Ir. Muhril Ardiansyah, M.Sc., Ph.D.

1. Ir. Muhril Ardiansyah, M.Sc., Ph.D. Email: uhsyah@yahoo.com Ir. Muhril A., M.Sc., Ph.D.

2. Ir. Muhril Ardiansyah, M.Sc., Ph.D. * Ir. (IPB, Bogor, Indonesia; 1985-1990). * M.Sc. (Oklahoma State University, Stillwater, Oklahoma, USA; 1991-1993). * Ph.D. (Oklahoma State University, Stillwater, Oklahoma, USA; 1996-2001). Ir. Muhril A., M.Sc., Ph.D.

3. Ir. Muhril Ardiansyah, M.Sc., Ph.D. Lecturer at: Bina Nusantara University, Jakarta, Indonesia. Pelita Harapan University, Jakarta, Indonesia. Sahid University, Jakarta, Indonesia. Indonusa Esa Unggul University, Jakarta, Indonesia. Paramadina University, Jakarta, Indonesia. Fashion & Design Institute, Jakarta, Indonesia. STIE Gandhi, Jakarta, Indonesia. Ir. Muhril A., M.Sc., Ph.D.

4. Ir. Muhril Ardiansyah, M.Sc., Ph.D. Consultant and/or Researcher at: INDEF. STRATEGY. SCORE. GLOBAL. Ir. Muhril A., M.Sc., Ph.D.

5. Ir. Muhril Ardiansyah, M.Sc., Ph.D. Director and Owner: Muhril Ardiansyah’s Consulting, Educating & Training. Ir. Muhril A., M.Sc., Ph.D.

6. Ir. Muhril Ardiansyah, M.Sc., Ph.D. Manager Marketing: Beeyon-PT Dewi Fortuna Komunikasi. Ir. Muhril A., M.Sc., Ph.D.

7. Blog http://hrpa.wordpress.com/ Ir. Muhril A., M.Sc., Ph.D.

8. Human ResourcePlanning & Auditing(HRPA) Ir. Muhril A., M.Sc., Ph.D.

9. After Studying this materials, We should be able to such as: 1. Explain the main techniques used in employment planning, forecasting and auditing. 2. List and discuss the main outside sources of candidates. 3. Effectively recruit job candidates. Ir. Muhril A., M.Sc., Ph.D.

10. After Studying this materials, We should be able to such as (continued): 4. Name and describe the main internal sources of candidates. 5. Explain how to recruit a more diverse workforce. Ir. Muhril A., M.Sc., Ph.D.

11. Questions? • 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 five years? • How many will be required in one year, five years, ten years? Ir. Muhril A., M.Sc., Ph.D.

12. Results? • The penalties for not being correctly staffed are costly. • Understaffing loses the business economies of scale and specialization, orders, customers and profits. • Overstaffing is wasteful and expensive, if sustained, and it is costly to eliminate because of modern legislation in respect of redundancy payments, consultation, minimum periods of notice, etc. • Very importantly, overstaffing reduces the competitive efficiency of the business. Ir. Muhril A., M.Sc., Ph.D.

13. Future Staff? Future staffing needs, will derive such as from: • Sales and production forecasts. • The effects of technological change on task needs. • Variations in the efficiency, productivity, flexibility of labor as a result of training, work study, organizational change, new motivations, etc. Ir. Muhril A., M.Sc., Ph.D.

14. Future Staff? (continued) Future staffing needs will derive from (continued): • Changes in employment practices (e.g. use of subcontractors or agency). • Variations, which respond to new legislation, (e.g. payroll taxes, new health and safety requirements). • Changes in government policies (investment incentives, regional or trade grants, etc.). Ir. Muhril A., M.Sc., Ph.D.

15. Future Staff (continued) • Planning staff levels requires that an assessment of present and future needs of the organization, be compared with present resources and future predicted resources. Appropriate steps then be planned to bring demand and supply into balance. Ir. Muhril A., M.Sc., Ph.D.

16. “ In order to do human resource planning, you need to have a sense of both the current external environment, and anticipate things that may happen in the future in the labor market place.” Ir. Muhril A., M.Sc., Ph.D.

17. What Is Human Resource Planning & Auditing? • Human Resource Planning & Auditing: links people management to the organization's mission, vision, goals and objectives, as well as its strategic plan and budgetary resources. A key goal of Human Resource Planning & Auditing is to get the right number of people with the right skills, experience and competencies in the right jobs at the right time at the right cost. Ir. Muhril A., M.Sc., Ph.D.

