning process more complex and uncertain, but does not make it less important.”
HR planning has been examined closely by many academics who have written on the transition from Manpower Planning (1960) to HR Planning (1980). There have been many opinions regarding human resource planning and manpower planning. Some believe there are similarities and differences between the two approaches.
Manpower Planning places emphasis on achieving growth in production through the retention and development of resources.
“Management are concerned with the numerical element of forecasting supply, demand matching and control, in which people are a part of” (Bramham, 1989: 147).
Bramham also discusses a number of management issues regarding the...
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