With the development of the world economic integration, the chances that the enterprise participates in the international competition is more and more. In order to maintain invincible in the domestic and international competition the organizations must strengthen the management of the organizational strategy, regulate the basic management of the enterprise and scientifically and rationally develop the HR planning. This paper introduces the purpose of the HR planning, the external impact on the HR planning, the role of the HR planning in achieving the strategic objectives of organization and the legal and ethical requirements of the HR planning.
The purpose of HR planning particularly in the face of change and uncertainty
1. The purpose of HR planning
HR planning is a strategic planning, focusing on pre-preparing human resources for the future production and operation activities, maintaining and systematically analyzing the organization needs for the human resource in the changing conditions, and developing the personnel policy adapted to the long-term benefits of business. It is an integral part of organization overall planning and budget because the influence is mutual between the investment and expectation in human resources and the organizational long-term planning. The HR planning is not concerned about the individual but a group of people. Development plans of individual are in the whole group's development planning. So the essence of the human resources planning is the personnel policy and its establishment provides guidance for the personnel management activities (Lansbury, 1982).
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For the new fierce competitive situation brought by globalization, the change of organizational environment and the constant innovation of technology, the HR planning must be strengthened to ensure the realization of organizational objective. That is particularly important for organizational development.
The main objective of human resource planning is that the enterprise can attain appropriate personnel at the right time and appropriate positions and ultimately attain the efficient allocation of human resources. On the one hand, human resource planning is to meet the changing needs for a variety of human resources of the organization, including quantity, quality, level, structure and other hands; the other hand, human resource planning is to maximize the development and utilization of existing staff and fully meet the needs of the organization and staffs. The most important function of HR is to ensure the effective supply of human resources in the business process and make the human resource of the enterprise be consistent with organizational strategy. Establishing HR planning is one important task of organizational human resource department. Organization not only considers the current human resource needs but also considers the long-term needs for the human resource. Establish the acquisition, use, and maintenance and development strategy of human resource and contribute the realization of strategic objectives. So HR planning is the important part of the enterprise development strategy and achievement of the organizational development strategy needs the protection of HR planning (Robert, 1991).
The objective of the enterprise to achieve in facing challenges and uncertainty is as follows:
(1) Get and keep the stable number of staffs with specific skills, knowledge, structure and capacity and fully use the existing human resources.
(2) Predict the potential excess or shortage of personnel in the organization.
(3) Establish a well-trained workforce with the flexible operation and enhance the ability of the organization to adapt to unknown environment.
(4) Reduce dependence of the key technology on external recruitment team (Michael, 2007).
To achieve the above purpose, what the HR planning need to focus on are as follows:
(1) The number of staffs needed
(2) What skills, knowledge and abilities the staffs should have;
(3) Whether the existing human resources meet the known needs;
(4) Whether there is the need for the recruitment;
(5) When the training or recruitment start;
(6) If the organization must lay off, what kind of response measures should be taken;
(7) Besides the enthusiasm and sense of responsibility whether there are other external factors that can be developed and utilized (Smith, 1992).
2. The role of HR planning
On the basis of understanding organization planning and HR planning the specific roles of HR planning can be summarized as follows:
Firstly, ensure the achievement of organizational goals. HR planning is one planning to achieve the organizational strategies. A major objective of establishing HR planning is to ensure that the organization achieves the development strategies.
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Secondly, adapt to the need of environment change. HR planning can help organizations make the appropriate adjustment and reactions according to the market environment change, organization restructuring and the introduction of the new technology. The role of the HR planning is to make the organization better grasp the uncertain business environment, adapt to environmental change, timely adjust the composition of human resource and keep the competitive advantage.
Thirdly, improve the efficiency in the use of human resource. HR planning can help organization reduce the use cost of personnel use and help the enterprise forecast the shortage and redundancy of human resource. Before the labor cost increases HR planning can reduce the waste and lack of staff by correcting the imbalance of personnel supply and demand (Gold, 2001).
The influence of the external environment in HR planning
The political, economic, legal, technical, and cultural factors are in the external environment is in the constant changing. The human resource in the organization situation also needs to constantly adjust and change. And that causes that the organization's development strategy also requires to be adjusted with the changing of environmental conditions and organizational strategy. The change of the strategic objectives will cause the supply and demand change both inside and outside of organizations. HR planning is to analyze and predict the supply and demand situation of human resource to ensure the need of the organization's short, medium and long-term needs for human resource.
