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Human Resource Planning. Lecture 2 Chapters 2 & 3. Objectives. Explain the relationship between strategic HRM planning and operational HRM Appreciate the importance of HR planning Understand the basic approach to HR planning Describe the ways of forecasting HR requirements
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Human Resource Planning Lecture 2 Chapters 2 & 3
Objectives Explain the relationship between strategic HRM planning and operational HRM Appreciate the importance of HR planning Understand the basic approach to HR planning Describe the ways of forecasting HR requirements Understand the requirements for effective HR planning
What are some current trends in the workplace? Dial-Up Broadband
Human Resource Planning (HRP) • The process of systematically reviewing human resource requirements to ensure that the required number of employees, with the required knowledge, skills and abilities are available when needed
Importance of HRP HRP matches the organisation and its HR objectives with its people requirements
Strategic Alignment • Environmental Scan • [A.] External • national • industry • [B.] Internal Dynamic environment Vision Strategic business plan Key stakeholders Human Resource Strategy Human Resource Plan Labour demand forecast Labour supply analysis Balance demand & supply From Nankervis, Compton & Baird (2005) HRM:strategies and processes 5e. Nelson. Aust
Business Strategy HR Strategy & Policy Job Design, Analysis & Evaluation Recruitment & Selection Strategic Rewards Performance Development Redeploy, Retire & Retain Manage HR Data
Purpose of HRP To ensure that a predetermined number of persons with the appropriate knowledge, skills and abilities are available at a specified time in the future • Issues: • Scarcity of talent • Short term vs long term needs
Purpose of HRP Intended to help guide the organisation to plan in any of the following areas: growth & disengagement replacement & re-staffing job rotation & cross- functional training the design, implementation & management of supporting programmes such as benefits & compensation
Key HRP issues • Globalisation • Movement of labour across locations/countries • The ‘brain drain’ • Women in the workforce • Flexible work practices and family support • Declining birth rates • Academic standards • Declining and diluted • Commentator: ‘focus on migration not education’
HRP - Forecasts • A forecast of the demand for human resources within the organisation • A forecast for the supply of external human resources • A forecast of the supply of human resources available within the organisation
Approaches to HR • Quantitative methods • Use statistical and mathematical techniques • Used by theoreticians and professional HR planners in large organisations. • Qualitative methods • Use expert opinion (usually a line managers’) • The focus is on evaluations of employee performance and promotability as well as management and career development.
What are some current trends in the labour market? Dial-Up Broadband Queensland Cancer Council
Current trends in the labour market • Aging population • Increase in female participation rates • Increase in school retention rates • Changes in the rate of immigration • Rise of child labour • Casualisation of the workforce • Outsourcing • International employees • Political influences
Casualisation in the manufacturing sector Dial-Up Broadband Simon Bottomley, General Manager, HaveStock
Outsourcing in the manufacturing sector Dial-Up Broadband Simon Bottomley, General Manager, HaveStock
Successful HRP — the role of HR • HR personnel to understand the role of HRP processes • Top management to be supportive • Not to start with an overly complex system
Successful HRP — the role of HR • Healthy communications between HR personnel and line managers • HR plan to be integrated with the organisation’s strategic plan • Balance between qualitative and quantitative approaches
Summary • An effective HRP is required for an organisation to be effective • A complex system is not what’s required • Measure of success of the system: if the right people are available at the right time • HRP needs to be fully in integrated to the organisation’s business plan • HR managers must be able to demonstrate the success of HRP processes
http://www.youtube.com/watch?v=p79Uo9B7Abc Human Resource Information Management System
HRIMS Human resource information management system • It is a computerised system used to gather, store, analyse and retrieve data in order to provide timely and accurate reports on the management of people in organisations. • It is necessary to support accurate HRP
Use of HRIMS • In high-tech organisations technology is seen as a strategic and competitive tool • HRIMS can assist in decentralisation of time consuming and expensive HR transactions • This results in better informed and faster decision making • Employees can access and update their own information (low value added activity)
HRIMS issues • Flexibility • Confidentiality • Legal and management concerns
3 options for HRIMS • Design an in-house system using either internal or external resources, or a combination of both • Buy a system ‘off-the-shelf’ and commence operation • Buy a system as above but work with the vendor to modify it to better satisfy the organisation’s requirements