HUMAN RESOURCE PLANNING - CONTENT SCOPE AND LEARNING GUIDANCE

7. CONTENT SCOPE AND LEARNING GUIDANCE

7.4 HUMAN RESOURCE PLANNING

Timeframe: 15 hours Learning Outcome:

• Understand factors contributing to the successful management of people in the work environment.

• Know the recruitment and selection process.

7.4.1 Introduction

In order for an organisation to begin the recruitment and selection process they first need to assess whether there is a need to recruit. This need is identified through conducting HR planning.

Through HR planning, gaps in the organisations human capital element is identified, and through recruitment and selection these gaps are filled to assist the organisation in achieving their strategic goals.

7.4.2 HR Planning Steps

HR planning takes place in three steps. These steps are illustrated in Figure 3.

© Regenesys Business School 26 Figure 3: Steps in HR planning

(Source: Lorette, 2012) Forecast staffing needs

Evaluating the staffing needs of an organisation involves a prediction of how many employees the organisation will need to achieve the goals and objectives of its strategic plans.

Factors that one should consider include:

• Economic situation of the country

• The organisations’ financial state

• The demand of the product or services the organisation offers

• The current staff retention rates

• The current staff turnover rates Evaluate supply

This step involves an evaluation of an organisation’s internal staff as well as external staff. The external evaluation includes an assessment of the demographics of the workforce environment of the organisation. This includes evaluating the mobility, education, and unemployment rate of the environment as well as the laws and regulations that govern the area. The internal staff evaluation should include a calculation of the current skills of the organisation and the skills that will be needed for the future success of the organisation. Conducting a skills audit does this. This step will determine the types and number of employees needed for the organisation.

HR plan

Step 1: Forecast staﬃng needs

Step 2: Evaluate supply

Step 3: Balance supply

and demand

© Regenesys Business School 27 Balance supply and demand

The last stage of the HR plan is to decide how to balance the demands identified in the first step and the supply needed which is determined in step two. For example, if you do not have the right type of employees for the organisation, you will need to develop a recruitment and selection plan.

You should also determine the full-time and part-time needs of the organisation.

7.4.3 Job Analysis

The first step of HR planning is to determine the nature of the work being done. This involves the process of job analysis. A job analysis is the process of gathering information pertaining to a specific job. The information gathered is important to develop a job specification and is important in many of the human resource functions, such as recruitment and selection, performance appraisal and training and development plans.

A job analysis can be described as:

“… a process used to identify and determine in detail the particular job duties and requirements and the relative importance of these duties for a given job. Job Analysis is a process where judgements are made about data collected on a job (HR Guide, 1999).”

When conducting a job analysis, the following methods could be used (HR Guide, 1999):

• Job classification systems

• Interviews

• Expert panels

• Structured questionnaires

• Task inventories

• Checklists

• Observation

• Work logs

When jobs are analysed, information about the areas discussed in Table 2 should be collected:

© Regenesys Business School 28 Table 2: Aspects of job analysis

Duties and tasks

The tasks and activities of the job include what the employee should perform in order to fulfil the requirements of the position. These include the frequency of the activities, the effort needed, the skills needed, the complexity of the activities, the equipment needed to complete the job and the standards expected of the job.

Environment

Relationships This aspect includes the required relationship needed to complete the job activities.

These relationships could include internal and external relationships.

Cognitive needs The knowledge, skills, and abilities needed to perform the job is listed in the job analysis.

The job analysis only states the minimum requirements of the job.

(HR Guide, 1999)

7.4.4 Job Descriptions

The information retained in the job analysis aids in the development of job descriptions. A job description is a written document that describes a specific job within the organisation. A job description usually lists the following (HR-exec.com, n.d):

• Job functions

• The techniques needed to conduct the job

• The specific material needed to conduct the job

• The traits needed to be successful at the job

• The physical demands of the job

The job description has no specific format but commonly contains the following:

• Job title

• Job location

• Name of the jobholder

• Who the person reports to

• Overall purpose of the job

• Nature of the appointment

• Frequently performed duties

• Working conditions

• Key performance areas

• Competencies

• Knowledge and skills required to perform the job

• Date of the document

• Signature to make it authentic

© Regenesys Business School 29 A simple example of a job description:

Job Title: Telephone Operator Reports to: Supervisor

Location: Front Office Hours: Full time

Purpose of the job: To assist with answering the telephone, to direct the call to the correct recipient and to take messages when needed. The candidate might also be expected to assist clients when they enter the company and to direct them to the relevant person.