1. The external environment factors include:
The supply and demand relationship of labor market. This includes supply and demand relationship of the total labor and supply and demand of all kinds of talents. If a kind of talent is in short supply it will restricted to add human resource outside the organization.
Government's policies and regulations. Such as the employees' benefits insurance, minimum wage system and so on.
The innovation of technology. The market fierce has greatly pushed forward the technological progress. The promotion of the new technologies will generate new jobs. And this will change the original human resources needs of organization.
The market competition conditions and the social and cultural environment is also the factors that affect the organizational HR planning (Nkomo, 1987).
2. The external environmental impact on HR planning:
The development and change of the organization is fast. The political, economic, legal, technical, cultural and other factors have always been changing and this will cause the constantly change of the enterprise's strategic objectives correspondingly. Thus this will lead to the change of HR planning.
The external environment which the organization is in, such as geographical location, local customs, economic development, science and education level, population structure and local personnel policies have a greater impact on the supply of the human resources. For example, the talent is relatively centralized and the supply of the qualified personnel that the high-technology companies need is adequate. If the organization is in the remote country although the overall supply of the human resource is adequate such location will make the organizational human resource needs inhibited (Craft, 1980).
In addition, the industry environment in which the enterprise is, such as the development state and changing trends, the brand of the enterprise, human resources policies, especially the pay policy and competitive state will have greater impact on the human resource supply.
The role of strategic HR planning in the realization of organizational strategic goals
1. The relationship between HR planning and organizational strategy
The corporate strategy is developed strategy to maintain or gain competitive advantage by analyzing the external and internal environment of organization. In the corporate strategy the ability required by the changes comes from the people because the people rather than the organization have the innovation, decision making, developing and producing new products, opening the new markets and serve effectively for the customers. Human resource issue is always the core issues of implementing strategy. The strategic HR planning is deeper and more strategic model and its objective is to achieve the strategic goal of the organization.
HR planning is as an important function of organization and serves for the enterprise to support the realization of the enterprise strategy objectives. HR planning takes the organizational strategy as the basis and affects the development and implementation of organizational strategy. No matter what type of organizational strategy is adopted, human resources are required to establish the strategic planning of human resource management must based on the corporate management's common decision. And the organizational strategy should be in line with the interests of all internal and external aspects and be recognized by the entire staffs. According to different types of corporate strategy, establish the corresponding human resources strategy and develop HR planning. Only when the human resource planning is in line with organizational strategy, the role of human resources management will be fully played in the organization management to improve the organizational performance and contribute the realization of the organizational strategic objectives. The effective implementation of the organizational strategy depends on the management for the human resource management. If the organization wants to achieve the success of organizational strategy, there should be the active participation and corporation of the human resource strategy. At present the HR planning plays an important role in the organizational strategy planning (Schuler, 1987).
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In the globalization of today's world, domestic and international competition is increasingly fierce and the structure of the labor force is constantly changing. The increasingly complex work and greater dependence on information technology mean that the organization must pay more attention to the human resource and the HR planning in the implementation of the enterprise strategy. By HR planning regulate, develop and integrate human resource of the enterprise and ensure the realization of the organizational strategic aim. HR planning will be ultimately the contributor of the organizational strategy.
2. The innovation in the HR planning
In the today of innovation the HR planning should fully consider the innovative works and employee's feature, focus on dynamic and flexible, focus on the balance of quality and structure and implement innovative strategies into the overall planning of the human resource and business planning. That will contribute to the realization of the organizational innovative strategy and guide the human resource management. That will also contribute to the recruitment, selection, motivation, use and training
3. The role of the HR planning in the organizational strategic objectives
HR planning is an important part of the human resource management and has an important significance for organization and human resource management. HR planning may contribute to the realization and development of organization production and operation goals and contribute to the realization of the strategic objectives of organization (Torraco, 1995).
HR planning can make the human resource supply and demand balance and provide human resources support for the enterprise to achieve the strategic goals of the organization.
Firstly, the organization may generate new demands for the human resource in the development process due to the need of production and operation. The competitive environment that the organization faces is the constantly changing external environment and the internal environment changes. The requirements on the personnel will probably change at any time. If the human resource does not meet the new development needs of the enterprise in terms of number and structure it must be adjusted accordingly.
