HUMAN RESOURCE PLANNING (HRP)
By: Fadilah Bt Puteh FSPPP, UiTM Shah Alam
Learning Outcomes After studying this chapter, you should be able to:
1. Identify the advantages of integrating human resources planning and strategic planning. 2. Understand how an organization’s competitive environment influences strategic planning 3. Recognize the importance of internal resource analysis 4. Describe the basic approaches to human resources planning. 5. Explain the linkages between competitive strategies and HR. 6. Understanding the requirements of strategy implementation 7. Recognize the methods for assessing and measuring the effectiveness of strategy.
What is HRP?
Process of anticipating and making provision for the movement of people into, within and out of an organization. (Snell & Bohlander) A process of systematically reviewing human resources requirements to ensure that the required number of employees with the required skills are available when needed. (Mondy & Noe) The process of deciding what positions the firm will have to fill and how to fill them. (Gary Dessler) Process of analyzing and identifying the need for availability of human resources so that the organization can meet its objectives. (Mathis & Jackson)
The importance of HRP
HR Planning Responsibilities
HR Planning Responsibilities
Staff Manager (HR Department Manager) Participates in strategic planning
Line Managers Identify supply-and-demand needs for each division/department. Review/discuss HR planning
process for entire organization. Identify HR strategies
information with HR specialist Design HR Planning data system Integrate HR plan with departmental plans. Compiles and analyzes data from managers on staffing needs Implements HR plan as approved by top management. Monitor HR plan to identify changes need. Review employee succession plans associated with HR plan.
Strategic Planning and Human Resources
Organization’s long term goals and strategies or known as strategic planning (SP) are made by focusing on how the organization will position itself in relative to competitors to ensure survival, values and growth. Firms SP must be based on the areas of strength that an organization has which is referred as core competencies. Core competency refers to an unique capability that creates high value that differentiates the organization from its competitors. In many organizations, their core competencies are human resources. Human resources certainly contribute to a competitive advantage for the organizations when they have special KSA that competitors cannot easily imitate. SP and HRM must focuses on the development of core competencies whereby different skill groups in any organization can be classified according to the degree to which they create strategic value, rare and unique to the organization. Many factors determine whether an organization will be successful; human resources are one of them. Firm use its employees to gain or keep competitive advantage against competitors. Firms competitive advantage derived from a proper HRP which ensure effective staffing decisions. Effective management decides the direction of the organization by setting up strategic human resource management (SHRM). SHRM is the pattern of human resources deployments and activities that enable an organization to achieve its strategic goals.
SHRM = SP + HRP
HRP and SP
Strategic planning at this level provide and formulate general direction of the firm.
Strategic planning at business level provides direction for each department (SBU) to achieve firm goals.
All strategic planning in each SBU is done at this level involving critical activities that determine the department success to achieve organizational goals.
Level of Organizational Strategic Planning (Mondy & Noe)
Linking HRP and SP...