18. Question! Is Human Resource Planning & Auditing only relevant to large companies or should small businesses do Human Resource Planning & Auditing too? Ir. Muhril A., M.Sc., Ph.D.

19. Many people associate Human Resource Planning & Auditing with what very large companies do – such as Astra. That's because, almost by necessity, large companies need to have a much more formal and comprehensive approach to Human Resource Planning & Auditing because of their size and the complexity of their businesses. Ir. Muhril A., M.Sc., Ph.D.

20. Business owner with a very few employees need to think (that is, plan) about various personnel and human resources issues. Many small business owners do this without really thinking about it. For example, a small business owner needs to think and plan about what benefits to offer: - how to manage growth of staff, - how to plan how many staff are needed, - how to evaluate employee performance, and so on. Ir. Muhril A., M.Sc., Ph.D.

21. “So, even if you have one or two employees, it's useful to "plan like the big boys" regarding human resource and personnel issues. The methods you use may be simpler but you still need to do it, so you are prepared.” Ir. Muhril A., M.Sc., Ph.D.

22. What human resource functions need to be planned? Human resource planning refers to the planning of human resource functions, or in other words, planning how human resource management will be executed: • Recruiting. • Selecting . • Hiring. • Orienting. • Training and Retraining. • Motivating. • Coaching. Ir. Muhril A., M.Sc., Ph.D.

23. What human resource functions need to be planned? • Recognizing Achievements. • Empowering. • Communicating. • Evaluating. • Promoting. • Laying off. • Dismissing. So, in effect Human Resource Planning refers to the development of plans in above areas or in similar areas. Ir. Muhril A., M.Sc., Ph.D.

24. Some Ways Of Making Human Resource Planning More Effective? 1. Human Resource Planning needs to be linked to the larger business planning or strategic planning process. Human Resource Planning is NOT an end to itself, and neither is Human Resource Management an end in itself. The function is meant to support and enable the company to attain its business goals, so as such it needs to be linked to and driven by those business or strategic goals. Ir. Muhril A., M.Sc., Ph.D.

25. Some Ways Of Making Human Resource Planning More Effective? (continued) 2. The planning process MUST actively involve those stakeholders and customers – such as managers, executives, even line employees. Ir. Muhril A., M.Sc., Ph.D.

26. Some Ways Of Making Human Resource Planning More Effective (continued)? 3. Human Resource Planning can't be effective without an understanding of the company or organization, its managers and employees, its mission and issues, etc, and the environment in which it works. Ir. Muhril A., M.Sc., Ph.D.

27. How Is Human Resource Planning Linked To Overall Strategic planning? • Since human resources functions and strategies are a means to achieve corporate ends, they need to be tied to, and driven by the corporate role, mission, vision and strategic goals, or else they simply end up as processes that add overhead, but down increase return. The solution is obvious. Human resource planning needs to reference the details of the overall strategic plan of the organization. In effect, it serves the strategic plan. Ir. Muhril A., M.Sc., Ph.D.

28. Human Resource Planning & Auditing(HRPA): • Used by organization to ensure that the right person is in the right job at the right time. • Involves forecasting the organization’s future human resource needs and planning for how those needs will be met. Ir. Muhril A., M.Sc., Ph.D.

29. Human Resource Planning & Auditing(HRPA) (continued): • Includes establishing objectives and then developing and implementing programs (such as: staffing, appraising, compensating, and training). To ensure that people are available with the appropriate characteristics and skills when and where the organization needs them. Ir. Muhril A., M.Sc., Ph.D.

30. Human Resource Planning & Auditing(HRPA) (continued): • May involve developing and implementing programs to improve employee performance, or to increase employee satisfaction and involvement in order to boost organizational productivity, quality, or innovation. Ir. Muhril A., M.Sc., Ph.D.

31. Human Resource Planning & Auditing(HRPA) (continued): • Can be used to evaluate the effectiveness of ongoing programs and informs planners when revisions in their forecasts and programs are needed. • Entails knowing in advance what the staffing needs of the organization will be, assessing the supply of the relevant employee in the organization and labor market, and finding ways to fulfill the staffing needs. Ir. Muhril A., M.Sc., Ph.D.

32. Human Resource Planning & Auditing(HRPA) (continued): • Successfully HRPA for and handling labor needs can thus be a competitive advantage. Organization who makes and implements better HRPA than others will adjust better to environmental changes, and have the most suitable workforces. Ir. Muhril A., M.Sc., Ph.D.