Main Duties:

1. To operate the switchboard

2. To direct calls to the relevant people

3. To take down messages and deliver to the relevant people 4. To give information to clients or to find assistance for them 5. To send and receive faxes

6. To receive clients at the front office 7. To give guidance and support to the clients 8. To perform other administration functions

I have read this document and I accept the above conditions

SIGNED at_______________ this ____________day of ____________20______

Position holder:___________________ Supervisor:______________________

7.4.5 Job Specifications

The job specification contains the personal qualifications an employee possesses to perform the duties and responsibilities stated in the job description. Job descriptions usually reflect the knowledge, skills, abilities, education, experience, specialised training, personal traits, and manual dexterity of the person required to perform the job effectively. The job specification is more technical. You can access a template for a job specification by visiting the hyperlink below:

Scqf.org, n.d. ‘Job description / person specification examples using SCQF’

http://www.scqf.org.uk/content/files/SAMPLE%20JOB%20DESCRIPTIONS%20USING%20THE%20 SCQF.pdf (accessed 12 November 2013).

7.4.6 Human Resource Forecasting

Step Three of human resource planning involves identifying the number of employees who will be needed in the future. This is referred to as human resource forecasting and planning. Forecasting involves the activities discussed in Table 3.

Table 3: Human Resource Forecasting

Analyse the job market

The HR manager will have to analyse the economic and population issues that affect employment. Managers have to analyse factors like the graduates entering the job market, the economic stability of the country, the unemployment rate, and the talent available in the job market. With the effects of globalisation on organisations, HR managers would often have to expand their search to the global job market.

Evaluate organisational needs

The needs of the organisation will be stipulated in the strategic plan. An organisational needs analysis will have to be conducted. This involves analysing the current employees, their performance, their abilities, and their career aspirations.

Calculate the turnover rate of the organisation

The HR unit will have to calculate the need for creating new positions in the organisation as well as the possible employees that will leave the organisation. These employees could include retirees, de-motivated and unhappy employees or employees that underperform.

Estimate HR needs

This stage of forecasting involves identifying existing talent in the organisation. The training and development opportunities of employees should be considered and estimated. Employee strengths, weaknesses, abilities, and experience should be measured against the desired human resource needs of the organisation.

(Keefer, 2012)

7.4.7 The Human Resource Plan

The final step of human resource planning culminates in the development of a human resource plan. The purpose of the plan is to ensure that the present human resource requirements in the organisation are suitable for its current and future needs. It is critical that the human resource plan is directly interlinked to the organisation’s strategic plan.

Read more about Human Resource Planning in the document hyperlinked below:

Government of Newfoundland and Labrador. 2008, ‘Human Resource / workforce planning and departmental planning – A Guide to integration and alignment’,

http://www.exec.gov.nl.ca/exec/pss/publications/HR_Resource_Binder.pdf (accessed 13 November 2013).

1. Define human resource planning and list the three specific steps?

2. Examine the different methods that could be used to conduct a job analysis. Use a table to identify the advantages and disadvantages of each method.

3. Define job analysis in your own words and explain why it is important for an organisation?

4. What questions might you ask when doing a job analysis?

5. What is the purpose of doing human resource forecasting?

6. Explain what process you would follow when forecasting for an organisation.

7. Explain the factors to consider when forecasting for an organisation.

8. How would you gather information needed to compile a job analysis?

9. What is the purpose of developing a human resource plan and provide examples of what might be contained in the plan?

In document HIGHER CERTIFICATE IN BUSINESS MANAGEMENT (Page 30-37)