Factors That Underpin The Hr Planning Commerce Essay


Human resource planning is a very important task for any organization. This planning plays a vital role in managing the employees of the organization. This plan helps to meet the required human resources of any organization. Actually it helps to identify what type of employees, how many employees will be required in the organization. It also provides information about the sources of required human resource need of the organization. These are some business factors that underpin human resource planning in a organization. Some important factors are explained below.

Nature of business

Size of the business

Type of business

Management policy

Resource of the business

Organization culture

Location of the business

Business environment

Human Resource Requirements in given situation

Human Resource (HR) is an important part for any organization. It is part and parcel for every organization. An organization cannot do anything without Human Resource. The success and failure of an organization mostly depends on the successfully implementation of the Human Resource policies and programs. The reason is that most of the organizational goal is achieved through it. If any organization is not so care about human resource department it must suffer in the long run. So before planning Human Resource (HR) requirements of any firm it must have to be given very much emphasis. Human Resource (HR) is must for every department of a firm. A firm usually has many departments. It is very much essential to manage Human Resource in every department. Without Human Resource (HR) it is probably impossible to manage day to day activities of the firm. It includes from the bottom level to the top level of the firm. Generally the bottom level HR implements the decision taken by the top level management. For example if we analyze HR requirements of a production oriented firm or manufacturing firm we will see that there needs a wide range of human resource. There must have some top level executives who formulate plan for production departments. There also have some middle level and lower level human resource who will implement the plan formulate by the top level executives.

Development of HR plan for an organization:

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Once the analysis of the required personnel is complete, then the HR planning can begin. HR planning consists of four phases that are described below:

Phase1. Formulation

It is very important that the HR department of an organization should have direct relation with the rest of the department. Every organization has vision objectives. This vision statement indicates the overall image of the firms. For planning HR in an organization the first step is formulation of the policy about the HR needs of various departments.

Phase2. Development

It is the second phase of the HR planning in an organization in this step a SWOT analysis is conducted to identify the overall strength, weakness, opportunities and threats. This SWOT analysis provides important outlook about what action should need in future to cope with the changing environment by correctly planning the required human resource in the organization. The SWOT analysis provides answer about the following question;

What about internal strengths?

What about internal weaknesses?

What is the opportunity?

What are the external threats?

The topics that are included in the SWOT Analysis might include personnel capabilities, benefit, employee services, information management systems, official facilities, and the reputation of human resources within the organization.

Phase3 .Implementation

It is short-term objectives which should be established In order to complete long-term strategies in the firm. Short-term objectives are the objectives that can be accomplished within six months to one year. This short term objectives should be fulfill by short term goal. On the other hand long term objectives should be fulfilling by long term goal. It should be remembered that no short term objectives is fulfill by long term goal and vice versa.

Phase 4. Evaluation

HR planning should be evaluated in regular basis. Human resource planning must reflect the target based on the measurable items. Once the human resource planning is done, it is essential to evaluate the success of that planning. If there is any mistake found, necessary steps should be taken in an urgent manner. There are two common ways in which we can measure the success of the plan: such as time and budget.

How HRM contribute to meet objectives of organization:

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Human resource plan plays very vital role in meeting the organization’s objectives. Actually organization does mean employees of the organization rather than organization itself. Objectives of any organization are achieved by the employees of that organization. One organization can be differentiated from other organizations by the performances of employees of respective organization. Because we can see that different organizations perform differently and make different level of profit in the same industry only for human resource. Human resource plan has other plans to meet the objectives of the organization. Human resource plan has the following plans: Personnel planning indicate the process of deciding what positions the organizations will have to fill and how to fill them. Training and development plan is developed to make the employees of the organization skilled necessary to perform better and increase the efficiency level that ultimately contributes to meeting the objectives. Compensation plan is another vital part of human resource plan. It is very important because the performance of the employees depends on the satisfaction level and employees are the ultimate performers. Strategic compensation plan helps to the organization to hire high quality employees and retain them. Labor relation plan is also required for some certain reasons. It is required to maintain good relation with labor union to meet any unexpected situation. Sometimes labors strike and this hampers the normal business operations of the organization. Sometimes it is required to reach an agreement wage, working hours etc. Security and safety plan provides the security of the jobs of employees, which ultimately makes the employees more satisfied. Satisfied employees perform better for the organization. Personnel forecast means estimating the required number of employees on the basis of production volume or expected revenues. Variation in forecasting is very costly for the organization. In fact Human resource planning creates value by engaging activities that produce the employee behaviors that company needs to achieve organizational goals and objectives. So all these plans under human resource planning help the organization to meet the objectives of the organization more efficiently.

Impact of organizational structure and culture on management of HR

Organizational structure and also organizational culture have certainly some impact on the management of human resource of the organization. Actually human resource management is the policy and practices involved in carrying out the human resource aspects of a management position including recruiting, training, appraising and compensating employees and also it is concerned about labor relations, health, safety and fairness. In fact, the size of the human resource department reflects the size of the organization. Large organization generally have large human resource department and small organizations have small human resource department with few employees. It is generally found that there is one Hr employee for every 100 employees. So organizational structure affects the management of human resource of an organization. Organizational culture also has some impact on the management of human resource of any business organization. If human resource department works as an independent body it can produce better benefit for the organization. If independence is the culture of an organization in case of decision making, it is helpful for the human resource department to make wise decision. So we can conclude that a fair practice in the organization makes the management of human resources more effective and fruitful for the organization.

Monitoring the effectiveness of HRM

The failure or success of an organization largely depends on the HRM policies. The higher authority of an organization make HR plan and programs. This plan is implemented by the HR manager and the working level management. The HR manger also make plan for the human resource. It includes conducting job analysis, planning labor needs and requirements of the job candidates, selecting job candidates, orienting and training new employees, managing wages and salaries, providing incentives and benefits, appraising performances, communicating( interviewing, counseling, disciplining) , training and developing manager and building employment commitment. All these plans are prepared and implemented by the HR specialists. After implementing this plan, the HR specialists monitor to see what it impact on the organizational performances. For example the HR specialist wants to know whether they hire the right people for the right position after analyzing the performances of the employees. If the performances are not satisfactory, HR specialist or manager arrange raining programs to teach the employees, so that they can perform better. If after all these efforts, performances are not satisfactory the HR manager can fire the employees from the organization. They also manage various incentives to the employees to get better service by satisfying them. After all the HR specialists always monitor the task performed by the employees and measure the effectiveness of the HRM policies prepared by them.

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Recommendations: it is clear to us that without planning and implementing a right HR policy in an organization, it is not possible to achieve the target. If the HR policy is not properly installed, the overall efforts will fail in vain. So it should be given the top most priority. We have some recommendation regarding HRM policies for any kind of organization which want to achieve success through imparting it. Some recommendations are as follows:

Making clear plan on HRM

Hire the right people

Use right selection tools

Training employees based on need

Not committing unfair labor practice

Increasing employees loyalty through participation

Conclusion: Human resource management is very essential and effective for maintaining an organization in a prudent manner. The most success of an organization depends on the appropriate HR policy. Human resource plan plays very vital role in meeting the organization’s objectives. So every organization gives more emphasis for selecting the right people for the right position. After all it is most useful for any firm to implement the HR policy in prudent manner. Both long and short term objectives should be meet through it in accordance with the required necessity.