33. The HRPA Processes There are three broad keys of HRPA: 1. Know the strengths and the weaknesses of current workforce, both with regard to number, skills, etc. 2. Have clear strategic plans for the future, and ideas of how the current employee fit in that plan. 3. In the current employee do not fit in any way, a plan to alter it to do so. Ir. Muhril A., M.Sc., Ph.D.

34. The HRPA Processes (continued) The steps of the HRPA processes: 1. Deciding on strategic plans and resultant design of the organization. There are business plans for the future. Ir. Muhril A., M.Sc., Ph.D.

35. The HRPA Processes (continued) The steps of the HRPA processes: 2. Out of the strategic plans, determining the organization’s labor demand needs for both the short term and longer terms. 3. Assessing the labor supply situation (both internal and external supply), and in light of it to draw up plans for effectively and continuously filling staffing needs. 4. Implementing the staffing plans, also monitoring and evaluating. Ir. Muhril A., M.Sc., Ph.D.

36. Projected, Environmental Conditions, Competitive strategy, Life cycle stage, Industry sector Asses HR Demand & Supply Develop Objectives Design & Implement Program Evaluate Outcome Ir. Muhril A., M.Sc., Ph.D.

37. Strategy, Design HRPA • To serve as a competitive advantage, the acquisition of staff must first and foremost be strategic. • One cannot hire, fire or relocate staff without there being a strong link to the core business needs. Ir. Muhril A., M.Sc., Ph.D.

38. Strategy, Design HRPA (continued) • The objectives and design: Allow those doing human resource planning to know the number and type of employees needed at each horizontal and vertical level. Ir. Muhril A., M.Sc., Ph.D.

39. Forecasting Personnel Needs Linking Strategy Employers To Plans Employer’s Strategic Plan: Diversity? Integrate vertically? Expand geographically? Employer’s Functional Plans Marketing And Sales Plans Production Plans Financial Plans HR Plans Ir. Muhril A., M.Sc., Ph.D.

40. Forecasting Personnel Needs Linking Strategy HR Plans HR Plans Labor Relations Plans Security And Safety Plans Personnel Plans Training And Development Plans Compensation Plans Ir. Muhril A., M.Sc., Ph.D.

41. Forecasting Personnel Needs Linking Strategy Personnel Plans Personnel Plans Personnel Forecast Recruitment Plans Employee Selection Plans Ir. Muhril A., M.Sc., Ph.D.

42. Forecasting Personnel Needs • Explain the main techniques used in employment planning and forecasting. • Forecasting labor demand arising from strategic objectives. Ir. Muhril A., M.Sc., Ph.D.

43. Forecasting Personnel Needs (continued) • To fulfill strategic objectives, need to ask several questions: - How many employees are needed to enable the strategy and design? - Of what type and qualities? - Where (in what departments/jobs/positions)? Ir. Muhril A., M.Sc., Ph.D.

44. Forecasting Personnel Needs (continued) • Demand for labor: - It is a derived demand. - Demand labor is dependent on more primary demands. Ir. Muhril A., M.Sc., Ph.D.

45. Forecasting Personnel Needs (continued) • Several techniques of forecasting personnel needs: 1. Trend analysis. 2. Ratio analysis (Personnel ratios). 3. The scatter plot. 4. Time series on staffing levels. 5. Productivity ratios. 6. Regression on leading indicators. Ir. Muhril A., M.Sc., Ph.D.

46. Forecasting Personnel Needs (continued) • Trend analysis: - Study of a firm’s past employment, needs over a period of years to predict future needs. - Might compute the number of employee at the end of each of the last five years. - Might compute the number of employee in each group (such as sales, production, secretarial, administrative) at the end of each those years. Ir. Muhril A., M.Sc., Ph.D.

47. Forecasting Personnel Needs (continued) • Trend analysis (continued): - Provide an initial estimate, but employment level rarely depend just on the passage of time. Ir. Muhril A., M.Sc., Ph.D.

48. Forecasting Personnel Needs (continued) • Ratio analysis (continued): A forecasting technique for determining future staff needs, by using ratios between. For example sales volume and the number of employees needed. - assumes the productivity remains about the same. Ir. Muhril A., M.Sc., Ph.D.

49. Forecasting Personnel Needs (continued) • Ratio analysis (continued): Example: Suppose a sales person traditionally generates Rp. 5 000 000 in sales. If the sales revenue to sales people ratio remains the same, you would require 6 new sales people next year to produce a hoped for extra Rp 30 000 000 in sales. Ir. Muhril A., M.Sc., Ph.D.

50. Forecasting Personnel Needs (continued) • The scatter plot: A graphically method used to help identify the relationship between two variables. Ir. Muhril A., M.Sc., Ph.D.