3 HR Planning What is HR Planning? Why is it rarely done? What is the connection between a firm’s strategic orientation and HR planning?
4 HR PLANNINGHuman Resource Planning : Human resource planning is the term used to describe how companies ensure that their staff are the right staff to do the jobs. Sub topics include planning for staff retention, planning for candidate search, training and skills analysis and much more.
5 HR PLANNING Human resource planning A process which anticipates and maps out the consequences of business strategy on an organization's human resources. This is reflected in planning of skill and competence needs as well as total headcounts.
6 HR PLANNINGSuatu proses review yang sistematis atas kebutuhan-kebutuhan SDM, untuk meyakini bahwa jumlah dan keahlian yang harus dimiliki, tersedia pada saat diperlukan.Proses analisis dan identifikasi kebutuhan dan ketersediaan SDM, sehingga organisasi dapat mencapai obyektifnya.
7 HR PLANNINGThe manpower planning approach which addresses questions such as:How many staff do we have/need?How are they distributed?What is the age profile?How many will leave in each of the next fiveyears?How many will be required in one, five, ten
8 Organizational Life-Cycle Stages and HR Activities STAFFINGCOMPENSATIONTRAINING AND DEVELOPMENTLABOR / EMPLOYEE RELATIONSIntroductionAttract best technical and professional talent.Meet or exceed labor market rates to attract needed talent.Define future skill requirements and begin establishing career ladders.Set basic employee-relations philosophy of organization.GrowthRecruit adequate numbers and mix of qualifies workers. Plan management succession. Mange rapid internal labor market movementsMeet external market but consider internal equity effects. Establish formal compensation structures.Mold effective management team through management development and organizational development.Maintain labor peace, employee motivation, and morale.
10 Organizational Life-Cycle Stages and HR Activities (cont’d) STAFFINGCOMPENSATIONTRAINING AND DEVELOPMENTLABOR / EMPLOYEE RELATIONSMaturityEncourage sufficient turnover to minimize layoffs and provide new openings. Encourage mobility as reorganizations shift jobs around.Control compensation costs.Maintain flexibility and skills of an aging workforce.Control labor costs and maintain labor peace. Improve productivity.DeclinePlan and implement workforce reductions and reallocations, downsizing and outplacement may occur during this stage.Implement tighter cost control.Implement retraining and career consulting services.Improve productivity and achieve flexibility in work rules. Negotiate job security and employment-adjustment policies
12 HR Planning Berdasarkan Target Perubahan Organisasi PurposesClarify or CreateMission & ObjectivesTechnologyImprove equipment,Facilities and work flowObjectivesSet or modify specific performance targetsStrategyClarify or create strategic and operasional plansStructureUpdateorganizational designand coordinationmechanismCHANGETARGETSCultureClarify or create core beliefs and valuesTasksUpdate job design for individuals and groupsPeopleUpdate Recruiting & Selection PracticesImprove Training & DevelopmentHR Planning Berdasarkan Target Perubahan Organisasi
15 Planning Question Where are we now? Where do we want to be? How do we get from here to there?How did we do?
16 Diagnostic Approach(Milcovich/Bodreau)WHERE ARE WE NOW? Assessing external and organizational conditions and employee characteristicsWHERE DO WE WANT TO BE ? Set human resources objectives, based on efficiency and equity, according to dimensions that matter to tha key stakeholdersHOW DO WE GET FROM HERE TO THERE? Choose human resources activities and expend resources necessaryHOW DID WE DO? WHERE ARE WE NOW? Evaluate result by assessing new condition according to the objectives, and start the process again
17 HR PLANNING Strategic Planning Human Resource Planning Forecasting Human Resource RequirementsComparing Requirements and AvailabilityForecasting Human Resource AvailabilityDemand = SupplySurplus of WorkersShortage of WorkersNo ActionRestricted Hiring, Reduced Hours, Early Retirement, Layoff, DownsizingRecruitmentSelection
18 Forecasting HR Requirements Demand for firm’s goods or services must be forecastEstimate of numbers and kinds of employees the organization will need at future datesForecast is then converted into people requirements
19 Forecasting HR Availability Determining whether the firm will be able to secure employees with the necessary skills, and from what sources these individuals may be obtainedShow whether the needed employees may be obtained from within the company, from outside the organization, or from a combination of the two sources
20 Internal Assessment of the Organizational Workforce 1Auditing Jobs and SkillsWhat jobs exist now?How many individuals are performing each job?How essential is each job?What jobs will be needed to implement future organizational strategies?What are the characteristics of anticipated jobs?
21 Internal Assessment of the Organizational Workforce 2Forecasting the Demand for Human ResourcesOrganization-wide estimate for total demandUnit breakdown for specific skill needs by number and type of employeeDevelop 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.
22 Internal Assessment of the Organizational Workforce 3Organizational Capabilities InventoryHRIS databases—sources of information about employees’ knowledge, skills, and abilities (KSAs)Components of an organizational capabilities inventoryWorkforce and individual demographicsIndividual employee career progressionIndividual job performance data
23 Surplus of EmployeesRestricted hiring – employees who leave are not replacedReduced hoursEarly retirementLayoffs
24 Shortage of Workers Forecasted Creative recruitingCompensation incentives – premium pay is one methodTraining programs – prepare previously unemployable people for positionsDifferent selection standards – alter current criteria
26 HR Forecasting Techniques Zero-based forecasting – uses current level as starting point for determining future staffing needsBottom-up approach – each level of organization, starting with lowest, forecasts its requirements to provide aggregate of employment needs
27 HR Forecasting Techniques Mathematical models –Assist in forecasting. Relationship between sales demand and number of employees needed is positive one.Simulation – technique with experimenting with real-world situation through a mathematical model
29 Benefits of HR Planning Better view of the HR dimensions of business decisionsLower HR costs through better HR management.More timely recruitment for anticipate HR needsMore inclusion of protected groups through planned increases in workforce diversity.Better development of managerial talent
30 Employee Replacement Chart for Succession Planning