Secondly, their own change of the organizational staffs will lead to the change of human resource. Such as the retirement, promotion, leaving the original post and attrition will lead to the changes in human resource structure, number and so on.
In addition, in the process of organization development there may be other reasons that will lead to the changes of the human resource. In the development process supply and demand of human resources often changes. That needs to analyze the reason s of the supply and demand imbalance through carrying out the HR planning, take appropriate measures to make the appropriate adjustments and make the situation of human resources meet the need of production and operation as soon as possible.
HR planning is great significance for the human resource management. The good HR planning can contribute to the of the human resource management, thus contributing the realization of strategic objectives of the enterprises. HR planning is very important for the human resource management activities of the whole enterprise. Human resource management scientists generally divide human resources management into work analysis and design, selection and configuration of HR planning, training, development, performance management, labor relations and other sectors. The good HR planning will contribute to the operation of other modules of human resources management. Whether HR planning is reasonable or not will decide the development of the all human resource management. And there is great significance for the realization of the organizational strategic goals.
Human resources planning is conducive to lower their labor costs and realize the strategic objectives of the enterprise. Reasonable human resource planning can reasonably control the current labor costs, gradually adjust the distribution of the personnel in predicting the future development of the organization and control the human resource cost in the reasonable range. The human resource has an impact on the labor cost because the staffs pay account for a large proportion in the organizational labor cost. The staffs pay levels are different according to their job levels' difference. And its structure distribution has great influence on labor costs. HR planning has an impact on the control of organizational labor costs and contributes to the realization of the strategic goals of the organization ultimately. HR planning has the function of ensuring the supply and demand balance of the human resource, contributing the human resource management and reducing the organizational cost. HR planning is very important for the realization of the strategic goals of the organization. Scientific and reasonable HR planning will contribute to the achievement of the strategic goals of the organizational (Huselid, 1993).
The ethical and legal requirements of HR planning
The ethical requirements of HR planning
HR planning needs the guidance and regulation of ethics. The main task of HR planning is to develop the human resource of the organization efficiently. The organization should be a responsible economic entity and should also be a qualified moral subject. HR planning of the organization should not only pursue efficiency and effectiveness but also should pay attention to human values and ethical values. Ethics in HR planning has both valuable rationality and the instrumental rationality. Ethics plays the guidance role in the HR planning. Ethics can help avoid simply emphasizing the pursuit of the economic interests. Ethics is the important criterion of evaluating reasonability and is also an important means of uniting the people, motivating employees and developing the human resource effectively (Walker, 1980).
The bad ethics behaviors in some organizations will have a tremendous and negative impact on the staffs, enterprise and society. How to improve the ethical standards of the enterprise and avoid the losses brought by various aspects to improve the competitive advantage and improve organizational performance is an urgent problem that needs to be resolved.
The legal requirements
1. The influence of laws and regulations
HR planning should change the HR planning into the policy and measures of human resource to ensure the realization of organizational needs for human resource. The policy should be right and clear, such as the mobilization of the internal staffs, filling a vacancy, promotion or demotion, development and training and corresponding measure protection of human resource investment. Or the realization of HR planning can not be ensured.
The change of the country and local policy environment includes the establishment of national laws and regulations for human resources, the various measures for the talents, the implementation of various national economic laws and regulations, the change in domestic and international economic environment. The changes of these external environments will affect the overall business environment within the enterprise, so that human resource policies within the enterprise should change correspondingly.
2. The legal requirements
The human resource managers should quickly grasp the new environmental trends. Research the national and local laws and regulations in order to seek balance between the costs and risks and establish the human resource development strategy rationally.
However, most organizations at present can not make human resource management be legal. Some have even run across the bottom line of the law. There are other issues with high happening rate including labor contract issues, working hours issue and working hours management issue. Indeed this will increase the input costs. But it should be seen that the laws and regulations raise the threshold of the enterprise but raise the staffs' sense of belonging to the enterprise (Ulrich, 1987).
The process of HR planning is in fact the ongoing process and use of the human resource information. Relying on the continuous delivery and feedback of human resource information the HR planning can be targeted and developed. With the development of economic globalization the organization is facing more and more competitive pressure to survive. The organizational managers should develop appropriate HR planning on the strategic level, provide protection for the realization of the organizational objective and reasonably and reliably predict the human resource supply and demand balance in the scientific methods.